S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2296
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 12, 2017
                                ___________
 
 Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations
 
 AN  ACT  to  amend the public service law, in relation to New York state
   renewable electric generation pilot programs

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The public service law is amended by adding a new section
 73 to read as follows:
   § 73. NEW YORK STATE RENEWABLE ELECTRIC GENERATION PILOT PROGRAMS.  1.
 THE  COMMISSION SHALL ESTABLISH NEW YORK STATE RENEWABLE ELECTRIC GENER-
 ATION PILOT PROGRAMS TO AUTHORIZE THE DEVELOPMENT OF UP TO THREE HUNDRED
 MEGAWATTS OF RENEWABLE ELECTRIC CAPACITY STATEWIDE, IN ORDER  TO  STIMU-
 LATE THE GROWTH OF CLEAN, AFFORDABLE, AND RELIABLE SOURCES OF ENERGY AND
 TO FOSTER NEW PARTNERSHIPS BETWEEN ELECTRIC CORPORATIONS, ENERGY PRODUC-
 ERS AND ENERGY CUSTOMERS IN NEW YORK STATE.
   2.  (A)  THE  COMMISSION SHALL OVERSEE THE IMPLEMENTATION OF THE PILOT
 PROGRAMS AND SHALL DIRECT ELECTRIC CORPORATIONS TO BUILD OR CAUSE TO  BE
 BUILT RENEWABLE ENERGY FACILITIES TO BE FINANCED UNDER TERMS ESTABLISHED
 THROUGH  AN  ORDER  OF  THE COMMISSION WHICH SHALL AUTHORIZE CAPITAL AND
 OPERATING COSTS TO BE RECOVERED IN THE CORPORATIONS  RATE  BASE  AND  TO
 EARN  A  REASONABLE RETURN OVER A PERIOD TO BE DETERMINED BY THE COMMIS-
 SION, PROVIDED THAT THE  CORPORATION  SHALL,  AT  MINIMUM,  PROVIDE  THE
 COMMISSION WITH THE FOLLOWING:
   (I)  A  DETAILED  DESCRIPTION  AND ECONOMIC EVALUATION OF THE PROPOSED
 INVESTMENT;
   (II) A DISCUSSION OF THE COSTS, BENEFITS, AND RISKS OF  THE  PROPOSAL,
 INCLUDING  AN  ANALYSIS OF THE COSTS, BENEFITS, AND RATE IMPLICATIONS TO
 THE PARTICIPATING CUSTOMERS, TO THE COMPANY'S DEFAULT SERVICE CUSTOMERS,
 AND TO THE UTILITY'S DISTRIBUTION CUSTOMERS;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01488-01-7
              

 S. 2296                             2
 
   (III) A DESCRIPTION OF ANY EQUIPMENT OR  INSTALLATION  SPECIFICATIONS,
 SOLICITATIONS,  AND PROCUREMENTS IT HAS IMPLEMENTED OR INTENDS TO IMPLE-
 MENT;
   (IV)  A  SHOWING  THAT IT HAS MADE REASONABLE EFFORTS TO INVOLVE LOCAL
 BUSINESSES IN ITS PROGRAM;
   (V) EVIDENCE OF COMPLIANCE WITH ALL APPLICABLE  EMISSION  LIMITATIONS;
 AND
   (VI)  A COPY OF ANY CUSTOMER CONTRACTS OR AGREEMENTS TO BE EXECUTED AS
 PART OF THE PROGRAM.
   (B) RENEWABLE GENERATION FACILITIES ELIGIBLE  TO  BE  CONSTRUCTED  AND
 FINANCED  UNDER  THE  NEW YORK STATE RENEWABLE ELECTRIC GENERATION PILOT
 PROGRAMS SHALL:
   (I) GENERATE ELECTRICITY THROUGH USE OF  THE  FOLLOWING  TECHNOLOGIES:
 SOLAR; WIND; PHOTOVOLTAICS; TIDAL; GEOTHERMAL; AND FUEL CELLS; OR
   (II)  GENERATE ELECTRICITY THROUGH LOW-IMPACT, RUN-OF-RIVER HYDROELEC-
 TRIC ELECTRIC GENERATING EQUIPMENT WITH CAPACITY UP TO THIRTY  MEGAWATTS
 WITH NO NEW STORAGE IMPOUNDMENT;
   (III)  BE  MANUFACTURED,  INSTALLED  AND  OPERATED  IN ACCORDANCE WITH
 APPLICABLE GOVERNMENT AND INDUSTRY STANDARDS;
   (IV) CONNECT TO THE ELECTRIC SYSTEM AND OPERATED IN PARALLEL  WITH  AN
 ELECTRIC CORPORATION'S TRANSMISSION AND DISTRIBUTION FACILITIES;
   (V)  OPERATE  IN COMPLIANCE WITH ANY STANDARDS AND REQUIREMENTS ESTAB-
 LISHED BY THE COMMISSION; AND
   (VI) BE LOCATED WITHIN THE STATE, INCLUDING FACILITIES THAT CONSIST OF
 CUSTOMER-OWNED OR LEASED GENERATORS.
   (C) AUTHORIZE ELECTRIC CORPORATIONS TO OWN AN EQUITY INTEREST IN  SUCH
 FACILITIES  AND  ALLOW  PARTNERSHIPS  WITH  INDEPENDENT POWER PRODUCERS,
 DEVELOPERS, AND/OR CUSTOMER-OWNED OR LEASED GENERATORS.
   § 2. The public service commission shall provide an annual  report  on
 or before the first day of June to the governor, the temporary president
 of  the  senate, the speaker of the assembly, the minority leader of the
 senate, and the minority leader of the assembly reporting  the  progress
 of  their  efforts and the effects of the program on the environment and
 public. Such report shall identify each facility  participating  in  the
 pilot  project  and shall include, but not be limited to, information on
 each energy source or sources used for generation at such facility;  the
 sum  capacity, in megawatts, of all electrical generating equipment used
 by the facility; the date the facility will begin or has begun  generat-
 ing electricity; and the number and category of customer-owned or leased
 generators.
   §  3.  This act shall take effect immediately; provided, however, that
 not later than the one hundred eightieth day after this act  shall  have
 become  a  law,  the  public  service  commission  shall have in place a
 competitive process which shall be open to electric corporations.