Senate Bill S7134

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7134
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                               April 1, 2025
                                ___________
 
 Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations
 
 AN ACT to amend the public service law and the labor law, in relation to
   requiring the establishment of carbon capture projects

   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-x to read as follows:
   §  66-X.  CARBON CAPTURE PROJECTS. 1. THE LEGISLATURE HEREBY FINDS AND
 DECLARES THAT:
   (A) THE  CLIMATE  LEADERSHIP  AND  COMMUNITY  PROTECTION  ACT  (CLCPA)
 REQUIRES SIGNIFICANT REDUCTIONS IN GREENHOUSE GAS EMISSIONS, INCLUDING A
 FORTY  PERCENT  REDUCTION  IN  STATEWIDE GREENHOUSE GAS EMISSIONS BY TWO
 THOUSAND THIRTY AND AN EIGHTY-FIVE PERCENT REDUCTION IN STATEWIDE GREEN-
 HOUSE GAS EMISSIONS BY TWO THOUSAND FIFTY;
   (B) IN ORDER TO MEET THESE AGGRESSIVE  TARGETS,  IT  IS  NECESSARY  TO
 FURTHER  DEVELOP  TECHNOLOGIES THAT CAN HELP REDUCE GREENHOUSE GAS EMIS-
 SIONS FROM EXISTING INFRASTRUCTURE;
   (C) CARBON CAPTURE TECHNOLOGY HAS THE POTENTIAL TO  REDUCE  GREENHOUSE
 GAS  EMISSIONS  FROM  HARD-TO-ELECTRIFY AND OTHER SECTORS, INCLUDING THE
 INDUSTRIAL SECTOR, BUT IN ORDER FOR THE  TECHNOLOGY  TO  BE  SCALED  FOR
 BROADER USE, INNOVATIVE EFFORTS WILL BE NEEDED;
   (D) DECARBONIZATION OF THESE SECTORS WILL PROVIDE SUBSTANTIAL BENEFITS
 TO  DISADVANTAGED  COMMUNITIES,  WHERE  SOURCES  IN  THE  INDUSTRIAL AND
 RELATED SECTORS ARE OFTEN SITED;
   (E) SUPPORTING THE FURTHER DEVELOPMENT OF  CARBON  CAPTURE  TECHNOLOGY
 WILL  OFFER  NEW  OPPORTUNITIES  FOR DEVELOPING AND EMPLOYING NEW YORK'S
 WORKFORCE; AND

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11288-01-5
 S. 7134                             2
 
              

