Bill Text: NY A05102 | 2009-2010 | General Assembly | Introduced
Bill Title: An act to amend the public authorities law and the public service law, in relation to enacting the electric power re-regulation act
Spectrum: Partisan Bill (Democrat 23-0)
Status: (Introduced - Dead) 2010-01-06 - referred to energy [A05102 Detail]
Download: New_York-2009-A05102-Introduced.html
S T A T E O F N E W Y O R K
________________________________________________________________________
5102
2009-2010 Regular Sessions
I N A S S E M B L Y
February 10, 2009
___________
Introduced by M. of A. BRODSKY, CAHILL, JOHN, BENEDETTO, BRENNAN,
GREENE, FIELDS, ZEBROWSKI, JAFFEE, ESPAILLAT, HEASTIE, MAISEL, BRAD-
LEY, ALESSI, SWEENEY, PHEFFER, SCHROEDER, MARKEY, LIFTON, PERRY, MILL-
MAN, PAULIN, WEISENBERG -- Multi-Sponsored by -- M. of A. CLARK, GOTT-
FRIED -- read once and referred to the Committee on Energy
AN ACT to amend the public authorities law and the public service law,
in relation to enacting the electric power re-regulation act
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Short title. This act shall be known and may be cited as
2 the "electric power re-regulation act".
3 S 2. Legislative findings and declaration. 1. The legislature finds:
4 (a) that the health, welfare, and prosperity of all New York residents
5 require the provision of adequate, efficient, reliable, environmentally
6 sound, and lowest-cost electric service at affordable prices.
7 (b) that the experiment in de-regulation of the electric industry in
8 New York has failed to achieve the goals stated by the public service
9 commission in its Opinion 96-12, issued and effective on May 20, 1996.
10 (c) that the effect of the de-regulation of New York's electric indus-
11 try has resulted in constantly escalating and excessive costs of elec-
12 tricity, and lowered reliability and safety of the electrical networks
13 in the state of New York; posing a serious threat to the economic well-
14 being, health, and safety of the residents of and the commerce and
15 industry in the state.
16 (d) the auction system monitored and administered by the independent
17 system operator that is used to distribute energy has resulted in
18 skyrocketing electric bills.
19 (e) that New York must take steps to ensure that it has an adequate,
20 reliable and reasonably priced supply of electric power to meet current
21 and future energy demands.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08281-01-9
A. 5102 2
1 (f) that additional power supplies will also promote effective whole-
2 sale competition in the marketplace, improve reliability of the electric
3 transmission system, and lower the cost of electric power.
4 (g) that a reduction in electric energy consumption and electrical
5 demand in the state of New York would result in savings to the public,
6 the business community, and the public sector; a reduction in the
7 consumption of fuel for electric generation and a reduced carbon "foot-
8 print," and more efficient use of the power authorities' generation
9 resources.
10 2. The legislature therefore declares it is necessary to:
11 (a) reform the market mechanism known as the "market clearing price";
12 (b) allow electric utilities to re-enter the electric power generation
13 market by building and owning generating facilities; and
14 (c) create a significant reduction in electrical consumption and
15 demand by instituting a demand reduction and electric conservation
16 program.
