(Bloomberg) -- Consolidated Edison Inc. and Public Service Enterprise Group Inc. are among New York utilities facing “steep penalties” for storm-related power outages that plunged millions into darkness for as long as a week, according to a statement from the governor’s office.

The state has completed the first phase of its investigation into the companies’ responses to Tropical Storm Isaias and found evidence that they failed to properly prepare for it, the statement said. The New York Department of Public Service informed the power suppliers of apparent violations of state law and threatened to revoke their franchises as well as terminate PSEG Long Island’s contract with the Long Island Power Authority. The regulator also determined that utilities must secure additional crews for future storms, among other corrective actions.

Con Edison contends it restored power 1.5 faster in the wake of Isaias than after Hurricane Irene.

“We are focused on continuously improving,” said spokesman Allan Drury.

PSEG didn’t immediately return a request for comment.

The blackouts heightened longstanding tensions between Governor Andrew Cuomo and the state’s utilities. Last year, he threatened to kick National Grid Plc out of the state if it didn’t figure out how to address natural gas shortages after regulators blocked a pipeline expansion. He also suggested that the government could take over Con Edison after a series of power failures in 2019.

“Utilities must act immediately to fix their broken storm response apparatus, and the Department of Public Service must act more swiftly to hold utilities accountable,” Cuomo said Tuesday. The Democrat said he’s going to propose a legislation to “facilitate, expedite, and clarify the process for a utility to lose their franchise.”

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