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New York State Department of Public Service Issues Document on Transmission Planning and Renewable Energy Growth

Strategic Insights

— 2 min read

The New York State Department of Public Service has released a document outlining the state's plans for transmission planning and renewable energy growth. The document, which was submitted by the New York State Energy Research and Development Authority (NYSERDA), outlines the need for a common analytical framework to assess capacity and energy headroom for Phase 2 transmission projects. This framework would enable a standardized assessment of capacity and energy headroom, ultimately reducing costs and improving the siting of renewable energy projects.

Key Takeaways:

  • NYSERDA fully supports the proposal to conduct a regular headroom assessment with the objective of publishing actionable information for renewable energy developers, policy makers, and other stakeholders.
  • The Phase 1 Order identified the need for a common analytical framework for the Phase 2 transmission projects to enable a standardized assessment of capacity and energy headroom.
  • NYSERDA agrees with Staff's assertion in the Straw Proposal that a common analytical framework will have substantial benefits for the siting of future large-scale renewable energy projects.
  • The benefits of a standardized headroom analysis approach for assessing the most beneficial Phase 2 transmission projects are clear, and this approach can also be used to produce data that can significantly improve renewable energy generation project siting decisions.
  • NYSERDA recommends that the framework be used to address the prioritization of Phase 2 transmission projects, particularly those projects that would alleviate constrained areas that are expected to experience exacerbated curtailment rates as new state-contracted intermittent generators enter operation.
  • The New York State Energy Research and Development Authority (NYSERDA) recognizes that this is the start of an iterative process that can be improved over time, and the remainder of the comments primarily address several aspects of the Straw Proposal.

Statistics:

  • According to the Phase 1 Order, 1,000 megawatts (MW) were added to the local transmission grid as a result of the Phase 1 transmission projects.
  • The benefits of a standardized headroom analysis approach for assessing the most beneficial Phase 2 transmission projects are clear, and this approach can also be used to produce data that can significantly improve renewable energy generation project siting decisions.
  • An estimated 1,500 MW of additional headroom will be required to meet the state's 2030 renewable energy goals.
  • The headroom data would ideally be published annually, prior to the launch of NYSERDA's annual Tier 1 Renewable Energy Certificate (REC) procurements.

Sources:

  • Case 20-E-0197, NYSERDA comments on the Utilities Transmission and Distribution Investment Working Group Report, p. 2-3 (filed January 20, 2021)
  • Case 20-E-0197, Order on Phase 1 Local Transmission and Distribution Project Proposals, p. 19 (filed February 11, 2021)
  • Case 20-E-0197, Staff Straw Proposal for Conducting Headroom Assessments, p. 1 (filed March 16, 2021)
  • Case 20-E-0197, Initial Report on the Power Grid Study, p. 3 (filed January 19, 2021)

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