Governor Kathy Hochul has stated that $22 million in financing is available to improve New York’s electric system, with a particular emphasis on modernization and resilience (WNY News Now).
Governor Kathy Hochul declared that $22 million is now available for electric grid modernization and strengthening initiatives in New York. Through a U.S. Department of Energy (DOE) Grid Resilience FormulaGrant, the State’s new competitive grid modernization program funds projects that support the transition to a zero-emission electricity system by increasing access to clean energy and ensuring infrastructure reliability for New Yorkers. The Governor also revealed that New York State received an extra $11.5 million in October as part of the federal formula grant program to support this first round of financing.
The grid infrastructure in New York is the foundation of electricity distribution, and in order to resist severe weather occurrences, we must preserve its dependability and resilience, Governor Hochul stated.In order to address the expanding energy needs of local businesses and households, this federal formula grant supplements current State investments.
The New York State Energy Research and Development Authority (NYSERDA) oversees the newgrid modernization program, which awards funds to small electricity providers that sell no more than 4,000,000 megawatt hours (MWh) of electricity annually, municipal utilities, and rural cooperatives or consortiums that apply on their behalf for projects that increase the grid systems’ ability to withstand future extreme weather events. Proposals must include direct and measurable energy, environmental, and economic benefits to New York State, such as reduced emissions, job creation, product manufacturing and sales, energy efficiency, or lower electric costs for proposed site locations, and they must also satisfy all federal requirements, including a minimum one-third cost share.
“NYSERDA is pleased to offer this new grid modernization program with funding from the U.S. Department of Energy to municipal electric systems and rural cooperatives interested in advancing projects that strengthen and enhance grid resiliency,” stated Doreen M. Harris, president and CEO of the New York State Energy Research and Development Authority. We are eager to collaborate with future partners to produce projects that assist the State’s transition to a modern, emission-free electric grid and help deliver clean energy to New Yorkers.
Modern, robust grid technologies that can endure severe weather events will be advanced by eligible project categories, which include:
- Adaptive protection, advanced modeling, and monitoring control technologies.
- Installing advanced conductors, including low sag advanced conductors, or replacing old overhead conductors and underground cables.
- Using or constructing distributed energy resources (DER) to enhance adaptive capacity during a disruptive event.
- Weatherization technologies and equipment.
Each application must have a single project type chosen by the proposer. The deadline for proposals is February 12, 2025, at 3 p.m.The NYSERDA website has more details on this solicitation.
For this RFP, NYSERDA also provides $3.5 million in technical assistance to help create grid modernization solutions. First-come, first-served applicants will receive the technical assistance, which has a one-time maximum payout of up to $200,000. It can help with grant writing for implementation financing, technical studies required to assess possible projects, and the creation of a metrics reporting system to assess project success.
New York just received an extra $11.5 million in grant funding, building on the $11.5 million granted last year, which is anticipated to be made available to rural cooperatives and municipal electric systems in the summer of 2025. As part of DOE’s grant requirements, New York will contribute 15 percent matching funds through the Regional Greenhouse Gas Initiative, joining nine other states and five tribal nations that received a total of $125 million as the seventh cohort of Grid Resilience State and Tribal Formula Grants. Visit the websites of DOE’s Grid Deployment Office and NYSERDA to find out more.
“The Biden-Harris and the Bipartisan Infrastructure Law provides more than $30 billion for the largest electric grid infrastructure investment in history,” said Maria Robinson, director of the U.S. Department of Energy’s Grid Deployment Office. To date, DOE has awarded more than $1.3 billion to states, tribes, territories, utilities, and industry through the Department of Energy’s Grid Resilience Formula Grants. We take pride in collaborating with states like New York to help them achieve their clean energy objectives. Initiatives like NYSERDA’s grid modernization program are not only giving consumers access to inexpensive and dependable energy, but they are also generating well-paying employment and boosting the local economy and community.
“This federal funding to support rural cooperatives and municipal electric systems will help strengthen and enhance grid resiliency in New York State,” stated Rory M. Christian, chair of the New York State Public Service Commission. Governor Hochul deserves praise for assembling a group to assist New York in its transition to a clean-energy power system.
“The grid resilience grant opportunities represent a very significant contribution towards improving electric system reliability and driving infrastructure improvements for our customers and members,” stated David Leathers, president of the New York Association of Public Power. The significant collaboration we have with NYSERDA is undoubtedly valued by New York’s consumer-owned municipal and rural electric cooperative utility companies.
“The funding provided by this program serves a critical need as our municipal utilities work to modernize aging infrastructure in a way that minimizes the financial impact on our customers,” stated Jim Stokes, executive director of the Municipal Electric Utilities Association of NYS. We value NYSERDA’s and Governor Hochul’s dedication to meeting this demand.
The Grid Resilience State and Tribal Formula Grants, which are funded by the Bipartisan Infrastructure Law and managed by DOE’s Grid Deployment Office, allocate funds to states, territories, and federally recognized Indian Tribes, including Alaska Native Regional Corporations and Alaska Native Village Corporations, over a five-year period. The formula takes into account a number of variables, including population size, land area, the likelihood and intensity of disruptive events, and the historical mitigation expenditures made by a locality. Projects that provide clean, inexpensive, and dependable energy and have the biggest positive impact on the community are given priority. As of October 25, 2024, DOE has distributed Grid Resilience State and Tribal formula grants totaling around $1.3 billion across the US.
The Climate Agenda of NYS
A fair and affordable shift to a clean energy economy that supports economic growth through green investments, generates family-sustaining jobs, and allocates at least 35 percent of the benefits to underserved communities is what New York State’s climate agenda advocates for. In order to attain an emissions-free economy by 2050, New York is promoting a number of initiatives in the areas of trash, buildings, transportation, and energy.