17 S 3. Section 1005 of the public authorities law is amended by adding a
18 new subdivision 16 to read as follows:
19 16. NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE
20 POWER AUTHORITY OF THE STATE OF NEW YORK SHALL, ACTING TOGETHER WITH THE
21 PUBLIC SERVICE COMMISSION, DETERMINE THE STATE'S CURRENT ADDED ELEC-
22 TRICAL GENERATION CAPACITY NEED (THE "RELIABILITY MARGIN"), AND SHALL
23 MEET SUCH CAPACITY NEED BY PLANNING THE GENERATION CAPACITY SIZE,
24 INTENDED LOCATION, FUEL MIX AND CONSTRUCTION DESIGN, PLANS AND SCHEDULES
25 OF FOUR MAJOR ELECTRICAL GENERATING FACILITIES ("BASELOAD FACILITIES")
26 TO BE BUILT TO MEET SUCH NEED. THE CONSTRUCTION OF SUCH BASELOAD FACILI-
27 TIES SHALL BE COMPLETED WITHIN TEN YEARS OF THE EFFECTIVE DATE OF THIS
28 SUBDIVISION. SUCH NEW BASELOAD FACILITIES SHALL BE USED TO ESTABLISH A
29 RELIABILITY MARGIN, AND SHALL BE USED TO EFFECTUATE THE POWER AUTHORI-
30 TY'S HISTORIC GOAL OF PROVIDING AN ADEQUATE SUPPLY OF AFFORDABLE, RELI-
31 ABLE AND SAFE ELECTRICITY TO RESIDENTIAL CUSTOMERS. THE PROVISIONS OF
32 ARTICLE SEVEN OF THE PUBLIC SERVICE LAW SHALL APPLY TO THE SITING AND
33 OPERATION OF SUCH FACILITIES.
34 S 4. The public authorities law is amended by adding a new section
35 1850-b to read as follows:
36 S 1850-B. ADDITIONAL LEGISLATIVE DECLARATIONS. 1. IT IS HEREBY
37 DECLARED THAT IT IS IN THE PUBLIC INTEREST, AND IT IS CONSISTENT WITH
38 THE STATE OF NEW YORK'S ENERGY GOALS, TO PROMOTE COST-EFFECTIVE CONSER-
39 VATION OF ENERGY THROUGH FAIR AND EFFECTIVE DEMAND SIDE MANAGEMENT,
40 CONSERVATION, ENERGY EFFICIENCY, AND LOAD MANAGEMENT PROGRAMS, INCLUDING
41 BUT NOT LIMITED TO CONSUMER EDUCATION AND CONSERVATION CREDITS. SUCH
42 PROGRAMS MAY INCLUDE ACTIVITIES BY THE AUTHORITY, ELECTRIC UTILITIES,
43 PUBLIC OR PRIVATE ORGANIZATIONS, OR COMBINATIONS OF ELECTRIC UTILITIES,
44 PUBLIC AUTHORITIES AND PUBLIC AND PRIVATE ORGANIZATIONS. NEW YORK SHALL
45 HAVE A STATED POLICY GOAL OF REDUCING THE CONSUMPTION OF ELECTRIC ENERGY
46 BY RETAIL CUSTOMERS THROUGH THE IMPLEMENTATION OF SUCH PROGRAMS BY TWO
47 THOUSAND TWENTY-ONE BY AN AMOUNT EQUAL TO TEN PERCENT OF THE AMOUNT OF
48 ELECTRIC ENERGY CONSUMED BY RETAIL CUSTOMERS IN TWO THOUSAND SEVEN, AND
49 BY TWO THOUSAND TWENTY-SIX OF AN ADDITIONAL FIVE PERCENT OF THE AMOUNT
50 OF ELECTRIC ENERGY CONSUMED BY RETAIL CUSTOMERS IN TWO THOUSAND SEVEN.
51 2. IN FURTHERANCE OF THE STATE'S ENERGY GOALS, ENERGY DEMAND SHALL BE
52 MET BY THE FOLLOWING ENERGY SUPPLY OPTIONS, TO THE EXTENT COST-EFFECTIVE
53 AND TECHNICALLY FEASIBLE, IN THE PRIORITY ORDER SET FORTH BELOW:
54 (I) ENERGY CONSERVATION AND INCREASED EFFICIENCY OF GENERATION,
55 DISTRIBUTION AND CONSUMER USES;
56 (II) NON-COMBUSTIBLE RENEWABLE ENERGY RESOURCES;
A. 5102 3
1 (III) COMBUSTIBLE RENEWABLE ENERGY RESOURCES;
