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State Planning and Incentive Structures | Energy Efficiency Actions | Energy Supply Actions

State Planning and Incentive Structures

Lead By Example—Energy Efficiency in Public Facilities

Status: Completed

Details: A new green building initiative of Governor Spitzer's "15 x 15" plan to reduce energy use by 15% by 2015 was announced on August 28, 2007. Following the plan, New York State's Dormitory Authority--responsible for roughly one billion dollars of libraries, classrooms, and other public buildings each year--will be required to meet energy-efficiency standards of the U.S. Green Buildings Council (USGBC). Executive Order 111 (June 10, 2001) requires all agencies and departments to reduce energy consumption by 35% (relative to 1990 levels) in all buildings that they own, lease, or operate, by 2010.

Lead By Example—Energy Efficient Appliance and Equipment Purchase Requirements for Public Facilities

Status: Completed

Details: State Law (5-108-a) directed NYSERDA to establish minimum efficiency standards for specific energy-using products and appliances purchased by or for the state or any of its agencies. These standards are promulgated in 21 New York Conservation Rules and Regulations Part 506.

Lead By Example—Clean Energy Goals for Public Facilities

Status: Completed

Details: Part four of Executive Order 111 (June 10, 2001) directs state agencies to increase their purchases of electricity from solar, wind, photovoltaic, biomass, geothermic, and fuel cell sources. The goal was 10% by 2005, increasing to 20% by 2010. State entities can fulfill their renewable-power obligations using on-site generation of renewable power, a mix of on-site generation and open-market procurement, or purchase of all renewable-power requirements on the market.

Lead By Example—Energy Efficiency and Alternative Fuel Goals for Public Fleets

Status: Completed

Details: Executive Order 142 (November 21, 2005) calls for state agencies to ensure that all vehicles capable of operating on E85 fuel shall do so whenever feasible. Also, state agencies and public authorities are required to purchase, allocate, distribute, and use B100 for state fleets at a 2% rate in 2007, graduating to 10% in 2012. Executive Order 111 (June 10, 2001) requires most state agencies and other affected entities to acquire an increasing percentage of hybrids/alternative fuel vehicles (AFVs). By 2005, at least 50% of new light-duty vehicles acquired by each agency and affected entity must be AFVs; by 2010, 100% of all new light-duty vehicles must be AFVs, with exceptions for designated police and emergency vehicles.

State and Regional Energy Planning

Status: Completed/Further Work In Progress

Details: Governor David Paterson issued Executive Order No. 2 on April 10, 2008, establishing a State Energy Planning Board to prepare a state energy plan. The last New York State Energy Plan was completed in 2002. The Executive Order calls for a draft plan by March 31, 2009, and a Final Plan by June 30, 2009.
The New York State Energy Planning Board, comprised of members of various state agencies, was created by the legislature to oversee the development and adoption of the Annual State Energy Plan. In 2002, the New York State Energy Plan helped spur the development of New York's renewable portfolio standard and greenhouse gas emission reduction goal. Included in the plan were goals to improve the combined contribution of energy efficiency and renewable energy in meeting the state's energy needs.

Determining the Air Quality Benefits of Clean Energy—Energy Efficiency/Renewable Energy Set Asides (NOX Budget Trading Program)

Status: Completed

Details: NY's set-aside for end-use efficiency projects makes up 3% or 1,241 tons of the program. In-plant energy efficiency and renewable energy projects are eligible, including wind, solar, photovoltaics, methane waste, and sustainably managed biomass. Solid waste combustion is excluded, but included are fossil fuel-fired energy generating units (EGU) that produce electricity more efficiently than the annual average heat rate of fossil EGUs and non-EGUs with a thermal efficiency that exceeds 80%. Projects must have been implemented after May 1, 2003 and must submit a request for set-asides within five years of implantation. NY has a two-step process, whereby applicants must request to reserve a set-aside before the annual period and submit the results of the program after.

Determining the Air Quality Benefits of Clean Energy—Energy Efficiency/Renewable Energy Set Asides (CAIR Budget Trading Program)

Status: Completed

Details: New York is allocating 10% of emission allowances to the Energy Efficiency and Renewable Energy Technology (EERET) Account, which will be administered by the New York State Energy Research and Development Authority (NYSERDA). Allowances will be sold or distributed in order to provide funds to be used to support programs that encourage and foster energy efficiency measures and renewable energy technologies and cover reasonable costs associated with the administration and evaluation of these programs by NYSERDA. Any EERET allowances that are not sold or distributed by NYSERDA within 12 months of the initial allocation to the EERET account, will flow back to the New York Department of Environmental Conservation and be redistributed to existing CAIR units.

