Who Operates NYSEG and RG&E? Avangrid's Grid Modernization Pays Off with Record Reliability

Understanding the Ownership Structure

New York State Electric & Gas (NYSEG) and Rochester Gas and Electric (RG&E) are both subsidiaries of Avangrid, Inc. (NYSE: AGR), a major sustainable energy corporation and part of the Iberdrola Group. Through these utilities, Avangrid serves approximately 1.9 million customers across Upstate New York and the region, operating as the primary energy provider for millions of households and businesses.

Five-Year Performance Peak Achieved

The two utilities reached their highest operational standards in five years during 2023, marking a significant milestone in grid performance. Both companies demonstrated consecutive gains in outage frequency and duration metrics—critical indicators used by the New York Public Service Commission to measure utility performance. These improvements reflect years of strategic infrastructure spending and grid modernization efforts.

Substantial Investment Roadmap

Avangrid has committed over $320 million in planned infrastructure investments across New York State to sustain and enhance reliability trends. The company’s latest rate case approval unlocked $5.2 billion in total funding, positioning the utilities to address aging equipment and growing electricity demand across the region.

Specific 2024 Projects and Spending Priorities

The modernization strategy includes multiple focused initiatives:

• Resiliency Projects ($38 million): Circuit rebuilding in six communities including Brewster, Elmira, Lancaster, Liberty, Oneonta, and Rochester Central
• Automation Expansion ($35 million): Addition of 294 remote-control locations for equipment management through the Energy Control Center
• Infrastructure Replacement ($250+ million): Upgrading aging substations and overhead transmission lines statewide
• Pole Replacement Program: 45,000 aging electrical poles scheduled for replacement across the service territory

Technical Performance Metrics

The New York Public Service Commission mandates that utilities meet targets for System Average Interruption Frequency Index (SAIFI) and Customer Average Interruption Duration Index (CAIDI). Both NYSEG and RG&E achieved significant year-over-year improvements in 2023, with continued momentum expected as infrastructure investments accelerate through 2024 and beyond.

Why This Matters for Customers

As extreme weather events increase in frequency and intensity, Avangrid’s strategy emphasizes grid resilience alongside traditional reliability improvements. The integration of smart meter technology and non-traditional infrastructure solutions (non-pipes, non-wires alternatives) helps customers better manage energy consumption while reducing outage incidents. Pedro Azagra, CEO of Avangrid, emphasized that continued investment directly translates to shorter outage windows and enhanced service stability for the region’s expanding energy needs.