New York regulators approved a three-year rate plan for Consolidated Edison Inc., limiting the utility's revenue growth to 2.8% annually. The decision, finalized Thursday, caps customer rate increases and aims to address affordability concerns for households and businesses across its service territory.

This settlement reflects ongoing pressure on state officials to balance utility investment needs with consumer costs. Con Ed, which serves New York City and Westchester County, had sought higher returns to fund grid upgrades and clean energy transition projects. The compromise rate is lower than initial proposals.

Investors will watch how the reduced revenue stream impacts Con Ed's capital expenditure plans and dividend stability. The utility must now navigate tighter financial constraints while meeting state-mandated reliability and decarbonization targets. The agreement sets a precedent for upcoming rate cases involving other New York utilities.