Consolidated Edison of New York and the New York Public Service Commission reached a settlement that keeps distribution rates stable through 2016.

The NYPSC on Wednesday approved a plan negotiated over the past five months between its staff, the company and various stakeholders.

In January, the company, which serves New York City and Westchester County, had filed for a two-year rate increase that originally sought an additional $368 million in 2016. The increase would have increased customers’ delivery bills by 7.2%, the PSC said. Instead, electric customers will see rates frozen for a third consecutive year.

“The proposal adopted today by the commission keeps electric delivery charges for residential and small commercial customers unchanged from such charges paid in 2013 for yet another year,” commission Chairman Audrey Zibelman said in a statement.

PSC staff suggested using available customer credits, similar to the way a projected rate hike in 2014 was avoided. The 2014 rate decision provided for rate increase of $47.7 million in 2015. Customers were insulated from the increase due to a bill credit in the same amount.

The adopted joint proposal addresses Con Ed’s advanced metering infrastructure (AMI) proposal. The proposal includes small capital expenditures for AMI in 2016, but the commission also set up a collaborative process that would help Con Ed develop its AMI business plan. The results of the collaborative will be presented to the commission later this year.