By Michael Kuser
Consolidated Edison on Thursday reported first-quarter revenues up broadly across its operations, with results reflecting regulatory charges, changes in rate plans and weather’s impact on steam revenues.
The company’s $3.23 billion in revenue for the period represented a 2.3% increase over the $3.16 billion recorded in the first quarter of 2016.
According to its earnings presentation, Con Ed’s electric distribution business earned $1.93 billion in the quarter, up 1.2% from $1.9 billion in the same period a year ago. The natural gas segment’s earnings jumped 27.5% to $862 million, and steam revenues — the unit mostly serving Manhattan skyscrapers — climbed 15.5% to $298 million.
Related Developments
The New York Public Service Commission in March issued an order that changes the way distributed energy resources are compensated, which affects the holding company’s two regulated utility subsidiaries, Consolidated Edison Company of New York (CECONY) and Orange & Rockland Utilities. (See NYPSC Adopts ‘Value Stack’ Rate Structure for DER.)
According to the company’s most recent filing with the U.S. Securities and Exchange Commission, to provide a gradual transition from net energy metering, the PSC allowed “all existing resources to keep their current rate treatment and will delay making significant changes to policies affecting new residential and small commercial rooftop solar until 2020. Larger installations, including new commercial and industrial projects and new community solar projects, will be paid for the value of their exports to the electricity distribution system.”
The New Jersey Board of Public Utilities in February approved a stipulation of settlement for a Rockland Electric rate plan commencing in March 2017, which provides for “an electric rate increase of $1.7 million, reflecting a return on common equity of 9.6% and a common equity ratio of 49.7%.”
Con Ed reported its Clean Energy Businesses subsidiary had 1,133 MW of renewable energy projects in service and 398 MW under construction at the end of the quarter. Regarding Con Ed Transmission, FERC in March issued a revised schedule for the Mountain Valley Pipeline, setting June 23, 2017, for completion of the environmental impact statement and Sept. 21 as the 90-day federal authorization decision deadline.