Profile: Consolidated Edison Inc (ED.N)
7 Mar 2014
Consolidated Edison, Inc. (Con Edison), incorporated in 1997, is a holding company, which owns Consolidated Edison Company of New York, Inc. (CECONY), which delivers electricity, natural gas and steam to customers in New York City and Westchester County; Orange and Rockland Utilities, Inc. (O&R) (together with CECONY referred to as the Utilities), which delivers electricity and natural gas to customers primarily located in southeastern New York, and northern New Jersey and northeastern Pennsylvania, and competitive energy businesses, which provide retail and wholesale electricity supply and energy services. CECONY’s business operations are its regulated electric, gas and steam delivery businesses. O&R’s business operations are its regulated electric and gas delivery businesses. The competitive energy businesses sell electricity to wholesale and retail customers, provide energy-related services, and participate in energy infrastructure projects. In July 2012, Consolidated Edison Development (CED), a wholly owned subsidiary of Consolidated Edison, Inc., and GCL Solar Energy Inc. (GCL Solar), a wholly owned subsidiary of GCL-Poly Energy Holdings Limited, acquired two solar photovoltaic projects totaling 92 megawatts MD DC (70 megawatts AC) from GCL Solar.
CECONY provides electric service to approximately 3.3 million customers in all of New York City (except part of Queens) and Westchester County, an approximately 660 square mile service area. CECONY delivers gas to approximately 1.1 million customers in Manhattan, the Bronx and parts of Queens and Westchester County. CECONY operates the steam distribution system in the United States by producing and delivering more than 22,000 million pounds of steam to approximately 1,735 customers in parts of Manhattan.
O&R and its utility subsidiaries, Rockland Electric Company (RECO) and Pike County Light & Power Company (Pike) provide electric service to approximately 0.3 million customers in southeastern New York and in adjacent areas of northern New Jersey and northeastern Pennsylvania, an approximately 1,350 square mile service area. O&R delivers gas to over 0.1 million customers in southeastern New York and adjacent areas of northeastern Pennsylvania. Con Edison pursues competitive energy through three wholly owned subsidiaries: Consolidated Edison Solutions, Inc. (Con Edison Solutions), Consolidated Edison Energy, Inc. (Con Edison Energy) and Consolidated Edison Development, Inc. (Con Edison Development). These businesses include the sales and related hedging of electricity to wholesale and retail customers, sales of energy-related products and services, and participation in energy infrastructure projects.
CECONY is a subsidiary of Con Edison. Its business segments are its regulated electric, gas and steam businesses. As of December 31, 2011, CECONY owned 62 area distribution substations and distribution facilities located throughout New York City and Westchester County. As of December 31, 2011, the Company’s distribution system had a transformer capacity of 28,841 megavolt amperes, with 36,818 miles of overhead distribution lines and 96,661 miles of underground distribution lines. The underground distribution lines represent the underground electric delivery system in the United States.
The company’s transmission facilities are located in New York City and Westchester, Orange, Rockland, Putnam and Dutchess counties in New York State. As of December 31, 2011, CECONY owned or jointly owned 438 miles of overhead circuits operating at 138, 230, 345 and 500 kilo-volts and 742 miles of underground circuits operating at 69, 138 and 345 kilo-volts. The company’s 39 transmission substations and 62 area stations are supplied by circuits operated at 69 kilo-volts and above. During 2011, the Company completed and placed in service a nine and half mile transmission line connecting its Sprainbrook substation in Westchester County with the Academy substation in upper Manhattan. CECONY’s transmission facilities interconnect with those of National Grid, Central Hudson Gas & Electric Corporation, O&R, New York State Electric & Gas, Connecticut Light & Power Company, Long Island Power Authority, New York Power Authority (NYPA) and Public Service Electric and Gas Company.
