PSC Directs Con Edison, O&R to Take Next Steps on Natural Gas Planning

ALBANY - In advance of Climate Week, the New York State Public Service Commission (Commission) today directed Consolidated Edison Company of New York, Inc. (Con Edison) and Orange and Rockland Utilities, Inc. (O&R) to provide additional information and to propose pilot programs to take steps toward decarbonizing the gas systems in their service territories. The natural gas plan and the actions directed in this order constitute important steps in the process of decarbonizing the companies' systems and toward achieving the greenhouse gas emissions reduction targets established in the Climate Leadership and Community Protection Act (Climate Act).

"The action taken by the Commission today will ensure that gas utilities continue to provide safe, adequate, and reliable service while striving to meet the State's greenhouse gas emissions reduction targets," said Commission Chair Rory M. Christian. "Modernizing gas planning procedures is important because it subjects local gas distribution companies' long-term plans to transparent review. In addition, it ensures that they conform to State policies while allowing gas utilities to continue to provide safe and adequate service."

Additionally, today's action will require the companies to move forward with a strategy to lower their greenhouse gas emissions and to provide bill impact analyses, a definition for hard-to-electrify customers, propose pilot demand response programs, and file a non-pipes alternative deployment plan, among other actions. The two companies combined serve approximately 1.2 million natural gas customers in New York State. Con Edison is the largest utility in New York State.

This year, Climate Week will be held Sept. 22 through Sept. 29. The purpose of Climate Week is to draw attention to climate change and to drive climate action forward.

The review of Con Edison's and O&R's long-term gas plans has been detailed and thorough. A public information session and multiple stakeholder technical conferences were held to gain stakeholder input. More than 500 public comments were received, in addition to approximately 29 reply comments of stakeholders. The Commission engaged a consultant, PA Consulting, to assist in the review.

New York State's Nation-Leading Climate Plan

New York State's climate agenda calls for an orderly and just transition that creates family-sustaining jobs, continues to foster a green economy across all sectors and ensures that a minimum of 35 percent, with a goal of 40 percent, of the benefits of clean energy investments are directed to disadvantaged communities. Guided by some of the nation's most aggressive climate and clean energy initiatives, New York is advancing a suite of efforts - including the New York Cap-and-Invest program (NYCI) and other complementary policies - to reduce greenhouse gas emissions 40 percent by 2030 and 85 percent by 2050 from 1990 levels. New York is also on a path toward a zero-emission electricity sector by 2040, including 70 percent renewable energy generation by 2030, and economy-wide carbon neutrality by mid-century. A cornerstone of this transition is New York's unprecedented clean energy investments, including more than $28 billion in 61 large-scale renewable and transmission projects across the State, $6.8 billion to reduce building emissions, $3.3 billion to scale up solar, nearly $3 billion for clean transportation initiatives and over $2 billion in NY Green Bank commitments. These and other investments are supporting more than 170,000 jobs in New York's clean energy sector as of 2022 and over 3,000 percent growth in the distributed solar sector since 2011. To reduce greenhouse gas emissions and improve air quality, New York also adopted zero-emission vehicle regulations, including requiring all new passenger cars and light-duty trucks sold in the State be zero emission by 2035. Partnerships are continuing to advance New York's climate action with more than 400 registered and more than 130 certified Climate Smart Communities, over 500 Clean Energy Communities, and the State's largest community air monitoring initiative in 10 disadvantaged communities across the State to help target air pollution and combat climate change.

Today's decision may be obtained by going to the Commission Documents section of the Commission's Web site at www.dps.ny.gov and entering Case Number 23-G-0147 in the input box labeled "Search for Case/Matter Number". Many libraries offer free Internet access. Commission documents may also be obtained from the Commission's Files Office, 14th floor, Three Empire State Plaza, Albany, NY 12223 (518-474-2500). If you have difficulty understanding English, please call us at 1-800-342-3377 for free language assistance services regarding this press release.

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