2 (IV) NONRENEWABLE COMBUSTIBLE ENERGY RESOURCES, IN THE ORDER LISTED,
3 PROVIDED HOWEVER THAT A BALANCE SHALL BE STRUCK BETWEEN COST-EFFECTIVE-
4 NESS AND GREENHOUSE GAS PRODUCTION: NATURAL GAS, OIL OR COAL WITH SULP-
5 HUR CONTENT OF LESS THAN ONE PERCENT, ALL OTHER CARBON BASED FUELS, AND
6 SUCH OTHER ADVANCED TECHNOLOGY FUELS AS MAY BECOME AVAILABLE IN THE
7 FUTURE.
8 S 5. Section 1854 of the public authorities law is amended by adding a
9 new subdivision 9 to read as follows:
10 9. (A) THE AUTHORITY SHALL OPEN A JOINT PROCEEDING WITH THE PUBLIC
11 SERVICE COMMISSION TO:
12 (I) IDENTIFY PROGRAMS THAT SHOULD BE IMPLEMENTED IN THE STATE TO
13 COST-EFFECTIVELY ACHIEVE THE DEFINED ELECTRIC ENERGY CONSUMPTION GOALS
14 BY TWO THOUSAND TWENTY-ONE AND TWO THOUSAND TWENTY-SIX, RESPECTIVELY,
15 INCLUDING BUT NOT LIMITED TO DEMAND MANAGEMENT, CONSERVATION, ENERGY
16 EFFICIENCY, LOAD MANAGEMENT, REAL-TIME PRICING AND CONSUMER EDUCATION;
17 (II) DEVELOP A PLAN FOR THE DEVELOPMENT AND IMPLEMENTATION OF SUCH
18 RECOMMENDED PROGRAMS;
19 (III) ESTIMATE THE COST OF ATTAINING SUCH PROGRAMS AND THE BEST METH-
20 ODS TO FUND THEM.
21 (B) THE AUTHORITY SHALL, ACTING TOGETHER WITH THE PUBLIC SERVICE
22 COMMISSION, WITHIN ONE HUNDRED EIGHTY DAYS OF THE EFFECTIVE DATE OF THIS
23 SUBDIVISION, SUBMIT A REPORT OF THIS PROCEEDING'S FINDINGS TO THE GOVER-
24 NOR, TEMPORARY PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, CHAIR
25 OF THE SENATE STANDING COMMISSION ON ENERGY AND TELECOMMUNICATIONS AND
26 CHAIR OF THE ASSEMBLY STANDING COMMITTEE ON CORPORATIONS, AUTHORITIES
27 AND COMMISSIONS COMMITTEE.
28 S 6. Section 65 of the public service law, as amended by chapter 134
29 of the laws of 1921, the section heading as amended and subdivision 7 as
30 added by chapter 114 of the laws of 1978, subdivisions 1, 2, 3 and 4 as
31 amended by chapter 789 of the laws of 1930, subdivision 6 as amended and
32 subdivisions 8 and 9 as added by chapter 713 of the laws of 1981, para-
33 graph (b-1) of subdivision 6 as added by chapter 534 of the laws of
34 1982, subdivision 10 as added by chapter 859 of the laws of 1982, subdi-
35 vision 11 as added by chapter 535 of the laws of 1985 and subdivision 11
36 as added by chapter 693 of the laws of 1985, is amended to read as
37 follows:
38 S 65. Safe and adequate service; just and reasonable charges; unjust
39 discrimination; unreasonable preference; protection of privacy. 1. Every
40 gas corporation, every electric corporation and every municipality shall
41 furnish and provide such service, instrumentalities and facilities as
42 shall be safe and adequate and in all respects just and reasonable. All
43 charges made or demanded by any such gas corporation, electric corpo-
44 ration or municipality for gas, electricity or any service rendered or
45 to be rendered, shall be just and reasonable and not more than allowed
46 by law or by order of the commission. [Every unjust or unreasonable
47 charge made or demanded for gas, electricity or any such service, or in
48 connection therewith, or in excess of that allowed by law or by the
49 order of the commission is prohibited] IT IS THE SOLE RESPONSIBILITY OF
50 THE COMMISSION TO DETERMINE JUST AND REASONABLE RATES AND IS STRONGLY
51 ENCOURAGED TO TAKE ALL NECESSARY AND PROPER ACTION AGAINST UTILITIES
52 WHOSE RATES ARE DETERMINED NOT TO BE JUST AND REASONABLE.
53 2. [No gas corporation, electric corporation or municipality shall
54 directly or indirectly, by any special rate, rebate, drawback or other
55 device or method, charge, demand, collect or receive from any person or
56 corporation a greater or less compensation for gas or electricity or for
A. 5102 4
1 any service rendered or to be rendered or in connection therewith,
2 except as authorized in this chapter, than it charges, demands, collects
3 or receives from any other person or corporation for doing a like and
4 contemporaneous service with respect thereto under the same or substan-
5 tially similar circumstances or conditions.
6 3.] No gas corporation, electric corporation or municipality shall
7 make or grant any undue or unreasonable preference or advantage to any
8 person, corporation or locality, or to any particular description of
9 service in any respect whatsoever, or subject any particular person,
10 corporation or locality or any particular description of service to any
11 undue or unreasonable prejudice or disadvantage in any respect whatsoev-
12 er.
13 [4.] 3. Nothing in this chapter shall be taken to prohibit a gas
14 corporation or electric corporation from establishing a sliding scale
15 for a fixed period for the automatic adjustment or charges for gas,
16 electricity or any service rendered or to be rendered and the dividends
17 to be paid to stockholders of such gas corporation or electric corpo-
18 ration, provided that the sliding scale shall first have been filed with
19 and approved by the commission; but nothing in this subdivision shall
20 operate to prevent the commission after the expiration of such fixed
21 period from fixing proper, just and reasonable rates and charges to be
22 made for service as authorized in this article.
23 [5.] 4. Nothing in this chapter shall be taken to prohibit a gas
24 corporation or electrical corporation from establishing classifications
25 of service based upon the quantity used, the time when used, the purpose
26 for which used, the duration of use or upon any other reasonable consid-
27 eration, and providing schedules of just and reasonable graduated rates
28 applicable thereto. No such classification, schedule, rate or charge
29 shall be lawful unless it shall be filed with and approved by the
30 commission, and every such classification, rate or charge shall be
31 subject to change, alteration and modification by the commission.
32 [6.] 5. Service charges prohibited. Every gas corporation shall charge
33 for gas supplied a fair and reasonable price. No such corporation shall
34 make or impose an additional charge or fee for service or for the
35 installation of apparatus or the use of apparatus installed, except that
36 a charge may be made:
37 (a) where entry, inspection or examination [as authorized by subdivi-
38 sion nine of this section] is denied;
39 (b) for reconnecting the service to a person or corporation if the
40 service to such person or corporation was disconnected, in accordance
41 with applicable legal requirements, for non-payment of bills for
42 service; or
43 (b-1) for expenses reasonably incurred as determined by the commission
44 in cases of meter tampering and theft of service. Such expenses shall
45 include, but not be limited to, the cost of investigating, repairing and
46 replacing meters and pipes, and the cost of moving a meter and install-
47 ing it in a secure location.
48 (c) for a remote meter reading device upon the request and consent of
49 the customer.
50 [7.] 6. No gas corporation or electric corporation shall sell or offer
51 for sale any list of names of its customers.
52 [8. Inspection of transmission pipelines conveying natural gas. Every
53 gas corporation transmitting natural gas under permits or franchises
54 permitting the laying or maintaining of pipelines conveying natural gas
55 shall conduct a leak detection inspection using leak detection equipment
56 or employing a visual inspection of such transmission pipelines annually
A. 5102 5
1 or more frequently when ordered by the commission. A written report of
2 every such inspection shall be made available to the commission.
3 9. Buildings may be entered for the examination of meters, pipes,
4 fittings, wires and works. (a) Any officer or agent of any gas corpo-
5 ration, electric corporation or municipality for that purpose duly
6 appointed and authorized by the corporation, upon exhibiting a photo-i-
7 dentification badge and a written authority signed by the president or
8 vice-president and secretary or assistant secretary of the corporation,
9 or by the mayor or clerk of a municipal corporation or by the chairman
10 and secretary of a municipal board in control of a public utility, may
11 enter, at all reasonable times, any store, building, room or place
12 supplied with gas, electricity or water by such utility corporation or
13 municipality for the purpose of inspecting and examining the meters,
14 pipes, fittings, wires and works for supplying or regulating the supply
15 of gas or electricity and of ascertaining the quantity of gas or elec-
16 tricity supplied.
