NY State Senate Bill 2017-S6063

Senate Bill S6063

2017-2018 Legislative Session

Relates to carbon dioxide allowances for biomass-fired electric generating facilities under the carbon dioxide budget trading program

download bill text pdf

Archive: Last Bill Status - In Senate Committee Rules Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 20, 2018	committed to rules
May 30, 2018	advanced to third reading
May 22, 2018	2nd report cal.
May 16, 2018	1st report cal.1290
Jan 03, 2018	referred to energy and telecommunications
May 10, 2017	referred to energy and telecommunications

Votes

- May 16, 2018 - Energy And Telecommunications Committee Vote
  S6063
  
  5
  
  Aye
  
  2
  
  Nay
  
  3
  
  Aye with Reservations
  
  0
  
  Absent
  
  1
  
  Excused
  
  0
  
  Abstained
  - - Energy And Telecommunications Committee Vote: May 16, 2018
      
      aye (5)
      
      Griffo
      
      Little
      
      O'Mara
      
      Ortt
      
      Ritchie
      
      nay (2)
      
      Comrie
      
      Dilan
      
      aye wr (3)
      
      Kennedy
      
      Parker
      
      Peralta
      
      excused (1)
      
      Croci

co-Sponsors

2017-S6063 (ACTIVE) - Details

Current Committee:: Senate Rules
Law Section:: Public Service Law
Laws Affected:: Add §73, Pub Serv L; amd §1854, Pub Auth L; amd §19-0312, En Con L
Versions Introduced in Other Legislative Sessions:: 2013-2014: S6499
2015-2016: S4529
2019-2020: S1431
2021-2022: S2671

2017-S6063 (ACTIVE) - Summary

Establishes that electric generating facilities that use biomass for more than 50% of its annual heat input shall not be required to obtain carbon dioxide allowances for carbon dioxide emissions attributable to the burning of biomass under the carbon dioxide budget trading program.

2017-S6063 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S6063

 TITLE OF BILL :  An act to amend the public service law, the public
authorities law, and the environmental conservation law, in relation
to biomass-fired electric generating facilities subject to the
regional greenhouse gas initiative and the CO2 budget trading program

 PURPOSE :

To encourage existing coal-fired electricity generating facilities to
convert to combusting biomass.

 SUMMARY OF PROVISIONS :

Section 1: Declares the Legislature's intent.

Section 2: Adds section 73 to the public service law.

Section 3: Amends section 1854 of the public authorities law by adding
a new subdivision 22.

Section 4: Amends section 19-0321 of the environmental conservation
law by adding a new subdivision 4.

Section 5: States that the act shall take effect ninety days after
this bill shall have become law. Section five also authorizes the

Department of Environmental Conservation to amend or repeal any
regulation necessary for the implementation of the act.

 JUSTIFICATION :

New York State's Regional Greenhouse Gas Initiative effort to reduce
pollution and CO2 emissions by encouraging the development of
renewable energy sources has shown that a market-based approach can
result in a cleaner environment and economic growth. Encouraging
investment in locally produced renewable energy sources such as
biomass has helped reduce New York's dependency on fossil fuels while
spurring the upstate economy. Converting coal-fired electric
generating facilities to use biomass, such as the recent
transformation at Fort Drum's military installation, can also spur New
York's upstate economy by creating new forestry-based jobs harvesting
waste wood and low value wood products.

The combustion of biomass offers a sustainable and manageable carbon
lifecycle since the materials included in biomass generally absorb
atmospheric carbon during their lifecycle and then return it to the
atmosphere during combustion. This process mimics the natural
lifecycle of plant life that can fall to the forest floor, decompose
and return its carbon to the atmosphere. Expanding the use of biomass
as a renewable energy source helps support more than four thousand
jobs employed directly or indirectly by the industry.

