§ 21-106. Co-generation, small hydro and alternate energy production
facilities. 1. For the purposes of this article:

a. The term "co-generation facility" shall include any facility with
an electric generating capacity of up to eighty megawatts, together with
any related facilities located at the same project site, which is fueled
by coal, gas, wood, alcohol, solid wastes, refuse-derived fuel, water or
oil, to the extent any such oil fueled facility was fueled by oil prior
to the effective date of this article and there is no increase in the
amount of oil used at the facility or to the extent oil is used as a
backup fuel for such facility, and which simultaneously or sequentially
produces either electricity or shaft horsepower and useful thermal
energy.

b. The term "alternate energy production facility" shall include any
solar, wind turbine, waste management, resource recovery, refuse-derived
fuel or wood burning facility, together with any related facilities
located at the same project site, with an electric generating capacity
of up to eighty megawatts, which produces electricity, gas or useful
thermal energy.

c. The term "small hydro facility" shall include (i) any hydroelectric
facility of up to eighty megawatts at an existing dam, together with any
related facilities located at the same project site, or (ii) any
hydroelectric facility of up to two and one-half megawatts that requires
the construction of a new dam, together with any related facilities
located at the same project site; provided however, that such term shall
not include any such facility within either the Adirondack Park or the
Catskill Park.

d. The term "related facilities" shall mean any land, work, system,
building, improvement, instrumentality or thing necessary or convenient
to the construction, completion or operation of any co-generation,
alternate energy production or small hydro facility and include also
such transmission or distribution facilities as may be necessary to
conduct electricity, gas or useful thermal energy to users located at or
near a project site.

2. Notwithstanding any other provision of law other than the public
service law, no state department, board, agency, authority or
commission, and no political subdivision, municipality, or any agency
thereof may require any approval, consent, permit, certificate,
statement, report or other condition for the construction or operation
of: (a) a co-generation or alternate energy production facility, when
such facilities are located in any area of the state other than in a
city of one million persons or more or other than within the boundaries
of the Adirondack Park and Catskill Park other than those provided by
otherwise applicable state laws (i) for the protection of employees
engaged in the construction and operation of any such facility or (ii)
for protection of freshwater or tidal wetlands or other than those
necessary to comply with local zoning or building laws or ordinances or
other than those issued by a state agency pursuant to a delegation of
authority pursuant to federal law or other than article eight, article
nineteen, article twenty-seven or title five of article fifteen of the
environmental conservation law; or (b) a small hydro facility, other
than those provided by otherwise applicable state law for the protection
of fresh water wetlands or of employees engaged in the construction and
operation of any such facility or other than those necessary to comply
with local zoning and building laws or ordinances or other than those
issued by a state agency pursuant to a delegation of authority pursuant
to federal law, or other than article eight or title five of article
fifteen of the environmental conservation law; provided, however, that
construction or operation of a small hydro facility shall not be
identified by the commissioner of environmental conservation as an
action or class of actions that is likely to require preparation of an
environmental impact statement pursuant to such article eight.

3. Nothing herein shall be construed to exempt any co-generation,
small hydro or alternate energy production facility from meeting any
applicable requirement of federal law.

4. Any owner or operator of a co-generation, small hydro or alternate
energy production facility constructed and placed in operation on or
after June twenty-sixth, nineteen hundred eighty shall comply with the
rules and regulations of the state energy office with respect to matters
affecting public health and safety provided, however, that such rules or
regulations shall not apply to any such facilities which produce
electricity, gas or useful thermal energy for on-site residential use in
residential dwellings of four or fewer units. The state energy office,
in consultation with the public service commission, shall promulgate
rules and regulations to implement this section by January first,
nineteen hundred eighty-one.

5. The maximum penalty which may be recovered pursuant to section
5-119 of this chapter for a continuing violation of any rule or
regulation promulgated by the office pursuant to subdivision four of
this section shall be ten thousand dollars.