   (F) THEREFORE, IT IS THE INTENT OF  THE  LEGISLATURE  TO  SUPPORT  THE
 DEVELOPMENT OF CARBON CAPTURE TECHNOLOGY IN NEW YORK IN ORDER TO ACHIEVE
 THE GREENHOUSE GAS EMISSIONS REDUCTION GOALS OF THE CLCPA.
   2. AS USED IN THIS SECTION:
   (A)  "CARBON  CAPTURE"  MEANS  THE CAPTURE OF GREENHOUSE GAS EMISSIONS
 THAT WOULD OTHERWISE BE RELEASED INTO THE ATMOSPHERE;
   (B) "CARBON CAPTURE DEMONSTRATION PROJECT" MEANS A PROJECT  INTEGRATED
 INTO  THE  GAS  DISTRIBUTION  SYSTEM  OR INSTALLED AT A CUSTOMER SITE TO
 DEVELOP AND TEST CARBON CAPTURE TECHNOLOGIES, WHICH MAY INCLUDE  ASPECTS
 RELATED TO THE STORAGE AND/OR TRANSPORTATION OF ANY CAPTURED CARBON; AND
   (C)  "FINAL  CARBON  CAPTURE  PROJECT"  MEANS  A CARBON CAPTURE DEMON-
 STRATION PROJECT THAT HAS BEEN APPROVED BY THE COMMISSION IN  ACCORDANCE
 WITH  PARAGRAPH  (C)  OF  SUBDIVISION FOUR OF THIS SECTION AND ANY ADDI-
 TIONAL CARBON CAPTURE PROJECT OR PROJECTS AS NOTED IN SUCH PARAGRAPH.
   3. NO LATER THAN JUNE FIRST, TWO THOUSAND TWENTY-FIVE, THE  COMMISSION
 SHALL INITIATE A PROCEEDING TO SUPPORT THE DEVELOPMENT OF CARBON CAPTURE
 FOR  THE  PURPOSE  OF  MEETING THE GREENHOUSE GAS EMISSIONS GOALS OF THE
 CLCPA.
   4. (A) NO LATER THAN DECEMBER FIRST, TWO  THOUSAND  TWENTY-FIVE,  EACH
 GAS CORPORATION SHALL SUBMIT TO THE COMMISSION, FOR REVIEW AND APPROVAL,
 AT  LEAST  ONE  AND  NO  MORE  THAN  FIVE  CARBON  CAPTURE DEMONSTRATION
 PROJECTS, PROVIDED THAT EACH GAS CORPORATION SHALL SUBMIT AT  LEAST  ONE
 CARBON  CAPTURE  DEMONSTRATION PROJECT THAT PROVIDES WORKFORCE BENEFITS,
 INCLUDING JOB RETENTION, CREATION OR TRAINING, AND AT LEAST  ONE  CARBON
 CAPTURE DEMONSTRATION PROJECT THAT REDUCES GREENHOUSE GAS EMISSIONS IN A
 DISADVANTAGED  COMMUNITY AS DEFINED IN ARTICLE SEVENTY-FIVE OF THE ENVI-
 RONMENTAL CONSERVATION LAW.
   (B) THE COMMISSION SHALL, NO LATER THAN JUNE FIRST, TWO THOUSAND TWEN-
 TY-SIX, DETERMINE WHETHER IT IS IN THE PUBLIC  INTEREST  TO  APPROVE  OR
 MODIFY  SUCH  CARBON  CAPTURE  DEMONSTRATION PROJECTS AND SHALL ISSUE AN
 ORDER DIRECTING EACH GAS CORPORATION TO IMPLEMENT THE APPROVED OR  MODI-
 FIED  CARBON  CAPTURE  DEMONSTRATION  PROJECTS.   IN DETERMINING WHETHER
 CARBON CAPTURE DEMONSTRATION PROJECTS ARE IN THE  PUBLIC  INTEREST,  THE
 COMMISSION  SHALL  CONSIDER  WHETHER THE PROJECT: (I) REDUCES GREENHOUSE
 GAS EMISSIONS; (II) FURTHERS THE DEVELOPMENT OF CARBON CAPTURE TECHNOLO-
 GY IN NEW YORK; (III) PROVIDES BENEFITS TO CUSTOMERS, INCLUDING BUT  NOT
 LIMITED  TO  PUBLIC HEALTH BENEFITS IN AREAS WITH DISPROPORTIONATE ENVI-
 RONMENTAL OR PUBLIC HEALTH BURDENS; AND (IV) HAS  THE  POTENTIAL  TO  BE
 SCALED  TO PROVIDE WORKFORCE BENEFITS, INCLUDING JOB RETENTION, CREATION
 OR TRAINING.  THE DEMONSTRATION PHASE OF THE PROJECTS SHALL CONTINUE  NO
 LONGER THAN TWENTY-FOUR MONTHS.
   (C)  NO  LATER  THAN  NINETY  DAYS  PRIOR  TO COMPLETION OF THE CARBON
 CAPTURE DEMONSTRATION PROJECTS, AND BASED ON THE INFORMATION REPORTED TO
 THE COMMISSION AS REQUIRED BY SUBDIVISION  FIVE  OF  THIS  SECTION,  THE
 COMMISSION  SHALL  DETERMINE  WHETHER  IT  IS  IN THE PUBLIC INTEREST TO
 APPROVE THE  CARBON  CAPTURE  DEMONSTRATION  PROJECTS  WITH  OR  WITHOUT
 MODIFICATION  AS  FINAL CARBON CAPTURE PROJECTS AND SHALL ISSUE AN ORDER
 DIRECTING THE GAS CORPORATIONS TO CONTINUE  THE  CARBON  CAPTURE  DEMON-
 STRATION  PROJECTS AS FINAL CARBON CAPTURE PROJECTS IN ACCORDANCE THERE-
 WITH.  IN DETERMINING WHETHER IT IS IN THE PUBLIC  INTEREST  TO  APPROVE
 THE  CARBON  CAPTURE  DEMONSTRATION  PROJECTS  AS  FINAL  CARBON CAPTURE
 PROJECTS, THE COMMISSION  SHALL  CONSIDER  WHETHER  THE  CARBON  CAPTURE
 DEMONSTRATION  PROJECTS  HAVE  SUBSTANTIALLY MET THE FOUR FACTORS ARTIC-
 ULATED IN PARAGRAPH (B) OF  THIS  SUBDIVISION.    THE  ORDER  ISSUED  IN
 CONNECTION  WITH THIS PARAGRAPH SHALL FURTHER AUTHORIZE GAS CORPORATIONS
 S. 7134                             3
 
