![]() He said the commission did not have any “taxing authority, bonding authority, or other vehicles to pay for significant infrastructure investments.” A question of cost “Why is the cost of transmitting energy produced in Upstate New York being borne on Upstate ratepayers, rather than those actually consuming the energy?” Barrett asked.Ĭhristian in a letter responding to Barrett said the transmission upgrades were being made in response to the Legislature’s mandates and that without a statewide allocation, the costs would have been borne solely by the upstate utility customers where the projects are located. That said, disproportionately increasing utility rates for Upstate New Yorkers to subsidize the cost of expanding transmission lines that move energy downstate is certainly not in alignment with our ‘community protection’ commitment,” Barrett wrote in the letter March 1.īarrett notes that the electricity mix upstate is mostly emissions free while the downstate grid is dominated by fossil fuels. “Providing clean, renewable energy is of the utmost importance to achieving our climate goals. That has raised concerns for Assembly Energy Committee Chair Didi Barrett, (D-Columbia County), who urged PSC chair Rory Christian to reconsider. The costs may ultimately be higher or lower and won’t be fully felt until they’re completed.īecause of the way the costs are allocated, upstate customers will see larger percentage increases. ![]() The most recent example is a decision last month by the PSC approving an estimated $4.4 billion in costs to be paid statewide for transmission upgrades by utilities. ![]() It’s just the way we’re paying for it,” Howard said. “It is not that I am personally against the need to decarbonize our system rapidly and efficiently. It’s clear that the near-term impact of the state’s policies is upward pressure on utility bills as consumers already are grappling with soaring energy prices and inflation. Policymakers have declined to outline in detail the costs of the shift on utility bills or individual households, arguing such evaluations will come as individual policies are considered. How much people’s bills will rise over the next decade is still a guessing game. Solar farms, wind turbines and hydro dams are producing more renewable power for the state, but it can be difficult to deliver that power south to the massive New York City market. The site is owned by Standard Solar Inc., and Developed by US Light Energy of Latham, N.Y. In this Jphoto, smart inverters made by Chint Power Systems are seen at the Sugar Hill Solar Site in Clifton Park, N.Y. Incorporating the value of avoided emissions along with health benefits shows an overall benefit from the shift, the analysis shows. Total costs are a small percentage - less than 1 percent in 2030 and 1.3 percent in 2050 - of the state’s total economic output, according to the state’s analysis. ![]() ![]() The nation-leading initiative won’t come cheap, even though the changeover represents just a small fraction of the state’s economy. So it requires a wholesale electrification of the state’s economy if New York is to meet the statutory targets. While lawmakers’ concerns are growing over the impact on consumers, they have few levers to shift course on the already-approved costs.Ī wholesale transition of the state’s energy system is not optional: It is mandated under a sweeping 2019 law requiring 70 percent renewable electricity by 2030 and an emissions free grid by 2040, alongside overall reductions in planet-warming gasses. We make no judgment whether you have the money to pay or you don’t have the money to pay,” John Howard, a commissioner on the Public Service Commission, said at last month’s meeting. “Financing them exclusively through rates, particularly on residential, is the least progressive mechanism for financing anything. Some of the costs are already impacting utility bills, but more are set to hit in the coming years as projects come online. ![]()
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