Establishes the nodal metering initiative demonstration project

BILL NUMBER:S2802

Title of bill

An act to amend the public authorities law, in relation to establishing the nodal metering initiative pilot demonstration project by the Northern Westchester Energy Action Consortium

Purpose or general idea of bill

Establishes the Nodal Metering Initiative Demonstration Project in Northern Westchester County.

Summary of specific provisions

Section 1: Amends the Public Authorities Law by adding sections 1884 and 1885.

§ 1884 - Establishes the Nodal Metering initiative Demonstration Project to select appropriate nodal points along the transmission and distribution grids for the installation of smart meters. The smart meters will accurately measure the electricity consumption within several municipalities that have formed the Northern Westchester Energy Action Consortium.

§ 1885 - The New York State Energy Research Development Authority shall exercise oversight and is authorized to disburse funds to carry out the purposes of this section.

Section 2: Establishes the effective date.

Justification

Fourteen municipalities in Northern Westchester County formed the Northern Westchester Energy Action Consortium (Consortium). It was conceived as a grassroots enterprise to create and execute energy efficient policies on the local level(s). The Consortium was officially established through municipal resolutions passed and signed by the elected officials in these fourteen municipalities pursuant to section 239-n of the General Municipal Law. These communities represent over 220,000 residents living in over 50,000 homes in Northern Westchester County.

The Consortium members have developed a local smart grid ("nodal metering") demonstration project proposal that would be eligible for federal and state funding. It is anticipated that the Nodel Metering Project will generate potential energy savings so that utilities would have the financial incentives to tap into the smart grid system.

Local pioneering projects that have proven success are an effective means to experiment without incurring tremendous costs. For example, the Town of Bedford, in Northern Westchester County, a key member of the Consortium, established its energy efficiency credentials through its sustainable home energy loan program. This local home energy program's success was such that it has been adapted and adopted on a statewide basis. This legislation provides an opportunity for experimentation on the local level in a fiscally prudent manner that holds potential for future statewide adoption.

Prior legislative history

A.11242/S.8348 in 2010 6/7/11 Reported and Committed to Finance 2/14/12 Recommit, Enacting Clause Stricken

Fiscal implications

This bill would authorize New York State Energy Research and Development Authority to use existing monies to fund the nodal metering initiative demonstration project. Many energy reduction measures have a thirty rate of return, meaning they pay for themselves in utility savings within 3 years.

Effective date

This Act shall take effect immediately on the ninetieth day after it shall have become law.