QUEENS BLACKOUT 2006
The Northwestern Queens area was hard hit with power outages beginning July 17, 2006 possibly affecting hundreds of thousands of people in homes and businesses.
Customer Compensation
The extent of a utility’s legal responsibility, if any, for damages due to an outage may be based on common law, statutes, company rules (tariffs) approved by the Public Service Commission, or orders of the Public Service Commission. Under normal Con Edison rules, customers may receive compensation for losses such food spoilage during power outages due to distribution system failures. There is a form for use by residential customers requiring an itemized list of damages, and for damages over $150, documentary proof of loss such as receipts or labels from spoiled food is required. Businesses can receive up to $7,000 for loss of perishables. The rules call for submission of claims within 30 days.
Con Edison has changed the claims process for the Queens Blackout, click here for information about the changes, which relax some of the requirements for this outage only.
Con Edison Tariff Regarding Customer Compensation for Power Outages
If a claim is not honored by Consolidated Edison a customer may complain to the Public Service Commission and obtain a ruling of the Commission.
PSC Queens Outage Investigation Proceeding
The causes of the blackout, and the reasons for its lengthy duration in the Queens area, are under PSC investigation. Click here for the PSC web page on the Queens Outage.
PULP Comments in Support of Joint Proposal - 05-09-2008
PSC Staff’s Statement in Support of Joint Proposal - 05-09-2008
Consolidated Edisons Statement in Support of Joint Proposal -
05-09-2008
Western Queens Power to the People - Statement in Support of Joint Proposal - 05-09-2008
Consumer Protection Board - Statement in Support of Joint Proposal - 05-09-2008
Comments of Assemblyman Richard L. Brodsky, Chair, New York State Assembly Standing Committee on Corporations, Authorities and Commissions - 07-25-2007
Staff’s Statement in Response to Ruling on Issues - 07-10-2007
Western Queens Power for the People Proposed Prima Facia Statement - 07-10-2007
Attorney General's Brief in Response to Ruling on Issues - 07-10-2007
Local 1-2 Proposed Prima Facia Statement - 07-10-2007
PULP’s Proposed Prima Facia Statement - 07-10-2007
Consumer Protection Board Proposed Prima Facia Statement -
07-10-2007
PULP's Motion to Compel Answers to Information Requests -
04-13-2007
Assemblyman Brodsky's Letter Opposing Con Edison Request for Alternative to Prudence Proceeding - 04-12-2007
Attorney General's Letter Opposing Con Edsion Request for Alternative to Prudence Proceeding - 04-12-2007
ALJ's Letter to Active Parties Regarding Off-the-Record conference to discuss the potential for settlement of the prudence-related issues -
04-11-2007
Western Queens Power for the People Response to Con Edison's Request for Commencement of an Alternative Proceeding - 4-10-2007
Con Edison's request to PSC not to commence a prudence proceeding - 04-06-2007
PULP Response to Con Edison Request for Alternative Proceeding -
04-06-2007
Con Ed Reply Comments on LIC Report - 03-30-2007
Reply Comments of UWUA, Local 1-2 - 03-28-2007
Con Edison Investigation Report on Long Island City Outage Feb. 12, 2007
Con Edison’s Comments on Department of Public Service Staff Long Island City Power Outage Report - 03-02-2007
Comments of TransGas Energy Systems LLC on Department of Public Service Staff Long Island City Power Outage Report in
Case 06-E-0894. - 03-02-2007
Initial Comments of the City of New York on the PSC Staff Report -
03-02-2007
New York City Report on Long Island City Outages -
03-02-2007
Comments of Office of the Attorney General on the PSC Staff Report -
03-02-2007
Staff’s Final Report on Queens Outage - 02-09-2007
Public Service Commission Draft Staff Report On Its Investigation on the July 2006 Equipment Failures and Power Outages in Con Edison’s Long Island City Network in Queens County, New York - 01-2007
Petition to Conduct Prudence Investigation - 10-10-2006
PSC Orders Audit of Con Edison Emergency Response Systems by Outside Consultant - 09-08-2006
Petition for Prudence Investigation - 09-13-2006
TGE Motion to Intervene
TGE Motion to Compel Discovery - 11-10-2006
ALJ Initial Ruling on TGE Motion to Intervene - 10-11-2006
TGE Response to Con Edison’s Opposition to Motion to Intervene -
10-10-2006
PULP Response Supporting TGE Motion to Intervene - 10-10-2006
New York City Response Opposing TGE Motion to Intervene
Con Edison Response in Opposition to TGE Motion to Intervene -
10-6-2006
TransGas Energy Systems, LLC Request for Active Party Status- 10-3-2006
Additional Materials
PULP Request for Order Directing Con Edison to Answer PULP IR # 72-
01-16-2007
ALJ’s Decision on PULP Discovery Motion - 12-05-2006
Con Edison Response to PULP Motion to Compel Discovery- 10-17-2006
PULP Motion to Compel Con Edison to Respond to Requests for Information - 10-06-2006
New York Attorney General’s Report on 1999 Washington Heights Blackout
Supplemental Response By Con Ed - 08-04-2006
Consolidated Edison Company of New York, Inc.'s Long Island City Electric Network, One Commissioner Order by William M. Flynn, Chairman, Order Temporarily Waiving Tariff Provisions. - 08-03-2006
Commission finds Con Ed Report "useless and unresponsive"! - 08-03-2006
Con Ed Report on Steps to Avoid Future Outages - 08-02-2006
Con Edison Report to Mayor Bloomberg on Queens Power Outage -
08-02-2006
Chairman Flynn Initiates Board Investigation of Queens Power Outage - Press Release - 07-26-2006
Notice for Public Statement Hearings in Queens Blackout - 07-26-2006
Commission Order Instituting Investigation of Customer Outages in Con Edison’s Long Island City Network - Case 06-E-0894 - 07-26-2006
Pre Blackout Testimony of NYISO CEO Mark Lynch, July 12, 2006
"It is important to note that, notwithstanding an overall positive outlook for the summer, recent unplanned outages on two major subterranean transmission cables into New York City occurred following the issuance of the Summer Assessment. These outages, which are expected to continue until early to mid-August, have added to the challenges of dealing with summer demand in New York City. The NYISO has worked with Con Edison, the local utility that owns the cables, to implement plans to address this situation, including coordination with neighboring PJM to address various operating contingencies. The new generating capacity that has been brought online in New York City has been helpful in dealing with this situation and the city continues to meet all applicable reliability criteria. However, the possibility for voltage reductions or controlled, localized load shedding remains somewhat elevated under extreme weather or the loss of additional facilities."
