Creates the New York solar industry development and jobs act; relates to procurement of solar renewable energy credits; establishes schedule with annual percentages to be met for compliance years.
Sponsor: Englebright
Law Section: Public Service Law
Law: Add S66-m, Pub Serv L; amd SS1005 & ren SS1020-hh - 1020-jj to be SS1020-ii - 1020-kk, add S1020-hh, Pub Auth L
Multi-sponsor(s):
Boyland, Boyle, Castelli, Ceretto, Conte, Curran, Cymbrowitz, Glick, Gottfried, Heastie, Katz, Lentol, Lopez P, McDonough, McEneny, McKevitt, Millman, Montesano, Murray, Nolan, O'Donnell, Perry, Raia, Reilly, Saladino, Sayward, Sweeney, Wright
Co-sponsor(s):
Cahill, Schimel, Brennan, Rosenthal, Crespo, Lifton, Colton, Lupardo, Paulin, Latimer, Galef, Dinowitz, Linares, Moya, Russell, Jaffee, Rivera P, Abinanti, Thiele, Weisenberg, Benedetto, Roberts, Gunther, Maisel, Lavine, Markey, Kavanagh, Kellner, Peoples-Stokes
Committee: ENERGY
Law Section: Public Service Law
Law: Add S66-m, Pub Serv L; amd SS1005 & ren SS1020-hh - 1020-jj to be SS1020-ii - 1020-kk, add S1020-hh, Pub Auth L
A5713C-2011 Actions
- Feb 2, 2012: enacting clause stricken
- Jan 4, 2012: referred to energy
- Jun 16, 2011: print number 5713c
- Jun 16, 2011: amend (t) and recommit to ways and means
- Jun 1, 2011: print number 5713b
- Jun 1, 2011: amend and recommit to ways and means
- May 13, 2011: print number 5713a
- May 13, 2011: amend and recommit to ways and means
- Apr 13, 2011: reported referred to ways and means
- Mar 2, 2011: reference changed to energy
- Feb 25, 2011: referred to ways and means
A5713C-2011 Text
S T A T E O F N E W Y O R K
________________________________________________________________________
5713--C
2011-2012 Regular Sessions
I N ASSEMBLY
February 25, 2011
___________
Introduced by M. of A. ENGLEBRIGHT, CAHILL, SCHIMEL, BRENNAN, ROSENTHAL,
CRESPO, LIFTON, COLTON, LUPARDO, PAULIN, HOYT, LATIMER, GALEF, DINOW-
ITZ, LINARES, MOYA, RUSSELL, JAFFEE, P. RIVERA, SPANO, SCHROEDER,
ABINANTI, THIELE, WEISENBERG, BENEDETTO, ROBERTS, GUNTHER, MAISEL,
LAVINE, MARKEY -- Multi-Sponsored by -- M. of A. BING, BOYLE, CASTEL-
LI, CERETTO, CONTE, CURRAN, CYMBROWITZ, GLICK, HEASTIE, KATZ, LENTOL,
P. LOPEZ, McDONOUGH, McENENY, McKEVITT, MILLMAN, MONTESANO, MURRAY,
NOLAN, RAIA, REILLY, SALADINO, SAYWARD, SCHIMMINGER, SWEENEY, WRIGHT
-- read once and referred to the Committee on Ways and Means -- refer-
ence changed to the Committee on Energy -- reported and referred to
the Committee on Ways and Means -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee --
again reported from said committee with amendments, ordered reprinted
as amended and recommitted to said committee -- again reported from
said committee with amendments, ordered reprinted as amended and
recommitted to said committee
AN ACT to amend the public service law and the public authorities law,
in relation to the creation of the New York solar industry development
and jobs act of 2011 and the procurement of solar renewable energy
credits
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative intent and purpose. It is the intent of the
legislature to enable the rapid and sustainable development of a robust
solar power industry in New York by creating a scalable, diverse and
competitive solar energy market. By tapping into the state's abundant
solar energy resources, it is the further intent of the legislature to
harness the multiple benefits associated with the generation of such
clean power, including the significant creation of much needed jobs, a
reduction of the long-term costs of electricity generation for New
York's energy consumers, including transmission and distribution costs
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08692-09-1
A. 5713--C 2
that continue to accelerate in proportion to overall electricity supply
costs for the residents of this state, increased reliability of the
state's electric grid, reduced peak demand, development of capacity
resources in capacity-constrained areas, alleviation of local trans-
mission and distribution constraints, and a decrease in the emission of
harmful air pollution, including localized and other emissions. By
establishing such a program, New York will create a solar energy enter-
prise that will elevate the state to be among the world's cutting edge
clean energy industry leaders, while helping to secure increased econom-
ic development for New Yorkers.
S 2. Short title. This act shall be known and may be cited as the
"New York solar industry development and jobs act of 2011".
S 3. The public service law is amended by adding a new section 66-m to
read as follows:
S 66-M. PROCUREMENT OF SOLAR RENEWABLE ENERGY CREDITS. 1. AS USED IN
THIS SECTION:
(A) "BUILDING INTEGRATED PHOTOVOLTAIC EQUIPMENT" MEANS A PHOTOVOLTAIC
DEVICE THAT DIRECTLY FUNCTIONS AS A PART OF THE ENVELOPE OF A BUILDING
INCLUDING INTEGRATED ROOF COVER, FACADE OR BUILDING CLADDING, GLAZED
SURFACES, SOLAR SHADING DEVICES, CANOPIES, AND SKYLIGHTS;
(B) "ELECTRIC DISTRIBUTION COMPANY" MEANS AN INVESTOR-OWNED UTILITY
THAT DISTRIBUTES ELECTRICITY WITHIN THIS STATE;
(C) "PHOTOVOLTAIC DEVICE" MEANS A SYSTEM OF COMPONENTS THAT GENERATES
ELECTRICITY FROM INCIDENTAL SUNLIGHT BY MEANS OF THE PHOTOVOLTAIC
EFFECT, WHETHER OR NOT THE DEVICE IS COUPLED WITH A DEVICE CAPABLE OF
STORING THE ENERGY PRODUCED FOR LATER USE;
(D) "PREVAILING RATE OF WAGES" SHALL HAVE THE SAME MEANING AS SUCH
TERM IS DEFINED IN PARAGRAPH A OF SUBDIVISION FIVE OF SECTION TWO
HUNDRED TWENTY OF THE LABOR LAW;
(E) "QUALIFIED SOLAR ENERGY GENERATION" MEANS POWER GENERATED (I)
WITHIN FIFTEEN YEARS OF THE DATE THE QUALIFIED SOLAR ENERGY GENERATOR
RECEIVED PERMISSION FROM THE ELECTRIC DISTRIBUTION COMPANY TO ENERGIZE;
(II) BY A PHOTOVOLTAIC DEVICE THAT IS CONNECTED TO THE DISTRIBUTION
SYSTEM OR AREA SUBSTATIONS AND ASSOCIATED FACILITIES THAT COMPRISE THE
LOCAL AREA NETWORK OF AN ELECTRIC DISTRIBUTION COMPANY SERVING THE
STATE; (III) AFTER JANUARY FIRST, TWO THOUSAND ELEVEN;
(F) "QUALIFIED SOLAR ENERGY GENERATOR" MEANS THE OWNER OF A PHOTOVOL-
TAIC DEVICE OR DEVICES THAT PRODUCES QUALIFIED SOLAR ENERGY GENERATION;
(G) "RETAIL DISTRIBUTED SOLAR ENERGY GENERATION" MEANS QUALIFIED SOLAR
ENERGY GENERATION PRODUCED BY A PHOTOVOLTAIC DEVICE THAT IS INTERCON-
NECTED TO THE DISTRIBUTION SYSTEM ON THE CUSTOMER SIDE OF THE ELECTRIC
DISTRIBUTION COMPANY METER;
(H) "RETAIL ELECTRIC SUPPLIER" MEANS AN ENTITY AUTHORIZED TO SELL
ELECTRICITY AT RETAIL TO END-USE CUSTOMERS IN THIS STATE, INCLUDING AN
ELECTRIC DISTRIBUTION COMPANY ACTING AS A PROVIDER OF LAST RESORT OR AN
ENERGY SERVICE COMPANY LICENSED BY THE COMMISSION FOR SUCH PURPOSE;
(I) "SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION" MEANS RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION PRODUCED BY A PHOTOVOLTAIC DEVICE
THAT IS EQUAL TO OR LESS THAN FIFTY KILOWATTS IN SIZE;
(J) "SOLAR ALTERNATIVE COMPLIANCE PAYMENT" MEANS A PAYMENT OF A
CERTAIN DOLLAR AMOUNT PER MEGAWATT-HOUR, AS ESTABLISHED BY THE COMMIS-
SION, THAT A RETAIL ELECTRIC SUPPLIER MAY SUBMIT TO THE COMMISSION IN
ORDER TO COMPLY WITH ITS ANNUAL OBLIGATIONS ESTABLISHED IN SUBDIVISION
TWO OF THIS SECTION;
A. 5713--C 3
(K) "SOLAR PURCHASE AGREEMENT" MEANS AN AGREEMENT, FOR A MINIMUM OF
FIFTEEN YEARS, FOR THE PURCHASE OF SRECS FROM A QUALIFIED SOLAR ENERGY
GENERATOR; AND
(L) "SOLAR RENEWABLE ENERGY CREDIT" OR "SREC" MEANS THE ENVIRONMENTAL
ATTRIBUTES ASSOCIATED WITH ONE MEGAWATT-HOUR OF QUALIFIED SOLAR ENERGY
GENERATION.
2. (A) EACH RETAIL ELECTRIC SUPPLIER SHALL ANNUALLY PROCURE, AT MINI-
MUM, SRECS TO MEET THE FOLLOWING PERCENTAGES OF SUCH SUPPLIER'S TOTAL
ELECTRIC SALES IN EACH COMPLIANCE YEAR:
COMPLIANCE ANNUAL
YEAR REQUIREMENT
2013 0.15%
2014 0.20%
2015 0.30%
2016 0.50%
2017 0.75%
2018 1.00%
2019 1.25%
2020 1.50%
(B) COMPLIANCE SHALL CONTINUE THROUGH TWO THOUSAND THIRTY-FOUR AS
FOLLOWS:
(I) ELECTRIC DISTRIBUTION COMPANY OBLIGATIONS FOR THE PROCUREMENT OF
SRECS ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION SHALL CONTINUE
UNTIL ALL EXISTING SOLAR PURCHASE AGREEMENTS ENTERED INTO THROUGH TWO
THOUSAND TWENTY HAVE EXPIRED. ELECTRIC DISTRIBUTION COMPANIES SHALL NOT
BE OBLIGATED TO ENTER INTO NEW SOLAR PURCHASE AGREEMENTS AFTER TWO THOU-
SAND TWENTY.
