BILL NUMBER: S97
SPONSOR: COMRIE
TITLE OF BILL:
An act to amend the public service law, in relation to enacting the
"build to need act"
PURPOSE:
This legislation amends the Public Service Law to direct electric utili-
ties to implement a variety of reforms to support the timely, efficient
energization of electric vehicle charging facilities and other electri-
fied end-uses.
SUMMARY OF PROVISIONS:
Section 1. Establishes the "Build to Need Act" short title. Section2.
Sets forth legislative findings and intent.
Section 3. Adds new Section 77-a to the Public Service Law, to: Direct
the Public Service Commission within 60 days to commence updates to
electric corporations' grid planning processes and standards, including
by aligning forecasting with State electrification and decarbonization
targets, conducting long-range planning using additional data sources,
and incorporating customers' load management activities and other non-
wires solutions that may mitigate or defer grid upgrade needs. The
proceeding shall also establish a process for electric corporations to
obtain cost recovery approval for certain infrastructure projects iden-
tified through such updated planning, as well as substantive require-
ments, such as identification of community benefits, for such projects.
Direct utilities to update their tariffs to offer alternative intercon-
nection arrangements, such as flexible interconnections, to mitigate or
defer need for grid upgrades to serve new loads.
Direct the Commission to establish average and maximum target time peri-
ods for load energizations and distributed generation interconnections.
Authorize the Commission and other State agencies to include provisions
for cost-effective automated load management in their programs, incen-
tives, and procurements related to electric vehicles. Direct the
Commission to establish utility reporting requirements related to the
above provisions.
Section 4 establishes the effective date, which is immediate, with the
commencement of a proceeding by the commission within 60 days following
that date.
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 (school buses by 2027, passenger vehicles by 2035, and medium
and heavy duty vehicles by 2045)- to predominantly electrify its trans-
portation sector by 2050, with significant target deadlines rapidly
approaching. Significant expansions of electric vehicle charging infras-
tructure, including of utility-side grid facilities, will be required to
meet these targets. Additionally, technological and market shifts, such
as the accelerating proliferation of heat pumps and data centers, are
further contributing to significant projected increases in electric
loads and corresponding electric grid capacity needs. Electric grid
infrastructure upgrades can require considerable time to plan, engineer,
permit, and construct. That extensive process has generally sufficed for
historical load sources, such as new factories that also took several
years to come online. But it is ill-suited to modern electrical loads,
such as electric vehicle loads that come online at a much more rapid
pace. Therefore, construction of necessary electric grid up grades must
begin now - ahead of the electrification target deadlines - to meet
these emerging demands.
This legislation would accelerate such grid upgrades by directing utili-
ties to update their planning processes and to proactively deploy least-
regrets infrastructure in projected electrification "hot spots." To help
contain costs, utilities would be required to incorporate cost-effective
non-wires solutions, including automated load management, into their
distribution planning, and to offer alternative interconnection arrange-
ments to enable new customers to come online in grid-constrained areas.
The legislation would allow utilities to obtain cost recovery for
certain infrastructure projects between general rate cases, and would
require such projects to identify and provide discrete benefits to
communities affected by those projects. To hold utilities accountable,
the legislation would also direct the Commission to establish average
and maximum target time periods for utilities to energize new loads and
interconnect distributed generation facilities.
LEGISLATIVE HISTORY:
2024: S9113 Comrie/ A10472 Cunningham
LOCAL FISCAL IMPLICATIONS:
To be determined. It is expected that the additional costs borne by
utilities to implement these infrastructure upgrades will be offset by
the subsequent charging revenues they will receive, producing overall
downward pressure on utility rates over time.
EFFECTIVE DATE:
This act shall take effect immediately, with the commencement of a
proceeding by the commission within 60 days following that date.