The New York Public Service Commission on Dec. 13 approved a plan that calls for the adoption of a secondary energy storage deployment goal of 3,000 megawatts for 2030. The PSC also approved a new energy efficiency target for investor-owned utilities in the state.
In June, New York Gov. Andrew Cuomo announced the state's plan to jumpstart the development of energy storage in New York, calling for the deployment of 1,500 MW of energy storage by 2025.
To achieve the goal, the PSC on Dec. 13 adopted a comprehensive strategy to address barriers that have been impeding energy storage technologies from competing in the energy marketplace. These actions are intended to accelerate the market learning curve, drive down costs, and speed the deployment of the highest-value energy storage projects for maximum benefit to New Yorkers and the electric grid.
In addition to the 2025 goal, a secondary energy storage deployment goal of 3,000 MW for 2030 is being adopted, which was called for pursuant to legislation signed into law in 2017 by Cuomo.
To further stimulate energy storage deployment across the state and spur private sector investment, the New York Power Authority recently 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 effort by NYPA will harness the abilities of third-party providers to address key market and financial barriers and accelerate implementation of 150 megawatts of grid flexibility projects and decrease market risk.
The new energy efficiency target for IOUs will more than double utility energy efficiency progress by 2025.
In his 2018 State of the State address, Cuomo directed the Department of Public Service (DPS) and the New York State Energy Research and Development Authority (NYSERDA) to develop an ambitious new energy efficiency target.
DPS and NYSERDA staff subsequently issued the New Efficiency: New York report to establish New York's ambitious 2025 energy efficiency target of 185 trillion British thermal units (TBtu) of cumulative annual site energy consumption by 2025. The report also identified a comprehensive set of actions to meet that target, with emphasis on increased energy savings through innovative utility efficiency programs, the first steps of which were approved by the Commission on Dec. 13.
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.
The initiatives resulting from the order will deliver direct benefits to New York consumers through new building retrofits, upgrades to heating and cooling equipment, and innovative technologies like heat pumps, Cuomo’s office said. 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.