New York Sets Sights on Energy Efficiency and Storage with New Targets, Incentives

Last week, New York Governor Andrew M. Cuomo announced that the New York State Public Service Commission approved two initiatives to increase New York’s energy efficiency and energy storage targets.

Energy Efficiency

The new energy efficiency target for investor-owned utilities will more than double utility energy efficiency progress by 2025, reducing the state’s energy consumption 185 trillion British thermal units (TBtu) of cumulative annual site energy consumption by 2025, which the state commission said is the equivalent of fueling and powering 1.8 million homes.

The Commission order adopts 31 TBtu of additional site energy reduction by the state’s utilities, above existing utility efficiency goals and toward the achievement of the 2025 target. This goal is inclusive of a subsidiary annual three percent reduction in electricity sales by 2025 and 5 TBtu of savings from the installation of heat pumps, which will help further reduce emissions from the heating and cooling of buildings in a cost-effective way. The commission has required a minimum of 20 percent of any additional levels of public investment in energy efficiency to be dedicated to the low- and moderate-income sector, helping to ensure that all New Yorkers have equal access to clean, affordable energy.

Energy Storage

The energy storage initiative sets New York on a trajectory to achieve 1,500 MW of storage by 2025, enough electricity to power 1.2 million homes, and up to 3,000 MW by 2030. The commission said it adopted a comprehensive strategy to address barriers that have been impeding energy storage technologies from competing in the energy marketplace.

When implemented, the strategy adopted by the Commission today will establish a critical foundation for the emergence of this clean-tech industry across the state and support New York’s goal to create 30,000 jobs in this industry.

Renewable Energy Access

To further stimulate energy storage deployment across the state and spur private sector investment, earlier this week, New York Power Authority (NYPA) announced it will invest $250 million over the next five years to accelerate the flexibility of the electric grid to give New Yorkers greater access to renewable energy resources such as wind and solar power.

This multi-pronged, collaborative effort by NYPA will harness the abilities of third-party providers to address key market and financial barriers, and accelerate implementation of 150 MW of grid flexibility projects and decrease market risk.

Specifically, the commission order authorizes a $310 million market acceleration bridge incentive to be administered by NYSERDA, in addition to $40 million announced in November for pairing storage with PV projects, and directs NYSERDA to file a market acceleration bridge incentive implementation plan. It also directs the state’s six major electric utilities to hold competitive procurements for 350 MW of bulk-sited energy storage systems.


DistribuTECH 2019 will feature a full track on Energy Storage with sessions in our summit and in our Knowledge Hubs in the exhibit hall, which are open to all. Learn more about the event, here.
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Jennifer Runyon
Jennifer Runyon has been studying and reporting about the world's transition to clean energy since 2007. As editor of the world's largest renewable energy publication, Renewable Energy World, she observed, interviewed experts about, and reported on major clean energy milestones including Germany's explosive growth of solar PV, the formation and development of the U.S. onshore wind industry, the U.K. offshore wind boom, China's solar manufacturing dominance, the rise of energy storage, the changing landscape for utilities and grid operators and much, much, more. You can reach her at Jennifer.Runyon@ClarionEvents.com Today, in addition to managing content on Renewable Energy World and POWERGRID International, she also serves as the conference advisory committee chair for DISTRIBUTECH, a globally recognized conference and expo for the transmission and distribution industry. In her role, she works in close cooperation with a large team of committed industry executives to shape the educational content for the event. She also helps assemble the renewable energy content for POWERGEN and helped launch the first Grid-Scale Storage Summit, a co-located event at HYDROVISION International. She has traveled to Germany to see onshore and offshore wind installations; Iceland to see geothermal energy in action; and France to see cutting-edge smart grids. In the U.S. she has visited and reported about bioenergy power plants in Florida, both large-scale and small-scale hydropower; and multiple wind farms, solar PV, and CSP installations. Formerly, she was the managing editor of Innovate Forum, an online publication that focused on innovation in manufacturing. Prior to that she was the managing editor at Desktop Engineering magazine. In 2008, she won an "Eddy Award" for her editing work on an article about solar trees in Vienna. In 2010, RenewableEnergyWorld.com was awarded an American Business Media Neal Award for its eNewsletters, which were created under her direction. She holds a Master's Degree in English Education from Boston University and a BA in English from the University of Virginia.

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