17 (b) If any person, at any time, directly or indirectly, shall prevent
18 or hinder any such officer or agent from so entering any such premises,
19 or from making any such inspection or examination at any reasonable
20 time, he or she shall forfeit to the corporation or municipality one
21 hundred dollars for every such offense.
22 10. (a) Notwithstanding any other provision of law, in any case where
23 electric corporations are permitted incremental seasonal differentials
24 in rates or charges, such differentials shall not be imposed in any
25 month upon any residential customer for the first two hundred fifty
26 kilowatt hours used by such customer in such month; provided, however,
27 that the commission may promulgate rules to permit the imposition of
28 such seasonal differentials where a customer requests a special rate
29 that may include a seasonal differential or where service is to be
30 provided to a residential customer for a temporary period not to exceed
31 six months.
32 (b) In any case where an electric corporation is permitted incremental
33 seasonal differentials in rates or charges, such corporation shall, on
34 or before such differential rates commence, inform any customer subject
35 to such differential as to the commencement and termination dates of
36 such differential rates and permit such customer to read his own meter
37 on such dates and forward the readings thereon to the corporation.
38 11. Civil actions. (a) Every gas corporation, electric corporation or
39 municipality furnishing utility service may initiate a civil action to
40 collect a civil penalty against a user of non-residential service in
41 accordance with this subdivision. Upon a showing in such action that a
42 user of non-residential service has knowingly accepted or received the
43 use and benefit of gas or electric service which has been prevented from
44 being properly registered by a meter provided therefor, the utility may
45 be granted a civil penalty, in addition to the value of the unpaid
46 service, in an amount which the court in its discretion shall deem to be
47 just and reasonable, which in no event shall be more than three times
48 the retail value of the gas or electric service accepted or received. In
49 any action under this subdivision, proof that a meter has been inten-
50 tionally prevented from properly registering gas or electric service
51 shall be prima facie proof that the user of non-residential service who
52 accepts or receives the use and benefit of such service has done so with
53 knowledge of the condition so existing, if the gas corporation, electric
54 corporation or municipality shall first present evidence that such
55 person took possession of the benefitted premises and used the gas or
56 electric service prior to the creation of the condition.
A. 5102 6
1 (b) For the purposes of this subdivision, a user of non-residential
2 service shall be a person benefitting from such service who is in
3 possession of the premises to which the service is delivered.
4 (c) Any civil penalty recovered pursuant to this section in excess of
5 the actual damages sustained by the utility shall be taken into account
6 by the public service commission in establishing future utility rates.
7 11.] 7. An electric corporation shall send annually to each residence
8 it serves a form that may be used to notify the corporation that a
9 person living in the residence uses a life support system. For the
10 purposes of this subdivision, life support systems shall include, but
11 not be limited to, hemodialysis equipment, respirators and apnea moni-
12 tors. An electric corporation shall maintain a current list of customers
13 who use such life support systems and include the list in such electric
14 corporation's system emergency plans.
15 S 7. Section 66 of the public service law is amended by adding three
16 new subdivisions 29, 30 and 31 to read as follows:
