S T A T E O F N E W Y O R K
________________________________________________________________________
10856
I N A S S E M B L Y
April 8, 2026
___________
Introduced by M. of A. ALVAREZ -- read once and referred to the Commit-
tee on Energy
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-
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
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01714-04-6
A. 10856 2
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 renewable generation options that include 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
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
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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 60 days and conduct at least two public hearings on the
study, of which at least one shall be held in disadvantaged 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, 2027. 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 that as part of such competitive award process, consideration
shall be given to security of offtake with respect to generation and
transmission; 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 located in the state that provide a
year-round electricity capacity resource.
(c)(i) Any projects pursuant to this section, or the study provided
herein, shall be deemed public work and shall be subject to and
performed in accordance with articles 8 and 9 of the labor law. Each
contract for such project shall contain a provision that such project
shall only be undertaken pursuant to a project labor agreement. For
purposes of this section, "project labor agreement" shall mean a pre-
hire collective bargaining agreement between the New York state energy
research and development authority, a third party on behalf of the
authority, or a recipient of support under this section, and a bona fide
building and construction trade labor organization establishing the
labor organization as the collective bargaining representative for all
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persons who will perform work on a public work project, and which
provides that only contractors and subcontractors who sign a pre-negoti-
ated agreement with the labor organization can perform project work. All
contractors and subcontractors associated with this work shall be
required to utilize apprenticeship agreements as defined by article 23
of the labor law.
(ii) The New York state energy research and development authority, or
public service commission, where appropriate, shall include requirements
in any procurement or development of a renewable energy generating
project, as defined in this subdivision, that the components and parts
shall be produced or made in whole or substantial part in the United
States, its territories or possessions. The New York state energy
research and development authority's president and chief executive offi-
cer, or their designee may waive the procurement and development
requirements set forth in this paragraph if such official determines
that: the requirements would not be in the public interest; the require-
ments would result in unreasonable costs; obtaining such infrastructure
components and parts in the United States would increase the cost of a
renewable energy generating project by an unreasonable amount; or such
components or parts cannot be produced, made, or assembled in the United
States in sufficient and reasonably available quantities or of satisfac-
tory quality. Such determination shall be made on an annual basis no
later than December thirty-first, after providing notice and an opportu-
nity for public comment, and such determination shall be made publicly
available, in writing, on the New York state energy research and devel-
opment authority's website with a detailed explanation of the findings
leading to such determination. If the New York state energy research and
development authority's president and chief executive officer, or their
designee, has issued determinations for three consecutive years finding
that no such waiver is warranted pursuant to this paragraph, then the
New York state energy research and development authority shall no longer
be required to provide the annual determination required by this para-
graph.
(d)(i) The commissioner of labor, in consultation with labor organiza-
tions, shall develop a comprehensive plan to transition, train, or
retrain employees that are impacted by projects undertaken pursuant to
this act, or the study provided in section three of this act. This plan
shall include a method of allowing displaced and transitioning workers,
including affected labor organizations, to notify the commissioner of
the loss of employment, their previous title, and previous wage rates
including whether they previously received medical and/or retirement
benefits. The plan shall require employers to notify the commissioner of
workers laid off or discharged due to this act.
(ii) The commissioner of labor shall create a program pursuant to
which, where applicable and feasible, newly created job opportunities
shall be offered to a pool of transitioning workers who have lost their
employment or will be losing their employment in the energy sector
through projects undertaken pursuant to this act, or the study provided
in section three of this act. Such program shall include a method for
the commissioner of labor to communicate names and contact information
for displaced or transitioning workers to public entities that may have
job opportunities for such workers every 90 days.
(e) Notwithstanding any provision of law to the contrary, all rights
or benefits, including terms and conditions of employment, and
protection of civil service and collective bargaining status of all
existing public employees and the work jurisdiction, covered job titles,
A. 10856 5
and work assignments, set forth in the civil service law and collective
bargaining agreements with labor organizations representing public
employees shall be preserved and protected. Nothing in this section
shall result in the: (i) displacement of any currently employed worker
or loss of position (including partial displacement as such a reduction
in the hours of non-overtime work, wages, or employment benefits) or
result in the impairment of existing collective bargaining agreements;
(ii) transfer of existing duties and functions related to maintenance
and operations currently performed by existing employees of authorized
entities to a contracting entity; or (iii) transfer of future duties and
functions ordinarily performed by employees of authorized entities to a
contracting entity.
§ 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.