Notwithstanding a massive steam explosion that horribly burned some New Yorkers and shut down a large section of midtown Manhattan for weeks, neighborhood blackouts that have left thousands in the dark and without air conditioning in the heat of summer, and occasional stray voltage leaks that have electrocuted people and pets, Mayor Bloomberg feels that Con Ed is doing a decent job and customers should be willing to pay extra each month to the utility. Aides insist that Bloomberg wasn't formally endorsing a $1.2 billion rate hike, which would boost customers' bills by an average of 17%. He was just pointing out that the company doesn't make that much money and that it needs additional funds to upgrade the city's energy infrastructure.
Any decision on a rate hike is left up to the State Public Service Commission (PSC). In September, 2007, the PSC rebuffed Con Ed's suggestion of a $1.2 billion hike and recommended that half that amount, or more than $600 million, would be reasonable. A formal recommendation is expected by the end of March.
