* § 66-t. Thermal energy network development. 1. The public service
commission shall initiate a proceeding within three months of the
effective date of this section to support the development of thermal
energy networks for the purpose of meeting the greenhouse gas emissions
and equity goals of the climate leadership and community protection act.
The matters the commission shall consider in such proceeding shall
include, but shall not be limited to, the appropriate ownership, market,
and rate structures for thermal energy networks and whether the
provision of thermal energy services by gas and/or electric utilities is
in the public interest. The commission shall promulgate rules and
regulations within two years to: (a) create fair market access rules for
utility-owned thermal energy networks to accept thermal energy that
aligns with the climate justice and greenhouse gas emissions reductions
requirements of the climate leadership and community protection act and
that does not increase greenhouse gas emissions or co-pollutants; (b)
exempt small-scale thermal energy networks not owned by utilities from
commission regulation; (c) promote the training and transition of
utility workers impacted by this act; and (d) encourage third party
participation and competition where it will maximize benefits to
customers.

2. Within three months of the effective date of this section, each of
the seven largest gas, electric, or combination gas and electric
corporations shall submit to the commission for review and approval at
least one and as many as five proposed pilot thermal energy network
projects. In developing the pilot project proposals, at least one pilot
project in each utility territory shall be proposed in a disadvantaged
community as defined in subdivision five of section 75-0101 of the
environmental conservation law, and if a utility proposes four or more
pilot projects, at least two shall be proposed in disadvantaged
communities. Each utility shall coordinate with other utility
participants, the New York state energy research and development
authority, and consultants with expertise on successful pilot projects
to ensure that the pilot projects are diverse and designed to inform the
commission's decisions in the proceeding on the various ownership,
market, and rate structures for thermal energy networks. The pilot
project proposals shall include specific customer protection plans and
shall be made publicly available on the commission's website and shall
be subject to a public comment period of no less than thirty days.
Within six months of the effective date of this section, the commission
shall determine whether it is in the public interest to approve or
modify such pilot thermal energy network projects and shall issue an
order directing each gas, electric or combination gas and electric
corporation to implement such proposed or modified pilot thermal energy
network projects. In considering whether pilot thermal energy network
projects are in the public interest, the commission shall consider
whether the pilot project will develop information useful for the
commission's promulgation of regulations governing thermal energy
networks, whether the pilot project furthers the climate justice and/or
emissions reduction mandates of the climate leadership and community
protection act, whether the pilot project advances financial and
technical approaches to equitable and affordable building
electrification, and whether the pilot project creates benefits to
customers and society at large, including but not limited to public
health benefits in areas with disproportionate environmental or public
health burdens, job retention/creation, reliability, and increased
affordability of renewable thermal energy options.

3. Each gas, electric, or combination gas and utility corporation
shall report to the commission, on a quarterly basis, and until
completion of the pilot thermal energy network project as determined by
the commission, the status of each pilot thermal energy network project.
The commission shall post and make publicly available such reports on
its website. The report shall include, but not be limited to, the: (a)
stage of development of each pilot project; (b) barriers to development;
(c) number of customers served; (d) costs of the pilot project; (e)
number of jobs retained or created by the pilot project; and (f) any
other such information the commission deems to be in the public
interest.

4. Any thermal energy network created under this section shall
demonstrate that the gas or electric corporation has entered into a
labor peace agreement with a bona fide labor organization of
jurisdiction that is actively engaged in representing gas and electric
corporation employees. The labor peace agreement shall apply to the
employees necessary for the maintenance and operation of such thermal
energy network. The labor peace agreement shall be an ongoing material
condition of authorization to maintain and operate such thermal energy
networks. The employees eligible for these positions shall first be
selected from and offered to a pool of transitioning utility workers who
have lost, or are at risk of losing, their employment with a utility
downsizing its gas transmission and distribution system. Such list of
potential employees shall be provided by affected unions and provided to
the department of labor. The department of labor shall update and
provide such list to the gas or electric corporation ninety days prior
to purchase, acquisition, and/or construction of any thermal energy
network created under this section.

* NB There are 2 § 66-t's