(II) EACH RETAIL ELECTRIC SUPPLIER THAT IS NOT AN ELECTRIC DISTRIB-
UTION COMPANY SHALL ANNUALLY PROCURE SRECS TO MEET THE PERCENTAGES OF
SUCH SUPPLIER'S TOTAL ELECTRIC SALES IN ACCORDANCE WITH THE FOLLOWING
SCHEDULE:
(A) FOR COMPLIANCE YEARS TWO THOUSAND TWENTY-ONE THROUGH TWO THOUSAND
TWENTY-SEVEN, THE ANNUAL REQUIREMENT SHALL BE THE ANNUAL REQUIREMENT IN
TWO THOUSAND TWENTY;
(B) FOR COMPLIANCE YEAR TWO THOUSAND TWENTY-EIGHT, THE ANNUAL REQUIRE-
MENT SHALL BE THE ANNUAL REQUIREMENT APPLICABLE IN TWO THOUSAND TWENTY-
SEVEN LESS THE ANNUAL REQUIREMENT APPLICABLE IN TWO THOUSAND THIRTEEN;
AND
(C) FOR COMPLIANCE YEARS TWO THOUSAND TWENTY-NINE THROUGH TWO THOUSAND
THIRTY-FOUR, THE ANNUAL REQUIREMENT SHALL BE THE ANNUAL REQUIREMENT IN
THE PRIOR COMPLIANCE YEAR LESS THE NET OF THE ANNUAL REQUIREMENT APPLI-
CABLE IN THE FIFTEENTH AND SIXTEENTH YEAR PRIOR. FOR PURPOSES OF ILLUS-
TRATION, THE ANNUAL REQUIREMENT FOR TWO THOUSAND TWENTY-NINE IS 1.15%
((1.5%)-(.20%)-(.15%)).
(C) AT LEAST TWENTY PERCENT OF THE ANNUAL OBLIGATION APPLICABLE TO
EACH RETAIL ELECTRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION COMPANY
SHALL BE MET THROUGH THE PROCUREMENT OF SRECS ASSOCIATED WITH SMALL
RETAIL DISTRIBUTED SOLAR ENERGY GENERATION; AND AT LEAST AN ADDITIONAL
THIRTY PERCENT OF THE ANNUAL OBLIGATION APPLICABLE TO EACH RETAIL ELEC-
TRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION COMPANY SHALL BE MET
THROUGH THE PROCUREMENT OF SRECS ASSOCIATED WITH RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION PRODUCED BY EQUIPMENT OF ANY SIZE.
(D) RETAIL ELECTRIC SUPPLIERS MAY MEET THEIR OBLIGATIONS ESTABLISHED
BY THE COMMISSION PURSUANT TO THIS SUBDIVISION THROUGH THE PROCUREMENT
OF SRECS TOGETHER WITH OR SEPARATE FROM THE ASSOCIATED QUALIFIED SOLAR
ENERGY GENERATION.
A. 5713--C 4
(E) EACH SREC PROCURED BY A RETAIL ELECTRIC SUPPLIER FROM QUALIFIED
SOLAR ENERGY GENERATION EQUIPMENT THAT IS PLACED IN SERVICE WITHIN A
LOAD ZONE FOR WHICH A LOCATIONAL MINIMUM INSTALLED CAPACITY REQUIREMENT
HAS BEEN ESTABLISHED BY THE NEW YORK INDEPENDENT SYSTEM OPERATOR AS OF
THE EFFECTIVE DATE OF THIS SECTION SHALL BE COUNTED AS ONE AND A HALF
SRECS TOWARD THE RETAIL ELECTRIC SUPPLIER'S ANNUAL PROCUREMENT OBLI-
GATION ESTABLISHED BY THE COMMISSION PURSUANT TO THIS SUBDIVISION.
(I) WITHIN NINETY DAYS OF THE CONCLUSION OF THE THIRD ANNUAL PROCURE-
MENT PERIOD, THE COMMISSION SHALL INITIATE A REVIEW, WITH NOTICE AND
OPPORTUNITY FOR PUBLIC COMMENT, ON THE AMOUNT OF SRECS PROCURED FROM
WITHIN EACH TARGETED LOAD ZONE. FOR THAT REVIEW, THE COMMISSION SHALL
DETERMINE THE AMOUNT OF SRECS PROCURED FROM WITHIN EACH TARGETED LOAD
ZONE AS A PERCENTAGE OF SRECS PROCURED STATEWIDE FOR EACH COMPLIANCE
PERIOD UNDER REVIEW, AND ALSO SHALL DETERMINE THE AMOUNT OF RETAIL SALES
OF ELECTRIC COMMODITY SOLD WITHIN EACH TARGETED LOAD ZONE AS A PERCENT-
AGE OF SAME PROCURED STATEWIDE FOR EACH COMPLIANCE PERIOD UNDER REVIEW.
IF THE RESULTING PERCENTAGE OF SRECS PROCURED FROM WITHIN THE TARGETED
LOAD ZONE EXCEEDS THE RESULTING PERCENTAGE OF RETAIL SALES OF ELECTRIC
COMMODITY SOLD WITHIN THE TARGETED LOAD ZONE, THEN THE COMMISSION MAY
ADJUST OR ELIMINATE THE SREC MULTIPLIER SET FORTH IN THIS PARAGRAPH FOR
SYSTEMS PUT IN SERVICE AFTER THE REVIEW HAS BEEN COMPLETED, BUT NOT
BEFORE THE NEXT COMPLIANCE YEAR. IF THE RESULTING PERCENTAGE OF SRECS
PROCURED FROM WITHIN THE TARGETED LOAD ZONE DOES NOT EXCEED THE PERCENT-
AGE OF RETAIL SALES OF ELECTRIC COMMODITY SOLD WITHIN THAT TARGETED LOAD
ZONE, THEN THE COMMISSION SHALL NOT ADJUST OR ELIMINATE THE SREC MULTI-
PLIER.
(II) THE COMMISSION SHALL CONDUCT THE REVIEW SET FORTH IN THIS PARA-
GRAPH EACH YEAR FOLLOWING THE THIRD ANNUAL PROCUREMENT PERIOD. IF, AFTER
HAVING ADJUSTED OR ELIMINATED THE SREC MULTIPLIER PURSUANT TO A PRIOR
ANNUAL REVIEW, THE COMMISSION SUBSEQUENTLY DETERMINES THAT THE RESULTING
PERCENTAGE OF SRECS PROCURED FROM WITHIN THE TARGETED LOAD ZONE NO LONG-
ER EXCEEDS THE PERCENTAGE OF RETAIL SALES OF ELECTRIC COMMODITY SOLD
WITHIN THAT TARGETED LOAD ZONE, THEN THE COMMISSION SHALL REINSTATE THE
SREC MULTIPLIER SET FORTH IN THIS PARAGRAPH FOR SYSTEMS PUT IN SERVICE
AFTER THE REVIEW HAS BEEN COMPLETED, BUT NOT BEFORE THE NEXT COMPLIANCE
YEAR.
(F) WITHIN THREE MONTHS OF THE EFFECTIVE DATE OF THIS SECTION, THE NEW
YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, IN CONSULTATION
WITH THE COMMISSION, SHALL ESTABLISH AN AUTOMATED GENERATION ATTRIBUTION
TRACKING SYSTEM CAPABLE OF TRACKING SRECS.
(G) SRECS SHALL BE ELIGIBLE FOR USE IN MEETING THE OBLIGATIONS ESTAB-
LISHED IN THIS SUBDIVISION IN THE COMPLIANCE YEAR IN WHICH THEY ARE
CREATED AND FOR THE FOLLOWING TWO COMPLIANCE YEARS.
3. (A) IN THE EVENT THAT RETAIL ELECTRIC SUPPLIERS CANNOT MEET THEIR
OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION, THEY SHALL
BE PERMITTED TO DISCHARGE SUCH OBLIGATIONS BY MAKING A SOLAR ALTERNATIVE
COMPLIANCE PAYMENT IN AN AMOUNT ESTABLISHED BY THE COMMISSION, PROVIDED,
HOWEVER, THAT THE COMMISSION SHALL SET SUCH PAYMENT AT A LEVEL THAT
SHALL STIMULATE THE DEVELOPMENT OF NEW QUALIFIED SOLAR ENERGY GENERATION
EQUIPMENT NECESSARY TO ACHIEVE THE OBLIGATIONS ESTABLISHED IN SUBDIVI-
SION TWO OF THIS SECTION.
(B) NO LATER THAN JANUARY FIRST, TWO THOUSAND TWELVE, THE COMMISSION
SHALL ESTABLISH A SOLAR ALTERNATIVE COMPLIANCE PAYMENT SCHEDULE THROUGH
THE YEAR TWO THOUSAND TWENTY, AND SHALL ANNUALLY ADD A THIRTEENTH YEAR
TO THE SCHEDULE ON A ROLLING ANNUAL BASIS THROUGH COMPLIANCE YEAR TWO
THOUSAND THIRTY-FOUR. THE COMMISSION SHALL ANNUALLY REVIEW SUCH SCHEDULE
A. 5713--C 5
TO ENSURE THAT THE PAYMENTS ARE SET AT A LEVEL TO STIMULATE THE DEVELOP-
MENT OF NEW QUALIFIED SOLAR ENERGY GENERATION EQUIPMENT, IN ACCORDANCE
WITH THE PREVIOUS SUBDIVISION. ONCE SUCH SCHEDULE IS ESTABLISHED, THE
COMMISSION MAY ADOPT, AFTER APPROPRIATE NOTICE AND OPPORTUNITY FOR
PUBLIC COMMENT, AN INCREASE IN ALTERNATIVE COMPLIANCE PAYMENTS, PROVIDED
THAT THE COMMISSION SHALL NOT REDUCE PREVIOUSLY ESTABLISHED LEVELS OF
PAYMENTS, NOR SHALL THE COMMISSION PROVIDE RELIEF FROM THE OBLIGATION OF
PAYMENT OF THE SOLAR ALTERNATIVE COMPLIANCE PAYMENTS BY THE RETAIL ELEC-
TRIC SUPPLIERS IN ANY FORM.
