Proposal Would Give PSEG Near Control of LIPA

NEW YORK (AP) -

New York Gov. Andrew Cuomo is considering a plan that would give a New Jersey company nearly complete control of the Long Island electric system.

Under the proposed expansion of its contract, PSEG would also control capital and operating budgets, storm preparedness and response, call centers, computer systems and customer service.

Cuomo secretary Larry Schwartz said giving more operating control to PSEG would freeze rates and improve customer service, storm preparedness and response. LIPA would still own the electric system, making it eligible for federal reimbursement for storm costs.