 TO  PURSUE  ADDITIONAL  CARBON  CAPTURE  PROJECTS  CONSISTENT  WITH  ITS
 APPROVAL OF THE CARBON CAPTURE DEMONSTRATION PROJECTS.
   (D)  ANY  ORDER  ISSUED  PURSUANT  TO PARAGRAPHS (B)   AND (C) OF THIS
 SUBDIVISION SHALL PROVIDE FOR FULL COST RECOVERY OF ANY COSTS RELATED TO
 THE IMPLEMENTATION AND OPERATION OF THE APPROVED CARBON  CAPTURE  DEMON-
 STRATION PROJECTS AND FINAL CARBON CAPTURE PROJECTS.
   5. EACH GAS CORPORATION SHALL REPORT TO THE COMMISSION, ON A QUARTERLY
 BASIS AND UNTIL COMPLETION OF ITS CARBON CAPTURE DEMONSTRATION PROJECTS,
 ON  THE  STATUS  OF EACH SUCH CARBON CAPTURE DEMONSTRATION PROJECT.  THE
 REPORT SHALL INCLUDE: (A) THE STAGE OF DEVELOPMENT OF EACH PROJECT;  (B)
 BARRIERS  TO  DEVELOPMENT;  (C) COSTS OF THE PROJECT; (D) NUMBER OF JOBS
 RETAINED, CREATED OR ENHANCED BY THE DEMONSTRATION PROJECT; AND (E)  ANY
 OTHER INFORMATION REQUIRED BY THE COMMISSION.
   §  2. Subdivisions 1 and 8 of section 224-d of the labor law, subdivi-
 sion 1 as amended by section 31 of part O of chapter 58 of the  laws  of
 2024  and subdivision 8 as added by chapter 375 of the laws of 2022, are
 amended to read as follows:
   1. For purposes of this section, a "covered renewable  energy  system"
 means  (a) a renewable energy system, as such term is defined in section
 sixty-six-p of the public service law, with a capacity of  one  or  more
 megawatts  alternating  current  and  which  involves the procurement of
 renewable energy credits by a public entity, or a company or corporation
 provided in subdivisions twenty-three and twenty-four of section two  of
 the  public  service  law, or a third party acting on behalf and for the
 benefit of a public entity; (b) any "thermal energy network" as  defined
 by subdivision twenty-nine of section two of the public service law; (c)
 any  offshore  wind  supply  chain project, including but not limited to
 port infrastructure, primary component manufacturing, finished component
 manufacturing, subassembly manufacturing, subcomponent manufacturing, or
 raw material producers, or a combination thereof receiving direct  fund-
 ing  from  the  New York state energy research and development authority
 pursuant to an award under a New York state energy research and develop-
 ment authority solicitation; [or]  (d)  a  "major  utility  transmission
 facility"  as  such term is defined by section one hundred twenty of the
 public service law; OR (E) ANY "CARBON CAPTURE DEMONSTRATION PROJECT" OR
 "FINAL CARBON CAPTURE PROJECT" AS DEFINED BY SUBDIVISION TWO OF  SECTION
 SIXTY-SIX-X OF THE PUBLIC SERVICE LAW.
   8. Any thermal energy network, CARBON CAPTURE DEMONSTRATION PROJECT OR
 FINAL  CARBON  CAPTURE PROJECT covered by this section shall require all
 contractors and  subcontractors  performing  construction  work  to  use
 apprenticeship  agreements,  as  defined by article twenty-three of this
 chapter, with pre-apprenticeship direct entry providers registered  with
 the department.
   § 3. This act shall take effect immediately.