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Energy Efficiency Actions

Energy Efficiency Portfolio Standards

Status: Completed

Details: The New York Public Service Commission (PSC) on June 18, 2008, began an energy efficiency initiative to cut electric usage 15% by 2015. The PSC began considering an Energy Efficiency Portfolio Standard in May 2007 in response to then-Governor Eliot Spitzer’s goal of reducing energy usage 15% by 2015, a mandate subsequently endorsed by Governor David Paterson. Responsibility for administering the new programs will be split among the investor-owned utilities and the New York State Energy Research and Development Authority (NYSERDA).
Central Hudson Gas & Electric released “A Statewide Plan to Achieve the Electric Reduction Targets of the 15 by 15 Policy,” on January 22, 2008, proposing utility-led “fast track” programs intended to be implemented between mid-2008 and 2015. On January 24, 2008, the New York Public Service Commission (PSC) issued a ruling on the EPS concluding that there is insufficient information at this time regarding the rate and bill impact of the proposed “fast track” measures and it cannot commit funds without a broader determination of program design. The PSC compressed the fast track and long-term proposals into one expedited process in order to complete the major program re-design by mid-2008.
The New York Public Service Commission (PSC) initiated a proceeding on May 16, 2007, to design an electric and natural gas EEPS. The PSC has determined that New York has potential energy efficiency resources equivalent to 15% of projected electricity use in 2015. The proceeding will initially address end-use efficiency.

Public Benefit Funds for Energy Efficiency

Status: Completed

Details: The New York Public Service Commission (PSC) on June 18, 2008, began an energy efficiency initiative to cut electric usage 15% by 2015. Beginning in October 2008, utilities will collect an extra $172 million a year—in addition to the $175 million currently collected—to pay for programs that encourage customers to cut energy usage.
New York's System Benefits Charge (SBC) annually generates ~$150 million for renewable energy and energy efficiency projects through the New York State Energy Research and Development Authority (NYSERDA). In 2001 the PBF was extended through 2006, and in December 2005 it was extended until June 2011. This new operating plan reflects the Public Service Commission's revised overall funding level for the extension of nearly $750 million. This amount specifies $436.3 million for energy efficiency offerings, including $16.5 million for special consumer education and outreach activities; $113.7 million for low-income energy affordability programs; and nearly $200 million for research and development projects.

Building Codes for Energy Efficiency—Commercial Programs

Status: Goes Beyond ECPA

Details: State-developed code based on the 2006 IECC, mandatory statewide; can use COMcheck to show compliance.

Building Codes for Energy Efficiency—Residential Programs

Status: Goes Beyond ECPA

Details: State-developed code based on the 2004 IECC with amendments, mandatory statewide; can use REScheck to show compliance. Historic buildings and buildings that do not use either electricity or fossil fuel for comfort conditioning are exempt from these requirements. In March 2007, New York adopted a new residential code based on the 2004 IECC. On January 1, 2008, NY updated to the 2004 IECC with NY amendments for residential buildings.

State Appliance Efficiency Standards

Status: Completed

Details: On July 29, 2005, the "Appliance and Equipment Energy Efficiency Standards Act of 2005" became law, providing new standards for many appliances, including refrigerators, consumer audio and video products, power supplies, heaters, and ceiling fans.

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Energy Supply Actions

Renewable Portfolio Standards

Status: Completed

Details: New York's RPS is structured to increase energy from renewable resources to 25% by 2013. To meet the 25% target, New York State will need to add approximately 4,500 MW of renewable resource generation capacity. The state’s RPS is comprised as a two tier system of targets. The main tier consists of medium- to- large-scale electric generation facilities that use wind, hydroelectric, biomass, biogas, liquid biofuel, and ocean or tidal power facilities; the customer-sited tier consists of smaller onsite, or “behind-the-meter,” technologies.

Public Benefit Funds for Clean Energy Supply

Status: Completed

Details: New York's System Benefits Charge (SBC) annually generates ~$150 million for renewable energy and energy efficiency projects through the New York State Energy Research and Development Authority (NYSERDA). In 2001 the systems benefit charge was extended through 2006, and in December 2005 it was extended until June 2011.

Output-Based Environmental Regulations

Status: Completed/Further Work Proposed

Details: Small distributed generation rule, allowance allocation / set-asides (NOx SIP Call). Also, New York has proposed allocating allowances under its RGGI early reduction set-aside account on an output basis.

Interconnection Standards—Clean Distributed Generation

Status: Completed

Details: The New York Public Service Commission (PSC) originally adopted Standard Interconnection Requirements (SIR) in December 1999 and later modified the SIR in 2002 and 2004. These rules apply to all distributed generation up to 2MW and simplified rules exist for systems up to 10kW.

Interconnection Standards—Net Metering

Status: Completed

Details: On August 5, 2008, New York Governor David Paterson signed legislation that opened up net metering to more electricity customers. S.7171-B / A.11146 permits net metering for residential solar systems up to 25 kW, non-residential solar systems up to the lesser of 2 MW, or the customer’s peak load for the prior 12 months. S.B. 8415 increases the limit for net metering of farm-based anaerobic digesters to 500 kilowatts. S.8481 / A.11582 provides net metering for residential wind systems up to 25 kW; wind farms up to 500 kW; and non-residential wind up to 2 MW.
New York first enacted a net metering law in 1997 and revised it in subsequent years. It allows for up to 400kW for farm waste, 125kW for farm-based wind, 25kW for residential wind, and 10kW for solar.

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