How will this be accomplished?
New York’s current pace of consumption will require a 10 % to 15 % increase in power generating capacity over the next 10 years to satisfy demand. According to Governor Spitzer, it costs one-third as much money to save a given amount of energy through efficiency programs as it does to produce the same amount of energy through new power generating facilities. Energy efficiency makes economic sense!
This will be accomplished by:
- Revenue Decoupling – Eliminating incentives that discourage utilities from conserving energy. Currently when customers conserve energy, the utilities lose money. A plan is being put in place by the Public Service Commission (PSC) to make utilities whole for lost revenues caused by energy efficiency programs.
- Strengthening Efficiency Standards – much of the waste comes from inefficient appliances and buildings. Improving standards for both of these will save significant energy.
- Addressing New York’s # 1 Energy Consumer: State Government – This will be accomplished by embracing strict energy efficiency standards and renewable energy goals throughout state government.
If New York is able to reduce energy consumption by 15 % by 2015 it will meet its projected energy demand. To lower energy bills through there will still have to be additional power generating capacity developed.
New York will work to increase the supply of clean power by:
- Developing a new power plant siting law: Replacing Article X – This will help expedite only new clean power plants with low or no emissions.
- Long-Term Contracts – Financing of these new power plants will depend on long-term contracts between power plant owners and utilities or state authorities. The PSC has started a process to encourage these types of contracts.
- Investing in renewables – New York represents an ideal environment for developers of clean, renewable power plants. New York has an abundance of wind, water, and solar resources.
This is an aggressive plan. It is estimated that this plan will save 27,300 gigawatt-hours, reduce carbon dioxide emissions by 12.8 million tons per year, and create or retain 41,000 jobs in New York State. To meet the goals of this plan it will require participation from all energy market actors in NY including the Utilities, Commercial & Industrial companies, Design Professionals, Regulatory organizations, and Consumers.
The above information is summarized from Governor Spitzer’s plan and speech given in April. For additional information please visit http://www.eany.org/SpitzerSpeech.pdf
There are a number of resources that can assist energy consumers with participating in this plan. Listed below are two that are available for energy conservation programs.
NYSERDA - http://www.nyserda.org/programs/Commercial_Industrial - NYSERDA's Commercial/Industrial programs provide energy efficiency services for existing buildings, new construction, industrial facilities, and vehicle fleets.
Save Energy Now – http://www1.eere.energy.gov/industry/saveenergynow - The DOE's Industrial Technologies Program (ITP) helps industrial plants operate more efficiently and profitably by identifying ways to reduce energy use in key industrial process systems.
If you have any questions regarding the information provided please contact HMT to discuss.