LIPA board members voted today to allow PSEG to take over the Long Island electric grid after National Grid's contract expires. LIPA board members also approved a $3.7 billion for 2012 budget that includes a 1.5-percent rate hike for most customers. The hike amounts to about $2 more per month for most Long Islanders. PSEG will take over the power distribution system in 2014. The LIPA board says the move will save $100 million over the length of the contract with PSEG. PSEG says it will bring a new higher level of customer service to the Island building on its reputation, which it says is one of the best in the nation.

LIPA holds 1st public hearing on proposed rate hike New bill targets LIPA rate hikesLIPA customers could be hit with rate increase in 2012