In fact, many of the largest and more successful biomass facilities
are located in New York State's rural areas that have high
unemployment and are in desperate need of new jobs and economic
growth. New York State also possesses an abundance of biomass fuel due
to the large amount of untapped forest and agricultural land where
biomass fuel can be collected. Biomass is the equivalent of solar
energy stored in organic matter and is environmentally friendly while
costing around one third of the cost of fossil fuels.

New York's RGGI policies already encourage the development of new
biomass-fired electric generating facilities. However, the state can
help encourage more conversions of coal-fired facilities (boilers,
combustion turbines, or combined cycle systems) to environmentally

friendly biomass systems by treating conversions in the same manner as
a new facility.

To remedy this situation, and consistent with the intent of RGGI to
encourage more renewable energy generation, the legislature declares
that formerly coal-fired electric generating facilities that convert
to primarily biomass-fired facilities shall be treated in the same
manner as a new biomass facility under the RGGI regulations.

 LEGISLATIVE HISTORY :

New bill.

 FISCAL IMPLICATIONS :

To be determined

 EFFECTIVE DATE :
This act shall take effect within 90 days.

2017-S6063 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6063
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               May 10, 2017
                                ___________
 
 Introduced  by  Sens. RITCHIE, GRIFFO -- read twice and ordered printed,
   and when printed to be committed to the Committee on Energy and  Tele-
   communications
 
 AN  ACT to amend the public service law, the public authorities law, and
   the environmental conservation law, in relation to biomass-fired elec-
   tric generating facilities subject  to  the  regional  greenhouse  gas
   initiative and the CO2 budget trading program
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1.  Legislative  intent.  The  legislature  hereby  finds  and
 declares  that  it is in the economic and environmental interests of the
 citizens of the state of New York to  support  and  encourage  renewable
 energy generation through the conversion of coal-fired electric generat-
 ing  facilities  to  biomass-fired facilities. The combustion of biomass
 offers a sustainable and manageable carbon lifecycle since the materials
 included in biomass generally absorb  atmospheric  carbon  during  their
 lifecycle  and then return it to the atmosphere during combustion.  This
 process mimics the natural lifecycle of plant life that can fall to  the
 forest floor, decompose and return its carbon to the atmosphere.
   The  legislature  further  finds  and declares that biomass production
 facilities support and sustain jobs, particularly in upstate  New  York,
 where more than four thousand people are employed directly or indirectly
 by  the industry. In fact, many of the largest and most successful biom-
 ass facilities are located in parts of New York  state  that  have  high
 unemployment and are in desperate need of economic development. New York
 state  also  possesses  an  abundance  of  biomass fuel due to the large
 amount of untapped forest and agricultural land where biomass  fuel  can
 be collected. Biomass is the equivalent of solar energy stored in organ-
 ic matter and is environmentally friendly while costing around one third
 of the cost of fossil fuels.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD07123-01-7