(C) THE COMMISSION SHALL MAKE AVAILABLE ALL MONIES FROM AMOUNTS
COLLECTED THROUGH SUCH SOLAR ALTERNATIVE COMPLIANCE PAYMENTS FOR A SOLAR
SOLICITATION TO BE CONDUCTED BY THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY UTILIZING THE TEMPLATE FOR SOLAR PURCHASE AGREE-
MENTS AS ESTABLISHED BY THE COMMISSION UNDER PARAGRAPH (A) OF SUBDIVI-
SION FOUR OF THIS SECTION FOR THE PROCUREMENT OF SRECS ASSOCIATED WITH
QUALIFIED SOLAR ENERGY GENERATION. THE PROCUREMENT OF SRECS UNDER THIS
PROVISION SHALL INCLUDE CRITERIA IN THE REVIEW AND SELECTION PROCESS
THAT MORE HIGHLY RANK PROPOSALS THAT (I) HAVE THE MOST BENEFICIAL IMPACT
ON DISPLACING LOCAL EMISSIONS, (II) DEFER OR AVOID INFRASTRUCTURE COSTS
IN CONSTRAINED AREAS, AND (III) ALIGN WITH THE NEW YORK INDEPENDENT
SYSTEM OPERATOR ZONAL LOCATION FROM WHICH THE SOLAR ALTERNATIVE COMPLI-
ANCE PAYMENTS HAVE BEEN RECEIVED.
4. (A) NO LATER THAN JANUARY FIRST, TWO THOUSAND TWELVE, THE COMMIS-
SION SHALL ESTABLISH A TEMPLATE FOR SOLAR PURCHASE AGREEMENTS TO BE USED
BY RETAIL ELECTRIC SUPPLIERS THAT ARE ELECTRIC DISTRIBUTION COMPANIES
FOR THEIR PROCUREMENT OF SRECS FOR THE PURPOSE OF FULFILLING THEIR OBLI-
GATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION.
(B) EACH RETAIL ELECTRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION
COMPANY SHALL, NOT LATER THAN JULY FIRST, TWO THOUSAND TWELVE, SUBMIT
FOR COMMISSION REVIEW AND APPROVAL A SOLAR SOLICITATION PLAN THAT SHALL
INCLUDE A TIMETABLE AND METHODOLOGY FOR SOLICITING PROPOSALS FOR SRECS
ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION OTHER THAN SMALL
RETAIL DISTRIBUTED SOLAR ENERGY GENERATION, FOR THE PURPOSE OF FULFILL-
ING ITS OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION. THE
ELECTRIC DISTRIBUTION COMPANY'S SOLAR SOLICITATION PLAN SHALL BE
DESIGNED TO FOSTER A DIVERSITY OF SOLAR PROJECT SIZES AND PARTICIPATION
AMONG ALL ELIGIBLE CUSTOMER CLASSES SUBJECT TO COST-EFFECTIVENESS
CONSIDERATIONS. THE ELECTRIC DISTRIBUTION COMPANY SHALL ESTABLISH A
SEPARATE SOLICITATION PROCESS FOR THE PROCUREMENTS OF A DEFINED NUMBER
OF SRECS ASSOCIATED WITH RETAIL DISTRIBUTED SOLAR ENERGY GENERATION
PRODUCED BY EQUIPMENT THAT IS BETWEEN FIFTY-ONE AND TWO HUNDRED FIFTY
KILOWATTS IN SIZE. RETAIL DISTRIBUTED SOLAR ENERGY GENERATION WITHIN
THIS SIZE RANGE SHALL BE ELIGIBLE TO RECEIVE A SREC OFFER PRICE EQUIV-
ALENT TO THE WEIGHTED AVERAGE ACCEPTED BID PRICE IN THE CONCURRENT
SOLICITATION FOR RETAIL DISTRIBUTED SOLAR ENERGY GENERATION SYSTEMS
GREATER THAN TWO HUNDRED FIFTY KILOWATTS IN SIZE, PLUS AN ADDITIONAL
INCENTIVE OF UP TO TEN PER CENT AS MAY BE REQUIRED BY THE COMMISSION, TO
ACCOUNT FOR COST DIFFERENCES BETWEEN THESE MARKET SEGMENTS. THE SREC
OFFER PRICE SHALL CONTINUE TO BE AVAILABLE UNTIL THE SOONER OF: (I) THE
ACCEPTANCE BY THE ELECTRIC DISTRIBUTION COMPANY OF RESERVATIONS FROM
QUALIFIED RETAIL DISTRIBUTED SOLAR ENERGY GENERATION FOR AVAILABLE STAN-
DARD OFFER SRECS; OR (II) THE ELECTRIC DISTRIBUTION COMPANY'S COMPLETION
OF ITS NEXT ANNUAL SOLICITATION.
(C) EACH RETAIL ELECTRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION
COMPANY SHALL EXECUTE ITS APPROVED SOLICITATION PLAN AND SUBMIT FOR
COMMISSION REVIEW AND APPROVAL ITS PREFERRED SOLAR PROCUREMENT PLAN
A. 5713--C 6
COMPRISED OF PROPOSED SOLAR PURCHASE AGREEMENTS FOR SRECS ASSOCIATED
WITH QUALIFIED SOLAR ENERGY GENERATION OTHER THAN SMALL RETAIL DISTRIB-
UTED SOLAR ENERGY GENERATION. THE COMMISSION MAY APPROVE, REJECT OR
MODIFY AN APPLICATION FOR APPROVAL OF SUCH PLAN, PROVIDED THAT THE
COMMISSION SHALL APPROVE SUCH PLAN IF THE COMMISSION FINDS THAT: (I) THE
SOLICITATION AND EVALUATION CONDUCTED BY THE ELECTRIC DISTRIBUTION
COMPANY WAS THE RESULT OF A FAIR, OPEN, COMPETITIVE AND TRANSPARENT
PROCESS; (II) APPROVAL OF THE SOLAR PROCUREMENT PLAN WOULD RESULT IN THE
ACHIEVEMENT OF THE DISTRIBUTION COMPANY'S OBLIGATIONS PERTAINING TO THE
PROCUREMENT OF SRECS ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION
OTHER THAN SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION AT THE
LOWEST REASONABLE COST; AND (III) SUCH PROCUREMENT PLAN SATISFIES OTHER
CRITERIA AS MAY BE ESTABLISHED IN THE APPROVED SOLICITATION PLAN. IF THE
COMMISSION DOES NOT APPROVE, REJECT OR MODIFY THE DISTRIBUTION COMPANY'S
APPLICATION WITHIN SIXTY DAYS, THE PROCUREMENT PLAN SHALL BE DEEMED
APPROVED.
(D) NO LATER THAN JULY FIRST, TWO THOUSAND TWELVE, EACH RETAIL ELEC-
TRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION COMPANY SHALL SUBMIT TO
THE COMMISSION FOR REVIEW AND APPROVAL A PLAN FOR THE ACHIEVEMENT OF ITS
OBLIGATION PERTAINING TO THE PROCUREMENT OF SRECS ASSOCIATED WITH SMALL
RETAIL DISTRIBUTED SOLAR ENERGY GENERATION ESTABLISHED IN SUBDIVISION
TWO OF THIS SECTION.
(E) EACH ELECTRIC DISTRIBUTION COMPANY'S SREC PROCUREMENT SHALL BE
CONSISTENT WITH THE SEGMENT-SPECIFIC PERCENTAGES PROVIDED IN THE PLANS
APPROVED BY THE COMMISSION PURSUANT TO PARAGRAPHS (B) AND (D) OF THIS
SUBDIVISION. IF, HOWEVER, ON THE BASIS OF THE ACTUAL SOLICITATION
RESULTS, THE COLLECTIVE ANNUAL COST ASSOCIATED WITH SUCH PROCUREMENT
WOULD EXCEED ONE AND ONE-HALF PERCENT OF SUCH COMPANY'S ANNUAL RETAIL
ELECTRICITY SALES REVENUES, THE ELECTRIC DISTRIBUTION COMPANY SHALL HAVE
THE OPTION OF SUBSTITUTING, BY UP TO TWENTY-FIVE PERCENT, THE NUMBER OF
SRECS PROCURED FROM THE HIGHEST COST SEGMENT WITH SRECS PROCURED FROM
QUALIFIED SOLAR ENERGY GENERATION OF ANY SIZE.
5. EACH RETAIL ELECTRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION
COMPANY SHALL BE ENTITLED TO RECOVER THE PRUDENTLY INCURRED COSTS OF
COMPLYING WITH ITS OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS
SECTION, AS DETERMINED BY THE COMMISSION. ALL SUCH COSTS SHALL BE RECOV-
ERED THROUGH THE SUPPLY PORTION OF EACH ELECTRIC CUSTOMER'S BILL IN A
COMPETITIVELY NEUTRAL MANNER.
6. NO LATER THAN JULY FIRST, TWO THOUSAND TWELVE, THE COMMISSION SHALL
ESTABLISH AN INCENTIVE PROGRAM FOR RETAIL ELECTRIC SUPPLIERS THAT ARE
ELECTRIC DISTRIBUTION COMPANIES BASED ON SUCH COMPANIES' ACHIEVEMENT OF
THEIR OBLIGATIONS, AND EXEMPLARY PERFORMANCE BEYOND SUCH OBLIGATIONS,
ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION (I) IN A COST-EFFECTIVE
MANNER THAT ACHIEVES THE OBLIGATIONS AT LEAST COST AND AVOIDS LONG-TERM
COSTS TO THE TRANSMISSION AND DISTRIBUTION SYSTEM; (II) PROVIDES
ENHANCED ELECTRICITY RELIABILITY WITHIN COMPANIES' SERVICE TERRITORIES;
AND (III) MINIMIZES PEAK LOAD IN CONSTRAINED AREAS.
