PSEG managers' remarks deserve scrutiny, investigation

PSEG Long Island supervisors, at a March conference in Miami, were caught on tape boasting about getting customers to pay late bills by turning off their electricity. “People think much better in the dark,” one PSEG supervisor said, according to a recording reviewed by Newsday’s news division and detailed in a story this week.

That same supervisor said bill collectors can use different strategies to get people to pay based on where they live. “So if I want to treat the Rockaways different, and I want to get out in the Hamptons and Montauk, I can do that.”

A PSEG spokeswoman said in a written statement that the utility “recognizes the hardships many of our customers face and takes pride in the many programs available to help,” and that the comments don’t “align with our values and will be thoroughly investigated.”

That’s not enough.

Gov. Kathy Hochul’s directing the state Department of Public Service to conduct its own thorough investigation was needed. DPS’ findings must be presented to the legislature for review.

Late bill payments, and people who either knowingly or unwittingly cheat the system by claiming exemptions meant to protect senior citizens or customers with disabilities, are significant problems. The utility is eyeing about $1.5 million in uncollected bills it can recoup from estates of the deceased, according to another staffer on the recording.

Newsday previously reported that the number of Long Island customers more than 60 days behind in paying their electric bills had fallen to 83,524 in March from more than 111,000 in March 2025. Successfully collecting late bills, when done legally and ethically, helps keep electric rates from rising even more for ratepayers who would otherwise have to collectively shoulder that debt.

But our residents aren’t statistics that overzealous bill collectors can run up to earn quota-driven perks. If PSEG employees on the tape were just being snarky, a reprimand and follow-up supervision would be sufficient, but these remarks were made at an industry conference to share so-called best practices on “payment compliance, and revenue recovery.” If their language is indicative of a callous atmosphere where collectors are high-fiving each other as they surpass debt collection metrics, that’s worth investigating.

PSEG recently signed a five-year contract extension with the Long Island Power Authority to manage the Island’s energy grid. That renewal came with concessions, including a termination clause if “allegations of criminality, fraud or abuse” were substantiated. When the deal was announced in December, a spokesperson for Hochul said LIPA was expected to “follow all legal and ethical standards” and refer any violations to “the appropriate law enforcement authorities.”

The state investigation must apply that standard to the spoken words of PSEG managers.

Being late on a bill isn’t an excuse to not pay, nor should it be an opportunity for bill collectors to employ cruel tactics. There are people who abuse the system, and bill collectors who abuse the rules. That’s why the state must step in to protect ratepayers from ruthless bill collectors and scofflaws alike.