 S. 6063                             2
 
   As  such,  to the extent that operators of electric generating facili-
 ties in New York state are willing to convert formerly coal-fired facil-
 ities (boilers, combustion  turbines,  or  combined  cycle  systems)  to
 instead  be fueled by biomass, state policy should encourage and support
 such  conversions  rather  than discourage them. While new biomass-fired
 electric generating facilities are not required to  acquire  CO2  allow-
 ances  under  the  regulations  implementing the Regional Greenhouse Gas
 Initiative (RGGI) in New York state, former coal-fired  facilities  that
 convert  to  combusting biomass are still subject to RGGI's requirements
 under existing regulations, which effectively discourages  such  conver-
 sions.  To remedy this situation, and consistent with the intent of RGGI
 to encourage more renewable energy generation, the legislature  declares
 that  formerly coal-fired electric generating facilities that convert to
 primarily biomass-fired facilities shall be treated in the  same  manner
 as a new biomass facility under the RGGI regulations.
   §  2.  The public service law is amended by adding a new section 73 to
 read as follows:
   § 73. COOPERATION WITH THE NEW YORK STATE ENERGY RESEARCH AND DEVELOP-
 MENT AUTHORITY AND THE DEPARTMENT  OF  ENVIRONMENTAL  CONSERVATION.  THE
 DEPARTMENT  SHALL  COOPERATE WITH THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY AND THE DEPARTMENT OF  ENVIRONMENTAL  CONSERVATION
 IN  THE  IMPLEMENTATION  OF  SUBDIVISION  FOUR OF SECTION 19-0312 OF THE
 ENVIRONMENTAL CONSERVATION LAW RELATING TO ELECTRIC  GENERATING  FACILI-
 TIES  THAT  ARE  SUBJECT TO THE CO2 BUDGET TRADING PROGRAM (6 NYCRR PART
 242) ESTABLISHED BY THE  DEPARTMENT  OF  ENVIRONMENTAL  CONSERVATION  IN
 CONNECTION WITH THE REGIONAL GREENHOUSE GAS INITIATIVE.
   § 3. Section 1854 of the public authorities law is amended by adding a
 new subdivision 22 to read as follows:
   22.  COOPERATION WITH THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION AND
 THE DEPARTMENT OF PUBLIC SERVICE. THE AUTHORITY SHALL COOPERATE WITH THE
 DEPARTMENT OF ENVIRONMENTAL CONSERVATION AND THE  DEPARTMENT  OF  PUBLIC
 SERVICE  IN THE IMPLEMENTATION OF SUBDIVISION FOUR OF SECTION 19-0312 OF
 THE ENVIRONMENTAL  CONSERVATION  LAW  RELATING  TO  ELECTRIC  GENERATING
 FACILITIES  THAT  ARE SUBJECT TO THE CO2 BUDGET TRADING PROGRAM (6 NYCRR
 PART 242) ESTABLISHED BY THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION IN
 CONNECTION WITH THE REGIONAL GREENHOUSE GAS INITIATIVE.
   § 4. Section 19-0312 of the environmental conservation law is  amended
 by adding a new subdivision 4 to read as follows:
   4.  NOTWITHSTANDING ANY LAW, RULE, REGULATION OR POLICY TO THE CONTRA-
 RY, AN ELECTRIC GENERATING FACILITY  INCLUDING  ANY  BOILER,  COMBUSTION
 TURBINE  OR  COMBINATION CYCLE SYSTEM, THAT A. WAS FORMERLY FOSSIL FUEL-
 FIRED DUE TO THE USE OF COAL AS ITS PRIMARY FUEL,
   B. IS NO LONGER AUTHORIZED TO COMBUST  COAL  UNDER  ITS  AIR  TITLE  V
 FACILITY  PERMIT  ISSUED  BY  THE DEPARTMENT PURSUANT TO 6 NYCRR SUBPART
 201-6,
   C. USES ELIGIBLE BIOMASS FOR MORE THAN FIFTY  PERCENT  OF  ITS  ANNUAL
 HEAT INPUT, AND
   D.  USES  FOSSIL  FUEL  FOR  LESS THAN FIVE PERCENT OF ITS ANNUAL HEAT
 INPUT, SHALL NOT BE DEFINED AS FOSSIL FUEL-FIRED UNDER  THE  CO2  BUDGET
 TRADING  PROGRAM  (6 NYCRR PART 242).  FOR THE PURPOSES OF THIS SUBDIVI-
 SION:
   "BOILER", "COMBUSTION TURBINE",  "COMBINED  CYCLE  SYSTEM",  "ELIGIBLE
 BIOMASS"  AND  "FOSSIL FUEL" SHALL HAVE THE SAME MEANINGS AS ASCRIBED TO
 SUCH TERMS IN 6 NYCRR § 242-1.2.
   § 5. This act shall take effect on the ninetieth day  after  it  shall
 have  become  a law and shall apply to all control periods commencing on

 S. 6063                             3
 
 or after January 1, 2012; provided however, that  effective  immediately
 the  department of environmental conservation is authorized and directed
 to amend, revise and/or repeal any rule, regulation or policy  necessary
 for the implementation of this act on or before such effective date.

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Senate Bill S6063

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Sponsored By

Patty Ritchie