Gothamist

A non-profit newsroom, powered by WNYC.

Gothamist

WNYC Listen Live

Donate

 

 

News

Banned from owning power plants, NY utilities now want to build solar and wind farms


By

Samuel King

Published Aug 17, 2026

Modified Aug 17, 2026


Share

FacebookTwitterRedditEmail


Never miss a story

 Email address

By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .

A 2017 photograph of an offshore wind farm operated by Equinor in England.

 

Equinor


By

Samuel King

Published Aug 17, 2026

Modified Aug 17, 2026


Share

FacebookTwitterRedditEmail


We rely on your support to make local news available to all

Make your contribution now and help Gothamist thrive in 2026. Donate today

Gothamist is funded by sponsors and member donations

State regulators are considering whether to allow utilities in New York to once again generate their own power.

The state forced utilities to sell off power plants in the 1990s to encourage more competition. Now, the companies say they want to generate wind and solar power to help meet the state’s climate goals and shore up the grid.

They claim that independent power companies have fallen short of meeting state targets, in part due to financial pressures and supply issues.

The Public Service Commission is weighing the change as it considers how to increase clean and renewable energy generation in New York. Utilities including Con Edison, National Grid and Avangrid-owned Rochester Gas and Electric and New York State Electric and Gas have filed comments supporting the change.

"To reliably and affordably meet New York's rapidly growing energy needs, utility-owned generation must be part of a practical, all-of-the-above energy solution," Con Edison spokesperson Elisabeth Ferrari said. "This type of reform would introduce greater oversight into the energy supply market, help address New York's growing energy needs, and create market conditions leading to more renewable energy and lower, fairer prices for customers.”

National Grid spokesperson Wendy Frigeria similarly said utility ownership could be “one tool among many” for meeting the state’s clean energy and reliability goals, while preserving a role for private developers.

But experts say it’s unclear whether the utilities can deliver.

“Obviously, the utilities are putting forward the claim that it'll lower costs, and the other side is saying that the utilities will just raise costs,” said Ari Peskoe, executive director of the Electricity Law Initiative at Harvard Law School. “A lot of this is about … who bears the risk from projects that don't turn out the way the developer intended. And when utilities build projects, they put the risk on the public.”

The Public Service Commission has not put a timetable on its decision, but some groups aren’t taking any chances.

The Independent Power Producers of New York have launched a six-figure campaign to fight the potential change. They acknowledged the challenges of the past few years, but said the utilities don’t hold the solution.

“Ultimately, it's bad for New Yorkers. It's just going to cause delays in projects that need to be built in the state,” said Gavin Donohue, the group’s president and CEO. “We have an economic renaissance underway in the state, and we need more investments in the state, not less.”

Utilities could use affiliated companies that are not subject to state regulations to generate power, Donohue said, but they often choose not to.

He also questioned whether utilities have the expertise to build wind and solar facilities. The utility companies say otherwise, claiming in state filings that they already have those resources in place and can add specialized expertise, as needed.

A spokesperson for Avangrid said meeting future energy needs will require major investments in new power generation, including utility-owned projects and greater market transparency.

New York is not alone in this discussion, Peskoe said. Pennsylvania, Ohio, New Jersey and Illinois are just some of the other states where utilities are making a similar push.

Rosemary Misdary contributed reporting to this story.

This story has been updated with new information.

Tagged

Health and Science

new york state


Samuel King

Samuel King is a Capitol News Bureau reporter for the New York Public News Network.

Read more

Gothamist is funded by sponsors and member donations


Gothamist is funded by sponsors and member donations


MORE news

Dump truck driver hits and kills cyclist on 34th Street in Midtown, NYPD says

It's the latest in a string of hit-and-run deaths in the city in recent months.

By

Liam Quigley

Published Sep 28, 2026 at 4:15 p.m. ET


New ingredient mandated for Latin American kitchen, restaurant plates in NJ

The Garden State now requires that corn masa dough and flour made and sold in the state be fortified with folic acid.

By

Arya Sundaram

News

New ingredient mandated for Latin American kitchen, restaurant plates in NJ

The Garden State now requires that corn masa dough and flour made and sold in the state be fortified with folic acid.

By

Arya Sundaram


A Brooklyn jail cell filled with smoke. The emergency button failed, a lawyer said.

By

Samantha Max

Crews launch tunnel machines to dig first new Hudson River rail tunnels since 1910

By

Michael Sol Warren

NYC nor’easter dries up after weather service reports minor flooding

By

Ramsey Khalifeh


Never miss a story

Catch up on the most important headlines with a roundup of essential NYC stories, delivered to your inbox daily.

Sign upEmail address

By submitting your information, you're agreeing to receive communications from New York Public Radio in accordance with our Terms .