Assembly Bill A11280

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   11280
 
                           I N  A S S E M B L Y
 
                               July 25, 2018
                                ___________
 
 Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. Cusick) --
   read once and referred to the Committee on  Corporations,  Authorities
   and Commissions
 
 AN  ACT  to amend the public service law and the public authorities law,
   in relation to establishing a clean and resilient energy 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-p to read as follows:
   § 66-P. CLEAN AND  RESILIENT  ENERGY  PROGRAM.  1.  AS  USED  IN  THIS
 SECTION:
   (A) "QUALIFIED CLEAN AND RESILIENT SYSTEM" MEANS AN ELECTRICITY GENER-
 ATING SYSTEM OF LESS THAN FIVE MEGAWATTS LOCATED ON THE CUSTOMER SIDE OF
 AN ELECTRIC DISTRIBUTION COMPANY CUSTOMER METER THAT:
   (I)  HAS LOCAL AIR POLLUTANT EMISSIONS OF NO MORE THAN 0.07 POUNDS PER
 MEGAWATT-HOUR (MWH) OF NITROGEN OXIDES, 0.10 POUNDS PER  MWH  OF  CARBON
 MONOXIDE,  0.02  POUNDS  PER  MWH OF VOLATILE ORGANIC COMPOUNDS, AND ONE
 GRAIN PER ONE HUNDRED STANDARD CUBIC FEET, AND  A  LOWER  HEATING  VALUE
 EFFICIENCY OF NO LESS THAN FIFTY-FIVE PERCENT; AND
   (II) IS VERIFIED BY A PROFESSIONAL ENGINEER TO BE CAPABLE OF PROVIDING
 AN  UNINTERRUPTED  SUPPLY OF ELECTRICITY TO A QUALIFIED CLEAN AND RESIL-
 IENT CUSTOMER DURING AN OUTAGE OF THE ELECTRIC DISTRIBUTION SYSTEM  THAT
 EXCEEDS SEVENTY-TWO HOURS; AND
   (III)  IS INSTALLED AT THE FACILITY OF A QUALIFIED CLEAN AND RESILIENT
 CUSTOMER.
   (B) "QUALIFIED CLEAN AND RESILIENT CUSTOMER" MEANS A PUBLIC OR PRIVATE
 ENTITY THAT PROVIDES VITAL PUBLIC SERVICES DURING AN OUTAGE OF THE ELEC-
 TRIC GRID.  QUALIFIED CLEAN AND RESILIENT CUSTOMERS SHALL INCLUDE: TELE-
 COMMUNICATIONS PROVIDERS, LARGE RETAIL STORES, SUPERMARKETS,  GOVERNMENT
 AGENCIES,  DATA CENTERS, TRANSPORTATION SYSTEMS, FINANCIAL INSTITUTIONS,
 GAS STATIONS, EDUCATIONAL INSTITUTIONS, HEALTH CARE PROVIDERS, COMMUNITY
 CENTERS, AND OTHER CUSTOMERS DEEMED  BY  THE  COMMISSION  TO  PROVIDE  A
 SERVICE  THAT  WOULD  PROMOTE  OR  ENHANCE  THE HEALTH AND SAFETY OF THE
 PUBLIC DURING AN OUTAGE OF THE ELECTRIC GRID.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD16300-01-8

