Long Island Power Authority

What Long Island Power Authority does

Long Island Power Authority (LIPA) is a not-for-profit public utility and political subdivision of New York State, established in 1986 by the Long Island Power Authority Act. It is the country's third-largest public-power firm and operates the electricity transmission and distribution system serving approximately 1.2 million customers across Long Island and the Rockaways (excluding the Villages of Rockville Centre, Freeport, and Greenport). LIPA became the provider of electric service in 1998 after acquiring Long Island Lighting Company (LILCO) through a merger.

LIPA's business model is fundamentally regulated and cost-recovery based rather than profit-driven. It owns the T&D infrastructure outright and contracts with PSEG Long Island (a subsidiary of Public Service Enterprise Group) for management, customer service, and field operations under a contract extended through December 31, 2030. Revenue is generated through regulated electricity rates, delivery charges, and time-of-day tariff structures approved by state regulators, with $9.4 billion in cumulative infrastructure investment since 2010. LIPA also leverages its not-for-profit status to access tax-exempt financing and federal grants (including $2.3 billion from FEMA for storm hardening and recovery), passing cost savings to customers (over $500 million in savings over the past decade).

The technology platform is centered on physical T&D assets enhanced with smart grid features, including 1,400+ miles of storm-hardened distribution circuits (since 2014) and 10,000 automatic branch line reclosers, delivering a 45% reduction in outage-causing damage and 38% reduction in customers experiencing outages. LIPA is also building a clean energy portfolio anchored by the 132-MW South Fork Wind farm (the first utility-scale offshore wind in U.S. federal waters, commissioned July 2024 under a 20-year PPA at 14.1 cents/kWh), a Suffolk County industrial-scale solar evaluation partnership, and a $4 million hydrogen linear generator pilot at Northport Power Station. The utility is governed by a nine-member Board of Trustees and holds A2/A/A+ credit ratings from Moody's, S&P, and Fitch, with a strategic policy target of zero-carbon grid by 2040 and AA-category credit ratings by 2030.

Name

Long Island Power Authority

Legal name

Long Island Power Authority

Website

https://lipower.org

Company type

Private

Founded year

1986

Operating status

Operating

Headcount range

51–100 employees

Short description

Long Island Power Authority is a not-for-profit New York State public utility that owns and operates the electricity transmission and distribution system serving 1.2 million customers across Long Island and the Rockaways, contracting PSEG Long Island for operations.

Ownership category

akta.pro rank

Product category

Electric Utility Services

NAICS

Electric Power Distribution (221122), Electric Power Generation, Transmission and Distribution (2211)

SIC

Electric Services (4911)

akta.pro primary industry

Electrical Systems O&M (Substations, Transformers, Switchgear, Protection & Controls) (EUAMAGAH)

akta.pro secondary industries

Operations Control & Dispatch (Remote Operations Centers, Curtailment, Compliance) (EUAMAGAK), Wind Farm Ownership & Operations (IPP/Utility-Owned Asset Operations) (EUACAFAF), Pole, Tower & Structure Installation / Replacement (Distribution) (EUAEACAE)

Keywords

• Public electric utility
• Electricity transmission distribution
• Offshore wind power
• Storm hardening infrastructure
• Clean energy programs

Headquarters

HQ city

Uniondale

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Infrastructure, Personnel, Technology or R&D, Others

Revenue model

1. Electricity Delivery and Service: As a not-for-profit utility, LIPA generates revenue through regulated electricity rates and delivery charges to its 1.2 million residential and commercial customers across Long Island and the Rockaways. Revenue is used to cover operating costs, debt service, and capital investments in infrastructure.

Pricing tiers

Go-to-market motion1 record

Distribution channels2 records

Marketing channels6 records

Core offering

Long Island Power Authority owns the electricity transmission and distribution system serving approximately 1.2 million residential and commercial customers across Long Island and the Rockaways, delivering clean, reliable, and affordable electric power. LIPA also procures power supply on a wholesale basis — including the 132-MW South Fork Wind offshore wind farm under a 20-year PPA — and operates the Jones Beach Energy & Nature Center as a net-zero educational facility. Day-to-day grid operations and customer service are delivered under contract by PSEG Long Island through 2030.

Product overview

Long Island Power Authority operates as a not-for-profit public utility providing electricity services to 1.2 million customers across Long Island and the Rockaways. The utility offers core electricity transmission and distribution services, complemented by clean energy initiatives including the South Fork Wind Farm (132-MW offshore wind), time-of-day rate programs, and industrial solar analysis partnerships. LIPA also operates the Jones Beach Energy & Nature Center as an educational facility for public engagement on clean energy topics. The utility is governed by a nine-member Board of Trustees and contracts with PSEG Long Island for operational management under a contract extended through December 2030.

Differentiator

Problem solved

Functional benefit

Products and services

• Electricity Transmission and Distribution Services Regulated electricity transmission and distribution service delivering clean, reliable, and affordable power to approximately 1.2 million residential and commercial customers across Long Island and the Rockaways, with day-to-day operations managed by PSEG Long Island under contract through December 31, 2030.
• South Fork Wind Farm 132-MW offshore wind farm located 35 miles east of Montauk Point, New York, co-developed by Ørsted and Eversource, supplying renewable power to Long Island ratepayers under a 20-year power purchase agreement with LIPA.

Quantifiable outcome

• 45% reduction in outage-causing damage in storm-hardened sections (Q1 2025 - Q1 2026)
• +3 more outcomes

Named customers2 records

Segments3 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Ten partnerships are on record, tiered flagship and core.

