Analysis highlights lower energy costs, improved winter reliability and reduced emissions for region
A new independent analysis by Daymark Energy Advisors – the power sector advisory firm acquired by Xodus in 2025 – concludes that the proposed Constitution Pipeline project could reduce wholesale electricity costs across New York and New England by approximately $5.8 billion over 20 years, helping address winter price spikes and reliability challenges in one of the nation’s most constrained energy regions.
The findings come as policymakers and grid operators continue to assess how the Northeast can maintain reliable, affordable energy service during periods of rising electricity demand and severe winter weather. During periods of extreme cold, constraints on natural gas transportation can contribute to higher wholesale power costs and increased use of alternative fuels, creating additional costs for consumers.
The analysis found that New York consumers would realize approximately $3.0 billion in wholesale electricity savings, while consumers across New England would benefit from an additional $2.8 billion in savings, creating nearly $6 billion in total regional benefits. Because wholesale energy costs are a major component of retail electricity rates, the report finds that sustained reductions in wholesale costs could help lower energy bills for households and businesses over time.
“Our analysis confirms that Constitution Pipeline can play a meaningful role in improving energy affordability and reliability for millions of consumers across the Northeast,” said Dan Koehler, Principal Consultant at Daymark and one of the study’s lead authors. “By increasing access to reliable domestic energy supplies, the project is expected to reduce energy costs, enhance system resilience during extreme weather and support the region’s growing electricity needs.”
The report further found that increased access to natural gas supplies would reduce reliance on higher-cost, higher-emission fuel oil generation that is often needed during winter demand peaks. Under an extreme winter scenario, Constitution could displace approximately 700 gigawatt-hours of oil-fired electricity generation, resulting in the avoidance of roughly 163,000 tons of carbon dioxide emissions over a three-month period.
Notably, Daymark’s analysis evaluated Constitution within a future energy system that includes significant renewable energy growth and ambitious clean energy policies. Even under those assumptions, the report found the project continues to provide substantial affordability, reliability and emissions-reduction benefits for consumers throughout the region.
Key Findings from the Daymark report include:
$5.8 billion in wholesale electricity savings across New York and New England over 20 years.
$3.0 billion in projected savings for New York consumers and 2.8 billion in projected savings for New England consumers
$260 million in incremental savings during severe winter conditions.
Approximately 700 gigawatt-hours of fuel oil generation displaced during extreme winter conditions.
Approximately 163,000 tons of carbon dioxide emissions avoided during a severe winter period.
Continued affordability, reliability and emissions-reduction benefits even in a future energy system with significant renewable growth and clean energy policies.
Daymark will hold a webinar on August 18 at 12:00 p.m. ET, where they will present the results of the study followed by a live question-and-answer session with representatives from Daymark and Williams. To register for the webinar, click here.
The proposed Constitution Pipeline project is designed to connect abundant, low-cost natural gas supplies in Pennsylvania with energy markets in New York and New England, helping address regional infrastructure constraints, improve energy reliability and support growing energy demand.
About Daymark
Daymark, acquired by Xodus in 2025, delivers advisory services and analysis to clients and partners across five main practice areas: transmission planning and market analytics, clean energy policy, competitive procurement and portfolio structuring, market design and regulatory economics, and utility tariffs and rate design. Our team works in partnership with our clients, applying cutting edge thinking to decarbonize the power sector.
About Xodus
As a global energy consultancy, we unite our unique and diverse people to share knowledge, innovate and inspire change within the energy industry. We provide support across the energy spectrum, from advisory services to supply chain advice, including all of the engineering and environmental expertise needed in between. Our people strive to ensure global energy supply as we all work together to realise a net zero world.
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