Joint Local Distribution Companies' Response to New York State Department of Public Service Staff's Gas Planning Proposals

Strategic Insights -

The Joint Local Distribution Companies (LDCs) have submitted reply comments in response to the Department of Public Service Staff's natural gas planning process and moratorium management proposals. The LDCs, which include Central Hudson Gas & Electric Corporation, Consolidated Edison Company of New York, Inc., and others, are committed to working with the Staff and stakeholders to pursue meaningful and sustainable reductions in greenhouse gas emissions while maintaining safe, reliable, and resilient energy service for customers. The LDCs have aligned their efforts with the Climate Leadership and Community Protection Act (CLCPA) objectives, including the 85x50 goal, to reduce greenhouse gas emissions statewide by 2050.

Key Takeaways:

  • The Joint LDCs remain committed to working with Staff and stakeholders to pursue reductions in greenhouse gas emissions while maintaining safe, reliable, and resilient energy service for customers.
  • The LDCs will align their efforts with the CLCPA objectives, including the 85x50 goal, in an economically efficient manner.
  • The gas planning process should be conducted in a manner that aligns with the work of the Climate Action Council and state agencies charged with implementing the CLCPA, resulting in cohesive and comprehensive plans that serve the public interest.
  • The LDCs emphasize the importance of stakeholder engagement, filing requirements, resource diversification, and contributions of stakeholders in the gas planning process.
  • The Joint LDCs will pursue the use of low-carbon resources such as RNG, hydrogen, and other future fuel technologies that improve the ability to achieve gas system planning goals in the context of the CLCPA.
  • The LDCs propose that a comprehensive and effective gas planning process should consider all resources and options, including low-carbon fuels and distribution assets, and retain flexibility to pursue beneficial resources and approaches.
  • Optimizing existing infrastructure for both gas and electric networks will require increased coordination and planning between gas and electric utilities.
  • The Public Interest Organizations propose a specific plan for the decarbonization of the state's gas distribution systems as part of the Gas Planning process, incorporating key attributes such as achieving CLCPA goals, customer and technology adoption, and impacts on service reliability and access to energy.

Statistics:

  • 7 local distribution companies (LDCs) joined together to file recommendations on July 17, 2020: Central Hudson Gas & Electric Corporation, Consolidated Edison Company of New York, Inc., Brooklyn Union Gas Company, KeySpan Gas East Corporation, National Grid, National Fuel Gas Distribution Corporation, New York State Electric & Gas Corporation, Orange and Rockland Utilities, Inc., and Rochester Gas and Electric Corporation.
  • 1,000+ members of the public have submitted comments in the Gas Planning Proceeding.
  • The Climate Leadership and Community Protection Act (CLCPA) aims to reduce greenhouse gas emissions statewide by 85% by 2050.
  • The Public Interest Organizations propose a specific plan for the decarbonization of the state's gas distribution systems as part of the Gas Planning process.

Sources:

  • Case 20-G-0131, Proceeding on Motion of the Commission in Regard to Gas Planning Procedures ("Gas Planning Proceeding")
  • Joint Local Distribution Companies' Comments in Response to the Department of Public Service Staff's Natural Gas Planning Process and Moratorium Management Proposals, May 3, 2021 (Joint LDC Initial Comments)
  • Climate Leadership and Community Protection Act, Signed July 18, 2019 (New York SB6599)
  • Public Interest Organizations' Comments, May 3, 2021 (PIO Comments)
  • American Gas Foundation, Building a Resilient Energy Future: How the Gas System Contributes to US Energy System Resilience (Released January 2021)