New York’s governor is proposing to streamline the transmission permitting process, which she calls a chokepoint that is slowing progress of the state’s clean energy transition. 

The RAPID Act — Renewable Action through Project Interconnection and Deployment — would create a one-stop process for environmental review and permitting of major renewable energy and transmission facilities.  

A single transmission project can take up to 24 months to permit, which is too slow, Gov. Kathy Hochul (D) said. To meet the goals of the state’s Climate Leadership and Community Protection Act, the need for environmental protection and community input must be balanced with rapid decision-making, she said. 

The RAPID Act was one of 204 proposals Hochul offered Jan. 9 with her State of the State Address. She did not mention it during the address itself, which focused heavily on social programs and quality-of-life issues.  

But it is on the table for the opening round of the intense spending and policy deliberations that will continue into spring at the Capitol. 

Significant Changes

“As New York continues to strive to build the clean energy infrastructure of the future, our pace of progress is jeopardized by the lack of a mechanism to fast-track transmission projects and grid interconnection decisions,” Hochul wrote in her State of the State message. 

To help address this, she proposes to modify and expand the state’s Office of Renewable Energy Siting.  

ORES is a product of the Accelerated Renewable Energy Growth and Community Benefit Act of 2020, a first-of-its-kind effort to streamline review of large-scale renewable power generation projects in New York. Developers have been complimentary about its work as an improvement over past practices, though with some suggestions for further improvement. Notably, ORES has permitted 15 projects in its short existence. 

Hochul wants to move ORES from the Department of State to the Department of Public Service and expand its powers of review to transmission facilities. The goal is to combine the successes of DPS and ORES with a clear statutory framework for transmission permitting. 

Also, Hochul said she will direct DPS to open a proceeding to improve interconnection of distributed energy resources. It will consider incentives, penalties and other ways to move New York utilities toward faster, more-efficient interconnection of DERs. 

NYISO is working toward many of the same goals in the transmission planning process. In response to Hochul’s proposals Tuesday, Vice President Kevin Lanahan said:  

“Connecting large-scale renewable generation to the grid as quickly and reliably as possible is among the highest priorities of The New York Independent System Operator. We look forward to participating in the Department of Public Service proceeding once it is initiated. The NYISO worked collaboratively throughout 2023 with utilities, renewable developers, and state policymakers to identify and implement significant efficiencies and improvements to the interconnection process. Our work is not done, and Governor Hochul’s proposal comes at an important and opportune time.” 

Other Proposals

In other energy- and utility-related matters, Hochul also proposed: 

• • The Affordable Gas Transition Act, designed to limit new utility investment in the fossil fuel infrastructure the state is trying to phase out while also promoting affordability for customers who switch from natural gas to electricity for heating. She will seek the end of the 100-foot rule, requiring utilities to provide free hookup for anyone within 100 feet of existing gas infrastructure. 
  • The Smart Energy Savings Initiative, which seeks to integrate the current patchwork of utility programs and state policies into a time-of-use demand management program that would reduce the need for costly generation and transmission investment while also providing participating customers with significant savings.
  • NY Grid of the Future, a Department of Public Service proceeding that would identify smart grid technologies that would enable flexible services such as virtual power plants. The goal is to produce by the end of 2024 a plan that would lay out capabilities, costs, benefits and savings. 
  • Statewide Solar for All, which would combine the utility-managed Energy Affordability Program and Community Solar to save 800,000 low-income households $40 per year.

Reaction 

Hochul’s proposals drew quick reaction from advocates and stakeholders. 

The Alliance for Clean Energy New York has a long list of green priorities it is advocating on its own and praised some of those Hochul laid out Tuesday, particularly the need for transmission upgrades: “New York needs a speedy and fair permitting process for clean energy. ORES has issued permits more efficiently than the previous process, but there are still problems. In the application review, for example, deficiencies are identified in multiple rounds rather than all at once, and ORES has been inconsistent in application requirements. These issues are unnecessarily delaying the process without any additional benefit to communities or the environment. We hope today’s proposal will fix those problems as well.”  

NY Renews called for firmer action backed with heavy spending: “We applaud Governor Hochul for including parts of the NY HEAT Act in the State of the State policy agenda, ending the regressive policy where New Yorkers pay hundreds of millions of dollars to expand the state’s fracked gas pipelines. It’s time New York starts shifting our state’s energy infrastructure away from fossil fuels and toward the electric and thermal energy networks that we’ll need to power our homes, workplaces, and public buildings in the future. But we’ll need much more to protect the safety and survival of our families, communities, and environment for generations to come.” 

Advanced Energy United applauded the clean energy initiatives, particularly the transition away from natural gas and strengthening the transmission infrastructure: “Building a bigger, better electric grid and electrifying buildings are investments in home-grown energy resources that will create in-state jobs and a more resilient energy system, and benefit the health and financial wellbeing of all New Yorkers.” 

The Building Decarbonization Coalition found a lot to like: “BDC applauds Governor Hochul’s commitment to advancing New York’s nation-leading energy affordability and building decarbonization efforts with a plan that will help transform how New York heats and cools its buildings, making families’ energy bills more affordable, fortifying the state’s clean heating and cooling infrastructure with union jobs, and lowering the state’s climate emissions.”