Relates to reports on environmental and renewable energy programs administered by NYSERDA under the renewable portfolio standard program

Summary of provisions

Section 1. Sets forth the legislative intent of the bill.

Section 2 Amends section 5 of the public service law by adding a new subdivision 7 requiring the public service commission to analyze semiannual reports produced by NYSERDA on the programs and projects associated with the renewable portfolio standard and to make determinations as required in subdivision seven of section one thousand eight hundred sixty-seven of the public authorities law.

Section 3 Amends section 1867 of the public authorities law to add a new subdivision 7 to establish semi-annual reports to the Governor and the Legislature on funding and projects associated with the renewable portfolio standard, and lines out specific requirements about what each report must include as well as requiring the Authority to comply with lowest responsible bidder requirements. It also includes requirements for the public service commission to take specific actions if for two reporting periods, the authority fails to make substantial progress toward meeting the state's renewable energy goals.

Section 4 Sets forth, the effective date.

Justification

The renewable portfolio standard was implemented in 2004 in order to help the state achieve its goals of getting 30% of its energy from renewable sources by 2015. The program is funded through a surcharge on the bills of ratepayers across the state that was authorized by the public service commission and implemented through regular renewable energy solicitations conducted by NYSERDA. The goals of the program are worthy, and it is clear that NYSERDA is conducting regular solicitations and making regular. awards. What is not at all clear, is how many of the projects that are selected actually get built and if the rules and policies associated with NYSERDA programs are helping or hindering the construction of the projects necessary for us to achieve our goals. The purpose of this bill is to require NYSERDA to report to the governor and the legislature very specific information on projects funded by the RPS twice a year, and in a manner that can be easily understood and analyzed. Of particular importance, would be the requirements set forth to require the Authority to differentiate between projects that have been contracted and money that is "encumbered" versus money that has been spent on a project that is in

the permitting or construction phase and will actually lead to new renewable generation. It appears based on currently known data that many projects that are chosen in a solicitation and funded are never actually constructed. It is very important that policymakers understand this process better and that there be a mechanism to fix problems that come to light. To that end, the bill provides a mechanism for the public service commission to temporarily halt RPS solicitations if for over the course of two consecutive reports if a variety of shortcomings are discovered, included but not limited to a lack of progress toward meeting our renewable energy goals or demonstrated a clear regional or source imbalance. The Commission will then work with the Authority to craft a remediation plan to fix the problem and a utility company may petition the commission to allow 20% of the money collected by said utility to be used to create RPS compliant programs in their service territory.

The ultimate goal of this bill is to improve the transparency and administration of the renewable portfolio standard program, so that the state can better meet its renewable energy goals, reduce emissions and create jobs.

Legislative history

New Bill

Fiscal implications

None.

Effective date

This act shall take effect on January 1, 2015 shall have become law.