17 29. REVIEW THE RATES OF ANY PUBLIC UTILITY ON AN ANNUAL BASIS,
18 PROVIDED HOWEVER THAT UPON A DETERMINATION BY THE COMMISSION THAT THE
19 PUBLIC INTEREST DOES NOT REQUIRE SUCH ANNUAL RATE REVIEW, A REVIEW OF
20 RATES MAY BE UNDERTAKEN AT NO MORE THAN THREE YEAR INTERVALS.
21 30. (A) USE THE FULLEST EXTENT OF ITS POWERS TO REGULATE THE DISTRIB-
22 UTION OF RETAIL ELECTRIC ENERGY TO RETAIL CUSTOMERS IN THE STATE AND, TO
23 THE EXTENT NOT PROHIBITED BY FEDERAL LAW, THE TRANSMISSION OF ELECTRIC
24 ENERGY IN THE STATE.
25 (B) A MARKET CLEARING PRICE MECHANISM FOR THE PURCHASE OF POWER SHALL
26 BE FORBIDDEN FOR PURCHASES MADE THROUGH THE WHOLESALE MARKET VIA A BID
27 PROCUREMENT OR AUCTION PROCESS HELD BY THE INDEPENDENT SYSTEM OPERATOR
28 ("ISO") OF NEW YORK, OR ANY SUCCESSOR IN LAW AND FUNCTION TO SUCH ENTI-
29 TY.
30 (C) SUCH AUCTION OR BID PROCUREMENT PROCESS SHALL BE OVERSEEN BY THE
31 COMMISSION, WHICH SHALL REQUIRE A DESCENDING CLOCK, PAY-AS-BID AUCTION
32 IN WHICH BID AMOUNTS WILL CONTINUE TO FALL UNTIL NO BIDDER IS WILLING TO
33 SUPPLY ELECTRICITY AT A LOWER PRICE. FOR THE PURPOSES OF THIS ARTICLE
34 "DESCENDING CLOCK AUCTION" SHALL BE DEFINED AS AN AUCTION IN WHICH THE
35 PRICES DROP THROUGHOUT AN AUCTION OF TIME-LIMITED DURATION; STARTING
36 HIGH AND BEING REDUCED GRADUALLY UNTIL THE SUPPLY BID IS JUST SUFFICIENT
37 TO MEET THE ELECTRICAL LOAD TO BE PROCURED. PRICES THAT TICK DOWN IN A
38 ROUND DECREASE BY A DECREMENT; WHICH IS A GIVEN PERCENTAGE OF THE PREVI-
39 OUS PRICE. BIDDERS HOLDING THE FINAL BIDS WHEN THE AUCTION CLOSES ARE
40 THE WINNERS.
41 (D) BIDDERS WILL BE FORBIDDEN FROM KNOWING WHEN THE AMOUNT OF ELEC-
42 TRICITY SUPPLY FILLS REQUIREMENTS.
43 (E) THE COMMISSION SHALL APPOINT AN INDEPENDENT MARKET ADVISOR TO
44 REVIEW MARKET PRACTICES AND BEHAVIOR; THAT WILL RECOMMEND TO THE ISO
45 ACTIONS THAT CAN BE TAKEN TO MITIGATE OR CORRECT BEHAVIOR BY MARKET
46 PARTICIPANTS THAT WAS REASONABLY CALCULATED TO, OR HAD THE EFFECT OF
47 AFFECTING THE FUNCTION OF THE AUCTION PROCESS SO THAT THE WINNING BIDDER
48 WAS NOT THE LOWEST PRICE BIDDER.
49 (F) UTILITIES MAY BUY POWER FROM MARKETS OTHER THAN THE ISO, OR VIA
50 CONTRACTS WITH INDIVIDUALS OR GROUPS OF GENERATING ENTITIES, PROVIDED
51 THAT SUCH ELECTRICAL ENERGY MUST BE OFFERED TO CUSTOMERS AT JUST AND
52 REASONABLE RATES.
53 31. (A) THE COMMISSION SHALL EXERCISE ITS FULL JURISDICTION OVER THE
54 ISO OF NEW YORK.
A. 5102 7
1 (B) THE COMMISSION SHALL REGULATE THE RELIABILITY, QUALITY AND MAINTE-
