New York 2023-2024 Regular Session

New York Senate Bill S00378 Latest Draft

Bill / Amended Version Filed 01/04/2023

   
  STATE OF NEW YORK ________________________________________________________________________ 378--A 2023-2024 Regular Sessions  IN SENATE (Prefiled) January 4, 2023 ___________ Introduced by Sens. PARKER, HOYLMAN-SIGAL -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommunications -- reported favorably from said committee and committed to the Committee on Finance -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the energy law, in relation to establishing a program for eligible renewable hydrogen The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The energy law is amended by adding a new article 13 to 2 read as follows: 3 ARTICLE 13 4 RENEWABLE HYDROGEN INCENTIVE AND FINANCING PROGRAM 5 Section 13-101. Definitions. 6 13-102. Renewable hydrogen incentive and financing program. 7 § 13-101. Definitions. As used in this article: 8 1. "Eligible renewable hydrogen" shall mean hydrogen (a) produced with 9 electricity generated from renewable energy systems as defined by 10 section sixty-six-p of the public service law; (b) which is physically 11 located within the jurisdiction of the New York independent system oper- 12 ator; and (c) delivered to a customer in New York state, where such 13 delivery shall be subject to independent verification by the New York 14 state energy research and development authority or a qualified independ- 15 ent party. 16 2. "Eligible curtailed renewable hydrogen" means hydrogen (a) produced 17 with electricity generated from a renewable energy system as defined by 18 section sixty-six-p of the public service law which has seen its elec- 19 tricity output curtailed; (b) which is physically located within the 20 jurisdiction of the New York independent system operator; and (c) deliv- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD02373-04-3 

 S. 378--A 2 1 ered to a customer in New York state, where such delivery shall be 2 subject to independent verification by the New York state energy 3 research and development authority or a qualified independent party. 4 § 13-102. Renewable hydrogen incentive and financing program. 5 Notwithstanding any other provision of law to the contrary, including, 6 but not limited to, any order, rule or regulation promulgated pursuant 7 to the public service law, the public authorities law, and/or the state 8 administrative procedure act, the public service commission, in consul- 9 tation with the New York state energy research and development authori- 10 ty, shall adopt a program within one year of the effective date of this 11 section to provide support to and for eligible renewable hydrogen and, 12 at a greater rate, eligible curtailed renewable hydrogen, through a 13 proceeding to engage stakeholders in order to design and implement a 14 competitive program for eligible renewable hydrogen production for the 15 purpose of meeting the state's clean energy and greenhouse emissions 16 reductions targets. The program shall require: 17 1. administration by the New York state energy research and develop- 18 ment authority; 19 2. a diversity of project sizes, geographic distribution, and partic- 20 ipation among customer classes, subject to cost-effectiveness consider- 21 ations; 22 3. incentive or financing structures that maximize cost-effectiveness 23 and practicality through competitive procurements, standing-offers, 24 production incentives or capacity incentives at the wholesale or retail 25 level as, in the judgment of the commission, provide for the most effec- 26 tive program; 27 4. program designs that take into consideration the avoidance of long- 28 term costs to the transmission and distribution system and minimization 29 of peak load in constrained areas; 30 5. annual reports on the achievements and effectiveness of the 31 program; 32 6. the owner of the eligible renewable production or eligible 33 curtailed renewable hydrogen production supported and facilitated by the 34 program pursuant to this section, or a third party acting on such 35 owner's behalf, to comply with the provisions of section sixty-six-r of 36 the public service law and section two hundred twenty-four-d of the 37 labor law; and 38 7. such other requirements as deemed appropriate by the commission. 39 § 2. This act shall take effect immediately.