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New York PSC approves Propel NY Energy transmission settlement

New York PSC approves Propel NY Energy transmission settlement

Built World

90-mile underground line would link Long Island to the state grid by 2030

Overview

Updated Oct 6

New York regulators approved the Propel NY Energy settlement on September 17, a major step for a 90-mile underground transmission line. The Public Service Commission (PSC) said the line is needed as old power plants retire, despite arguments that canceled offshore wind projects removed the need.

The $3.26 billion project, a joint effort by New York Transco and the New York Power Authority, still needs several approvals. The PSC must sign off on environmental management and construction plans, and the Army Corps of Engineers must approve the underwater segment. North Shore communities have filed a motion to dismiss; developers say some construction could begin later this year, with full construction in mid-2027 and completion by 2030.

Why it matters

If this line isn't built by 2030, New York City and Long Island face growing blackout risk as old plants retire and demand climbs.

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Key Indicators

90 miles
New underground transmission lines
About 78.7 miles at 345 kV and 10.9 miles at 138 kV.
$3.26B
Project cost
Total estimated cost of the Propel NY Energy Project.
9
Substations connected
Nine existing or new substations across five counties.
May 2030
Target in-service date
NYISO directed the project to be in service by May 2030.

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People Involved

Organizations Involved

Timeline

July 2026 September 2026

2 events Latest: September 21st, 2026 · 2 months ago
  1. Propel NY finalizes route, hires local contractors

    Project Development

    Developers finalized the project route and selected three regional companies to assist with pre-construction work. The first Environmental Management and Construction Plan was filed June 22, with more to follow.

Scenarios

1

PSC approves first EM&CP phases, construction starts

Likely Resolves by End of 2026

Discussed by: PSC staff, New York Transco, NYPA

After the October 1 comment deadline, the PSC could approve the first two EM&CP phases and deny the motion to dismiss. Developers say some construction could begin later this year, with full construction in mid-2027.

2

Motion to dismiss delays EM&CP approval

Possible Resolves by End of 2026

Discussed by: Village of Sea Cliff, Protect Our Coast LINY, school districts

The PSC could defer EM&CP approval while it considers the motion to dismiss and the Khazanovich Declaration. That would push construction into 2027 and could threaten the May 2030 in-service date.

Sources

(11)