The New York State Energy Research and Development Authority (NYSERDA), which manages the states Renewable Portfolio Standard (RPS), has recently released reports regarding the program. The RPS sets targets (25% by 2013, 30% by 2015) for the portion of New York’s energy mix deriving from renewable resources including wind.

New York Renewable Portfolio Standard, Program Evaluation Report, 2009 Review of March 31, 2009.

The report presents key findings and recommendations provided by KEMA, Inc. and Summit Blue Consulting, LLC in their role as independent evaluation contractors. Findings are based on the scope and timing of the research conducted by the contractors, and the recommendations provided are not necessarily being advanced by NYSERDA or DPS Staff.

Findings include:

  • The wind potential in New York is being developed at a pace exceeding other states with more abundant wind resources, indicating in part, the Program’s positive influence on wind development.
  • The evaluation concluded that the RPS Program is being administered efficiently and with due diligence concerning ratepayer funding risks. Nevertheless, currently approved funding levels are inadequate to meet the 2013 targets.
  • The RPS Program has cost-effectively achieved new renewable energy capacity in New York. The Main Tier is highly cost-effective with a program administrative benefit-cost ratio exceeding 6 to 1. The specified benefits include investment and wages in the New York economy, electricity price suppression at the wholesale level, and environmental benefits in the form of avoided air pollution emissions. The specified costs include NYSERDA’s cost to administer the program and the payments to developers under contract for RPS Program attributes.

New York Renewable Portfolio Standard Market Conditions Assessment Final Report, Prepared by Summit Blue Consulting LLC. The report indicates:

The assessment finds that New York’s RPS has played a critical role in advancing renewable energy markets in the State to date. In particular, long-term contracts offered under the Main Tier program have proven valuable in driving the development of large-scale projects in the State. However, budget limitations and other program design elements, as well as market barriers beyond the State’s control, will limit market growth potential going forward. A number of actions NYSERDA and the State should consider taking to advance New York’s renewable energy markets in the future are recommended. Press release 4/20 here.

New York Main Tier RPS Impact & Process Evaluation of March 2009. Prepared by KEMA, Inc. for NYSERDA. Among its recommendations:

  • New York should consider alternative forums for working with wind and demand response providers to develop new solutions to transmission and distribution congestion issues. A starting point for this may be facilitated meetings on future transmission impacts, participation in the dayahead market and assignment of dispatch base-points for wind operators.

2 Responses

  1. I thought it was an interesting recommendation in the report to revisit an Article X siting law. They don’t go into detail, but I assume that it would apply to large scale wind as well.

    “Address siting and permitting issues by adopting an Article X siting law, developing criteria for more objectively evaluating visual and noise impacts of wind projects, highlighting areas of the State that welcome renewable energy development, conducting community outreach, and monitoring approaches used in other states.”

  2. Generally speaking I think it’s fair to say that a regenerated Article X (which entails state rather than local oversight of energy facility siting) is favored within the energy industry (including wind) and opposed by municipalities. You can vote (and see results) in a very un-scientific poll on this blog regarding whether the state should oversee siting issues. See also the Washington state example.

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