 A. 11280                            2
 
   (C) "UNINTERRUPTED" MEANS THAT THE OUTPUT OF THE SYSTEM  IS  DELIVERED
 TO  THE  END-USE  CUSTOMER  THROUGHOUT  AN  ELECTRIC DISTRIBUTION SYSTEM
 OUTAGE, WITH THE EXCEPTION OF MOMENTARY  INTERRUPTIONS  ASSOCIATED  WITH
 TRANSITIONS TO AND FROM GRID PARALLEL AND GRID ISLANDED OPERATIONS.
   2.  WITHIN  FORTY-FIVE DAYS OF THE EFFECTIVE DATE OF THIS SECTION, THE
 COMMISSION SHALL COMMENCE THE  CONSIDERATION  OF  MODIFICATIONS  TO  ITS
 EXISTING  PROGRAMS THAT ENCOURAGE THE DEVELOPMENT OF QUALIFIED CLEAN AND
 RESILIENT SYSTEMS. THE DEPARTMENT SHALL CONSULT WITH THE NEW YORK  STATE
 ENERGY  RESEARCH  AND  DEVELOPMENT  AUTHORITY  IN THE PREPARATION OF ITS
 RECOMMENDATIONS TO THE COMMISSION FOR SUCH  DETERMINATION.  THE  PROGRAM
 MODIFICATIONS SHALL REQUIRE:
   (A)  ADMINISTRATION BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOP-
 MENT AUTHORITY;
   (B) PLANNED ANNUAL EXPENDITURES THAT AMOUNT TO NO  LESS  THAN  TWENTY-
 FIVE  MILLION  DOLLARS COMMENCING IN CALENDAR YEAR TWO THOUSAND NINETEEN
 AND SUSTAINED EACH YEAR THROUGH CALENDAR YEAR TWO THOUSAND TWENTY-NINE;
   (C) INCENTIVE STRUCTURES THAT MAXIMIZE COST-EFFECTIVENESS AND  PRACTI-
 CALITY  THROUGH COMPETITIVE PROCUREMENTS, STANDING-OFFERS, OR PRODUCTION
 INCENTIVES;
   (D) ANNUAL REPORTS  ON  THE  ACHIEVEMENTS  AND  EFFECTIVENESS  OF  THE
 PROGRAM; AND
   (E)  ANY  OTHER  REQUIREMENTS  DEEMED APPROPRIATE BY THE COMMISSION TO
 EFFECTUATE THE PURPOSES OF THIS SECTION.
   § 2. Sections 1020-jj, 1020-kk and 1020-ll of the  public  authorities
 law,  as  renumbered  by chapter 415 of the laws of 2017, are renumbered
 sections 1020-xx, 1020-yy and 1020-zz and a new section 1020-jj is added
 to read as follows:
   § 1020-JJ. CLEAN AND RESILIENT ENERGY INITIATIVE. 1. AS USED  IN  THIS
 SECTION:
   (A) "QUALIFIED CLEAN AND RESILIENT SYSTEM" MEANS AN ELECTRICITY GENER-
 ATING SYSTEM OF LESS THAN FIVE MEGAWATTS LOCATED ON THE CUSTOMER SIDE OF
 THE AUTHORITY'S CUSTOMER METER THAT:
   (I)  HAS LOCAL AIR POLLUTANT EMISSIONS OF NO MORE THAN 0.07 POUNDS PER
 MEGAWATT-HOUR (MWH) OF NITROGEN OXIDES, 0.10 POUNDS PER  MWH  OF  CARBON
 MONOXIDE,  0.02  POUNDS  PER  MWH OF VOLATILE ORGANIC COMPOUNDS, AND ONE
 GRAIN PER ONE HUNDRED STANDARD CUBIC FEET, AND  A  LOWER  HEATING  VALUE
 EFFICIENCY OF NO LESS THAN FIFTY-FIVE PERCENT; AND
   (II) IS VERIFIED BY A PROFESSIONAL ENGINEER TO BE CAPABLE OF PROVIDING
 AN  UNINTERRUPTED  SUPPLY OF ELECTRICITY TO A QUALIFIED CLEAN AND RESIL-
 IENT CUSTOMER DURING AN OUTAGE OF THE ELECTRIC DISTRIBUTION SYSTEM  THAT
 EXCEEDS SEVENTY-TWO HOURS; AND
   (III)  IS INSTALLED AT THE FACILITY OF A QUALIFIED CLEAN AND RESILIENT
 CUSTOMER.
   (B) "QUALIFIED CLEAN AND RESILIENT CUSTOMER" MEANS A PUBLIC OR PRIVATE
 ENTITY THAT PROVIDES VITAL PUBLIC SERVICES DURING AN OUTAGE OF THE ELEC-
 TRIC GRID.  QUALIFIED CLEAN AND RESILIENT CUSTOMERS SHALL INCLUDE: TELE-
 COMMUNICATIONS PROVIDERS, LARGE RETAIL STORES, SUPERMARKETS,  GOVERNMENT
 AGENCIES,  DATA CENTERS, TRANSPORTATION SYSTEMS, FINANCIAL INSTITUTIONS,
 GAS STATIONS, EDUCATIONAL INSTITUTIONS, HEALTH CARE PROVIDERS, COMMUNITY
 CENTERS, AND OTHER CUSTOMERS DEEMED BY THE PUBLIC SERVICE COMMISSION  TO
 PROVIDE A SERVICE THAT WOULD PROMOTE OR ENHANCE THE HEALTH AND SAFETY OF
 THE PUBLIC DURING AN OUTAGE OF THE ELECTRIC GRID.
   (C)  "UNINTERRUPTED"  MEANS THAT THE OUTPUT OF THE SYSTEM IS DELIVERED
 TO THE END-USE  CUSTOMER  THROUGHOUT  AN  ELECTRIC  DISTRIBUTION  SYSTEM
 OUTAGE,  WITH  THE  EXCEPTION OF MOMENTARY INTERRUPTIONS ASSOCIATED WITH
 TRANSITIONS TO AND FROM GRID PARALLEL AND GRID ISLANDED OPERATIONS.

 A. 11280                            3
 
   2. WITHIN FORTY-FIVE DAYS OF THE EFFECTIVE DATE OF THIS  SECTION,  THE
 AUTHORITY  SHALL  COMMENCE  THE  CONSIDERATION  OF  MODIFICATIONS TO ITS
 EXISTING PROGRAMS THAT ENCOURAGE THE DEVELOPMENT OF QUALIFIED CLEAN  AND
 RESILIENT  SYSTEMS.  THE AUTHORITY SHALL CONSULT WITH THE NEW YORK STATE
 PUBLIC  SERVICE  COMMISSION  AND  THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY IN THE DESIGN AND IMPLEMENTATION OF SUCH  PROGRAM.
 THE INITIATIVE SHALL REQUIRE:
   (A)  PLANNED  ANNUAL  EXPENDITURES THAT AMOUNT TO NO LESS THAN FIFTEEN
 MILLION DOLLARS COMMENCING IN CALENDAR YEAR TWO  THOUSAND  NINETEEN  AND
 SUSTAINED EACH YEAR THROUGH CALENDAR YEAR TWO THOUSAND TWENTY-NINE;
   (B)  INCENTIVE STRUCTURES THAT MAXIMIZE COST-EFFECTIVENESS AND PRACTI-
 CALITY THROUGH COMPETITIVE PROCUREMENTS, STANDING-OFFERS, OR  PRODUCTION
 INCENTIVES;
   (C)  ANNUAL  REPORTS  ON  THE  ACHIEVEMENTS  AND  EFFECTIVENESS OF THE
 PROGRAM; AND
   (D) ANY OTHER REQUIREMENTS DEEMED  APPROPRIATE  BY  THE  AUTHORITY  TO
 EFFECTUATE THE PURPOSES OF THIS SECTION.
   § 3. This act shall take effect immediately.