NY State Senate Bill 2021-S3032

Senate Bill S3032

2021-2022 Legislative Session

Relates to providing the New York power authority with the right of first offer and refusal; bans non-state run energy services companies; repealer

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Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 05, 2022	referred to energy and telecommunications
Jan 27, 2021	referred to energy and telecommunications

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2021-S3032 (ACTIVE) - Details

See Assembly Version of this Bill:: A1382
Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Authorities Law
Laws Affected:: Amd §1005, Pub Auth L; add §28, amd §44, Pub Serv L; rpld §349-d, Gen Bus L
Versions Introduced in Other Legislative Sessions:: 2019-2020: S7243, A8937
2023-2024: S2583, A443

2021-S3032 (ACTIVE) - Summary

Provides the New York power authority with the right of first offer and refusal for acquiring any renewable generation facility, renewable energy generation project and any power or energy created by a renewable generation facility or renewable energy generation project; bans non-state run energy services companies; allows the New York power authority to take over and operate as an energy services company.

2021-S3032 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S3032

SPONSOR: PARKER
 
TITLE OF BILL:

An act to amend the public authorities law and the public service law,
in relation to providing the New York power authority with the right of
first offer and refusal for certain renewable generation facilities and
any power or energy created by such renewable generation facilities;
bans energy services companies; and to repeal certain provisions of the
general business law relating thereto

 
PURPOSE OR GENERAL IDEA OF BILL:

To provide the right of first refusal on renewable energy projects to
the New York Power Authority and to ban energy services companies.

 
SUMMARY OF PROVISIONS:

Section 1 amends Section 1005 of the public authorities law by adding a
new subdivision 28 which grants the New York Public Power Authority

first refusal rights to purchase any renewable generation facility,
renewable energy generation project or any power or energy created by a
renewable generation facility or renewable energy generation project.

Section 2 amends the public service law to by adding a new section 28
which defines grounds of first refusal as needed for the previous
section. The New York Power Authority shall be allowed to match the
purchase price of any renewable facility, project, and or and renewably
generated power, and so assume the role of purchaser.

Section 3 makes clear that nothing in the previous sections is intended
to limit, impair, or affect the legal authority of the power authority
of New York under any other provisions of tile 1 of article 5 of the
public authorities law.

Section 4 states the act shall take effect immediately.

 
JUSTIFICATION:

With the passage of the CLCPA, New York State has a mandate to scale up
our renewable energy infrastructure. But currently, New York only gets
around 5% of its energy from wind and solar, and most renewable energy
in the state is purchased from Energy Service Companies (ESCOs). ESCOs
employ predatory practices and are nearly always more expensive than
obtaining generation through a utility, overcharging between $30 and $40
million/month. This bill would ban ESCOs and instead allow the New York
Power Authority to build, purchase, and sell affordable 100% renewable
energy to all New Yorkers. NYPA is the Most financially viable entity
for scaling up renewables at the scale needed as it has the lowest cost
of capital, doesn't need to generate a profit for shareholders, and can
make renewable energy a right for all New Yorkers regardless of income,
race, or class. This bill unleashes NYPA, giving it the ability to own
new renewable energy generation and have the right of first offer on all
new generation projects. It commits us to the renewable energy transi-
tion that New York State needs while maintaining democratic oversight of
our energy system.

 
PRIOR LEGISLATIVE HISTORY:
2019/20 S7243 - REFERRED TO ENERGY AND TELECOMMUNICATIONS

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
Immediate.

2021-S3032 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3032
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                             January 27, 2021
                                ___________
 
 Introduced by Sens. PARKER, GIANARIS, SALAZAR, SANDERS -- read twice and
   ordered  printed, and when printed to be committed to the Committee on
   Energy and Telecommunications
 
