New York Taking Action on Power Issues

Nov. 6, 2013

New York’s electricity grid should be the envy of the nation, but right now in many respects it is a traffic nightmare comparable to the Cross Bronx Expressway during rush hour.

Matthew Cordaro, PhD

New York’s electricity grid should be the envy of the nation, but right now in many respects it is a traffic nightmare comparable to the Cross Bronx Expressway during rush hour.

Surplus power produced in upstate and Western New York is unable to reach densely populated parts of downstate New York because of traffic bottlenecks. The losers, unfortunately, are homeowners and businesses who end up paying more for electricity than is necessary because of congestion few can comprehend.

There is, however, good news on the horizon. In October the New York State Public Service Commission green-lighted significant improvements to the state’s electrical infrastructure when it approved more than $500 million worth of new power lines and transmission upgrades.

Historically, this move is long overdue. The Ramapo line just approved was originally proposed for expansion more than 30 years ago. While some say things can move slowly in New York, the important thing is that this project is moving ahead now.

And – if you’re in favor of markets and efficiencies – then this project is ideal.

The development of new infrastructure will send clear price signals to energy investors that New York’s markets can be price competitive and will benefit ratepayers across the state with improved electrical reliability.

The PSC estimates that the new transmissions lines would create $260 million in economic benefits to consumers over the course of 15 years and an astonishing $640 million over 40 years.

Another development is the creation of a new power capacity zone in New York, as ordered by the Federal Energy Regulatory Commission. The zone will incentivize owners of idle and under-utilized plants to ramp up production. This could have a positive economic impact and create a more reliable electric system, while countering the export of jobs and dollars from New York.

Hopefully these developments will move New York forward in terms of electric supply infrastructure and produce significant benefits for consumers and the state economy.

About the Author

Matthew Cordaro, PhD | Trustee at Long Island Power Authority

Dr. Matthew C. Cordaro, whose career spans many years as a senior executive in the utility industry, an educator, scientist and researcher in the fields of business, energy and environment, most recently was the Dean of the Townsend School of Business at Dowling College. Before moving over to Dowling he was at the C.W. Post Campus of Long Island University in the College of Management where over his tenure he served in a number of high level administrative, academic and research positions. Dr. Cordaro has served as the Chairman of the Suffolk County Legislature’s Utility Oversight Committee and recently was appointed by the New York State Assembly Leader to the Long Island Power Authority’s Board of Trustees.

Just prior to joining Long Island University Dr. Cordaro served as the first President and Chief Executive Officer of the Midwest Independent System Operator (Midwest ISO) based in Indianapolis, Indiana, the largest independent transmission system operator in the nation. Today the Midwest ISO is responsible for electric reliability and markets covering 57,000 miles of transmission lines and 150,000 Megawatts of electric generation and clears over 23 billion dollars in energy transactions, over an area exceeding 200,000 square miles, and extending into 13 states and one province of Canada.

Previously, Dr. Cordaro was employed as President and Chief Executive Officer of Nashville Electric Service, one of the ten largest public electric utilities in the nation. He also previously served as President of Long Lake Cogeneration Corporation and as Senior Vice President of Long Lake Energy Corporation, a major alternative energy producer. For 22 years he was with Long Island Lighting Company, a major investor-owned utility, finally holding the position of Senior Vice President of Operations, Engineering, and Construction.

Dr. Cordaro is currently a member of the New York Affordable Reliable Electricity Alliance’s advisory board. He is a past member of the board of directors of the Electric Power Research Institute, the American Public Power Association, and the Nature Conservancy of Tennessee, and has served on the editorial advisory boards of World Transmission and Distribution magazine and the Long Island Business News. Dr. Cordaro has also testified many times before congressional and state legislative committees and is frequently sought by the media for expert commentary.

Dr. Cordaro holds a Ph.D. in Physics and Engineering from Cooper Union, an M.E. in Nuclear Engineering from New York University, a B.S. in Engineering Science from C. W. Post College and completed the Executive Management Program at the University of Michigan. He has also been an Atomic Energy Commission Fellow, a Guest Research Associate at the Brookhaven National Laboratory, and has served as an adjunct faculty member at Polytechnic Institute of New York and C. W. Post College. Dr. Cordaro has also authored many publications on education, business, energy, environment and utility issues.