Within REACH: NYPA seeks industry volunteers to contribute to affordability program
Last week, the Power Authority issued a new request for applications (RFA) for REACH, the “Renewable Energy Access and Community Help” program. The solicitation will expand the Power Authority’s program to make electric bills more affordable for low-come households in disadvantaged communities.
The REACH program, approved by the Public Service Commission in Oct. 2024, will benefit low-income New Yorkers that live in disadvantaged communities by using renewable generation from distributed energy sources in their communities or from large-scale renewable projects located throughout the state’s electric power grid. Like the Statewide Solar for All Program, REACH will allow electric utilities to receive funds from the Power Authority to credit the electric bills of low-income ratepayers in disadvantaged communities. The bill credits will be funded from a portion of revenues from renewable energy generation projects developed by the Power Authority, designated for REACH.
The RFA calls for industry developers, storage companies, and other collaborators to voluntarily contribute to the REACH program. Through these contributions interested parties can make commitments to support disadvantaged communities in their renewable energy certificate or storage credit agreements.
“Affordability is a growing concern for New Yorkers, and by opening up the REACH program to private-sector contributors, the Power Authority can expand New York State’s assistance to those in need of utility bill relief,” said NYPA President and CEO Justin E. Driscoll. “NYPA is hard at work advancing renewable energy projects like the North Albany Solar project and others that will support the REACH program; now we are seeking the help of developers to help make REACH even more impactful.”
In April, Governor Hochul announced the first renewable energy project participating in the REACH program. The project, a 1.5-megawatt solar energy system at the capped North Albany/Shaker Park will be co-developed by the Power Authority and the City of Albany. The ground-mounted solar project is estimated to come online in 2027.
Chris Hutson, NYPA Senior Vice President of Development, who was on site back in April had this to say, “NYPA is very proud of our REACH program and the benefits it will bring to low-income New Yorkers,” said “With this RFA we will be joined by like-minded developers and contributors to make the REACH program a success for years and decades to come. In April, I was pleased to be present to announce the first REACH project to be developed by NYPA, the North Albany Landfill project. As we build projects outlined in our Renewables Strategic Plan, we’ll identify more REACH projects that will help make utility bills more affordable.”
Those interested in responding are encouraged to fill out this application. Applicants can review the RFA and related materials on the Power Authority’s webpage. Questions can be directed to: reach@nypa.gov.
NYPA Renewables: Progress to Date
The 2023-24 Enacted State Budget authorized and directed NYPA to advance renewable energy development, building on the Power Authority’s existing efforts to provide reliable, affordable and clean power and expand New York’s transmission system.
Since Governor Kathy Hochul signed the 2023-2024 Enacted State Budget into law, the Power Authority has made significant progress, including establishing new business structures, filling key roles, making regulatory filings, securing tax rulings, and advancing initial projects. NYPA issued a $100 million bond issuance for new renewables and established a new renewables subsidiary, New York Renewable Energy Development Holdings Corporation (NYRED), to facilitate external capital and protect against project risks.
In September, Governor Hochul announced $200 million in State budget funding that will be directed to the Power Authority to accelerate renewables deployment. The funds will reduce ratepayer costs as NYPA continues to build projects that will strengthen New York’s grid with diversified generation resources.
NYPA recently published a draft of its Updated Renewables Strategic Plan, which details the Power Authority’s efforts to develop, own and operate renewable generation and energy storage projects to improve the reliability and resiliency of New York’s grid.
The draft updated plan details 64 potential clean energy projects and portfolios representing nearly seven gigawatts of capacity. NYPA held two virtual public hearings and a 45-day public comment period associated with the plan that ended on Sept. 12. More than 6,000 comments were received and reviewed, and the Power Authority’s Board of Trustees will hold a vote on the draft updated plan in December.