ConEd Ups Substation Plan to 28, Backs $37.2B Grid Spend Through 2035
Consolidated Edison now expects to place 28 new substations in service by 2035 across its CECONY and Orange & Rockland territories, up from the 22 substations it projected earlier this year, Utility Dive reports.
Market Impact
The revised substation count came alongside ConEd’s second-quarter earnings update, in which the utility reported combined electricity revenue of $3.13 billion for CECONY and O&R, up from $2.78 billion in the same period last year. The 28 substations are part of a broader capital plan that includes about $37.2 billion in spending on the two utilities’ distribution networks, ConEd Chief Financial Officer Kirk Andrews said in a statement.
The buildout is driven by New York City’s electrification push, including Local Law 97, which requires owners of buildings over 25,000 square feet to cut greenhouse gas emissions 40% by 2030 and hit net zero by 2050. ConEd said new buildings in its CECONY territory are requesting up to 25% more electric load than older buildings. The utility also cited major upcoming demand sources: a new Major League Soccer stadium and entertainment complex in Queens, ongoing upgrades at John F. Kennedy International Airport, and a new mixed-use community, industrial park and all-electric food distribution center in the Hunts Point section of the Bronx. CECONY and O&R also support more than 570 heavy-duty electric trucks and buses under existing programs, according to the company.
CEO Tim Cawley said the investment is meant to strengthen reliability and prepare the network for extreme heat while supporting the state’s clean energy transition. Separately, ConEd flagged uncertainty around its natural gas utilities’ long-term role as New York works toward its climate targets, according to a filing with the SEC.
What It Means for Subcontractors
- Electrical contractors, E&I crews, and civil firms serving the New York City metro should expect a decade-long pipeline of substation construction work tied to the 28-site buildout through 2035, funded by the $37.2 billion CECONY/O&R capital plan.
- Firms with underground distribution experience have an edge: CECONY’s largely underground network already shows 8.5 times fewer customer interruptions than the national average, and ConEd is investing further in resilience upgrades that favor contractors familiar with underground installation and heat-hardening work.
- Subcontractors serving large commercial and industrial clients should watch for bid packages tied to named projects: the Queens MLS stadium and entertainment complex, JFK Airport’s ongoing upgrade program, and the Hunts Point mixed-use, industrial park and all-electric food distribution buildout in the Bronx.
- Companies with electric vehicle charging or fleet infrastructure capabilities should note ConEd’s existing support for more than 570 heavy-duty electric trucks and buses, a program likely to expand as commercial electrification accelerates.
- Gas-side contractors should factor in added uncertainty: ConEd told the SEC the long-term future of its gas utilities depends on state and city climate policy decisions, a signal that gas infrastructure work may face longer-term headwinds compared to the electric side’s expanding capital plan.
