S T A T E O F N E W Y O R K
________________________________________________________________________
976
2015-2016 Regular Sessions
I N A S S E M B L Y
January 8, 2015
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Introduced by M. of A. ENGLEBRIGHT, COLTON, ORTIZ -- Multi-Sponsored by
-- M. of A. CAHILL, COOK, HOOPER, PERRY -- read once and referred to
the Committee on Energy
AN ACT to amend the public service law and the public authorities law,
in relation to clean energy development
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-o to read as follows:
S 66-O. CLEAN ENERGY DEVELOPMENT. 1. FOR THE PURPOSES OF THIS SECTION,
THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
(A) "CLEAN ENERGY" MEANS ELECTRIC ENERGY SUPPLIED TO CONSUMERS THROUGH
A TRANSMISSION OR DISTRIBUTION SYSTEM USING CLEAN ENERGY TECHNOLOGIES.
(B) "CLEAN ENERGY TECHNOLOGIES" MEANS ELECTRICITY GENERATION TECHNOLO-
GIES THAT PRODUCE ELECTRICITY USING SOLAR THERMAL ENERGY, PHOTOVOLTAICS,
WIND, FUEL CELLS, GEOTHERMAL, METHANE WASTE AND SUSTAINABLY MANAGED
BIOMASS AND THERMAL ENERGY PRODUCED BY SOLAR TECHNOLOGIES AND THERMAL
ENERGY TRANSFER FROM SURFACE WATER, GROUND WATER OR THE EARTH. IF AFTER
THE EFFECTIVE DATE OF THIS SECTION, NEW ENERGY TECHNOLOGIES EMERGE THAT
WERE UNFORESEEABLE AT THE TIME OF SUCH EFFECTIVE DATE THE COMMISSIONER
OF ENVIRONMENTAL CONSERVATION MAY DESIGNATE SUCH TECHNOLOGIES AS CLEAN
ENERGY TECHNOLOGIES BASED UPON A FINDING THAT THE AIR, WATER, ECOSYSTEM,
PUBLIC HEALTH AND WASTE DISPOSAL IMPACTS OF SUCH NEW TECHNOLOGIES ARE
COMPARABLE TO THOSE OF THE CLEAN ENERGY TECHNOLOGIES OTHERWISE LISTED IN
THIS PARAGRAPH. ANY SUCH DESIGNATION SHALL ONLY TAKE PLACE FOLLOWING A
COMPLETE OPPORTUNITY FOR PUBLIC REVIEW AND COMMENT CONSISTENT WITH THE
STATE ADMINISTRATIVE PROCEDURE ACT.
(C) "LOAD SERVING ENTITY" MEANS ANY PERSON, CORPORATION, COMPANY,
PARTNERSHIP, ASSOCIATION, PRIVATE, MUNICIPAL AND STATE UTILITIES, OR
OTHER LEGAL ENTITY SELLING ELECTRIC POWER TO END-USE CUSTOMERS.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05987-02-5
A. 976 2
(D) "SOLID WASTE" SHALL HAVE THE SAME MEANING AS IS ASCRIBED TO SUCH
TERM PURSUANT TO SECTION 27-0501 OF THE ENVIRONMENTAL CONSERVATION LAW.
(E) "SUSTAINABLY MANAGED BIOMASS" MEANS ANAEROBIC DIGESTION OF ANY
WASTE OR COMBUSTION OF ANY OF THE FOLLOWING SUBSTANCES: CAPTURED LAND-
FILL METHANE, SECONDARY WOOD WASTE (WHICH SHALL INCLUDE ONLY NON-TREATED
WOOD WASTE AND SHALL BE LIMITED TO SAWDUST, WOOD CHIPS AND WOOD SHAVINGS
PRODUCED AS BY-PRODUCTS IN THE MILLING, PROCESSING OR MANUFACTURING OF
WOOD PRODUCTS), WOODY AGRICULTURAL WASTE AND SUSTAINABLE BIO-CROPS. SUCH
TERM SHALL NOT INCLUDE COMBUSTION OR PYROLYSIS OF SOLID WASTES, TIMBER,
FOREST FLOOR SWEEPINGS AND HERBACEOUS CROP RESIDUES, WHETHER OR NOT
ENERGY IS RECOVERED THEREFROM.
