Governor Kathy Hochul today announced that contracts have been executed for 23 large-scale land-based renewable energy projects that will provide more than 2.3 gigawatts of clean energy, which is enough to power more than 700,000 homes throughout New York State. The projects are expected to create more than 2,500 near-term, family-sustaining jobs and generate more than $4.7 billion in private investment while reinforcing the State’s commitment to the development of clean energy, grid resiliency and economic development.
“New York continues to foster competitive opportunities for the clean energy industry to thrive,” Governor Hochul said. “We are delivering on our commitment to make New York more prosperous by harnessing the benefits of a growing clean energy economy, increasing family sustaining jobs and spurring private investment within communities across the State while remaining focused on keeping energy affordable for all New Yorkers.”
The contracted awards are the result of the New York State Energy and Research Development Authority’s (NYSERDA) 2023 Tier 1 Renewable Energy Standard solicitation. The projects are expected to reduce CO2 equivalent emissions by 2.3 million metric tons annually, the equivalent of removing nearly 350,000 cars from the road; provide public health benefits resulting from reduced exposure to harmful pollutants; and provide more than $249 million in commitments to disadvantaged communities from community benefit funds.
New York State Energy and Research Development Authority President and CEO Doreen M. Harris said, “Today we celebrate 23 more projects that will deliver clean, sustainable energy to our state’s electric grid. New York continues to provide a reliable market for renewable energy projects, and by facilitating responsible development of these projects, we are protecting our natural resources and creating healthier communities.”
The payments under the contracted projects will only begin once projects are constructed and begin delivering renewable energy to New York after obtaining all required permits and approvals. Several projects have already commenced construction activities, and all projects are expected to be operational by 2028.
Additionally, the State will continue to emphasize and enhance engagements with the projects’ host communities. NYSERDA offers resourcesand no-cost technical assistance to help local governments understand how to manage responsible clean energy development in their communities, including step-by-step instructions and tools to guide the implementation of clean energy, permitting processes, property taxes, siting, zoning, and more.
For details on the contracted projects, visit the NYSERDA website.
Public Service Commission Chair Rory Christian said, “The creation of good paying, family-supporting jobs is a key component of our clean energy job market. Kudos to Governor Hochul and her team for making this outstanding job growth a reality.”
New York State Department of Environmental Conservation Interim Commissioner Sean Mahar said, "The commitments for renewable energy projects announced today by NYSERDA will advance New York''s sustained efforts to transition from polluting fossil fuels to cleaner energy sources. Projects like these are critical to help ensure a strong and reliable energy grid that creates good jobs, spurs economic growth, and invests in a clean energy future that is more equitable and healthy for New Yorkers."
State Senator Kevin Parker said, “As we continue to move forward to address the impacts of climate change and transition to clean energy generation, I am pleased to see these important renewable energy projects come online. These projects are demonstrating how we are creating jobs, supporting local communities while New York State develops a clean energy grid.”
New York State AFL-CIO President Mario Cilento said, “Congratulations to Governor Hochul and NYSERDA on this major milestone toward achieving New York’s clean energy goals while adhering to robust labor standards and protections, and Buy American preferences. These projects will increase New York''s renewable energy generation and create good union jobs.”
New York State Building Trades President Gary LaBarbera said, “If New York is going to achieve the goals set out by the CLCPA, we must continue to fund and push forward renewable energy projects that create thousands of sustainable union careers and provide economic stimulus to hardworking New Yorkers and their families. This is why we applaud Governor Hochul and NYSERDA for their ongoing commitment to supporting these key initiatives that improve our grid resiliency, generate reliable clean energy, and curb negative impacts on our environment, all while paving accessible pathways to the middle class for our tradesmen and tradeswomen and improving the lives of all New Yorkers.”
Citizens Campaign for the Environment Executive Director Adrienne Esposito said, “As another year comes to an end, we must continue to make progress in achieving New York’s renewable energy goals and these 23 land base projects represent real progress. Our critical transition to renewables is essential in meeting the needs of increasing our grid’s sustainability, resilience and cost-effective energy generation. We are delighted that Governor Hochul is forging ahead with these important projects and providing the leadership and political will needed to continue New York’s historic energy transition.”
Alliance for Clean Energy New York Executive Director Marguerite Wells said, “The contracts announced today represent projects with tangible benefits for New Yorkers coming very soon. Billions of dollars of private investment will be coming into New York, providing quality jobs and clean, renewable energy. We thank Governor Hochul and NYSERDA for keeping their commitment to our clean energy future, and we look forward to the day these projects are serving power to our state.”
