S T A T E   O F   N E W   Y O R K
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                                  9163

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                           September 30, 2009
                               ___________

Introduced by M. of A. COLTON -- read once and referred to the Committee
  on Energy

AN  ACT  to  amend the public service law, in relation to New York state
  voltage regulation pilot program

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

  Section  1.  The public service law is amended by adding a new section
66-m to read as follows:
  S 66-M. VOLTAGE REGULATION PILOT  PROGRAM.  1.  THE  COMMISSION  SHALL
ESTABLISH  A  NEW YORK STATE PILOT PROGRAM PROMOTING ENERGY CONSERVATION
THROUGH VOLTAGE REGULATION AND THEREBY IMPROVING THE EFFICIENCY  OF  THE
ELECTRIC GRID.
  2.  THE  COMMISSION  SHALL  OVERSEE  THE  IMPLEMENTATION  OF THE PILOT
PROGRAM AND SHALL ISSUE AN ORDER OF THE COMMISSION  AUTHORIZING  CAPITAL
AND  OPERATING  COSTS  OF  QUALIFYING VOLTAGE REGULATION EQUIPMENT TO BE
RECOVERED IN EACH UTILITY'S RATE BASES AND TO EARN A  REASONABLE  RETURN
OVER  A  PERIOD  TO BE DETERMINED BY THE COMMISSION, PROVIDED THE CORPO-
RATION SHALL, AT A MINIMUM, PROVIDE THE COMMISSION WITH THE FOLLOWING:
  (A) A DETAILED DESCRIPTION AND ECONOMIC  EVALUATION  OF  THE  PROPOSED
INVESTMENTS IN ITS SERVICE AREAS;
  (B)  AN  ANALYSIS  OF  THE  COSTS, BENEFITS AND RISKS OF THE PROPOSAL,
INCLUDING AN ANALYSIS OF THE COSTS, BENEFITS AND  RATE  IMPLICATIONS  TO
THE  UTILITY'S PARTICIPATING CUSTOMERS, TO THE UTILITY'S DEFAULT SERVICE
CUSTOMERS AND TO THE UTILITY'S DISTRIBUTION CUSTOMERS;
  (C) A DESCRIPTION OF THE QUALIFIED VOLTAGE  REGULATION  EQUIPMENT  AND
ITS  SPECIFICATIONS,  INSTALLATION  SPECIFICATIONS,  SOLICITATIONS,  AND
PROCUREMENTS THE UTILITY HAS IMPLEMENTED OR INTENDS TO IMPLEMENT;
  (D) A SHOWING THAT THE UTILITY HAS MADE REASONABLE EFFORTS TO  INVOLVE
NEW  YORK  STATE-BASED BUSINESSES, AND MINORITY AND WOMEN-OWNED BUSINESS
ENTERPRISES, AS DEFINED IN SECTION THREE HUNDRED TEN  OF  THE  EXECUTIVE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD14625-02-9

              

A. 9163                             2

LAW, IN THE MANUFACTURE OR SUPPLY OF QUALIFIED VOLTAGE REGULATION EQUIP-
MENT; AND
  (E)  OPERATE  IN COMPLIANCE WITH ANY STANDARDS AND REQUIREMENTS ESTAB-
LISHED BY THE COMMISSION IN CONSULTATION WITH THE NEW YORK STATE  ENERGY
AND RESEARCH DEVELOPMENT AUTHORITY.
  3.  QUALIFIED  VOLTAGE  REGULATION  EQUIPMENT SHALL BE SYNONYMOUS WITH
QUALIFIED VOLTAGE REGULATION DEVICE, AND SHALL MEAN  VOLTAGE  REGULATION
TECHNOLOGIES  WHICH  REDUCE ENERGY CONSUMPTION, IMPROVE GRID EFFICIENCY,
RAISE OR LOWER VOLTAGE DYNAMICALLY AND ARE NINETY-NINE PERCENT  OR  MORE
EFFICIENT ACROSS A MINIMUM OF NINETY PERCENT OF THE ELECTRIC LOAD CURVE.
  S  2. The public service commission, in consultation with the New York
State Energy and Research Development Authority, shall provide an annual
report on or before the first day of June to the governor, the temporary
president of the senate, the speaker of the assembly, the minority lead-
er of the senate, and the minority leader of the assembly reporting  the
progress of their efforts and the effects of the program on the environ-
ment  and  public. Such report shall identify: (i) each utility that has
elected to install qualified voltage regulation equipment,  the  capital
and  operating  costs  of which shall be recovered in the utility's rate
base; (ii) the amount of savings, if any, generated by the use  of  such
qualified  voltage  regulation  devices;  (iii) any improvements to such
utility's reliability measures and finances; and (iv) the number of such
qualified voltage regulation devices that are installed and  in  use  by
customers in each utility's service areas.
  S  3.  This act shall take effect immediately; provided, however, that
not later than the ninetieth day after this act shall have become a law,
the commission shall commence a rulemaking proceeding to  prescribe  the
standards  and  requirements  with  which  qualified  voltage regulation
equipment must comply in order to be installed by utilities  in  certain
service areas.