 AN ACT to amend the public authorities law and the public  service  law,
   in  relation  to providing the New York power authority with the right
   of first offer and refusal for certain renewable generation facilities
   and any power or energy created by such renewable  generation  facili-
   ties; bans energy services companies; and to repeal certain provisions
   of the general business law relating thereto
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 1005 of the public authorities law  is  amended  by
 adding two new subdivisions 28 and 29 to read as follows:
   28.  (A)  TO  PURCHASE,  FINANCE,  PLAN,  DESIGN,  ENGINEER,  ACQUIRE,
 CONSTRUCT, OPERATE OR MANAGE ANY RENEWABLE GENERATION FACILITY,  RENEWA-
 BLE ENERGY GENERATING PROJECT, BATTERY ENERGY STORAGE SYSTEMS, RENEWABLE
 THERMAL  ENERGY  TECHNOLOGY  SUCH AS HEAT PUMPS, SOLAR THERMAL, OR OTHER
 HEATING OR COOLING TECHNOLOGIES USING RENEWABLE SOURCES OF  ENERGY  THAT
 DO NOT EMIT GREENHOUSE GASES, OR ANY POWER OR ENERGY CREATED BY A RENEW-
 ABLE  GENERATION  FACILITY  OR RENEWABLE ENERGY GENERATION PROJECT UNDER
 THE RIGHT OF FIRST OFFER AND REFUSAL ESTABLISHED UNDER  SECTION  TWENTY-
 EIGHT OF THE PUBLIC SERVICE LAW.
   (B)  FOR  PURPOSES  OF  THIS SUBDIVISION, "RENEWABLE ENERGY GENERATING
 PROJECT" SHALL MEAN A PROJECT THAT GENERATES POWER AND ENERGY  BY  MEANS
 OF  RENEWABLE  ENERGY  RESOURCES,  OR THAT STORES AND SUPPLIES POWER AND
 ENERGY GENERATED BY MEANS OF RENEWABLE ENERGY  RESOURCES,  AND  INCLUDES
 THE  CONSTRUCTION, INSTALLATION AND/OR OPERATION OF ANCILLARY FACILITIES
 OR EQUIPMENT DONE IN CONNECTION WITH ANY SUCH RENEWABLE ENERGY  GENERAT-
 ING  PROJECTS,  PROVIDED,  HOWEVER, THAT SUCH TERM SHALL NOT INCLUDE THE
 AUTHORITY'S SAINT LAWRENCE HYDROELECTRIC PROJECT OR  NIAGARA  HYDROELEC-
 TRIC PROJECT.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD05570-01-1

 S. 3032                             2
 
   29.  TO SELL OR PROVIDE ENERGY SERVICES TO END-USE CUSTOMERS USING THE
 TRANSMISSION OR DISTRIBUTION SYSTEM OF A UTILITY. ANY  POWER  OR  ENERGY
 SOLD UNDER THIS SUBDIVISION SHALL BE MADE ENTIRELY FROM RENEWABLE ENERGY
 RESOURCES.  FOR  THE  PURPOSES  OF  THIS  SUBDIVISION, "RENEWABLE ENERGY
 RESOURCES"  MEANS  SOLAR POWER, WIND POWER, HYDROELECTRIC, AND ANY OTHER
 GENERATION RESOURCE AUTHORIZED BY ANY RENEWABLE ENERGY STANDARD  ADOPTED
 BY  THE  STATE  FOR  THE  PURPOSE OF IMPLEMENTING ANY STATE CLEAN ENERGY
 STANDARD.
   § 2. The public service law is amended by adding a new section  28  to
 read as follows:
   §  28.  NEW YORK POWER AUTHORITY RIGHT OF FIRST OFFER AND REFUSAL. THE
 NEW YORK POWER AUTHORITY, AS ESTABLISHED BY TITLE ONE OF ARTICLE FIVE OF
 THE PUBLIC AUTHORITIES LAW, SHALL BE ALLOWED TO MATCH THE PURCHASE PRICE
 OF  ANY  RENEWABLE  GENERATION  FACILITY,  RENEWABLE  ENERGY  GENERATION
 PROJECT AND ANY POWER OR ENERGY CREATED BY A RENEWABLE GENERATION FACIL-
 ITY  OR  RENEWABLE  ENERGY  GENERATION  PROJECT.  IN THE EVENT THAT SUCH
 AUTHORITY MATCHES SUCH PURCHASE PRICE, SUCH AUTHORITY SHALL  ASSUME  THE
 ROLE OF PURCHASER OF THE RENEWABLE GENERATION FACILITY, RENEWABLE ENERGY
 GENERATION  PROJECT OR ANY POWER OR ENERGY CREATED BY A RENEWABLE GENER-
 ATION FACILITY OR RENEWABLE ENERGY GENERATION PROJECT.
   § 3. Section 349-d of the general business law is REPEALED.
   § 4. Paragraph (a) of subdivision 27 of section  1005  of  the  public
 authorities  law,  as added by section 2 of part LL of chapter 58 of the
 laws of 2019, is amended to read as follows:
   (a) Notwithstanding any other  provision  of  this  title,  as  deemed
 feasible  and  advisable by the trustees, the authority is authorized to
 undertake the following actions when it deems it necessary or  desirable
 to  address the energy-related needs of any (i) authority customer, (ii)
 public entity, or (iii) CCA community:
   (1) (A) supply power  and  energy  procured  from  competitive  market
 sources  to any (i) authority customer, (ii) public entity, or (iii) CCA
 community through  the  supply  of  such  products  through  an  [energy
 services  company  or  other]  entity  that  is authorized by the public
 service commission to procure and sell energy products  to  participants
 of a CCA program, provided, however, that the authority shall not supply
 at  any  point  more than a total of four hundred megawatts of power and
 energy to authority  customers  and  public  entities  pursuant  to  the
 authority of this clause;
   (B)  supply  renewable power, energy, or related credits or attributes
 procured through a competitive process, from competitive market sources,
 or through negotiation when a competitive procurement is not  reasonably
 feasible  and  such  products  can be procured on reasonably competitive
 terms to (i) any authority customer, (ii) any public  entity,  or  (iii)
 any CCA community through the supply of such products through an [energy
 services  company  or  other]  entity  that  is authorized by the public
 service commission to procure and sell energy products  to  participants
 of a CCA program; and
   (2)  (A) alone or jointly with one or more other entities, finance the
 development of renewable energy generating projects that are located  in
 the  state,  including  its territorial waters, and/or on property or in
 waters under the jurisdiction or  regulatory  authority  of  the  United
 States,  (B)  purchase  power,  energy  or related credits or attributes
 produced from such renewable energy generating projects, and  (C)  allo-
 cate  and sell any such products to (i) any authority customer, (ii) any
 public entity, and (iii) any CCA community through [an] A NOT-FOR-PROFIT
 energy services company or other entity that is authorized by the public

