The New York State Senate

 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2935--A
     Cal. No. 237
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             January 25, 2023
                                ___________
 
 Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations  --  reported  favorably from said committee, ordered to first
   and second report, ordered to a third  reading,  amended  and  ordered
   reprinted, retaining its place in the order of third reading
 
 AN ACT enacting the "just energy transition act"
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Short title.  This act shall be known and may be  cited  as
 the "just energy transition act".
   §  2.  Legislative  findings and statement of purpose. The legislature
 hereby finds, determines and declares:
   (a) New York state, especially New York city,  is  reliant  on  fossil
 fuels  for energy production, making the transition to renewable sources
 for the downstate electricity system key to achieving  the  requirements
 of  section  4  of  the  New York state climate leadership and community
 protection act, including that seventy percent of the state's  electric-
 ity  be  from  renewable  energy  sources  by the year 2030 and that one
 hundred percent of the state's electricity be from zero-emission sources
 by the year 2040.
   (b) New York state is committed to  the  responsible  replacement  and
 redevelopment  of its fossil fueled generation facilities that currently
 ensure resource adequacy in the state, especially in locations where the
 health benefits to historically disadvantaged communities can  be  maxi-
 mized,  and  where the cost effective phasing-out of such facilities can
 be done while helping to ensure a just transition for the existing work-
 force.
   (c) A public policy purpose would be served and the interests  of  the
 people  of  the  state would be advanced by directing the New York state
 energy research and development  authority,  in  consultation  with  the
 department of public service and the department of environmental conser-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD06171-03-3
 S. 2935--A                          2
 
 vation,  to  continue the development of the study commenced in 2022, as
 referenced in the climate action council scoping plan of  strategies  to
 facilitate  the  replacement  and redevelopment of New York's oldest and
 most-polluting  fossil  fueled  generation facilities and their sites by
 2030, while ensuring resource adequacy, with renewable energy systems as
 defined in paragraph (b) of subdivision 1 of section 66-p of the  public
 service  law,  energy  storage systems, and electricity transmission and
 distribution systems and equipment.
   (d) It is the intent of  the  legislature  in  enacting  this  act  to
 empower  the  New  York state energy research and development authority,
 department of public service, and department of environmental  conserva-
 tion,  to  develop  a  study  as described in the climate action council
 scoping plan and paragraph (c) of section  three  of  this  act  in  the
 manner  authorized  and  directed herein, and for those entities and the
 public service commission, and any other agencies or authorities of  the
 state  as  may  be required, to commence any proceedings or other initi-
 atives necessary to carry out the strategies described therein.
   § 3. The New York state energy research and development  authority  is
 authorized and directed to:
   (a)  develop  a  study of competitive options to facilitate the phase-
 out, replacement and redevelopment of New York state's oldest and  most-
 polluting  fossil  fueled  generation  facilities and their sites by the
 year 2030, with options that  include  but  are  not  limited  to  those
 described in the scoping plan issued by the climate action council under
 section  75-0103 of the environmental conservation law, renewable energy
 systems as defined in paragraph (b) of subdivision 1 of section 66-p  of
 the  public  service law, energy storage systems, and electricity trans-
 mission and distribution systems and equipment, while ensuring  resource
 adequacy  and other reliability services are maintained, and to do so in
 consultation with the department of public service,  the  department  of
 environmental conservation, Long Island power authority, and other rele-
 vant  state  agencies and authorities with subject matter expertise, the
 federally designated electric bulk system operator, the New  York  State
 Reliability Council, and the owners of such facilities. The study should
 prioritize  the  replacement  and  redevelopment  of  such fossil fueled
 generation facilities with  facilities  that  will  directly  assist  in
 achieving  the  energy,  environmental  justice and emissions reductions
 requirements of section 66-p of the public service law. The study  shall
 address the phase-out of at least four gigawatts of fossil fueled gener-
 ation  statewide  capacity in total and prioritize those facilities that
 only operate when electricity usage is highest. The study shall  include
 recommendations of standards and requirements that:
   (i)  significantly  reduce  the state's electricity system reliance on
 fossil fuels, taking into account the requirements  and  timing  of  the
 state's emission reduction programs;
   (ii) establish a competitive program to promote private sector invest-
 ment  in  eligible  technologies  that the public service commission has
 determined, after notice and provision for the opportunity  to  comment,
 ensure  resource  adequacy,  while achieving the requirements of section
 66-p of the public service law;
   (iii) provide significant environmental, health and other benefits  to
 disadvantaged  communities  as  such  communities  will be defined under
 section 75-0111 of the environmental conservation law; and
   (iv) have  significant  potential  for  job  creation  and  retention,
 economic  development,  and just transition opportunities benefiting New
 Yorkers and the state's workforce, as  described  in  the  scoping  plan
 S. 2935--A                          3

 issued  by the climate action council under section 75-0103 of the envi-
 ronmental conservation law; and
   (v)  ensure  the  availability of assistance under the electric gener-
 ation facility cessation mitigation fund established  in  section  1  of
 part BB of chapter 58 of the laws of 2016 to any local government entity
 impacted  by  the  replacement and redevelopment of fossil fueled gener-
 ation facilities under this section;
   (b) provide  public  notice  of  the  study, and ensure the results of
 the study are made easily accessible to members of disadvantaged  commu-
 nities,  as defined in section 75-0101 of the environmental conservation
 law, and provide an opportunity for public comment on the study  of  not
 less  than  sixty  days and conduct at least two  public hearings on the
 study, of which at least one shall be held in disadvantage  communities,
 as defined in section 75-0101 of the environmental conservation law with
 such public hearings offering  video participation and accessibility;
   (c)  address  public  comments  and  update the study, as appropriate,
 especially to ensure resource  adequacy  and  reliability  services  are
 maintained; and
   (d)  deliver  the  study  to  the governor, temporary president of the
 senate and speaker of the assembly within 180 days of the effective date
 of this section.
   § 4. The department of public service, the department of environmental
 conservation, and Long Island power authority shall commence proceedings
 and stakeholder processes to establish programs  and  other  initiatives
 necessary to carry out the strategies, programs, standards, and require-
 ments  described  in  the study referred to in section three of this act
 within 60 days of delivery of the study to the governor, temporary pres-
 ident of the senate and speaker of the assembly.
   § 5. The public service commission shall:
   (a) commence a proceeding to implement the strategies, programs, stan-
 dards, and requirements described in the study referred  to  in  section
 three  of this act within 90 days of delivery of the study to the gover-
 nor, temporary president of the senate and speaker of the assembly; and
   (b)  issue  an  order  regarding  implementation  of  the  strategies,
 programs, standards, and requirements described in the study referred to
 in  section  three  of  this act no later than July 30, 2024. Such order
 shall at a minimum:
   (i) direct the New York state energy research and development authori-
 ty to implement a competitive award process to facilitate  the  replace-
 ment  and  redevelopment  of  at  least  four gigawatts of fossil fueled
 generation facilities statewide while maintaining reliability consistent
 with the recommendations of the study pursuant to section three of  this
 act; and
   (ii)  direct  that  with  respect  to  the  competitive  award process
 required, the only eligible electricity  generation  from  hydroelectric
 facilities  shall  be electricity that is generated from non-state-owned
 low impact run-of-river facilities that provide a year-round electricity
 capacity resource.
   § 6. The Long Island power authority  shall  establish  a  program  or
 programs  in its service territory consistent with the recommendation of
 the  study  conducted  pursuant  to  section  three  of  this  act,  the
 provisions of section five of this act, and the objectives of this act.
   § 7. This act shall take effect immediately.