senate Bill S5484A

Relates to the department of public service and limiting increases in the amount of the surcharge of the system benefit charge or the surcharge for the renewable portfolio standard

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 16 / May / 2013
    • REFERRED TO ENERGY AND TELECOMMUNICATIONS
  • 16 / Dec / 2013
    • AMEND AND RECOMMIT TO ENERGY AND TELECOMMUNICATIONS
  • 16 / Dec / 2013
    • PRINT NUMBER 5484A
  • 08 / Jan / 2014
    • REFERRED TO ENERGY AND TELECOMMUNICATIONS
  • 28 / Jan / 2014
    • REPORTED AND COMMITTED TO FINANCE
  • 28 / May / 2014
    • 1ST REPORT CAL.951
  • 29 / May / 2014
    • 2ND REPORT CAL.
  • 02 / Jun / 2014
    • ADVANCED TO THIRD READING
  • 20 / Jun / 2014
    • COMMITTED TO RULES

Summary

Relates to the department of public service and limits increases in the amount of the surcharge of the system benefit charge or the surcharge for the renewable portfolio standard.

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Bill Details

See Assembly Version of this Bill:
A8515
Versions:
S5484
S5484A
Legislative Cycle:
2013-2014
Current Committee:
Senate Rules
Law Section:
Public Service Law
Laws Affected:
Add ยง18, Pub Serv L

Votes

9
0
9
Aye
0
Nay
1
aye with reservations
0
absent
0
excused
0
abstained
show Energy and Telecommunications committee vote details

Sponsor Memo

BILL NUMBER:S5484A

TITLE OF BILL: An act to amend the public service law, in relation to
limiting increases in the amount of the surcharge of the system
benefit charge or the surcharge for the renewable portfolio standard

PURPOSE:

To cap the impacts of these three surcharges in order to encourage
efficiencies in the application of the RPS SBC and EEPS programs,
while protecting ratepayers from increases on their utility bills
through a moratorium on any new energy related surcharges, fees or
taxes that may be promulgated by the Public Service Commission.

SUMMARY OF PROVISIONS:

Section 2: Amends the public service law by adding a new section 18
that caps the surcharges associated with the system benefit charge and
renewable portfolio standard at 2014 levels.

Section 3: Places a moratorium on the PSC's ability to impose any new
surcharge, tax or fee on utility ratepayers.

Section 4: Sets forth the effective date.

JUSTIFICATION:

Energy efficiency and renewable energy programs have increasingly
contributed positively to both our State's environmental and economic
development Goals. Specifically, we have seen large expansions in the
field of first wind energy and now solar energy development, with the
ultimate goal as set by the Public Service Commission of meeting 30%
of the state's electricity demand from renewable sources. In 2013 we
witnessed the highest annual cost for these programs to date, as the
total collected for the System Benefit Charge reaches $12,710,140 and
for the Renewable Portfolio Standard $243,944,012. Capping these
programs at the 2014 level, continues to provide surety to the
renewable energy sector by providing consistent and significant
funding, while limiting the impact on captive ratepayers. In addition,
section two of this bill places a moratorium on any further energy
surcharges being added to a customer's bill by the Public Service
Commission. The Commission has over the years imposed fees on
ratepayers without legislative approval, thereby increasing the cost
of utility delivery service without legislative approval. Moving
forward, increases on your utility bill, like potential increases in
other taxes, would become the purview of the Legislature solely.
Managing the cost of electricity is vitally important, because access
to affordable electricity and home heating fuel is a necessity for all
New Yorkers, and one that more and more of our citizens are struggling
with. Historically, utility costs in New York have been higher than
most other states - and consumers have felt the effects. A recent AARP
survey of New Yorkers over age 50 revealed 41 percent reported that
they had difficulty paying their monthly electric bill. This figure
was even higher among minority populations with 48 percent of African
Americans and 56 percent of Hispanics age 50+ in New York indicating
that they experienced difficulty paying their electric bill.
According to the same AARP survey in 2010, there were 321,995


residential customers who had their utility service shut off for
non-payment of bills. The high utility costs in New York are driven by
elevated delivery charges that are largely made up of taxes and
surcharges. This nexus is even clearer when measured against the fact
that wholesale energy commodity prices in New York reached their
lowest level in recent history in 2012. All of this argues for a
policy change that preserves our commitment to building clean,
renewable energy capacity in New York, while taking actions to ensure
greater efficiency in each program, so that any impacts on ratepayer s
can be mitigated and controlled.

LEGISLATIVE HISTORY:

This is a new bill

FISCAL IMPLICATIONS:

None

EFFECTIVE DATE:

This act shall take effect immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 5484--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              May 16, 2013
                               ___________

Introduced  by  Sens. MAZIARZ, SEWARD, SAMPSON -- read twice and ordered
  printed, and when printed to be committed to the Committee  on  Energy
  and  Telecommunications -- committee discharged, bill amended, ordered
  reprinted as amended and recommitted to said committee

AN ACT to  amend  the  public  service  law,  in  relation  to  limiting
  increases  in the amount of the surcharge of the system benefit charge
  or the surcharge for the renewable portfolio standard

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  This  act  shall be known and may be cited as the "Energy
assessment cap and consumer cost relief act of 2014".
  S 2. The public service law is amended by adding a new section  18  to
read as follows:
  S  18.  LIMIT  ON  SURCHARGE INCREASES. NOTWITHSTANDING ANY LAW, RULE,
REGULATION OR ORDER TO THE CONTRARY, THE COMMISSION SHALL  NOT  INCREASE
THE  AMOUNT  OF  THE  SURCHARGE  OF  THE  SYSTEM  BENEFIT  CHARGE OR THE
SURCHARGE FOR THE RENEWABLE PORTFOLIO STANDARD OR THE SURCHARGE FOR  THE
ENERGY  EFFICIENCY  PORTFOLIO  STANDARD  AS  ESTABLISHED BY ORDER OF THE
COMMISSION FOR ANY YEAR IN EXCESS OF THE TOTAL AMOUNT COLLECTED  IN  TWO
THOUSAND FOURTEEN FOR EACH SURCHARGE.
  S 3. Moratorium on new energy taxes and fees. Notwithstanding any law,
rule, regulation or order to the contrary, the public service commission
shall  not  establish any new surcharge assessment, tax or fee on energy
consumers, excepting those fees which may arise from an electric  gener-
ating  facility that provides notice of closure to such commission and a
reliability need is identified by the bulk system operator.
  S 4. This act shall take effect immediately.


 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10908-02-3

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