The current uproar over the involvement of Governor Christie’s team in the closing of the Washington Bridge raises an interesting political irony. Governor Cuomo crafted a deal which placed control of Long Island’s electricity system in PSEG LI, a newly created New York limited liability company, whose members have still not been publicly disclosed.
We do know however that the PSEG subsidiary is a subsidiary of a New Jersey subsidiary, which in turn is a subsidiary of the holding company. PSEGI, which is the private investor owned utility in New Jersey. The latter is subject to the supervision of the New Jersey regulatory authorities, whose members are appointed by Governor Christie. He can exercise influence, if not control, over the policies and operations of that holding company, and by extension over the PSEG subsidiary which is making the energy decisions of the LIPA service area. We have already witnessed how Governor Cuomo was able to overhaul LIPA, and influence the selection of PSEG LI. Is it reasonable to assume that Governor Christie has similar leverage?
Given what we now know about Governor Christie’s governing style, it would be interesting to ask Governor Cuomo, if he has taken any measures to insure that the PSEG subsidiary’s performance of its obligations is appropriately monitored, and safeguards put in place to prevent abuse, stemming from Governor Christie’s office. detrimental to Long Island’s rate payers and tax payers.
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