Home News Governor Paterson announces major expansion of New York’s solar energy

Governor Paterson announces major expansion of New York’s solar energy

Albany, NY – October 7, 2009 – (RealEstateRama) — Governor David A. Paterson today announced that $10 million in American Recovery and Reinvestment Act (ARRA) funding is now available through a competitive statewide solicitation for solar energy projects in New York State. The funding is available through NYSERDA’s State Energy Program (SEP) to fund the installation of solar photovoltaic (PV) systems. Additionally, Governor Paterson announced that the New York Power Authority (NYPA) is expected to make a formal request for proposals later this year for a 100-megawatt solar initiative, which would increase the State’s current installed solar capacity five-fold. 

“The statewide interest in developing our solar energy production is proof that New York is fertile ground for the clean energy economy. Not only will these projects put New Yorkers back to work, but they will help cut down energy costs and reduce greenhouse gas emissions,” said Governor Paterson.

The two programs will contribute to Governor Paterson’s goal of meeting 45 percent of the State’s electricity needs through improved energy efficiency and renewable energy by 2015. It is estimated that the expanded use of clean energy technologies will create some 50,000 new jobs in New York. Additionally, the push to increase New York.s renewable energy production is a critical step to help the State achieve the Governor’s goal of reducing current greenhouse gas emissions from all sources within the State by 80 percent below levels emitted in 1990 by the year 2050.

The $10 million in ARRA funding is designed to help build a sustainable solar industry in New York State by promoting the installation of high quality solar power systems and deploying clean energy technology. The program will provide incentives for PV systems that are connected to New York’s energy grid.

“Recovery Act funding for PV installations will aide in expanding the State.s clean energy workforce and increase the proportion of renewable energy used by New York consumers, which complement the goals of Governor Paterson’s “45 by 15” and “80 by 50″ energy initiatives,” said NYSERDA President and CEO Frank J. Murray, Jr. “With the assistance of these funds, New York State’s solar industry will have an even stronger presence, helping consumers reduce energy costs and their carbon footprints.”

Separately, following the receipt of some 40 responses to a formal request for expressions of interest (RFEI), NYPA plans to issue a Request for Proposals (RFP) sometime this winter for the 100 MW of solar power development. In addition to solar power developers, parties responding to the RFEI included renewable power trade groups and various NYPA customers interested in installing PV systems at their facilities. The systems would be owned and operated by the developers and NYPA would purchase the electricity on behalf of customers under a solar power purchase agreement.

The possible sites include public and private schools, municipal government buildings, State agencies, and community-owned municipal electric systems and rural cooperatives. In some instances, the solar power could also provide support for the local electric distribution grid.

“We’re currently evaluating the responses in anticipation of preparing a formal Request for Proposals with the appropriate evaluation criteria and other information for encouraging the submission of high-quality bids for this large solar project,” said Richard M. Kessel, NYPA President and Chief Executive Officer. “We.re delighted by the strong interest that we received and are looking forward to being the catalyst for this landmark project, which directly stems from the Governor’s innovative energy policies.”

Electric customers that do not pay into the Renewable Portfolio Standard will be eligible for the ARRA funds. Funding will be provided to companies selected in the solicitation as a fixed amount in dollars per installed kW. Selected companies will demonstrate the capability and strategy to install between 500kW and 1,000 kW of PV over a defined period of time. Proposals to the Competitive Capacity-Based Incentive Program are due by 5:00 pm EST on Thursday, October 29, 2009. In developing the SEP plan, NYSERDA took into account the priorities to meet New York’s clean energy goals; opportunity to use ARRA funds to augment rate-payer (SBC/RPS) funded programs; and methods to use SEP funds to leverage other resources and provide as a steady funding source for renewable energy and energy efficiency projects.

Senator Charles Schumer said: “This funding is an opportunity to create jobs, save families money, and help the environment, all at the same time. Investing in solar and renewable energy projects will help New York State improve its energy efficiency and reduce our dependence on foreign oil.”

Senator Kirsten Gillibrand said: “This is a great investment for New York. These federal dollars will help us produce more clean, homegrown sources of energy by installing more solar panels . cutting our emissions and improving our environment, while creating new jobs and helping to rebuild our economy. I will continue working with Governor Paterson, Senator Schumer and the entire Congressional Delegation to make sure New York gets its fair share from the federal government.”

Congressman Eliot Engel said: “As a senior member of the House Energy and Commerce Committee, I voted for the American Clean Energy and Security Act, which provides for long-overdue changes to our energy policy and advances the cause of alternative energy. In addition, I was also supportive of the American Recovery and Reinvestment Act which contains several tax credits and incentives for pursuing solar power. Together, the two acts promote the production of electricity through solar power, and other alternative methods designed to end our country’s addiction to oil. By removing our nation.s dependence upon foreign oil we will not only help clean the environment, create jobs and reduce costs, but also improve our national security by lessening dependence on sometimes-hostile foreign governments for fossil fuels. I will continue to work in Congress to revamp our energy policy and will continue to provide the necessary resources for New York.”

Congressman Maurice Hinchey said: “This federal economic recovery funding will support the continued establishment of New York as a leader in solar technology. In addition to the funds previously secured to locate solar companies in New York, this money will help continue growing a market for this technology and enable a sound and sustainable energy policy for the state.”

Congresswoman Nita Lowey: “The future of our economy depends in part on our ability to produce and use energy efficiently. I worked to ensure the American Recovery and Reinvestment Act would support emerging alternative energy technology like the solar industry, and I am pleased companies in New York will benefit.”

Congresswoman Carolyn McCarthy said: “I am pleased that Governor Paterson has certified $10 million for this important project. This funding will allow for the installation of solar photovoltaic (PV) systems across all New York State markets. This funding will allow NY residents to decrease their energy costs and reduce their carbon footprint. This is another example of the American Recovery and Reinvestment Act at work improving New York’s infrastructure and getting Americans back to work.”

Congressman Scott Murphy said: “This program is an important investment in New York’s future. By supporting solar energy in our State, we are taking steps to break our addiction to foreign oil, while increasing economic competitiveness at home. We need to help spur innovation and create new, clean-energy jobs for the 21st Century economy, and this program does exactly that.”

Congressman Paul Tonko: “This program speaks loudly to Governor Paterson and NYSERDA’s commitment to increasing the amount of renewable energy being used across New York State. These Recovery Act funds will help green up our energy outcome by helping to reduce energy usage and costs, while putting people to work in a difficult economy.”

Congressman Ed Towns said: “Renewable energy produces promising benefits for our state by cutting energy costs and contributing to a cleaner environment. With this additional funding, I have no doubt that New York will continue to be a leader in clean energy technology.”

For more information about NYSERDA.s Capacity-Based Incentive Program (PON 1686), visit http://www.nyserda.org/funding/1686pon.asp . For more information on other NYSERDA administered ARRA funding opportunities, visit http://www.nyserda.org/economicrecovery/arrafunding.asp.

For more information on the plans for the 100 MW of solar power development, the RFEI can be accessed on the NYPA Web site at www.nypa.gov/100mwSolarRFEI.htm.