CECONY’s electric generating facilities consist of plants located in Manhattan with an aggregate capacity of 709 mega-watts. CECONY delivers electricity to its service customers who purchase electricity from the Company. The company also delivers electricity to its customers who purchase electricity from other suppliers through the Company’s retail access plan. In addition, the Company delivers electricity to state and municipal customers of NYPA and economic development customers of municipal electric agencies. The company charges customers in its service area for the delivery of electricity. The company recovers, on a current basis, the cost of the electricity that it buys and then sells to its full-service customers.
Natural gas is delivered by pipeline to CECONY at various points in its service territory and is distributed to customers by the Company through an estimated 4,359 miles of mains and 387,881 service lines. The company owns a natural gas liquefaction facility and storage tank at its Astoria property in Queens, New York. The plant can store approximately 1,000 thousand dekatherms of which a maximum of about 250 thousand dekatherms can be withdrawn per day. The company has about 1,226 thousand dekatherms of additional natural gas storage capacity at a field in upstate New York, owned and operated by Honeoye Storage Corporation, a corporation 28.8% owned by CECONY and 71.2% owned by Con Edison Development. The company recovers the cost of the gas that it buys and then sells to its firm sales customers. CECONY generates steam at one steam-electric generating station and five steam-only generating stations and distributes steam to its customers through approximately 105 miles of transmission, distribution, and service piping.
O&R, RECO and Pike, own, in whole or in part, transmission and distribution facilities, which include 558 circuit miles of transmission lines, 14 transmission substations, 62 distribution substations, 85,017 in-service line transformers, 3,779 pole miles of overhead distribution lines and 1,772 miles of underground distribution lines. O&R’s transmission system is part of the New York Independent System Operator (NYISO) system except that portions of RECO’s system are located within the transmission area controlled by PJM Interconnection LLC (PJM).
O&R recovers, on a current basis, the cost of the electricity, which it buys and then sells to its full-service customers. O&R and Pike own their gas distribution systems, which include 1,770 miles of mains. In addition, O&R owns a gas transmission system, which includes 78 miles of mains. O&R recovers the cost of the gas, which it buys and then sells to its firm sales customers.
Competitive Energy Businesses
These businesses include the sales and related hedging of electricity to wholesale and retail customers, sales of energy-related products and services, and participation in energy infrastructure projects. Con Edison Solutions sells electricity to industrial, commercial and governmental customers in the northeastern United States and Texas. It also sells electricity to residential and commercial customers in the northeastern United States. Con Edison Solutions sells electricity to customers who are provided delivery service by the Utilities. It also provides energy efficiency services, procurement and management services to companies and governmental entities throughout the United States. The company sells to two retail aggregation entities in Massachusetts and to individual residential and commercial customers in the north-eastern United States. As of December 31, 2011, the Company sold electricity in the service territories of 44 utilities in the states of New York, Massachusetts, Connecticut, New Hampshire, Maine, New Jersey, Delaware, Maryland, Illinois, Pennsylvania and Texas, as well as the District of Columbia. During 2011, it sold approximately 288,000 megawatt hours of green power, with 24,000 customers.
Con Edison Solutions provides energy-efficiency services to government and commercial customers. The services include the design and installation of lighting retrofits, heating, ventilating and air conditioning equipment and other energy saving technologies. Con Edison Energy manages the output and fuel requirements for over 7,300 mega-watts of third-party generating plants in the northeastern United States. The company also provides wholesale hedging and risk management services to Con Edison Solutions and Con Edison Development. In addition, the Company sells electricity to utilities in the northeastern United States, under indexed price contracts, which they use to supply their full-service customers.
Con Edison Development participates in energy infrastructure projects. The company’s investments include ownership interests in solar energy projects in New Jersey and Massachusetts with an aggregate capacity of 28 mega-watts, a gas storage corporation, an investment in an affordable housing partnership and leasehold interests in a gas-fired plant and a gas distribution network in the Netherlands. The company has solar energy projects under construction with an aggregate capacity of 14 mega-watts.
Consolidated Edison Inc
4 Irving Place
NEW YORK NY 10003
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