New York League of Conservation Voters President Julie Tighe said, “We see and feel the impacts of climate change every day, and it will only get worse if we don’t transition off of fossil fuels and deliver clean energy. Today’s announcement of an additional 2.3 gigawatts of land-based wind and solar power will mean fewer greenhouse gas emissions and better air quality for New Yorkers, and it’s a big step in the right direction. We thank Governor Hochul for her environmental leadership and commend NYSERDA on this progress toward meeting our CLCPA obligations.”
The projects will add to New York''s robust pipeline of large-scale renewable energy projects moving toward operation, comprised of 46 solar arrays, land-based wind, hydroelectric, and offshore wind projects under development that will deliver more than 6.3 gigawatts of clean power to the grid; enough to power 3.7 million New York homes.
New York State''s climate agenda calls for an affordable and just transition to a clean energy economy that creates family-sustaining jobs, promotes economic growth through green investments, and directs a minimum of 35 percent of the benefits to disadvantaged communities. New York is advancing a suite of efforts to achieve an emissions-free economy by 2050, including in the energy, buildings, transportation, and waste sectors.
NYSERDA offers objective information and analysis, innovative programs, technical expertise, and support to help New Yorkers increase energy efficiency, save money, use renewable energy, and reduce reliance on fossil fuels. A public benefit corporation, NYSERDA has been advancing energy solutions and working to protect the environment since 1975.
New York''s planned phase out of several small gas-fired power plants in New York City and Long Island contributes to a new reliability deficiency by 2033, according to the findings in the NYISO''s 2024 Reliability Needs Assessment (RNA).
Language in the state''s 2023-2024 budget requires the New York Power Authority (NYPA) to phase out certain small natural gas generators in and around New York City and Long Island, unless the generators are needed for electric system reliability. The recently published RNA captures this requirement, modeling 517 megawatts (MW) of NYPA''s small generator capacity as out-of-service beginning in January 2031.
New York City and Long Island are transmission-constrained areas and have needed to rely on local, fossil-fuel generation plants to serve load during times of peak demand, such as the hottest summer and coldest winter months. The RNA forecasts increases in demand due to electrification as contributing to the reliability need.
Since 2023, 1,027 MW of installed capacity from such fossil-fuel generation plants have been deactivated or have limited operation under the Department of Environmental Conservation''s Peaker Rule, which requires certain fossil-fuel generation plants to adopt stringent pollution controls or shut down by certain target dates.
With the assumption that NYPA small natural gas generators are unavailable and the forecasted increase in demand due to electrification, the RNA concludes that the bulk power transmission system will not be able to serve the forecasted demand reliably under normal weather conditions beginning in the summer of 2033. The deficiency grows from 17 MW to 97 MW by summer 2034. The combination of forecasted load growth and extreme weather, which often drives demand even higher, raises the risk of outages.
To address the 2033 deficiency, the NYISO will request and evaluate updates to local transmission plans and other relevant system updates and, if necessary, issue a solicitation for solutions from the marketplace and developers. Solutions may include new renewable energy resources, energy efficiency measures, and other measures used to manage electricity demand. The 2023-2024 budget language also permits NYPA to continue to produce energy from the small natural gas generators to support compliance with reliability standards, emergency power services, and if existing or proposed replacement generation resources would result a net increase in emissions.
A previous Reliability Need was identified by NYISO''s planning studies in July 2023. The NYISO''s second quarter Short-Term Assessment of Reliability identified a New York City Reliability Need, projecting a 446 MW deficiency starting in 2025. The NYISO initiated a process which called for solutions to address the 446 MW deficiency. Consistent with the DEC''s Peaker Rule and detailed in the Short-Term Reliability Process report issued on November 20, 2023, the NYISO has designated certain generators to temporarily continue operation beyond May 2025 until permanent solutions are in place, for an initial period of up to two years (May 1, 2027).
The Climate Leadership and Community Protection Act (CLCPA) requires the state''s electric grid to be carbon-emissions free by 2040. Under this mandate, all fossil fuel generation in the state must eventually be retired and replaced with CLCPA-compliant resources. Notably, the RNA only considers generator retirements that have been identified either through statute or based on notices of retirement submitted to the NYISO.
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