Pre-Blackout Testimony of FERC Chairman Warning of Increased Risk of Blackouts in New York City, July 12, 2006
“New York City and Long Island pose long-standing challenges for the electric system. The Assessment noted key improvements in New York City, as recent generation investments began to relieve some reliability concerns.
On Long Island, however, the balance of supply and demand remains tight. Imports from upstate New York and New England are still crucial for Long Island and the area remained exposed to the risks of heat and of unplanned generation and transmission outages.
During the last two weeks, two of four major transmission lines into New York City from upstate New York have failed. They will be for some time. Our Division of Reliability is consulting closely with the affected transmission owner to ensure that the outages have no reliability effects. Nonetheless, the loss of these two lines means that New York City as well as Long Island will be tested during any periods of sustained hot weather.
Reports of Interest
NY State Report on Investigation of 1977 Con Edison Blackout (1978)
FERC Report on 1977 Con Edison Blackout
Part 1
Part 2
Part 3
Part 4
NYISO Report 2002 Line 71 Outage
Trends in Con Edison Expenditures for Electric System Maintenance
"Beginning with the 1994 through 1998 period, the [Con Edison] budget instructions reveal the company's growing concern with being prepared for competition.... This concern is reflected in the annual budgets for electric distribution from 1993 through 1999: bugeted dollars have been relatively flat during this period...." **** "Managers were instructed to reduce the operation and maintenance budget dollar amounts by 3%, 3%, 2.2% and 2.5% from the previous year's allocation in 1996, 1997, 1998 and 1999, respectively. Weekly employee wage and management salary increases over the same horizon were 3% for both wages and salaries in 1996, 1997, and 1998, and 3 1/2% for wages and 2% for salaries in 1999. The budget letters did not detail the actual level of inflation because no adjustments were being made to the budgets to account for inflationary increases." **** Con Edison reduced its budgeted operation and maintenance expenses over the period Staff reviewed and even underspent those budgets in 1995, 1997, and 1998." Trends in Capital Expenditures and Operation and Maintenance Expenditures, Staff Report on 1999 Con Edison System Outage in Washington Heights (March 2000). The Report recommended that Con Edison should report annually to the Commission on its capital and operations and maintenance expenditures for electric distribution and substation operations.
Con Edison Maintenance Program Budgets & Expenses 2000 - 2003 - PULP - 2-26-2004
Update with 2003 Maintenance Programs Budget and Expenditures -
05-25-2004
Annual Additions To Con Edison Electric Distribution Plant in Service - 1990 - 2002, Annual Percentage Changes In Con Edison Electric Distribution Plant In Service, 1990 - 2002, Con Edison Return on Common Equity - 1989 - 2002, Con Edison Plant In Service - 1989 - 2002.
Court Cases
Milliken v. Con Edison - No Recovery for Outage Losses of Commercial Tenants Who Were Not Utility Customers, 1994
Koch v. Con Edison - Third Party Beneficiaries of Con Edison-PASNY Agreement May Recover 1977 Outage Losses, (1984)
Food Pageant v. Con Edison - Grocery Store Served by Con Edison May Recover Damages for Food Spoilage and Lost Profits, (1981)
Despite Denials, Con Edison Found to Have Duty to Provide Electric Service
- "The evidence at trial demonstrates that Con Edison had a duty to provide electricity ...; and the service[s] supplied were necessary for public health and safety. Con Edison argues that ... it had no legal duty to provide electricity .... The court finds to the contrary. [Con Edison's CEO] testified that Con Edison is held responsible for providing electricity to New York; [a Con Edison Vice President] while refusing to admit of a legal duty, conceded that Con Edison was under a duty to make best efforts to provide power." United States v. Con Edison, 452 F. Supp. 638 (2d Cir. 1977)
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