7. NO LATER THAN JANUARY FIRST, TWO THOUSAND TWELVE, THE COMMISSION
SHALL, IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY, ESTABLISH THE TERMS AND CONDITIONS THAT SHALL BE
APPLICABLE TO SOLAR PURCHASE AGREEMENTS ENTERED INTO BY RETAIL ELECTRIC
SUPPLIERS THAT ARE ELECTRIC DISTRIBUTION COMPANIES FOR THE PROCUREMENT
OF SRECS ASSOCIATED WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENER-
ATION, FOR THE PURPOSE OF ACHIEVING SUCH COMPANIES' OBLIGATIONS PERTAIN-
ING TO SRECS ASSOCIATED WITH SUCH GENERATION ESTABLISHED IN SUBDIVISION
TWO OF THIS SECTION. SUCH TERMS AND CONDITIONS SHALL INCLUDE A TARIFF,
A. 5713--C 7
AS ESTABLISHED BY THE COMMISSION IN CONJUNCTION WITH THE NEW YORK STATE
ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, FOR THE PROCUREMENT OF SRECS
ASSOCIATED WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION, TO BE
PAID BY ELECTRIC DISTRIBUTION COMPANIES TO APPLICABLE QUALIFIED SOLAR
ENERGY GENERATORS. THE COMMISSION, IN CONJUNCTION WITH THE NEW YORK
STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, SHALL CONSIDER COST
DIFFERENCES BETWEEN VARIOUS MARKET SEGMENTS, INCLUDING RESIDENTIAL,
COMMERCIAL AND NOT-FOR-PROFIT, AND APPLICATIONS, SUCH AS BUILDING INTE-
GRATED PHOTOVOLTAIC EQUIPMENT, AND SHALL DETERMINE WHETHER SUCH COST
DIFFERENCES ARE MATERIAL SUCH THAT MARKET OR APPLICATION SPECIFIC
TARIFFS ARE WARRANTED. THE COMMISSION, IN CONJUNCTION WITH THE NEW YORK
STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY, SHALL, AT LEAST ANNUAL-
LY, REVIEW SUCH TARIFFS AND ADJUST AS NECESSARY TO ACHIEVE THE OBLI-
GATIONS PERTAINING TO SRECS ASSOCIATED WITH SMALL RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION.
THE COMMISSION MAY ALSO INSTITUTE, AFTER NOTICE AND OPPORTUNITY FOR
PUBLIC INPUT, A MECHANISM THAT ALLOWS FOR ADJUSTMENT TO THE TARIFF RATE
BASED ON ELECTRIC DISTRIBUTION COMPANIES' PROCUREMENT OF SRECS, RELATIVE
TO THE ANNUAL TARGETS FOR SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENER-
ATION. ANY SUCH ADJUSTMENTS SHALL BE APPLIED PROSPECTIVELY, AND SHALL
NOT AFFECT THE TARIFF RATE OF SMALL RETAIL DISTRIBUTED SOLAR ENERGY
GENERATION ALREADY ENROLLED.
8. RETAIL CONTRACTS FOR THE SALE OF ELECTRICITY ENTERED INTO BEFORE
JANUARY FIRST, TWO THOUSAND TWELVE BY RETAIL ELECTRIC SUPPLIERS THAT ARE
NOT ELECTRIC DISTRIBUTION COMPANIES SHALL BE EXEMPT FROM THE OBLIGATIONS
ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION.
9. EACH RETAIL ELECTRIC SUPPLIER THAT IS AN ELECTRIC DISTRIBUTION
COMPANY SHALL BE PERMITTED TO RESELL OR OTHERWISE DISPOSE OF SRECS AND
ANY ASSOCIATED QUALIFIED SOLAR ENERGY GENERATION PROCURED BY SUCH COMPA-
NY THAT IS IN EXCESS OF ITS OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO
OF THIS SECTION, PROVIDED THE COMPANY SHALL NET THE COST OF PAYMENTS
MADE FOR SRECS AND ANY ASSOCIATED QUALIFIED SOLAR ENERGY GENERATION
UNDER SOLAR PURCHASE AGREEMENTS AGAINST THE PROCEEDS OF THE SALE OF
SRECS AND ANY ASSOCIATED QUALIFIED SOLAR ENERGY GENERATION, AND THE
DIFFERENCE SHALL BE CREDITED OR CHARGED TO THE ELECTRIC DISTRIBUTION
COMPANY'S CUSTOMERS THROUGH A RECONCILING COMPONENT OF ELECTRIC RATES,
AS DETERMINED BY THE COMMISSION.
10. (A) WITHIN THIRTY DAYS OF THE SUBMISSION OF THE ANNUAL COMPLIANCE
REPORTS FILED BY RETAIL ELECTRIC SUPPLIERS PURSUANT TO SUBDIVISION ELEV-
EN OF THIS SECTION, THE COMMISSION SHALL DETERMINE THE COMBINED TOTAL
ANNUAL EXPENDITURES FOR THE PROCUREMENT OF SRECS MADE BY RETAIL ELECTRIC
SUPPLIERS FOR THE PURPOSES OF MEETING THE ANNUAL REQUIREMENT SET FORTH
IN PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION FOR THE APPLICABLE
COMPLIANCE YEAR AS A PERCENTAGE OF THE TOTAL RETAIL ELECTRICITY SALES
REVENUES FOR RETAIL ELECTRIC SUPPLIERS FOR SUCH COMPLIANCE YEAR. IF SUCH
PERCENTAGE EXCEEDS ONE AND ONE-HALF PERCENT, THEN THE ANNUAL REQUIREMENT
FOR THE COMPLIANCE YEAR FOR WHICH THE COMMISSION MAKES ITS DETERMINATION
SHALL CONTINUE TO BE THE ANNUAL REQUIREMENT APPLICABLE IN EACH SUBSE-
QUENT COMPLIANCE YEAR UNTIL THIS LIMITATION ENDS AS PROVIDED IN PARA-
GRAPH (B) OF THIS SUBDIVISION.
(B) IF THE LIMITATION PROVIDED FOR IN PARAGRAPH (A) OF THIS SUBDIVI-
SION IS TRIGGERED, IT SHALL END UPON A DETERMINATION BY THE COMMISSION,
BASED UPON A REVIEW OF THE RETAIL ELECTRIC SUPPLIERS' ANNUAL COMPLIANCE
REPORTS, THAT THE COMBINED TOTAL ANNUAL EXPENDITURES FOR THE PROCUREMENT
OF SRECS MADE BY RETAIL ELECTRIC SUPPLIERS TO MEET THE APPLICABLE ANNUAL
REQUIREMENT FOR A COMPLIANCE YEAR DID NOT EXCEED ONE AND ONE-HALF
A. 5713--C 8
PERCENT OF THE TOTAL RETAIL ELECTRICITY SALES REVENUES FOR RETAIL ELEC-
TRIC SUPPLIERS FOR SUCH COMPLIANCE YEAR. FOR THE COMPLIANCE YEAR IMME-
DIATELY FOLLOWING THE END OF THE LIMITATION PURSUANT TO THIS PARAGRAPH,
THE APPLICABLE ANNUAL REQUIREMENT SHALL BE THE REQUIREMENT SET FORTH IN
PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION FOR THE COMPLIANCE YEAR
IMMEDIATELY FOLLOWING THE COMPLIANCE YEAR FOR WHICH THE LIMITATION IN
PARAGRAPH (A) OF THIS SUBDIVISION WAS TRIGGERED. THE ANNUAL REQUIREMENT
SHALL CONTINUE TO INCREASE IN THE INCREMENTS PROVIDED FOR IN PARAGRAPH
(A) OF SUBDIVISION TWO OF THIS SECTION FOR EACH SUBSEQUENT YEAR UNTIL
THE ANNUAL REQUIREMENT REACHES THE PERCENTAGE SET FORTH IN SUCH PARA-
GRAPH FOR COMPLIANCE YEAR TWO THOUSAND TWENTY.
(C) SOLAR ALTERNATIVE COMPLIANCE PAYMENTS MADE BY RETAIL ELECTRIC
SUPPLIERS PURSUANT TO SUBDIVISION THREE OF THIS SECTION SHALL NOT COUNT
TOWARDS THE ANNUAL EXPENDITURE LIMITATIONS SET FORTH IN PARAGRAPH (A) OF
THIS SUBDIVISION.
11. (A) NO LATER THAN JULY FIRST, TWO THOUSAND FOURTEEN, AND NO LATER
THAN JULY FIRST OF EACH YEAR THEREAFTER THROUGH THE YEAR TWO THOUSAND
TWENTY-ONE THE COMMISSION SHALL REPORT TO THE GOVERNOR, SPEAKER OF THE
ASSEMBLY, TEMPORARY PRESIDENT OF THE SENATE, AND CHAIRS OF THE SENATE
AND ASSEMBLY ENERGY COMMITTEES, AND SHALL POST ON ITS WEBSITE, A REPORT
REGARDING THE PROGRESS OF EACH RETAIL ELECTRIC SUPPLIER IN MEETING ITS
OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION.
(B) EACH RETAIL ELECTRIC SUPPLIER SHALL PROVIDE TO THE COMMISSION THE
INFORMATION NECESSARY TO FULFILL THE COMMISSION'S OBLIGATIONS PURSUANT
TO THIS SUBDIVISION, IN ACCORDANCE WITH AN ANNUAL REPORTING OBLIGATION
AND PROCESS TO BE ESTABLISHED BY THE COMMISSION.
(C) EACH REPORT THAT SHALL BE SUBMITTED PURSUANT TO THIS SUBDIVISION
SHALL INCLUDE, BUT NOT BE LIMITED TO, FOR EACH RETAIL ELECTRIC SUPPLIER
FOR THE PREVIOUS CALENDAR YEAR AND FOR THE TOTAL OF ALL CALENDAR YEARS
TO DATE: (I) THE ACTUAL NUMBER OF MEGAWATT-HOURS OF QUALIFIED SOLAR
ENERGY GENERATION SOLD AT RETAIL TO NEW YORK END-USE CUSTOMERS AND THE
TOTAL NUMBER OF MEGAWATT-HOURS SOLD AT RETAIL TO NEW YORK END-USE
CUSTOMERS; (II) THE NUMBER OF SRECS ASSOCIATED WITH QUALIFIED SOLAR
ENERGY GENERATION THAT WERE RETIRED FOR THE PURPOSES OF MEETING THE
SUPPLIER'S OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION;
(III) THE AMOUNT, IF ANY, OF SOLAR ALTERNATIVE COMPLIANCE PAYMENTS MADE;
AND (IV) ITS ANNUAL RETAIL ELECTRICITY SALES REVENUE AND EXPENDITURES
FOR THE PROCUREMENT OF SRECS MADE FOR THE PURPOSES OF MEETING THE APPLI-
CABLE ANNUAL REQUIREMENT, PROVIDED THAT SUCH INFORMATION NEED ONLY BE
REPORTED FOR THE PREVIOUS CALENDAR YEAR. SUCH REPORT SHALL ALSO
INCLUDE, FOR EACH RETAIL ELECTRIC SUPPLIER THAT IS AN ELECTRIC DISTRIB-
UTION COMPANY: (1) THE NUMBER OF SRECS EACH ASSOCIATED WITH SMALL RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION, RETAIL DISTRIBUTED SOLAR ENERGY
GENERATION PRODUCED BY EQUIPMENT THAT IS BETWEEN FIFTY-ONE AND TWO
HUNDRED FIFTY KILOWATTS IN SIZE AND RETAIL DISTRIBUTED SOLAR ENERGY
GENERATION PRODUCED BY EQUIPMENT OF ANY SIZE THAT WERE PROCURED; (2) THE
NUMBER OF SUCH SRECS PROCURED THROUGH SOLAR PURCHASE AGREEMENTS; AND (3)
THE AMOUNT PAID TO QUALIFIED SOLAR ENERGY GENERATORS THROUGH TARIFFS
ESTABLISHED PURSUANT TO SUBDIVISION SEVEN OF THIS SECTION FOR SRECS
ASSOCIATED WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION.
