Establishes a small business energy assistance and advocacy services program

Section Two of the bill adds a new Section 138-a to the Economic Development Law to establish a small business energy assistance and advocacy services program within the Division for Small Business. The program shall:

o Solicit input from small businesses and organizations representing them on energy assistance needs; identify issues relating to energy availability, affordability and sustainability affecting small businesses; and develop recommendations for legislative, regulatory, and programmatic actions to address such issues;

o Coordinate with entities including NYSERDA, the Power Authority and other public utility authorities, the Public Service Commission (PSC) and utilities to promote small business participation in developing and implementing energy assistance programs and state energy policy;

o Provide small businesses with information and materials on energy assistance programs, cooperative fuel purchasing efforts and other programs to maintain the affordability of energy, and provide access to such information and materials on the Department of Economic Development's website; and

o Refer small businesses to specialists for information and assistance on affordable alternative technologies, process changes, products and operational methods to achieve energy savings.

The program, through the Division, shall represent the interests of small businesses before the PSC pursuant to a new Section 24-c of the Public Service Law, and is authorized to initiate, intervene in or participate in any proceedings before the PSC and in any other such energy-related proceedings as deemed necessary or appropriate. The program shall also advocate before the PSC and other state and federal regulatory agencies for the adoption of appropriate regulations providing for equitable treatment of small businesses in energy-related policies, including but not limited to extending reasonable consumer protections to small businesses in energy related matters.

Section Three of the bill adds a new Section 24-c to the Public Service Law to require that the Division be given notice prior to any filing for a rate increase or other change in utility regulation. Should the Division file a statement of intent to be a party in a PSC proceeding, it shall have and may exercise all the rights and privileges of a party.

Justification

Changes in the energy market are having a major impact on small businesses. Skyrocketing energy costs threaten the viability of many small businesses, while the opportunities created by conservation measures, alternative energy sources, co-generation and net metering, and financing help often require substantial investments of time and effort. Unlike larger businesses, small businesses often lack the resources to take full advantage of available programs to assist them in lowering their energy bills and "going green".

This information gap undercuts the effectiveness of our strategies to reduce fossil fuel use and preserve the environment. This bill would create a one stop energy assistance program at the Division for Small Business to make it easier for our entrepreneurs to learn about, compare and select energy alternatives that will best fit their operations and enable continued growth. The program would enhance the ability of New York's small businesses to take advantage of programs offered by NYSERDA, a public utility authorities and investor-owned utilities, as well as the new small business energy efficiency programs included in the federal "Energy Independence and Security Act of 2007" (P.L. 110-140).

The Division would also be empowered to represent the interests of small businesses in PSC rate cases and other proceedings relating to energy prices and policies. While the Consumer Protection Board has for many years been involved in advocating for residential energy customers, no organization has been similarly vested with the responsibility for ensuring that small businesses are presented in rate deliberations or in the development of state programs and policies on energy. Other states (including our neighbor) Pennsylvania) have recognized the value of a dedicated small business advocate in energy proceedings.

Taken together, the provisions of this bill will help to ensure that small businesses can take full advantage of conservation, efficiency and renewable energy programs and can obtain affordable energy to enable them-and our economy-to grow.

Legislative history

New Bill- 2009

Fiscal implications

The Department of Economic Development already receives a percentage of the annual assessment on public utilities and corporations authorized by Public Service Law Section 18-a. The percentages of assessments allocated to specific agencies are changed each year in the budget process. Any additional funding required to implement the Division's responsibilities under Economic Development Law, Section 138-a and Public Service Law, Section 24-c can be achieved through such a reallocation.

Effective date

This act shall take effect on the first of April next succeeding the date on which it shall have become a law; provided, however, that the department of economic development and the public service commission shall be immediately authorized to take any and all actions necessary to fully implement the provisions of this act on such date.