 S. 3032                             3
 
 service commission to procure and sell energy products  to  participants
 of a CCA program, provided that the authority shall not, pursuant to the
 authority  in  this subparagraph, finance more than six renewable energy
 generation  projects and have a per-project electric generating capacity
 in excess of twenty-five megawatts.
   § 5. Subdivision 5 of section 44 of the public service law,  as  added
 by chapter 359 of the laws of 2009, is amended to read as follows:
   5.  At  least  once  a year, every utility corporation, NOT-FOR-PROFIT
 energy services company or municipality shall provide its customers with
 a notice that billing statements are available in  large  print  format.
 Upon  written request by a customer, a utility corporation, NOT-FOR-PRO-
 FIT energy services company or municipality shall provide the customer's
 billing statements in the large print format commencing  no  later  than
 sixty  days  after  the  date  upon which the request is received by the
 utility corporation[, energy  services  company]  or  municipality.  The
 provisions  of  this subdivision shall apply only to printed statements.
 For the purposes of this section, "large print"  shall  mean  a  printed
 font  size  of sixteen or greater to illuminate billing information. For
 the purposes of this section, "NOT-FOR-PROFIT energy  services  company"
 or  "NOT-FOR-PROFIT ESCO" shall mean [an] A NOT-FOR-PROFIT entity eligi-
 ble to sell energy services to end-use customers using the  transmission
 or distribution system of a utility corporation.
   §  6.  Nothing in this act is intended to limit, impair, or affect the
 legal authority of the power authority of the state of  New  York  under
 any  other  provision  of title 1 of article 5 of the public authorities
 law.
   § 7. This act shall take effect immediately; provided that the  amend-
 ments  to  subdivision  27 of section 1005 of the public authorities law
 made by section four of this act shall not affect  the  repeal  of  such
 subdivision and shall be deemed repealed therewith.

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Senate Bill S3032

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Sponsored By

Kevin S. Parker

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

co-Sponsors

Alessandra Biaggi

Michael Gianaris

Brad Hoylman-Sigal

Julia Salazar

2021-S3032 (ACTIVE) - Details

2021-S3032 (ACTIVE) - Summary

2021-S3032 (ACTIVE) - Sponsor Memo

2021-S3032 (ACTIVE) - Bill Text download pdf

Comments