It happened at the Astoria East and North Queens Con Ed plant.
New Yorkers reported seeing massive blue lights in the city following the explosion and took to social media to share photos and videos.
NYPD says a fire caused by the explosion is under control.
The mayor's office says there are scattered power outages, including at LaGuardia Airport. The FAA issued a ground stop at LaGuardia while they investigated, but runways are now open and running.
Police said there have been no injuries.
Fire officials said they were fielding numerous calls for reports of explosions in the Long Island City and Astoria areas.
Train service was interrupted by a power outage caused by the explosion.