12. EVERY CONTRACTOR EMPLOYED PURSUANT TO THIS SECTION, NOT OTHERWISE
REQUIRED TO PAY LABORERS, WORKERS OR MECHANICS THE PREVAILING RATE OF
WAGES PURSUANT TO ARTICLE EIGHT OF THE LABOR LAW, SHALL PAY AN EMPLOYEE
UNDER CONTRACT FOR THE INSTALLATION OF QUALIFIED SOLAR ENERGY GENERATION
EQUIPMENT RATED AT TWO HUNDRED FIFTY KILOWATTS OR MORE A WAGE OF NOT
LESS THAN THE PREVAILING RATE OF WAGES FOR SUCH WORK IN THE LOCALITY
A. 5713--C 9
WHERE SUCH INSTALLATION OCCURS. THIS REQUIREMENT SHALL BE IN EFFECT FOR
THE DURATION OF THE AVAILABILITY OF THE INCENTIVE STREAM ESTABLISHED
PURSUANT TO THIS SECTION AND IN NO EVENT SHALL SUCH REQUIREMENT EXTEND
BEYOND THE AVAILABILITY OF SUCH INCENTIVE STREAM. EVERY CONTRACTOR
SUBJECT TO THE PROVISIONS OF THIS SUBDIVISION SHALL MAINTAIN PAYROLL
RECORDS IN ACCORDANCE WITH SECTION TWO HUNDRED TWENTY OF THE LABOR LAW.
S 4. Section 1005 of the public authorities law is amended by adding a
new subdivision 19 to read as follows:
19. A. FOR THE PURPOSES OF THIS SUBDIVISION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
(1) "PHOTOVOLTAIC DEVICE" MEANS A SYSTEM OF COMPONENTS THAT GENERATES
ELECTRICITY FROM INCIDENTAL SUNLIGHT BY MEANS OF THE PHOTOVOLTAIC
EFFECT, WHETHER OR NOT THE DEVICE IS COUPLED WITH A DEVICE CAPABLE OF
STORING THE ENERGY PRODUCED FOR LATER USE;
(2) "PREVAILING RATE OF WAGES" SHALL HAVE THE SAME MEANING AS SUCH
TERM IS DEFINED IN PARAGRAPH A OF SUBDIVISION FIVE OF SECTION TWO
HUNDRED TWENTY OF THE LABOR LAW;
(3) "QUALIFIED SOLAR ENERGY GENERATION" MEANS POWER GENERATED (I)
WITHIN FIFTEEN YEARS OF THE DATE THE QUALIFIED SOLAR ENERGY GENERATOR
RECEIVED PERMISSION FROM THE ELECTRIC DISTRIBUTION COMPANY TO ENERGIZE;
(II) BY A PHOTOVOLTAIC DEVICE THAT IS CONNECTED TO THE DISTRIBUTION
SYSTEM OR AREA SUBSTATIONS AND ASSOCIATED FACILITIES THAT COMPRISE THE
LOCAL AREA NETWORK OF AN ELECTRIC DISTRIBUTION COMPANY SERVING THE
STATE; (III) AFTER JANUARY FIRST, TWO THOUSAND ELEVEN;
(4) "QUALIFIED SOLAR ENERGY GENERATOR" MEANS THE OWNER OF A PHOTOVOL-
TAIC DEVICE OR DEVICES THAT PRODUCES QUALIFIED SOLAR ENERGY GENERATION;
(5) "RETAIL DISTRIBUTED SOLAR ENERGY GENERATION" MEANS QUALIFIED SOLAR
ENERGY GENERATION PRODUCED BY A PHOTOVOLTAIC DEVICE THAT IS INTERCON-
NECTED TO THE DISTRIBUTION SYSTEM ON THE CUSTOMER SIDE OF THE ELECTRIC
DISTRIBUTION COMPANY METER;
(6) "SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION" MEANS RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION PRODUCED BY A PHOTOVOLTAIC DEVICE
THAT IS EQUAL TO OR LESS THAN FIFTY KILOWATTS IN SIZE;
(7) "SOLAR PURCHASE AGREEMENT" MEANS AN AGREEMENT, FOR A MINIMUM OF
FIFTEEN YEARS, FOR THE PURCHASE OF SRECS FROM A QUALIFIED SOLAR ENERGY
GENERATOR; AND
(8) "SOLAR RENEWABLE ENERGY CREDIT" OR "SREC" MEANS THE ENVIRONMENTAL
ATTRIBUTES ASSOCIATED WITH ONE MEGAWATT-HOUR OF QUALIFIED SOLAR ENERGY
GENERATION.
B. (1) THE AUTHORITY SHALL ANNUALLY PROCURE, AT MINIMUM, SRECS TO MEET
THE FOLLOWING PERCENTAGES OF THE AUTHORITY'S TOTAL ELECTRIC SALES IN
EACH COMPLIANCE YEAR:
COMPLIANCE ANNUAL
YEAR REQUIREMENT
2013 0.33%
2014 0.50%
2015 0.75%
2016 1.00%
2017 1.25%
2018 1.50%
2019 1.75%
2020 2.00%
(2) AT LEAST TWENTY PERCENT OF THE ANNUAL OBLIGATION ESTABLISHED IN
THIS PARAGRAPH SHALL BE MET THROUGH THE PROCUREMENT OF SRECS ASSOCIATED
WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION; AND AT LEAST AN
ADDITIONAL THIRTY PERCENT OF THE ANNUAL OBLIGATION ESTABLISHED IN THIS
A. 5713--C 10
PARAGRAPH SHALL BE MET THROUGH THE PROCUREMENT OF SRECS ASSOCIATED WITH
RETAIL DISTRIBUTED SOLAR ENERGY GENERATION PRODUCED BY EQUIPMENT OF ANY
SIZE.
(3) OBLIGATIONS FOR THE PROCUREMENT OF SRECS ASSOCIATED WITH QUALIFIED
SOLAR ENERGY GENERATION SHALL CONTINUE UNTIL ALL EXISTING SOLAR PURCHASE
AGREEMENTS HAVE EXPIRED.
(4) THE AUTHORITY MAY MEET ITS OBLIGATIONS ESTABLISHED IN THIS PARA-
GRAPH THROUGH THE PROCUREMENT OF SRECS TOGETHER WITH OR SEPARATE FROM
THE ASSOCIATED QUALIFIED SOLAR ENERGY GENERATION.
(5) EACH SREC PROCURED BY THE AUTHORITY FROM QUALIFIED SOLAR ENERGY
GENERATION EQUIPMENT THAT IS PLACED IN SERVICE WITHIN A LOAD ZONE FOR
WHICH A LOCATIONAL MINIMUM INSTALLED CAPACITY REQUIREMENT HAS BEEN
ESTABLISHED BY THE NEW YORK INDEPENDENT SYSTEM OPERATOR AS OF THE EFFEC-
TIVE DATE OF THIS SECTION SHALL BE COUNTED AS ONE AND ONE-HALF SRECS
TOWARD THE AUTHORITY'S ANNUAL PROCUREMENT OBLIGATION ESTABLISHED IN THIS
PARAGRAPH.
C. (1) NO LATER THAN JULY FIRST, TWO THOUSAND TWELVE, THE AUTHORITY
SHALL SUBMIT TO THE GOVERNOR, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESI-
DENT OF THE SENATE, AND CHAIRS OF THE SENATE AND ASSEMBLY ENERGY COMMIT-
TEES, AND SHALL POST ON ITS WEBSITE, A SOLAR SOLICITATION PLAN THAT
SHALL INCLUDE A TIMETABLE AND METHODOLOGY FOR SOLICITING PROPOSALS FOR
SRECS ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION OTHER THAN SMALL
RETAIL DISTRIBUTED SOLAR ENERGY GENERATION, FOR THE PURPOSE OF FULFILL-
ING ITS OBLIGATIONS ESTABLISHED IN PARAGRAPH B OF THIS SUBDIVISION. THE
AUTHORITY'S SOLAR SOLICITATION PLAN SHALL BE DESIGNED TO FOSTER A DIVER-
SITY OF SOLAR PROJECT SIZES AND PARTICIPATION AMONG ALL ELIGIBLE CUSTOM-
ER CLASSES SUBJECT TO COST-EFFECTIVENESS CONSIDERATIONS. THE AUTHORITY
SHALL ESTABLISH A SEPARATE SOLICITATION PROCESS FOR THE PROCUREMENT OF A
DEFINED NUMBER OF SRECS ASSOCIATED WITH RETAIL DISTRIBUTED SOLAR ENERGY
GENERATION PRODUCED BY EQUIPMENT THAT IS BETWEEN FIFTY-ONE AND TWO
HUNDRED FIFTY KILOWATTS IN SIZE. RETAIL DISTRIBUTED SOLAR ENERGY GENER-
ATION WITHIN THIS SIZE RANGE SHALL BE ELIGIBLE TO RECEIVE A SREC OFFER
PRICE EQUIVALENT TO THE WEIGHTED AVERAGE ACCEPTED BID PRICE IN THE
CONCURRENT SOLICITATION FOR RETAIL DISTRIBUTED SOLAR ENERGY GENERATION
SYSTEMS GREATER THAN TWO HUNDRED FIFTY KILOWATTS IN SIZE, PLUS AN ADDI-
TIONAL INCENTIVE OF UP TO TEN PER CENT AS MAY BE DETERMINED BY THE
AUTHORITY TO ACCOUNT FOR COST DIFFERENCES BETWEEN THESE MARKET SEGMENTS.
