BILL NUMBER: S4749
SPONSOR: BORRELLO
TITLE OF BILL:
An act to amend the public service law and the executive law, in
relation to requiring financial security for reclamation for solar and
wind electric generating systems
PURPOSE OR GENERAL IDEA OF BILL:
This bill requires developers of wind and solar power to post a reclama-
tion bond to ensure the proper reclamation of a solar or wind project at
the end of its useful life.
SUMMARY OF PROVISIONS:
Section 1 adds a new section 66-s to the Public Service Law to require
applicants for permits from the Public Service Commission for solar and
wind projects to furnish financial security in an amount sufficient to
ensure the proper reclamation of the solar or wind project at the end of
its useful life.
Section 2 adds a new section 94-c to the Executive Law to require appli-
cants for permits from the Office of Renewable Energy Siting for solar
and wind projects to furnish financial security in an amount sufficient
to ensure the proper reclamation of the solar or wind project at the end
of its useful life.
Section 3 provides that the legislation would take effect 180 days after
its enactment.
JUSTIFICATION:
Solar and wind projects have well-known useful life expectancies. For
example, wind turbine blades last an average of about 25 to 30 years.
When they are replaced, the old blades become a costly disposal chal-
lenge, from transporting them out of the field to finding a place to
store or recycle the blades, which can be longer than a Boeing 747 wing.
Unfortunately, thermoset plastics are almost impossible to recycle, so
many windmill blades currently do not have much scrap value and are not
very appealing to recyclers. Therefore, many spent turbine blades are
piling up in landfills, although some reinforced plastic blades are
downcycled into cement products.
Likewise, solar panels typically have a commercial life-expectancy of
about 25-30 years, after which the solar energy production has declined
significantly below the original production levels. Once the solar
panels are no longer commercially viable, the panels need to be removed
and/or replaced.
The difficulty with recycling solar panels reflects the fact that they
are constructed from many parts all used together in one'product. Sepa-
rating those materials and recycling them each in a unique way is a
complex and expensive process.
Although the New York Environmental Conservation Law requires reclama-
tion bonds for natural gas wells, gravel pits, mining operations, and
other activities that have a substantial reclamation cost, there is no
comparable requirement for solar or wind projects. As a result, there
is a significant danger that the owner of the solar or wind project
might lack the financial resources at the end of the project necessary
to properly decommission or reclaim such projects. Some of the owners
might no longer exist, might be bankrupt, or might simply lack the
financial resources or the willingness to properly decommission or
reclaim such projects.
To ensure that solar and wind projects are properly decommissioned,
recycled, or reclaimed, it is essential that a bond or other financial
security be posted at the beginning of the project and included in the
overall project cost.
LEGISLATIVE HISTORY:
2024: S1265 Referred to Energy and Telecommunications
2023: S1265 Referred to Energy and Telecommunications
2022: S.7420 Referred to Energy and Telecommunications
EFFECTIVE DATE:
This bill would become effective 180 days after adoption, provide that
any rule or regulation necessary for the implementation of this bill on
its effective date are authorized to be made and completed on or before
such effective date.