The city’s power company could be forced to submit to annual external audits, reduce its rates for customers who lose power, and even hand over management of its holdings to a competitor if legislation introduced in the state Assembly passes.

The legislation was introduced in response to last summer’s nine-day power outage in Queens, and was announced just days after a steam pipe owned by the company, Consolidated Edison, exploded in Manhattan, killing one and seriously injuring two.

The sponsor of the three bills, Assemblyman Michael Gianaris, a Democrat of Queens, said he is hoping to prevent future disasters by making the company more accountable for its maintenance of the city’s electrical and steam systems, parts of which are more than 100 years old.

“There’s no free market force like every other business in this country that if you’re not doing good business you’re going to lose your job,” Mr. Gianaris said. “There’s absolutely nothing we can do to them to affect their bottom line.”

One of his proposals would require the New York State Public Service Commission, which regulates the utility, to review Con Edison’s performance every 10 years. The commission could then decide whether to extend the company’s license, or bring in another company to manage the utility’s assets if it determines Con Edison isn’t performing well.

Mr. Gianaris said the proposal is comparable to a system in Long Island, where KeySpan Energy manages the infrastructure owned by the Long Island Power Authority.

Another major change would bring in outside auditors to review the company’s management and operations more frequently. Currently, Con Edison audits itself every five years.

A third bill would increase the amount that customers are reimbursed when there are service disruptions, and include a requirement that Con Edison reimburse businesses for revenue lost if they have to close during a power outage. For every 48 hours without power, businesses could be reimbursed up to $10,000 under the new proposal.

A Con Edison spokesman, Robert McGee, responded to the proposals yesterday by saying the company was working to determine the cause of Wednesday’s steam pipe explosion.

The explosion on Lexington Avenue at East 41st Street during the afternoon rush hour sent a plume of steam and debris, some of it contaminated with asbestos, shooting into the air. City officials last week announced that the air was clear of asbestos after conducting tests.

“Our men and women are in the streets making repairs,” Mr. McGee said. “Con Edison’s focus continues to be on the restoration of the East 41st area, repairing equipment, and finding out the cause of Wednesday’s incident.”

A middle-age woman who was fleeing from the explosion died of a heart attack. The driver of a tow truck, Gregory McCullough, 21, who was thrown into the air during the blast, was in critical condition yesterday, a NewYork-Presbyterian Hospital spokeswoman said. Another victim, Judith Bailey, 30, was in serious condition. In the aftermath of past disasters, state legislators have also sought to pass laws to increase oversight of the utility.

Three years ago, after a woman was electrocuted by a Con Edison service box, legislation was introduced requiring regular inspection of the utility’s equipment. The legislation didn’t pass, but Mr. Gianaris said the Public Service Commission later adopted the requirements.