THE SREC OFFER PRICE SHALL CONTINUE TO BE AVAILABLE UNTIL THE SOONER OF:
(I) THE ACCEPTANCE BY THE ELECTRIC DISTRIBUTION COMPANY OF RESERVATIONS
FROM QUALIFIED RETAIL DISTRIBUTED SOLAR ENERGY GENERATION FOR AVAILABLE
STANDARD OFFER SRECS; OR (II) THE ELECTRIC DISTRIBUTION COMPANY'S
COMPLETION OF ITS NEXT ANNUAL SOLICITATION.
(2) THE AUTHORITY SHALL EXECUTE ITS SOLICITATION PLAN AND SHALL SUBMIT
TO THE COMPTROLLER, GOVERNOR, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESI-
DENT OF THE SENATE, AND CHAIRS OF THE SENATE AND ASSEMBLY ENERGY COMMIT-
TEES, AND SHALL POST ON ITS WEBSITE, ITS SOLAR PROCUREMENT PLAN
COMPRISED OF ANY SOLAR PURCHASE AGREEMENTS FOR SRECS ASSOCIATED WITH
QUALIFIED SOLAR ENERGY GENERATION OTHER THAN SMALL RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION. THE COMPTROLLER SHALL REVIEW SUCH PLAN TO
ASSESS WHETHER IT IS THE RESULT OF A FAIR, OPEN, COMPETITIVE AND TRANS-
PARENT PROCESS AND SHALL REPORT TO THE GOVERNOR, SPEAKER OF THE ASSEM-
BLY, TEMPORARY PRESIDENT OF THE SENATE, AND CHAIRS OF THE SENATE AND
ASSEMBLY ENERGY COMMITTEES REGARDING THE RESULTS OF SUCH ASSESSMENT.
(3) NO LATER THAN JULY FIRST, TWO THOUSAND TWELVE, THE AUTHORITY SHALL
SUBMIT TO THE GOVERNOR, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESIDENT OF
THE SENATE, AND CHAIRS OF THE SENATE AND ASSEMBLY ENERGY COMMITTEES, AND
A. 5713--C 11
SHALL POST ON ITS WEBSITE, A PLAN FOR THE ACHIEVEMENT OF ITS OBLIGATION
PERTAINING TO THE PROCUREMENT OF SRECS ASSOCIATED WITH SMALL RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION ESTABLISHED IN PARAGRAPH B OF THIS
SUBDIVISION.
(4) THE AUTHORITY'S SREC PROCUREMENT SHALL BE CONSISTENT WITH THE
SEGMENT-SPECIFIC PERCENTAGES PROVIDED IN THE PLANS SUBMITTED PURSUANT TO
SUBPARAGRAPHS ONE AND THREE OF THIS PARAGRAPH. IF, HOWEVER, ON THE BASIS
OF THE ACTUAL SOLICITATION RESULTS, THE COLLECTIVE ANNUAL COST ASSOCI-
ATED WITH SUCH PROCUREMENT WOULD EXCEED ONE AND ONE-HALF PERCENT OF THE
AUTHORITY'S ANNUAL RETAIL ELECTRICITY SALES REVENUES, THE AUTHORITY
SHALL HAVE THE OPTION OF SUBSTITUTING, BY UP TO TWENTY-FIVE PERCENT, THE
NUMBER OF SRECS PROCURED FROM THE HIGHEST COST SEGMENT WITH SRECS
PROCURED FROM QUALIFIED SOLAR ENERGY GENERATION OF ANY SIZE.
D. (1) IF THE AUTHORITY DETERMINES THAT ITS ANNUAL EXPENDITURES FOR
THE PROCUREMENT OF SRECS, MADE FOR THE PURPOSES OF MEETING THE ANNUAL
REQUIREMENT SET FORTH IN SUBPARAGRAPH ONE OF PARAGRAPH B OF THIS SUBDI-
VISION FOR A COMPLIANCE YEAR, EXCEEDS ONE AND ONE-HALF PERCENT OF ITS
ANNUAL RETAIL ELECTRICITY REVENUES FOR SUCH COMPLIANCE YEAR, THEN THE
ANNUAL REQUIREMENT FOR THE COMPLIANCE YEAR FOR WHICH THE AUTHORITY MAKES
ITS DETERMINATION SHALL CONTINUE TO BE THE ANNUAL REQUIREMENT APPLICABLE
IN EACH SUBSEQUENT COMPLIANCE YEAR UNTIL THIS LIMITATION ENDS AS
PROVIDED IN SUBPARAGRAPH TWO OF THIS PARAGRAPH.
(2) IF THE LIMITATION PROVIDED FOR IN SUBPARAGRAPH ONE OF THIS PARA-
GRAPH IS TRIGGERED, IT SHALL END UPON A DETERMINATION BY THE AUTHORITY
THAT ITS ANNUAL EXPENDITURE FOR THE PROCUREMENT OF SRECS MADE FOR THE
PURPOSES OF MEETING ITS ANNUAL REQUIREMENT FOR A COMPLIANCE YEAR DID NOT
EXCEED ONE AND ONE-HALF PERCENT OF ITS ANNUAL RETAIL ELECTRICITY REVEN-
UES FOR SUCH COMPLIANCE YEAR. FOR THE COMPLIANCE YEAR IMMEDIATELY
FOLLOWING THE END OF THE LIMITATION PURSUANT TO THIS PARAGRAPH, THE
APPLICABLE ANNUAL REQUIREMENT SHALL BE THE REQUIREMENT SET FORTH IN
SUBPARAGRAPH ONE OF PARAGRAPH B OF THIS SUBDIVISION FOR THE COMPLIANCE
YEAR IMMEDIATELY FOLLOWING THE COMPLIANCE YEAR FOR WHICH THE LIMITATION
IN SUBPARAGRAPH ONE OF THIS PARAGRAPH WAS TRIGGERED. THE ANNUAL REQUIRE-
MENT SHALL CONTINUE TO INCREASE IN THE INCREMENTS PROVIDED FOR IN
SUBPARAGRAPH ONE OF PARAGRAPH B OF THIS SUBDIVISION FOR EACH SUBSEQUENT
YEAR UNTIL THE ANNUAL REQUIREMENT REACHES THE PERCENTAGE SET FORTH IN
SUCH SUBPARAGRAPH FOR COMPLIANCE YEAR TWO THOUSAND TWENTY.
E. (1) NO LATER THAN JULY FIRST, TWO THOUSAND FOURTEEN, AND NO LATER
THAN JULY FIRST OF EACH YEAR THEREAFTER THROUGH THE YEAR TWO THOUSAND
TWENTY-ONE, THE AUTHORITY SHALL REPORT TO THE GOVERNOR, SPEAKER OF THE
ASSEMBLY, MAJORITY LEADER OF THE SENATE, AND CHAIRS OF THE SENATE AND
ASSEMBLY ENERGY COMMITTEES, AND SHALL POST ON ITS WEBSITE, A REPORT
REGARDING ITS PROGRESS IN MEETING ITS OBLIGATIONS ESTABLISHED IN PARA-
GRAPH B OF THIS SUBDIVISION.
(2) EACH REPORT THAT SHALL BE SUBMITTED PURSUANT TO THIS PARAGRAPH
SHALL INCLUDE, BUT NOT BE LIMITED TO, FOR THE PREVIOUS CALENDAR YEAR AND
FOR THE TOTAL OF ALL CALENDAR YEARS TO DATE: (I) THE NUMBER OF SRECS
ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION RETIRED FOR THE
PURPOSES OF MEETING THE AUTHORITY'S OBLIGATIONS ESTABLISHED IN PARAGRAPH
B OF THIS SUBDIVISION; (II) THE NUMBER OF SUCH SRECS EACH ASSOCIATED
WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION, RETAIL DISTRIB-
UTED SOLAR ENERGY GENERATION PRODUCED BY EQUIPMENT THAT IS BETWEEN
FIFTY-ONE AND TWO HUNDRED FIFTY KILOWATTS IN SIZE AND RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION PRODUCED BY EQUIPMENT OF ANY SIZE THAT WERE
PROCURED; (III) THE NUMBER OF SUCH SRECS PROCURED THROUGH SOLAR PURCHASE
AGREEMENTS; AND (IV) THE ANNUAL RETAIL ELECTRICITY SALES REVENUE AND
A. 5713--C 12
EXPENDITURES MADE FOR THE PROCUREMENT OF SRECS FOR THE PURPOSE OF MEET-
ING THE APPLICABLE ANNUAL REQUIREMENT, PROVIDED THAT SUCH INFORMATION
NEED ONLY BE REPORTED FOR THE PREVIOUS CALENDAR YEAR.
F. EVERY CONTRACTOR EMPLOYED PURSUANT TO THIS SUBDIVISION, NOT OTHER-
WISE REQUIRED TO PAY LABORERS, WORKERS OR MECHANICS THE PREVAILING RATE
OF WAGES PURSUANT TO ARTICLE EIGHT OF THE LABOR LAW, SHALL PAY AN
EMPLOYEE UNDER CONTRACT FOR THE INSTALLATION OF QUALIFIED SOLAR ENERGY
GENERATION EQUIPMENT RATED AT TWO HUNDRED FIFTY KILOWATTS OR MORE A WAGE
OF NOT LESS THAN THE PREVAILING RATE OF WAGES FOR SUCH WORK IN THE
LOCALITY WHERE SUCH INSTALLATION OCCURS. THIS REQUIREMENT SHALL BE IN
EFFECT FOR THE DURATION OF THE AVAILABILITY OF THE INCENTIVE STREAM
ESTABLISHED PURSUANT TO THIS SUBDIVISION AND IN NO EVENT SHALL SUCH
REQUIREMENT EXTEND BEYOND THE AVAILABILITY OF SUCH INCENTIVE STREAM.
EVERY CONTRACTOR SUBJECT TO THE PROVISIONS OF THIS PARAGRAPH SHALL MAIN-
TAIN PAYROLL RECORDS IN ACCORDANCE WITH SECTION TWO HUNDRED TWENTY OF
THE LABOR LAW.
