CITIZEN POWER ALLIANCE

The state Public Service Commission has hired a Pennsylvania consulting firm to conduct a management audit of Iberdrola SA and its New York affiliates, including Rochester Gas & Electric Corp. and New York State Electric & Gas Corp.

The audit by Liberty Consulting Group of Quentin, Pa., will focus on RG&E and NYSEG's construction program planning and operational efficiency.

The total potential cost of the audit could be about $1.54 million, the PSC said.

Although Liberty's focus will be on construction and operating efficiency at the two Rochester-based utilities, "issues related to corporate governance, distant ownership and affiliate transactions add more complexity than is typically seen in management audits in New York," the PSC said.

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