2. WITHIN TWELVE MONTHS OF THE EFFECTIVE DATE OF THIS SECTION, THE
COMMISSION SHALL ADOPT CLEAN ENERGY RULES AND REGULATIONS REQUIRING EACH
LOAD SERVING ENTITY IN THIS STATE TO ENSURE THAT, ON OR BEFORE JULY
FIRST, TWO THOUSAND SEVENTEEN NO LESS THAN ONE-HALF OF ONE PERCENT OF
THE ELECTRIC ENERGY SUCH ENTITY HAS SUPPLIED TO EACH CUSTOMER IN THE
PREVIOUS TWELVE MONTH PERIOD WAS GENERATED USING CLEAN ENERGY TECHNOLO-
GIES. THE COMMISSION SHALL INCREASE THE REQUIRED PERCENTAGE OF CLEAN
ENERGY REQUIRED BY ONE-HALF OF ONE PERCENT EACH YEAR ON JULY FIRST,
UNTIL THE AMOUNT OF CLEAN ENERGY SUPPLIED TO CUSTOMERS IN THIS STATE
REACHES SIX PERCENT, AND BY ONE PERCENT EACH YEAR THEREAFTER UNTIL THE
AMOUNT OF ENERGY SUPPLIED TO CUSTOMERS IN THIS STATE REACHES TEN PERCENT
OR SUCH LATER DATE AS THE COMMISSION SHALL DETERMINE, PROVIDED HOWEVER
THAT THE COMMISSION SHALL NOT DECREASE THE REQUIRED PERCENTAGE OF CLEAN
ENERGY REQUIRED AT ANY TIME.
3. THE COMMISSION SHALL REVIEW ELECTRICITY PRODUCTS SOLD BY EACH LOAD
SERVING ENTITY IN THE STATE ON A PERIODIC BASIS TO ENSURE THAT THE
REQUIREMENTS SET FORTH IN THIS SECTION ARE MET. THE COMMISSION SHALL
REVIEW ITS REGULATIONS AND REQUIREMENTS FOR ENVIRONMENTAL DISCLOSURE
LABELS TO ENSURE THAT INFORMATION PROVIDED TO CUSTOMERS CONCERNING CLEAN
ENERGY IS NOT CONFUSING AND TO CONSIDER WHETHER IT IS APPROPRIATE TO
REQUIRE ALL DISCLOSURE LABELS TO INDICATE THE MINIMUM PERCENTAGE OF
CLEAN ENERGY REQUIRED PURSUANT TO THIS SECTION.
4. A LOAD SERVING ENTITY MAY SATISFY THE REQUIREMENTS OF THIS SECTION
BY ENTERING INTO CONVERSION TRANSACTIONS ESTABLISHED PURSUANT TO THE
COMMISSION'S ENVIRONMENTAL DISCLOSURE PROGRAM OR SUCH OTHER TRADING
PROGRAM THAT THE COMMISSION MAY ESTABLISH. THE COMMISSION SHALL ESTAB-
LISH A COMPLIANCE PROTOCOL THAT PERMITS LOAD SERVING ENTITIES TO ENTER
INTO CONVERSION TRANSACTIONS OR PURCHASE CREDITS FOR CLEAN ENERGY
SUPPLIED BY LOAD SERVING ENTITIES ON OR BEFORE THE JULY FIRST, TWO THOU-
SAND SEVENTEEN COMPLIANCE DATE. SUCH PROGRAM SHALL ALLOW BANKING OF
CREDITS FOR CLEAN ENERGY SUPPLIED IN EXCESS OF REQUIREMENTS FOR A PERIOD
OF TWO YEARS, AND MAY ALLOW COMPLIANCE TO BE DEMONSTRATED WITHIN THREE
MONTHS OF THE END OF THE CALENDAR YEAR IN ORDER TO ALLOW FOR COMPLIANCE
VIA THE TRADING PROGRAM.
5. THE COMMISSION SHALL REQUIRE ANY LOAD SERVING ENTITY THAT FAILS TO
MEET ITS OBLIGATIONS UNDER THIS SECTION TO PAY A FINE TO THE COMMISSION
IN AN AMOUNT EQUAL TO THE PRODUCT OF TWO CENTS AND THE DIFFERENCE
BETWEEN KILOWATT-HOURS OF CLEAN ENERGY IT IS REQUIRED TO SUPPLY TO EACH
CUSTOMER IN THE PREVIOUS TWELVE MONTH PERIOD AND THE AMOUNT OF CLEAN
ENERGY ACTUALLY SUPPLIED OR SECURED VIA PURCHASE OF CREDITS IN THE TRAD-
ING PROGRAM DESCRIBED IN SUBDIVISION FOUR OF THIS SECTION. THE CONTRIB-
UTION SHALL BE REDUCED TO ONE AND ONE-HALF CENT FOUR YEARS AFTER THE
START OF THE CLEAN ENERGY REQUIREMENT AND FURTHER REDUCED TO ONE CENT
AND ONE-HALF CENT EIGHT AND TWELVE YEARS AFTER THE START OF THE CLEAN
ENERGY REQUIREMENT RESPECTIVELY.
A. 976 3
S 2. Section 1005 of the public authorities law is amended by adding a
new subdivision 25 to read as follows:
25. NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, TO
COMPLY WITH THE PROVISIONS OF SECTION SIXTY-SIX-O OF THE PUBLIC SERVICE
LAW.
S 3. Section 1020-s of the public authorities law, as amended by chap-
ter 388 of the laws of 2011, is amended by adding a new subdivision 3 to
read as follows:
3. NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, THE PROVISIONS
OF SECTION SIXTY-SIX-O OF THE PUBLIC SERVICE LAW SHALL BE APPLICABLE TO
THE AUTHORITY.
S 4. This act shall take effect immediately.