2 NANCE BY TRANSMITTERS AND DISTRIBUTORS OF THEIR TRANSMISSION AND RETAIL
3 DISTRIBUTION SYSTEMS.
4 (C) THE COMMISSION SHALL REGULATE THE RELIABILITY, QUALITY, MAINTE-
5 NANCE, AND PRICE OF GENERATORS.
6 (D) THE COMMISSION SHALL NOT REQUIRE ANY INCUMBENT ELECTRIC UTILITY TO
7 DIVEST ITSELF OF ANY GENERATION, TRANSMISSION OR DISTRIBUTION ASSETS
8 PURSUANT TO ANY PROVISION OF THIS CHAPTER WITHOUT SPECIFIC AUTHORIZING
9 LEGISLATION FOR SUCH PURPOSE.
10 (E) THE COMMISSION SHALL DEVELOP CODES OF CONDUCT GOVERNING THE
11 CONDUCT OF INCUMBENT ELECTRIC UTILITIES AND AFFILIATES THEREOF WHEN ANY
12 SUCH AFFILIATES PROVIDE, OR CONTROL ANY ENTITY THAT PROVIDES, GENER-
13 ATION, DISTRIBUTION, OR TRANSMISSION SERVICES TO THE EXTENT NECESSARY TO
14 PREVENT IMPAIRMENT OF COMPETITION. NOTHING IN THIS CHAPTER SHALL PREVENT
15 AN INCUMBENT ELECTRIC UTILITY FROM OFFERING METERING OPTIONS TO ITS
16 CUSTOMERS.
17 S 8. The public service law is amended by adding a new section 66-m to
18 read as follows:
19 S 66-M. REMOVAL OF BARRIERS TO ENTRY INTO ELECTRIC GENERATION. 1.
20 NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, OR ORDER OR
21 OPINION OF THE COMMISSION TO THE CONTRARY, OR COMMISSION-IMPOSED OR
22 MEDIATED SETTLEMENT PROVISIONS TO THE CONTRARY, ANY ELECTRIC CORPORATION
23 OPERATING IN NEW YORK UNDER THE JURISDICTION OF THE COMMISSION AND
24 SUBJECT TO THE LAWS OF THE STATE OF NEW YORK, MAY APPLY TO BUILD AND
25 OPERATE, OR APPLY TO CONTRACT FOR THE BUILDING AND OPERATION, OF A NEW
26 MAJOR ELECTRIC GENERATION FACILITY WITHIN THE STATE.
27 2. AN APPLICATION FOR THE CREATION OF A NEW MAJOR ELECTRIC GENERATION
28 FACILITY MUST BE MADE PURSUANT TO THE PROVISIONS OF FORMER ARTICLE TEN
29 OF THE PUBLIC SERVICE LAW, OR TO ANY SUCCESSOR LAW TO SUCH ARTICLE.
30 3. IN ITS CONSIDERATION OF WHETHER AN APPLICATION FOR THE CREATION OF
31 A NEW MAJOR ELECTRIC GENERATION FACILITY SHALL RECEIVE A CERTIFICATE OF
32 PUBLIC CONVENIENCE AND NECESSITY FOR SUCH FACILITY, THE COMMISSION SHALL
33 CONSIDER AND GIVE WEIGHT TO THE FOLLOWING ADDITIONAL PUBLIC INTEREST
34 FACTORS:
35 (A) APPLICATIONS THAT UTILIZE EXISTING BROWNFIELD OR INDUSTRIAL SITES;
36 (B) APPLICATIONS THAT UTILIZE NEW OR INNOVATIVE BASELOAD TECHNOLOGIES;
37 (C) APPLICATIONS THAT PROVIDE LONG-TERM ENVIRONMENTAL BENEFITS TO THE
38 STATE;
39 (D) APPLICATIONS THAT HAVE EXISTING FUEL AND TRANSMISSION INFRASTRUC-
40 TURE;
41 (E) APPLICATIONS THAT PROMOTE FUEL DIVERSITY; AND
42 (F) APPLICATIONS THAT SUPPORT OR IMPROVE RELIABILITY.
