Establishes a program for eligible zero emissions energy systems

• Republican1

◆ The sponsor's argument

Why Kevin S. Parker says this is needed

The Climate Action Council, established pursuant to the CLCPA, has received information from studies on emissions reduction pathways needed to reach the CLCFA goals, while maintaining reliability and reducing costs to consumers. All scenarios that achieve carbon neutrality share 'significant progress on: energy efficiency and end-use electrification; switching to low-carbon fuels; decarbonizing the electricity supply; and the use of negative emissions measures and carbon capture technologies. The studies, commissioned by the New York Independent System Operator and New York State Energy Research and Development Authority (NYSER- DA),indicate that upwards of 20 gigawatts of dispatchable and emis- sions-free resources will be needed to balance the electric power system. by 2040 as the economy electrifies and reliance on intermittent renewable and duration limited resources increases. Those resources Must be significant in capacity, able to operate continuously over many hours or days,and flexible enough to meet rapid, steep ramping needs. The studies further find that battery storage resources.help address shorter duration variability from renewable resources but, based on current technology, do not provide the long duration power generation that is necessary over seasonal periods of reduced renewable generation. The CLCPA requires that 70 percent of electricity be renewable by 2030. The bill is intended ultimately to create a market for the kind of tech- nologies that will comprise the remaining 30 percent of power generation technology needed to maintain reliability as progress is made toward achieving the goal of a zero emissions power system by 2040. The language of the CLCPA has created a cloud of investment uncertainty that this bill would help clear. The CLCPA prohibits power plant owners from using technologies that are defined to be part of the offsets program, such as: carbon capture and sequestration; anaerobic digesters, which would involve renewable natural gas; and biofuels. As part of the Climate Action Council process, the New York State Department of Envi- ronmental Conservation (DEC) has interpreted the CLCPA to mean that, as long as the DEC does not establish an offsets program, these technolo- gies are available for the use of the generation sector. This bill would help remove uncertainty and promote the development of a market to foster the investment needed to meet the CLCPA's goals reliably. For example, green hydrogen, produced by carbon-free means as required by the CLCPA, and captured biogas that would otherwise escape into the atmosphere, can be valuable in the energy mix of a decarbonizing economy by providing generators with a dispatchable, carbon-free fuel to backup renewable generation and energy storage. Consistent with the CLCPA's goals, fostering private sector investment in at least one gigawatt of electricity generated by zero emissions energy systems by 2030 that can provide the operating flexibility and longer duration generation that intraday battery storage systems cannot is in the public interest, in order to develop a market for these resources. This program also could implement the recommendations of the Climate Action Council for how to meet the CLCPA's goals. Under the bill, the PSC could decide to establish the program for "zero emissions energy systems," in a. manner consistent with NYSERDA's programs for research, development and demonStration of innovative tech- nologies to meet the goals of the CLCPA while maintaining reliability. There is no impact upon, or conflict with, renewable energy and energy storage technologies, as the definition of zero emissions exempts renew- able energy systems under the PSC's section-of the CLCPA and those renewables have their own program with their own funding. Other programs such as offshore wind and energy storage also have their own goals and are separately funded. The PSC also could decide whether retrofitting existing facilities would qualif

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.