S 5. Sections 1020-hh, 1020-ii and 1020-jj of the public authorities
law, as renumbered by chapter 433 of the laws of 2009, are renumbered
sections 1020-ii, 1020-jj and 1020-kk and a new section 1020-hh is added
to read as follows:
S 1020-HH. PROCUREMENT OF SOLAR RENEWABLE ENERGY CREDITS. 1. AS USED
IN THIS SECTION:
(A) "BUILDING INTEGRATED PHOTOVOLTAIC EQUIPMENT" MEANS A PHOTOVOLTAIC
DEVICE THAT DIRECTLY FUNCTIONS AS A PART OF THE ENVELOPE OF A BUILDING
INCLUDING INTEGRATED ROOF COVER, FACADE OR BUILDING CLADDING, GLAZED
SURFACES, SOLAR SHADING DEVICES, CANOPIES AND SKYLIGHTS;
(B) "PHOTOVOLTAIC DEVICE" MEANS A SYSTEM OF COMPONENTS THAT GENERATES
ELECTRICITY FROM INCIDENTAL SUNLIGHT BY MEANS OF THE PHOTOVOLTAIC
EFFECT, WHETHER OR NOT THE DEVICE IS COUPLED WITH A DEVICE CAPABLE OF
STORING THE ENERGY PRODUCED FOR LATER USE;
(C) "PREVAILING RATE OF WAGES" SHALL HAVE THE SAME MEANING AS SUCH
TERM IS DEFINED IN PARAGRAPH A OF SUBDIVISION FIVE OF SECTION TWO
HUNDRED TWENTY OF THE LABOR LAW;
(D) "QUALIFIED SOLAR ENERGY GENERATION" MEANS POWER GENERATED (I)
WITHIN FIFTEEN YEARS OF THE DATE THE QUALIFIED SOLAR ENERGY GENERATOR
RECEIVED PERMISSION FROM THE ELECTRIC DISTRIBUTION COMPANY TO ENERGIZE;
(II) BY A PHOTOVOLTAIC DEVICE THAT IS CONNECTED TO THE DISTRIBUTION
SYSTEM OR AREA SUBSTATIONS AND ASSOCIATED FACILITIES THAT COMPRISE THE
LOCAL AREA NETWORK OF AN ELECTRIC DISTRIBUTION COMPANY SERVING THE
STATE; (III) AFTER JANUARY FIRST, TWO THOUSAND ELEVEN; PHOTOVOLTAIC
DEVICE THAT IS CONNECTED TO THE DISTRIBUTION SYSTEM OF AN ELECTRIC
DISTRIBUTION COMPANY SERVING THE STATE AFTER JANUARY FIRST, TWO THOUSAND
ELEVEN;
(E) "QUALIFIED SOLAR ENERGY GENERATOR" MEANS THE OWNER OF A PHOTOVOL-
TAIC DEVICE OR DEVICES THAT PRODUCES QUALIFIED SOLAR ENERGY GENERATION;
(F) "RETAIL DISTRIBUTED SOLAR ENERGY GENERATION" MEANS QUALIFIED SOLAR
ENERGY GENERATION PRODUCED BY A PHOTOVOLTAIC DEVICE THAT IS INTERCON-
NECTED TO THE DISTRIBUTION SYSTEM ON THE CUSTOMER SIDE OF THE ELECTRIC
DISTRIBUTION COMPANY METER;
(G) "SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION" MEANS RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION PRODUCED BY A PHOTOVOLTAIC DEVICE
THAT IS EQUAL TO OR LESS THAN FIFTY KILOWATTS IN SIZE;
(H) "SOLAR PURCHASE AGREEMENT" MEANS AN AGREEMENT, FOR A MINIMUM OF
FIFTEEN YEARS, FOR THE PURCHASE OF SRECS FROM A QUALIFIED SOLAR ENERGY
GENERATOR; AND
A. 5713--C 13
(I) "SOLAR RENEWABLE ENERGY CREDIT" OR "SREC" MEANS THE ENVIRONMENTAL
ATTRIBUTES ASSOCIATED WITH ONE MEGAWATT-HOUR OF QUALIFIED SOLAR ENERGY
GENERATION.
2. (A) THE AUTHORITY SHALL ANNUALLY PROCURE, AT MINIMUM, SRECS TO MEET
THE FOLLOWING PERCENTAGES OF THE AUTHORITY'S TOTAL ELECTRIC SALES IN
EACH COMPLIANCE YEAR:
COMPLIANCE ANNUAL
YEAR REQUIREMENT
2013 0.33%
2014 0.50%
2015 0.75%
2016 1.00%
2017 1.25%
2018 1.50%
2019 1.75%
2020 2.00%
(B) AT LEAST TWENTY PERCENT OF THE ANNUAL OBLIGATION ESTABLISHED IN
THIS SUBDIVISION SHALL BE MET THROUGH THE PROCUREMENT OF SRECS ASSOCI-
ATED WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION; AND AT LEAST
AN ADDITIONAL THIRTY PERCENT OF THE ANNUAL OBLIGATION ESTABLISHED IN
THIS SUBDIVISION SHALL BE MET THROUGH THE PROCUREMENT OF SRECS ASSOCI-
ATED WITH RETAIL DISTRIBUTED SOLAR ENERGY GENERATION PRODUCED BY EQUIP-
MENT OF ANY SIZE.
(C) OBLIGATIONS FOR THE PROCUREMENT OF SRECS ASSOCIATED WITH QUALIFIED
SOLAR ENERGY GENERATION SHALL CONTINUE UNTIL ALL EXISTING SOLAR PURCHASE
AGREEMENTS HAVE EXPIRED.
(D) THE AUTHORITY MAY MEET ITS OBLIGATIONS ESTABLISHED IN THIS SUBDI-
VISION THROUGH THE PROCUREMENT OF SRECS TOGETHER WITH OR SEPARATE FROM
THE ASSOCIATED QUALIFIED SOLAR ENERGY GENERATION.
3. (A) NO LATER THAN JULY FIRST, TWO THOUSAND TWELVE, THE AUTHORITY
SHALL SUBMIT TO THE GOVERNOR, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESI-
DENT OF THE SENATE, AND CHAIRS OF THE SENATE AND ASSEMBLY ENERGY COMMIT-
TEES, AND SHALL POST ON ITS WEBSITE, A SOLAR SOLICITATION PLAN THAT
SHALL INCLUDE A TIMETABLE AND METHODOLOGY FOR SOLICITING PROPOSALS FOR
SRECS ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION OTHER THAN SMALL
RETAIL DISTRIBUTED SOLAR ENERGY GENERATION, FOR THE PURPOSE OF FULFILL-
ING ITS OBLIGATIONS ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION. THE
AUTHORITY'S SOLAR SOLICITATION PLAN SHALL BE DESIGNED TO FOSTER A DIVER-
SITY OF SOLAR PROJECT SIZES AND PARTICIPATION AMONG ALL ELIGIBLE CUSTOM-
ER CLASSES SUBJECT TO COST-EFFECTIVENESS CONSIDERATIONS. THE AUTHORITY
SHALL ESTABLISH A SEPARATE SOLICITATION PROCESS FOR THE PROCUREMENT OF A
DEFINED NUMBER OF SRECS ASSOCIATED WITH RETAIL DISTRIBUTED SOLAR ENERGY
GENERATION PRODUCED BY EQUIPMENT THAT IS BETWEEN FIFTY-ONE AND TWO
HUNDRED FIFTY KILOWATTS IN SIZE. RETAIL DISTRIBUTED SOLAR ENERGY GENER-
ATION WITHIN THIS SIZE RANGE SHALL BE ELIGIBLE TO RECEIVE A SREC OFFER
PRICE EQUIVALENT TO THE WEIGHTED AVERAGE ACCEPTED BID PRICE IN THE
CONCURRENT SOLICITATION FOR RETAIL DISTRIBUTED SOLAR ENERGY GENERATION
SYSTEMS GREATER THAN TWO HUNDRED FIFTY KILOWATTS IN SIZE, PLUS AN ADDI-
TIONAL INCENTIVE OF UP TO TEN PER CENT AS MAY BE DETERMINED BY THE
AUTHORITY, TO ACCOUNT FOR COST DIFFERENCES BETWEEN THESE MARKET
SEGMENTS. THE SREC OFFER PRICE SHALL CONTINUE TO BE AVAILABLE UNTIL THE
SOONER OF: (I) THE ACCEPTANCE BY THE ELECTRIC DISTRIBUTION COMPANY OF
RESERVATIONS FROM QUALIFIED RETAIL DISTRIBUTED SOLAR ENERGY GENERATION
FOR AVAILABLE STANDARD OFFER SRECS; OR (II) THE ELECTRIC DISTRIBUTION
COMPANY'S COMPLETION OF ITS NEXT ANNUAL SOLICITATION.
A. 5713--C 14
(B) THE AUTHORITY SHALL EXECUTE ITS SOLICITATION PLAN AND SHALL SUBMIT
TO THE COMPTROLLER, GOVERNOR, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESI-
DENT OF THE SENATE, AND CHAIRS OF THE SENATE AND ASSEMBLY ENERGY COMMIT-
TEES, AND SHALL POST ON ITS WEBSITE, ITS SOLAR PROCUREMENT PLAN
COMPRISED OF ANY SOLAR PURCHASE AGREEMENTS FOR SRECS ASSOCIATED WITH
QUALIFIED SOLAR ENERGY GENERATION OTHER THAN SMALL RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION. THE COMPTROLLER SHALL REVIEW SUCH PLAN TO
ASSESS WHETHER IT IS THE RESULT OF A FAIR, OPEN, COMPETITIVE AND TRANS-
PARENT PROCESS AND SHALL REPORT TO THE GOVERNOR, SPEAKER OF THE ASSEM-
BLY, TEMPORARY PRESIDENT OF THE SENATE, AND CHAIRS OF THE SENATE AND
ASSEMBLY ENERGY COMMITTEES REGARDING THE RESULTS OF SUCH ASSESSMENT.
(C) NO LATER THAN JULY FIRST, TWO THOUSAND TWELVE, THE AUTHORITY SHALL
SUBMIT TO THE GOVERNOR, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESIDENT OF
THE SENATE, AND CHAIRS OF THE SENATE AND ASSEMBLY ENERGY COMMITTEES, AND
SHALL POST ON ITS WEBSITE, A PLAN FOR THE ACHIEVEMENT OF ITS OBLIGATION
PERTAINING TO THE PROCUREMENT OF SRECS ASSOCIATED WITH SMALL RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION ESTABLISHED IN SUBDIVISION TWO OF
THIS SECTION.
(D) THE AUTHORITY'S SREC PROCUREMENT SHALL BE CONSISTENT WITH THE
SEGMENT-SPECIFIC PERCENTAGES PROVIDED IN THE PLANS SUBMITTED PURSUANT TO
PARAGRAPHS (A) AND (C) OF THIS SUBDIVISION. IF, HOWEVER, ON THE BASIS OF
THE ACTUAL SOLICITATION RESULTS, THE COLLECTIVE ANNUAL COST ASSOCIATED
WITH SUCH PROCUREMENT WOULD EXCEED ONE AND ONE-HALF PERCENT OF THE
AUTHORITY'S ANNUAL RETAIL ELECTRICITY SALES REVENUES, THE AUTHORITY
SHALL HAVE THE OPTION OF SUBSTITUTING, BY UP TO TWENTY-FIVE PERCENT, THE
NUMBER OF SRECS PROCURED FROM THE HIGHEST COST SEGMENT WITH SRECS
PROCURED FROM QUALIFIED SOLAR ENERGY GENERATION OF ANY SIZE.
