BILL NUMBER: S98
SPONSOR: COMRIE
 
TITLE OF BILL:
An act to amend the public service law, in relation to building make-
ready electrical infrastructure for the charging of electric vehicles
 
PURPOSE:
This legislation amends the Public Service Law to direct electric utili-
ties to construct or otherwise bear costs of certain infrastructure
needed to serve electric vehicle charging systems.
 
SUMMARY OF PROVISIONS:
Section 1. Adds Section 66-x to the Public Service Law to: Establish
legislative,intent and set forth definitions of included terms. Require
electric corporations to establish revised tariffs to provide for more
uniform deployment of equipment ("make-ready infrastructure") needed to
connect electric vehicle charging stations to the electric grid. The
tariffs shall authorize the electric corporations to cover 1000 of
prudent utility-side make-ready costs, and between 50% to 100% of
prudent customer-side make-ready costs, based on whether the customer is
located in a disadvantaged community zone or operates a public-serving
fleet; and to recover such costs through surcharge or base rates instead
of directly from the customer served. Electric corporations shall take
reasonable efforts to ensure that any infrastructure built pursuant to
this section is efficiently sized and operated, such as by considering
customers' reasonably-foreseeable load management activities or distrib-
uted energy resource deployments.
Establish a public notice and comment period for the proposed tariffs.
Section 2 is the effective date, which is immediate.
 
JUSTIFICATION:
New York has set rigorous goals - such as the Climate Leadership and
Community Protection Act of 2019 (CLCPA), Advanced Clean Trucks and
Advanced Clean Cars II rules, and the Zero Emissions Vehicles sales
targets - to predominantly electrify its transportation sector by 2050,
with significant target deadlines rapidly approaching. Significant
expansions of electric vehicle charging infrastructure, including both
utility-side grid facilities and customer-side charging equipment, will
beòrequired to meet these targets.
Burdensome utility make-ready policies impede this infrastructure
deployment. "Make-ready" refers to (i) utility-side equipment that
connects the customer to the grid, and (ii) customer-side equipment that
connects the utility meter to the charging stations themselves. Make-
ready can comprise 30% or more of a fleet's upfront charging costs. This
poses a significant financial hurdle, particularly for public-serving
fleets (such as transit agencies) and fleets serving disadvantaged
communities. Moreover, New York's electric utilities each have different
tariff rules and policies governing the allocation of make-ready costs,
which adds complexity for fleets operating in multiple utility service
territories.
This legislation addresses this obstacle by establishing a uniform cost
allocation for make-ready infrastructure. It requires electric utilities
to cover 100% of prudent utility-side make-ready costs, as well as a
portion of prudent customer-side make-ready costs: 100% for public-serv-
ing fleets as well as multifamily dwelling units or fleet locations in
disadvantaged community 'zones, and at least 50% for other multifamily
or fleet locations. Utilities would recover these costs through rates
instead of directly from the charging customer.
In addition to supporting charging customers and New York's electrifica-
tion goals, this policy is also projected to benefit utility ratepayers
by helping new electric loads come online more quickly, which expedites
corresponding ratemaking benefits. A recent study examining two New York
utilities showed that the increase in utility revenue from serving new
EVs will tend to exceed costs of make-ready infrastructure, which puts
downward pressure on utility rates for customers.
 
LEGISLATIVE HISTORY:
2024: S9114 Comrie/ A10383 Woerner
 
LOCAL FISCAL IMPLICATIONS:
To be determined, but the initial costs of the program will be borne by
the electric utilities, with some costs in some instances to the custom-
er side capped at 50 percent; but increased revenue from charging is
expected to sufficiently cover those upfront utility costs.
 
EFFECTIVE DATE:
This act shall take effect immediately.