43 S 9. The opening paragraph of subdivision 1 of section 66-c of the
44 public service law is designated paragraph (i) and a new paragraph (ii)
45 is added to read as follows:
46 (II)(A) IT IS HEREBY DECLARED THAT IT IS IN THE PUBLIC INTEREST, AND
47 IT IS CONSISTENT WITH THE STATE OF NEW YORK'S ENERGY GOALS, TO PROMOTE
48 COST-EFFECTIVE CONSERVATION OF ENERGY THROUGH FAIR AND EFFECTIVE DEMAND
49 SIDE MANAGEMENT, CONSERVATION, ENERGY EFFICIENCY, AND LOAD MANAGEMENT
50 PROGRAMS, INCLUDING BUT NOT LIMITED TO CONSUMER EDUCATION AND CONSERVA-
51 TION CREDITS. SUCH PROGRAMS MAY INCLUDE ACTIVITIES BY THE COMMISSION,
52 AND BY ELECTRIC UTILITIES, PUBLIC OR PRIVATE ORGANIZATIONS, OR COMBINA-
53 TIONS OF ELECTRIC UTILITIES, THE COMMISSION, PUBLIC AUTHORITIES AND
54 PUBLIC AND PRIVATE ORGANIZATIONS. NEW YORK SHALL HAVE A STATED POLICY
55 GOAL OF REDUCING THE CONSUMPTION OF ELECTRIC ENERGY BY RETAIL CUSTOMERS
56 THROUGH THE IMPLEMENTATION OF SUCH PROGRAMS BY THE YEAR TWO THOUSAND
A. 5102 8
1 TWENTY-ONE BY AN AMOUNT EQUAL TO TEN PERCENT OF THE AMOUNT OF ELECTRIC
2 ENERGY CONSUMED BY RETAIL CUSTOMERS IN TWO THOUSAND SEVEN, AND BY THE
3 YEAR TWO THOUSAND TWENTY-SIX OF AN ADDITIONAL FIVE PERCENT OF THE AMOUNT
4 OF ELECTRIC ENERGY CONSUMED BY RETAIL CUSTOMERS IN TWO THOUSAND SEVEN.
5 (B) IN FURTHERANCE OF THE STATE'S ENERGY GOALS, ENERGY DEMAND SHALL BE
6 MET BY THE FOLLOWING ENERGY SUPPLY OPTIONS, TO THE EXTENT COST EFFECTIVE
7 AND TECHNICALLY FEASIBLE, IN THE PRIORITY ORDER SET FORTH BELOW:
8 (1) ENERGY CONSERVATION AND INCREASED EFFICIENCY OF GENERATION,
9 DISTRIBUTION AND CONSUMER USES;
10 (2) NON-COMBUSTIBLE RENEWABLE ENERGY RESOURCES;
11 (3) COMBUSTIBLE RENEWABLE ENERGY RESOURCES;
12 (4) NONRENEWABLE COMBUSTIBLE ENERGY RESOURCES, IN THE ORDER LISTED,
13 PROVIDED HOWEVER THAT A BALANCE SHALL BE STRUCK BETWEEN COST-EFFECTIVE-
14 NESS AND GREENHOUSE GAS PRODUCTION: NATURAL GAS, OIL OR COAL WITH SULP-
15 HUR CONTENT OF LESS THAN ONE PERCENT, ALL OTHER CARBON BASED FUELS, AND
16 SUCH OTHER ADVANCED TECHNOLOGY FUELS AS MAY BECOME AVAILABLE IN THE
17 FUTURE.
18 S 10. Report on location and size of new baseload facilities. The
19 power authority of the state of New York shall issue a report on the
20 locations and sizes of new baseload generation facilities required in
21 this act to the governor, temporary president of the senate, speaker of
22 the assembly, chair of the senate standing committee on energy and tele-
23 communications and chair of the assembly standing committee on corpo-
24 rations, authorities and commissions within ninety days of the effective
25 date of this act.
26 S 11. Report findings. The public service commission shall issue a
27 report of its findings including legislative and regulatory recommenda-
28 tions to enhance consumer quality regarding electric utilities to the
29 governor, temporary president of the senate, speaker of the assembly,
30 chair of the senate committee on energy and telecommunications, chair of
31 the assembly committee on corporations, authorities and commissions
32 within one hundred days of such findings.
33 S 12. This act shall take effect immediately.