• National Grid VenturesflagshipStrategic or Co-development Partner · 6 May 2026National Grid Ventures is collaborating with Stony Brook University, LIPA, Mainspring Energy, and NYSERDA on a $4 million hydrogen generator project. The project will independently evaluate a 100-percent hydrogen-powered linear generator at the Northport Power Station, representing the first such test in New York State.
• Stony Brook UniversityflagshipStrategic or Co-development Partner · 6 May 2026Stony Brook University researchers received over $1.25 million of the $4 million hydrogen generator project funding. The university is leading independent evaluation of the 100-percent hydrogen-powered linear generator for New York's clean energy transition.
• NYSERDA (New York State Energy Research and Development Authority)flagshipStrategic or Co-development Partner · 6 May 2026NYSERDA is part of the $4 million hydrogen generator project collaboration to evaluate 100-percent hydrogen-powered linear generator technology for New York's clean energy transition.
• Mainspring EnergyflagshipTechnology or Integration · 6 May 2026Mainspring Energy provides the linear generator technology being evaluated in the hydrogen project. Equipment deployment scheduled for Fall 2026 with full pilot launch expected within 12 months.
• Suffolk CountyflagshipStrategic or Co-development Partner · 14 January 2026LIPA and Suffolk County launched a partnership to evaluate large-scale solar energy opportunities across major industrial areas including Long Island Innovation Park at Hauppauge, Heartland Business Center in Brentwood, and Wyandanch. The initiative analyzes rooftop solar potential, grid capacity, and business models including behind-the-meter and front-of-meter systems.
• PSEG Long Island (Public Service Enterprise Group)coreStrategic or Co-development Partner · 30 December 2025PSEG Long Island operates the Long Island Power Authority's transmission and distribution system under contract. New York State approved a five-year contract extension running through December 31, 2030. Scott Jennings serves as president and COO effective January 5, 2026. The contract covers management of the electric grid serving approximately 1.2 million customers on Long Island and in the Rockaways.
• ØrstedflagshipStrategic or Co-development Partner · 1 July 2024Ørsted developed the 132-MW South Fork Wind farm with Eversource. The project became the first utility-scale offshore wind in U.S. federal waters, powers approximately 70,000 Long Island homes under a 20-year PPA with LIPA.
• EversourceflagshipStrategic or Co-development Partner · 1 July 2024Eversource co-developed the South Fork Wind farm with Ørsted. The 132-MW offshore wind facility achieved first utility-scale offshore wind in U.S. federal waters, with 56% capacity factor in November 2024.
• United Way of Long IslandcoreStrategic or Co-development PartnerLIPA partners with United Way of Long Island to administer a scholarship program encouraging next-generation utility workers. The program covers full tuition, fees, books, transportation, and technology equipment for students from disadvantaged communities studying electrical, engineering, and green energy fields at Nassau or Suffolk County Community Colleges.
• New York State Parks, Recreation and Historic PreservationflagshipStrategic or Co-development PartnerLIPA operates the Jones Beach Energy & Nature Center in partnership with New York State Parks. The 12,000 square-foot net-zero energy facility showcases clean energy and environmental stewardship through hands-on exhibits and educational programming.

Scale indicators13 records

Recent moves6 records

Expansion highlights6 records

Broad incumbents

• Los Angeles Department of Water and Power (LADWP): LADWP is the largest municipal utility in the U.S., serving 1.5M+ customers in Los Angeles. Comparable in scale, public-power model, and integrated clean energy program commitments to LIPA's customer base and zero-carbon mandate.
• Tennessee Valley Authority (TVA): TVA is the largest government-owned utility in the U.S., providing generation and transmission across multiple states. Comparable as a federal/state public power utility with similar governance, financing, and clean energy obligations, though TVA is integrated and generation-heavy.

Regional players

• National Grid (New York): National Grid is the primary T&D operator for Upstate New York and Long Island's natural gas distribution, and a partner on LIPA's hydrogen pilot project. Comparable as a regional NY utility serving adjacent customer bases with similar clean energy pilots.
• Central Hudson Gas & Electric: Central Hudson is a Mid-Hudson Valley investor-owned utility providing electric distribution to a comparable scale of residential and commercial customers in New York. Comparable as a regional T&D operator navigating New York clean energy and storm hardening requirements.
• Consolidated Edison (Con Edison): Con Edison is a large investor-owned New York utility providing electric T&D across NYC and Westchester, serving an overlapping customer base and competing indirectly for reputation in reliability and rates. Comparable as a regional NY electric T&D operator, but for-profit.

Direct peers

• PSEG Long Island / Public Service Enterprise Group (PSEG): PSEG Long Island is the contracted operator of LIPA's T&D system through December 2030. PSEG is the parent that runs LIPA's day-to-day operations, making it the most operationally intertwined peer for performance benchmarking.
• Sacramento Municipal Utility District (SMUD): SMUD is one of the largest community-owned, not-for-profit electric utilities in the U.S. Both operate as public power providers with elected/appointed governance, tax-exempt financing, and a similar mix of reliability and clean-energy priorities.
• New York Power Authority (NYPA): The largest state public power organization in the U.S., NYPA is another New York State public power authority providing electricity generation, transmission, and similar public-purpose programs. Directly comparable as a fellow NY state political subdivision operating in the same regulatory framework.

Emerging players

• Ørsted: Ørsted developed and operates the 132-MW South Fork Wind farm under a 20-year PPA with LIPA. Comparable as the offshore wind counterparty that is central to LIPA's clean energy strategy and zero-carbon-by-2040 mandate.

Others

• Long Island Lighting Company (LILCO): LILCO was the predecessor investor-owned utility absorbed into LIPA via the 1998 merger. Included as historical context for service territory and infrastructure continuity rather than as an active comparable.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks7 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/long-island-power-authority

Revenue estimate

Valuation estimate

Number of profiles

Profiles9 records

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Long Island Power Authority