Responses Show Strong Private Sector Interest in Developing and Investing in Renewable Energy in New York
Part of First Phase of the Governor's Clean Climate Careers Initiative
Supports Governor Cuomo's Clean Energy Standard For Half of State's Electricity to Come from Renewables By 2030
Governor Andrew M. Cuomo today announced more than 200 proposals were received from large-scale, clean energy project developers in response to two requests for proposals that will add historic amounts of renewable energy to New York's power supply. The state expects to invest up to $1.5 billion in new clean energy projects through the two RFPs, administered by the New York State Energy Research and Development Authority and the New York Power Authority. The investments will advance the Governor's ambitious goal to get 50 percent of New York's electricity from renewable energy sources by 2030.
"New York is leading the nation in advancing clean energy projects to support our promise to achieve half of all electricity from renewables by 2030," Governor Cuomo said. "Renewable energy is the way of the future and by working with the private sector, this state is capitalizing on business diversity and creativity, while securing investments for real results to combat climate change and build a cleaner, greener New York for all."
Both solicitations yielded creative proposals to use large-scale solar, wind, hydroelectric or biomass renewable energy generation technologies to support the Governor's Clean Energy Standard.
NYSERDA received 88 proposals from 30 clean energy developers and NYPA received more than 130 proposals from 51 clean energy developers in response to the requests for proposals. A number of development companies submitted proposals for both RFPs.
"Under Governor Cuomo's nation-leading clean energy initiatives - Reforming the Energy Vision and the Clean Energy Standard - clean energy developers are answering the call to do business in New York State," said Richard Kauffman, Chairman of Energy and Finance, New York State. "We are excited to see such a positive response to our request for clean energy projects and look forward to making these projects become a reality, benefiting all New Yorkers with cleaner, more resilient and affordable energy."
The solicitations together are seeking to procure 2.5 million megawatt hours of electricity from renewable energy resources, representing the largest clean energy procurement by a state in U.S. history. In total, the projects submitted to NYSERDA represent more than 4 gigawatts of renewable capacity, and projects submitted to NYPA represent more than 9 gigawatts of potential renewable energy supply for the state. This robust response provides both agencies the opportunity to select and procure the best and most cost-effective proposals for meeting the objectives of the Clean Energy Standard.
NYSERDA's final bid proposals are due by September 28, with competitive selection and awards expected in November. NYPA received many proposals incorporating an innovative financing structure called a pre-paid power purchase agreement, which is designed to lower the financing cost - and costs to customers - for renewable projects. NYPA expects to complete contracts with winning developers in the first half of 2018.
Both the NYSERDA and NYPA solicitations will lead to the creation of thousands of direct and indirect jobs from development, construction and operation of clean energy projects through 2022.
"The pool of eligible bid facilities represents a pipeline of renewable energy projects that could generate more than 9.5 million megawatt hours per year, more than six times the quantity sought under the solicitation," said NYSERDA President and CEO Alicia Barton. "This robust developer interest in New York is exciting to see, and we expect that this level of competition will drive very attractive prices when the bids come in."
"We are very pleased with the caliber of the proposals received and are confident that new clean energy projects will soon be underway to help reach Governor Cuomo's aggressive clean energy goals," said NYPA President and CEO Gil C. Quiniones. "Our plan is to make a significant investment in renewable energy with our customers and in doing so we will take a big step toward a transition to clean power and reducing New York's carbon footprint."
Senator Joseph Griffo, Chair of the Senate Energy Committee said, "It is good to see so many potential developers interested in helping the state when it comes to renewable energy. Consumers paying for electricity are the ones who will benefit from generating energy from as many sources as possible. While our state has a diverse energy supply, we must make sure this supply is well maintained while we also seek ways to increase our renewable generation. But we must make sure that this is done at a reasonable cost to ratepayers."
Assemblywoman Amy Paulin, Chair of the Assembly Energy Committee said, "I am encouraged by the positive response for large-scale renewable energy projects, and the creativity and innovation of many of the proposals. These types of large-scale projects are crucial for meeting our State's renewable energy goals. The strong interest demonstrates that the private sector is ready to invest and build these projects in New York."
The strong response from large-scale, clean energy companies supports the first phase of the Governor's Clean Climate Careers initiative. Governor Cuomo announced an unprecedented investment of up to $1.5 billion in major renewable energy projects in June, including wind and solar, and significantly expand energy efficiency and solar installations at public buildings. In partnership with the ILR School's Worker Institute at Cornell University and Climate Jobs NY, this initiative focuses on accelerating energy efficiency and renewable energy growth to make New York a magnet for new energy technologies, while helping to create 40,000 new, good-paying clean energy jobs by 2020.
About Reforming the Energy Vision
Reforming the Energy Vision is Governor Andrew M. Cuomo's strategy to lead on climate change and grow New York's economy. REV is building a cleaner, more resilient and affordable energy system for all New Yorkers by stimulating investment in clean technologies like solar, wind, and energy efficiency and generating 50 percent of the state's electricity needs from renewable energy by 2030. Already, REV has driven a nearly 800 percent growth in the statewide solar market, enabled over 105,000 low-income households to permanently cut their energy bills with energy efficiency, and created thousands of jobs in manufacturing, engineering, and other clean tech sectors. REV is ensuring New York State reduces statewide greenhouse gas emissions 40 percent by 2030 and achieves the internationally-recognized target of reducing emissions 80 percent by 2050. To learn more about REV, including the Governor's $5 billion investment in clean energy technology and innovation, please visit www.ny.gov/REV4NY and follow us at @Rev4NY.