4. NO LATER THAN JANUARY FIRST, TWO THOUSAND TWELVE, THE AUTHORITY
SHALL ESTABLISH A TARIFF THAT IT SHALL PAY TO APPLICABLE QUALIFIED SOLAR
ENERGY GENERATORS WITH WHICH THE AUTHORITY ENTERS INTO SOLAR PURCHASE
AGREEMENTS FOR THE PROCUREMENT OF SRECS ASSOCIATED WITH SMALL RETAIL
DISTRIBUTED SOLAR ENERGY GENERATION FOR THE PURPOSE OF ACHIEVING THE
AUTHORITY'S OBLIGATIONS PERTAINING TO SRECS ASSOCIATED WITH SUCH GENER-
ATION ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION. THE AUTHORITY
SHALL CONSIDER COST DIFFERENCES BETWEEN VARIOUS MARKET SEGMENTS, INCLUD-
ING RESIDENTIAL, COMMERCIAL AND NOT-FOR-PROFIT, AND APPLICATIONS, SUCH
AS BUILDING INTEGRATED PHOTOVOLTAIC EQUIPMENT, AND SHALL DETERMINE
WHETHER SUCH COST DIFFERENCES ARE MATERIAL SUCH THAT MARKET OR APPLICA-
TION SPECIFIC TARIFFS ARE WARRANTED. THE AUTHORITY SHALL, AT LEAST
ANNUALLY, REVIEW SUCH TARIFFS AND ADJUST AS NECESSARY TO ACHIEVE ITS
OBLIGATIONS PERTAINING TO SRECS ASSOCIATED WITH SMALL RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION ESTABLISHED IN SUBDIVISION TWO OF THIS SECTION.
THE AUTHORITY MAY INSTITUTE, AFTER NOTICE AND OPPORTUNITY FOR PUBLIC
INPUT, A MECHANISM THAT ALLOWS FOR ADJUSTMENT TO THE TARIFF RATE BASED
ON THE LEVEL OF THE AUTHORITY'S PROCUREMENT OF SRECS RELATIVE TO ITS
ANNUAL TARGETS FOR SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION. ANY
SUCH ADJUSTMENTS SHALL BE APPLIED PROSPECTIVELY, AND SHALL NOT AFFECT
THE TARIFF RATE OF SMALL RETAIL DISTRIBUTED SOLAR GENERATION ALREADY
ENROLLED.
5. (A) IF THE AUTHORITY DETERMINES THAT ITS ANNUAL EXPENDITURES FOR
THE PROCUREMENT OF SRECS, MADE FOR THE PURPOSES OF MEETING THE ANNUAL
REQUIREMENT SET FORTH IN PARAGRAPH (A) OF SUBDIVISION TWO OF THIS
SECTION FOR A COMPLIANCE YEAR, EXCEEDS ONE AND ONE-HALF PERCENT OF ITS
ANNUAL RETAIL ELECTRICITY REVENUES FOR SUCH COMPLIANCE YEAR, THEN THE
ANNUAL REQUIREMENT FOR THE COMPLIANCE YEAR FOR WHICH THE AUTHORITY MAKES
ITS DETERMINATION SHALL CONTINUE TO BE THE ANNUAL REQUIREMENT APPLICABLE
A. 5713--C 15
IN EACH SUBSEQUENT COMPLIANCE YEAR UNTIL THIS LIMITATION ENDS AS
PROVIDED IN PARAGRAPH (B) OF THIS SUBDIVISION.
(B) IF THE LIMITATION PROVIDED FOR IN PARAGRAPH (A) OF THIS SUBDIVI-
SION IS TRIGGERED, IT SHALL END UPON A DETERMINATION BY THE AUTHORITY
THAT ITS ANNUAL EXPENDITURE FOR THE PROCUREMENT OF SRECS MADE FOR THE
PURPOSES OF MEETING ITS ANNUAL REQUIREMENT FOR A COMPLIANCE YEAR DID NOT
EXCEED ONE AND ONE-HALF PERCENT OF ITS ANNUAL RETAIL ELECTRICITY REVEN-
UES FOR SUCH COMPLIANCE YEAR. FOR THE COMPLIANCE YEAR IMMEDIATELY
FOLLOWING THE END OF THE LIMITATION PURSUANT TO THIS PARAGRAPH, THE
APPLICABLE ANNUAL REQUIREMENT SHALL BE THE REQUIREMENT SET FORTH IN
PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION FOR THE COMPLIANCE YEAR
IMMEDIATELY FOLLOWING THE COMPLIANCE YEAR FOR WHICH THE LIMITATION IN
PARAGRAPH (A) OF THIS SUBDIVISION WAS TRIGGERED. THE ANNUAL REQUIREMENT
SHALL CONTINUE TO INCREASE IN THE INCREMENTS PROVIDED FOR IN PARAGRAPH
(A) OF SUBDIVISION TWO OF THIS SECTION FOR EACH SUBSEQUENT YEAR UNTIL
THE ANNUAL REQUIREMENT REACHES THE PERCENTAGE SET FORTH IN SUCH PARA-
GRAPH FOR COMPLIANCE YEAR TWO THOUSAND TWENTY.
6. (A) NO LATER THAN JULY FIRST, TWO THOUSAND FOURTEEN, AND NO LATER
THAN JULY FIRST OF EACH YEAR THEREAFTER THROUGH THE YEAR TWO THOUSAND
TWENTY-ONE, THE AUTHORITY SHALL REPORT TO THE GOVERNOR, SPEAKER OF THE
ASSEMBLY, TEMPORARY PRESIDENT OF THE SENATE, AND CHAIRS OF THE SENATE
AND ASSEMBLY ENERGY COMMITTEES, AND SHALL POST ON ITS WEBSITE, A REPORT
REGARDING ITS PROGRESS IN MEETING ITS OBLIGATIONS ESTABLISHED IN SUBDI-
VISION TWO OF THIS SECTION.
(B) EACH REPORT THAT SHALL BE SUBMITTED PURSUANT TO THIS SUBDIVISION
SHALL INCLUDE, BUT NOT BE LIMITED TO, FOR THE PREVIOUS CALENDAR YEAR AND
FOR THE TOTAL OF ALL CALENDAR YEARS TO DATE: (I) THE NUMBER OF SRECS
ASSOCIATED WITH QUALIFIED SOLAR ENERGY GENERATION RETIRED FOR THE
PURPOSES OF MEETING THE AUTHORITY'S OBLIGATIONS ESTABLISHED IN SUBDIVI-
SION TWO OF THIS SECTION; (II) THE NUMBER OF SUCH SRECS EACH ASSOCIATED
WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENERATION, RETAIL DISTRIB-
UTED SOLAR ENERGY GENERATION PRODUCED BY EQUIPMENT THAT IS BETWEEN
FIFTY-ONE AND TWO HUNDRED FIFTY KILOWATTS IN SIZE AND RETAIL DISTRIBUTED
SOLAR ENERGY GENERATION PRODUCED BY EQUIPMENT OF ANY SIZE THAT WERE
PROCURED; (III) THE NUMBER OF SUCH SRECS PROCURED THROUGH SOLAR PURCHASE
AGREEMENTS; (IV) THE AMOUNT PAID TO QUALIFIED SOLAR ENERGY GENERATORS
FOR SRECS ASSOCIATED WITH SMALL RETAIL DISTRIBUTED SOLAR ENERGY GENER-
ATION THROUGH THE TARIFFS ESTABLISHED PURSUANT TO SUBDIVISION FOUR OF
THIS SECTION; AND (V) THE ANNUAL RETAIL ELECTRICITY SALES REVENUE AND
EXPENDITURES MADE FOR THE PROCUREMENT OF SRECS FOR THE PURPOSE OF MEET-
ING THE APPLICABLE ANNUAL REQUIREMENT, PROVIDED THAT SUCH INFORMATION
NEED ONLY BE REPORTED FOR THE PREVIOUS CALENDAR YEAR.
7. EVERY CONTRACTOR EMPLOYED PURSUANT TO THIS SECTION, NOT OTHERWISE
REQUIRED TO PAY LABORERS, WORKERS OR MECHANICS THE PREVAILING RATE OF
WAGES PURSUANT TO ARTICLE EIGHT OF THE LABOR LAW, SHALL PAY AN EMPLOYEE
UNDER CONTRACT FOR THE INSTALLATION OF QUALIFIED SOLAR ENERGY GENERATION
EQUIPMENT RATED AT TWO HUNDRED FIFTY KILOWATTS OR MORE A WAGE OF NOT
LESS THAN THE PREVAILING RATE OF WAGES FOR SUCH WORK IN THE LOCALITY
WHERE SUCH INSTALLATION OCCURS. THIS REQUIREMENT SHALL BE IN EFFECT FOR
THE DURATION OF THE AVAILABILITY OF THE INCENTIVE STREAM ESTABLISHED
PURSUANT TO THIS SECTION AND IN NO EVENT SHALL SUCH REQUIREMENT EXTEND
BEYOND THE AVAILABILITY OF SUCH INCENTIVE STREAM. EVERY CONTRACTOR
SUBJECT TO THE PROVISIONS OF THIS SUBDIVISION SHALL MAINTAIN PAYROLL
RECORDS IN ACCORDANCE WITH SECTION TWO HUNDRED TWENTY OF THE LABOR LAW.
S 6. Section 1854 of the public authorities law is amended by adding a
new subdivision 19 to read as follows:
A. 5713--C 16
19. TO IMPLEMENT THE PROVISIONS OF PARAGRAPH (F) OF SUBDIVISION TWO,
PARAGRAPH (C) OF SUBDIVISION THREE AND SUBDIVISION SEVEN OF SECTION
SIXTY-SIX-M OF THE PUBLIC SERVICE LAW.
S 7. If any provision of this act is, for any reason, declared uncon-
stitutional or invalid, in whole or in part, by any court of competent
jurisdiction, such portion shall be deemed severable, and such unconsti-
tutionality or invalidity shall not affect the validity of the remaining
provisions of this act, which remaining provisions shall continue in
full force and effect.
S 8. This act shall take effect immediately.
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