Establishes a clean and resilient energy program to encourage the development of clean and resilient behind the meter distributed energy resource projects.
STATE OF NEW YORK
________________________________________________________________________
3504
2023-2024 Regular Sessions
IN ASSEMBLY
February 3, 2023
___________
Introduced by M. of A. WALKER, EPSTEIN, TAYLOR, REYES, JACKSON, SEPTIMO,
FORREST -- Multi-Sponsored by -- M. of A. COOK, SIMON -- read once and
referred to the Committee on Energy
AN ACT to amend the public service law and the public authorities law,
in relation to establishing a clean and resilient energy program
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The public service law is amended by adding a new section
2 66-u to read as follows:
3 § 66-u. Clean and resilient energy program. 1. As used in this
4 section:
5 (a) "Clean and resilient behind the meter distributed energy resource
6 project" means an electricity generating system located behind a custom-
7 er meter in the state that is configured to provide uninterrupted elec-
8 tric service to a customer throughout an extended outage of the elec-
9 tricity distribution system, and which:
10 (i) (1) generates electricity without producing greenhouse gases or
11 local combustion related pollutants; or
12 (2) generates electricity or electricity and thermal energy via a
13 non-combustion process at an annual average efficiency of no less than
14 fifty-five percent measured on a lower heating value basis; or
15 (3) generates electricity and thermal energy at an annual average
16 efficiency of no less than seventy percent measured on a lower heating
17 value basis and reduces the local combustion related air pollutant
18 oxides of nitrogen by at least fifty percent in comparison to the most
19 recent annual average marginal emission factors, accounting for line
20 losses, for the New York independent system operator zone in which the
21 project is located at the time of interconnection; and
22 (ii) is located at a community continuity asset or within the bounda-
23 ries of an existing or planned microgrid.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06374-01-3
A. 3504 2
1 (b) "Community continuity asset" means a public or private entity that
2 provides critical services to the public during an outage of the elec-
3 tric distribution system. Community continuity assets shall include, but
4 are not limited to: telecommunications providers, large retail stores,
5 supermarkets, government agencies, data centers, transportation systems,
6 financial institutions, gas stations, educational institutions, health
7 care providers, large multi-family residential housing, community
8 centers, and other customers deemed by the commission to provide a crit-
9 ical service to the public that would promote or enhance health and
10 safety during an outage of the electric distribution system.
11 (c) "Extended outage" means an outage of the electric distribution
12 system that continues for a period of twenty-four hours or longer.
13 (d) "Uninterrupted" means that the output of the system is delivered
14 to the end-use customer throughout an extended electric distribution
15 system outage, with the exception of momentary interruptions associated
16 with transitions to and from grid parallel and grid islanded operations.
17 (e) "Microgrid" means a load or group of interconnected loads and
18 distributed energy resources within clearly defined electrical bounda-
19 ries that acts as a single controllable entity with respect to the grid.
20 A microgrid can connect and disconnect from the grid to enable it to
21 operate in both grid-connected or island-mode.
22 2. Within one hundred eighty days of the effective date of this
23 section, the commission shall modify the clean energy fund investment
24 plan to allocate no less than five percent of annual clean energy fund
25 expenditures to encourage the development of clean and resilient behind
26 the meter distributed energy resource projects. The program modifica-
27 tions shall require:
28 (a) administration by the New York state energy research and develop-
29 ment authority;
30 (b) planned annual expenditures that amount to no less than five
31 percent of overall annual clean energy fund expenditures commencing in
32 calendar year two thousand twenty-four and sustained each year through
33 calendar year two thousand twenty-eight;
34 (c) incentive structures that maximize cost-effectiveness and practi-
35 cality through competitive procurements, standing-offers, or production
36 incentives;
37 (d) annual reports on the achievements and effectiveness of the
38 program; and
39 (e) any other requirements deemed appropriate by the commission to
40 effectuate the purposes of this section.
41 § 2. The public authorities law is amended by adding a new section
42 1020-nn to read as follows:
43 § 1020-nn. Clean and resilient energy initiative. 1. As used in this
44 section:
45 (a) "Clean and resilient behind the meter distributed energy resource
46 project" means an electricity generating system located behind a custom-
47 er meter that is configured to provide uninterrupted electric service to
48 a customer throughout an extended outage of the electric distribution
49 system, and which:
50 (i) (1) generates electricity without producing greenhouse gases or
51 local combustion related pollutants; or
52 (2) generates electricity or electricity and thermal energy via a
53 non-combustion process at an annual average efficiency of no less than
54 fifty-five percent measured on a lower heating value basis; or
55 (3) generates electricity and thermal energy at an annual average
56 efficiency of no less than seventy percent measured on a lower heating
A. 3504 3
1 value basis and reduces the local combustion related air pollutant
2 oxides of nitrogen by at least fifty percent in comparison to the most
3 recent annual average marginal emission factors, accounting for line
4 losses, for the New York independent system operator zone in which the
5 project is located at the time of interconnection; and
6 (ii) is located at a community continuity asset or within the bounda-
7 ries of an existing or planned microgrid.
8 (b) "Community continuity asset" means a public or private entity that
9 provides critical services to the public during an outage of the elec-
10 tric distribution system. Community continuity assets shall include,
11 but are not limited to: telecommunications providers, large retail
12 stores, supermarkets, government agencies, data centers, transportation
13 systems, financial institutions, gas stations, educational institutions,
14 health care providers, large multi-family residential housing, community
15 centers, and other customers deemed by the authority to provide a crit-
16 ical service to the public that would promote or enhance health and
17 safety during an outage of the electric distribution system.
18 (c) "Extended outage" means an outage of the electric distribution
19 system that continues for a period of twenty-four hours or longer.
20 (d) "Uninterrupted" means that the output of the system is delivered
21 to the end-use customer throughout an electric distribution system
22 outage, with the exception of momentary interruptions associated with
23 transitions to and from grid parallel and grid islanded operations.
24 (e) "Microgrid" means a load or group of interconnected loads and
25 distributed energy resources within clearly defined electrical bounda-
26 ries that acts as a single controllable entity with respect to the grid.
27 A microgrid can connect and disconnect from the grid to enable it to
28 operate in both grid-connected or island-mode.
29 2. Within one hundred eighty days of the effective date of this
30 section, the authority shall modify its existing programs that encourage
31 the development of clean and resilient behind the meter distributed
32 energy resource projects. The authority shall consult with the New York
33 state public service commission and the New York state energy research
34 and development authority in the design and implementation of such
35 program. The projects shall require:
36 (a) planned annual expenditures that amount to no less than fifteen
37 million dollars commencing in calendar year two thousand twenty-four and
38 sustained each year through calendar year two thousand twenty-eight;
39 (b) incentive structures that maximize cost-effectiveness and practi-
40 cality through competitive procurements, standing-offers, or production
41 incentives;
42 (c) annual reports on the achievements and effectiveness of the
43 program; and
44 (d) any other requirements deemed appropriate by the authority to
45 effectuate the purposes of this section.
46 § 3. This act shall take effect immediately.
