A pair of recently inked contracts to fuel more than one-third of New York City’s electricity grid with renewable energy will raise monthly electricity bills for upstate ratepayers up to 9.9 percent once the projects are on-line.  

Both downstate (ConEdison) and upstate (National Grid) customers will bear the project costs equally based on load share, but upstate customers—who tend to have lower electricity bills—are expected to experience roughly double the percentage increase. 

That’s according to petition just filed by the New York State Energy Research and Development Authority (NYSERDA), which is now seeking to have the contracted projects approved by the Public Service Commission. 

The projects seem headed for approval, since Governor Hochul signed off on them and her office issued a press release Tuesday trumpeting their expected contribution toward achieving the seemingly-quixotic milestones for greenhouse gas reduction and alternative energy development required under the state’s 2019 Climate Leadership and Community Protection Act (CLCPA). Those metrics include the state (somehow) achieving 70 percent renewable energy by 2030 and a zero-emissions electricity supply by 2040. 

Those goals would necessitate greening New York City’s electricity grid, since the city consumes about one-third of state-wide electricity, and it does so by relying overwhelmingly on fossil-fuel generated electricity, especially after the decommissioning of the Indian Point nuclear facility.  

The dual projects contracted for are a 375-mile transmission line to bring hydropower from Quebec, and a 174-mile transmission line from Delaware County, that would transmit solar and wind energy from Central New York. The expected total cost of the two projects is nearly $24 billion, according to the petition. 

In related news Tuesday, the New York State Climate Action Council (Council) held a virtual public meeting at which it discussed a strategy to continue dodging — in its long-awaited “draft scoping plan” to be issued later this month—the question of who will pay the hundreds of billions of dollars required to achieve the CLCPA’s climate goals. 

A draft plan circulated in advance to the Council members (but not the public) prompted member concern regarding the need for an analysis of “energy affordability and impacts to consumer pricing.” But the “proposed resolution” to that concern was to point to the Council’s cost-benefit analysis. As we recently noted, however, that analysis makes no attempt to estimate ratepayer impact on the grounds that it’s currently unclear what specific policies will be adopted to achieve the law’s climate goals.   

But if the Council is not going to propose such policies, what will it do?  And if neither the CLCPA authors nor the council created by the law are determining how the law’s clean energy metrics are to be met, who is? 

Judging by the NYSERDA petition filed Tuesday, the unelected members of the Public Service Commission will be making a lot of the calls, as they decide the fate of ratepayers on a case-by-case basis, in a decidedly non-democratic forum, far removed from the public eye.   

About the Author

Peter Warren

Peter Warren is the Director of Research at the Empire Center for Public Policy.

Read more by Peter Warren

You may also like

Judge, Jury and … CFO?

A state court judge at a hearing this morning will consider whether to interfere with New York City authority over its own budget by ordering a preliminary injunction that ices a portion of Gotham’s recently enacted FY 23 city budget. Read More

State Budget Back in the Red

Historically large budgetary surpluses inherited by Governor Hochul are now just a memory with New York facing projected gaps of $13.7 Billion Read More

The Numbers Don’t Add Up on Cider Solar Project

Governor Hochul has just announced approval for the state’s largest to-date solar facility, the 3,000 acre Cider Solar Farm in Genesee County Read More

New York’s health insurance affordability problem gets worse

New York's health insurance affordability gap surged to a new high last year, with state residents paying an average of 16 percent more. Read More

New York Doesn’t Need the Build Public Renewables Act

Assembly Speaker Carl Heastie called for a special hearing this Thursday to get more input on the Build Public Renewables Act. Read More

US economy clears a key post-pandemic hurdle, while NY still trails

Amid raging inflation and mounting recession worries, the nation's private-sector payroll jobs total finally cleared the pre-pandemic level last month. Read More

NY’s jobs recovery now strongest downstate

The Empire State's private-sector employment gains over the past year have been increasingly concentrated in New York City. Read More

The dangers of Governor Hochul’s endless ’emergencies’

Last week, Governor Hochul extended one of her two pandemic-related emergency orders into its ninth month – an action so routine and non-urgent that her office issued no press release. Five days later, an expose in the Times Union showed why casually overusing emergency powers can be a bad idea. Read More

Subscribe

Sign up to receive updates about Empire Center research, news and events in your email.

CONTACT INFORMATION

Empire Center for Public Policy
30 South Pearl St.
Suite 1210
Albany, NY 12207

Phone: 518-434-3100

General Inquiries: Info@EmpireCenter.org

Press Inquiries: Press@EmpireCenter.org

About

The Empire Center is an independent, non-partisan, non-profit think tank located in Albany, New York. Our mission is to make New York a better place to live and work by promoting public policy reforms grounded in free-market principles, personal responsibility, and the ideals of effective and accountable government.

Empire Center Logo Enjoying our work? Sign up for email alerts on our latest news and research.
Together, we can make New York a better place to live and work!