Relates to the general powers of the public service commission in respect to gas and electric corporations

14 Co-sponsors

• Rory Lancman
• Amy Paulin
• Catherine Nolan
• Brian Kavanagh
• Joan Millman
• William Colton
• Ellen C. Jaffee
• Linda Rosenthal
• Ginny Fields
• José Peralta
• Hakeem Jeffries
• Alan Maisel
• Annette Robinson
• Vivian Cook

9 Multi-sponsors

• James F. Brennan
• Sandy Galef
• Richard Gottfried
• Janele Hyer-Spencer
• David Koon
• Joseph Lentol
• Margaret Markey
• Jose Rivera
• Matthew Titone

BILL NUMBER:A1566A

Title of bill

An act to amend the public service law, in relation to the general powers of the commission in respect to gas and electricity

Purpose or general idea of bill

This bill would change the standard of care for electric and gas companies from "gross negligence" to "negli- gence."

Summary of specific provisions

Section 1. Section 66 of the public service law is amended by adding two new subdivisions 11-a and 11-b

11-a. Gas and electric utility companies would be required by the PSC to amend tariff schedules to eliminate provisions that:

a. Attempt to relieve the corporations from liability due to negligence/misconduct by employees;

b. Limit the liability for damages to property resulting from negli- gence;

c. Limit the liability for damages related to the supply of gas/electricity.

11-b. Would give the PSC power in all parts of the state, either as a commission or through its members, or through an officer or employee specifically authorized to consider regulatory conduct of every gas corporation, electric corporation and gas and electric corporations, where necessary, to:

(a) investigate that a regulatory failure occurred despite the exercise of ordinary business care and prudence and the conduct a hearing or proceeding to subpoena witnesses, take testimony and administer oaths to witnesses in any proceeding or examination instituted before it

(b) allow such commission to award damages resulting from such failure to persons thereby affected in the community

Justification

Beginning on July 17, 2006, Con Edison's electric system experienced problems that resulted in the failure of some distribution feeders that caused numerous customer outages. A major portion took place in the Long Island City electric network, which serves the north- western portion of Queens leaving thousands of customers without power.

Current law states that Con Ed's customers only receive compensation for actions that are "grossly negligent." I will be introducing legislation to allow for compensation for acts that are "negligent," the standard that applies to most other businesses. If this had been the law when the Queens outage occurred, it would have enabled customers to receive substantial compensation.

Prior legislative history

A10690 (2007-2008)

Fiscal impact

None

Effective date

This act shall take effect on the one hundred eightieth day after it shall have become law; provided, however, that effective immediately, the addition, amendment and/or repeal of any rule or regu- lation necessary for the implementation of this act on its effective date are authorized and directed to be made and completed by the public service commission on or before such effective date.