S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7318
 
                             I N  S E N A T E
 
                              January 5, 2018
                                ___________
 
 Introduced  by  Sen.  GRIFFO -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the public service law and the public  authorities  law,
   in relation to establishing the energy storage deployment policy
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Section 74 of the public service law, as added by a chapter
 of the laws of 2017 amending the  public  service  law  and  the  public
 authorities  law  relating to establishing the energy storage deployment
 program, as proposed in legislative bills numbers S. 5190 and  A.  6571,
 is amended to read as follows:
   §  74. Energy storage deployment [program] POLICY. 1. [(a)] As used in
 this section "qualified energy storage system" shall  mean  commercially
 available technology that is capable of absorbing energy, storing it for
 a  period  of  time, and thereafter dispatching the energy[. A qualified
 energy storage system shall be  cost-effective  and  either  assist  the
 integration of variable energy resources, reduce emissions of greenhouse
 gases, reduce demand for peak electrical generation, defer or substitute
 for  an  investment in generation, transmission, or distribution assets,
 or improve the reliable operation  of  the  electrical  transmission  or
 distribution grid.
   (b)  A  qualified  energy  storage  system shall do one or more of the
 following: (i) use] USING mechanical, chemical, or thermal processes  to
 store  energy  that  was generated at one time for use at a later time[;
 (ii) store thermal energy for direct use for heating  or  cooling  at  a
 later  time  in a manner that avoids the need to use electricity at that
 later time; (iii) use mechanical,  chemical,  or  thermal  processes  to
 store energy generated from renewable resources for use at a later time;
 or  (iv)  use mechanical, chemical, or thermal processes to store energy
 generated from mechanical processes that would otherwise be  wasted  for
 delivery at a later time].
   2.  [Within  ninety  days  of  the effective date of this section, the
 commission shall commence a proceeding to establish the  energy  storage
 deployment  program  to  encourage  the installation of qualified energy

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD10350-02-8

 S. 7318                             2

 storage systems. No later than January first, two thousand eighteen, the
 commission shall make a determination  establishing  a  target  for  the
 installation  of qualified energy storage systems to be achieved through
 two thousand thirty and programs that will enable the state to meet such
 target.  The  commission  shall  consult  with the New York state energy
 research and development authority and the Long Island  power  authority
 in the preparation of such determination.] BY DECEMBER THIRTY-FIRST, TWO
 THOUSAND  EIGHTEEN,  THE  COMMISSION SHALL, IN CONSULTATION WITH THE NEW
 YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY AND THE LONG ISLAND
 POWER AUTHORITY, AFTER A HEARING HELD ON  NOTICE,  ESTABLISH  BY  ORDER,
 RULES  AND  REGULATIONS,  BOTH A TWO THOUSAND THIRTY ENERGY STORAGE GOAL
 FOR THE STATE AND A DEPLOYMENT POLICY TO SUPPORT THAT GOAL. The  [deter-
 mination] ENERGY STORAGE DEPLOYMENT POLICY shall include the following:
   (a)  [The  creation  of  the  energy  storage deployment program to be
 administered by the New  York  state  energy  research  and  development
 authority and the Long Island power authority;
   (b) Estimated annual expenditures associated with the program for each
 year  commencing with calendar year two thousand eighteen and continuing
 through calendar year two thousand thirty;
   (c) Program designs that take the following into consideration:
   (1)] avoided or deferred costs associated with transmission,  distrib-
 ution, [and/or] OR GENERATION capacity;
   [(2)] (B) minimization of peak load in constrained areas; [and
   (3)] (C) systems that are connected to customer facilities and systems
 that are directly connected to transmission and distribution facilities;
   (d) COST-EFFECTIVENESS;
   (E) ASSISTING THE INTEGRATION OF VARIABLE-OUTPUT ENERGY RESOURCES;
   (F) REDUCING EMISSIONS OF GREENHOUSE GASES;
   (G) REDUCING DEMAND FOR PEAK ELECTRICAL GENERATION; AND
   (H) IMPROVING THE RELIABLE OPERATION OF THE ELECTRICAL TRANSMISSION OR
 DISTRIBUTION SYSTEMS;
   (I)  Annual  reports  on  the  achievements  and  effectiveness of the
 [program] POLICY to be submitted to the governor, the  temporary  presi-
 dent of the senate, and the speaker of the assembly; and
   [(e)] (J) Such other issues deemed appropriate by the commission.
   §  2.  Section  1020-ii  of  the public authorities law, as added by a
 chapter of the laws of 2017 amending the  public  service  law  and  the
 public  authorities  law  relating  to  establishing  the energy storage
 deployment program, as proposed in legislative bills numbers S. 5190 and
 A. 6571, is amended to read as follows:
   § 1020-ii. Energy storage deployment [program] POLICY.  The  authority
 shall  encourage the installation of qualified energy storage systems in
 its service territory  through  implementation  of  the  energy  storage
 deployment  [program]  POLICY as set forth and defined in section seven-
 ty-four of the public service law.
   § 3. This act shall take effect on the  same  date  and  in  the  same
 manner  as a chapter of the laws of 2017 amending the public service law
 and the public authorities law relating to establishing the energy stor-
 age deployment program, as proposed in legislative bills numbers S. 5190
 and A. 6571, takes effect.