IRS Ruling OKs LIPA-PSEG Changeover

NEW YORK -

The IRS has approved New York State’s contract with PSEG, clearing its way to take over Long Island’s troubled electric grid. The New Jersey-based PSEG will replace the Long Island Power Authority’s brand starting Jan. 1. LIPA will become a financial holding company with a reduced staff. Gov. Andrew Cuomo said on Thursday that the IRS ruling “means better service and cost savings for ratepayers.”