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New York PSC Adopts Statewide Solar For All Program But Denies Opt-Out Community Choice Aggregation
Excerpts from the Press Release:
{***} Governor Kathy Hochul today announced that the New York State Public Service Commission (PSC) has adopted a Statewide Solar for All program that will significantly spur the development of more solar and retail energy storage projects in New York State. Going forward, the Statewide Solar for All program will be administered by each of the investor-owned utilities that serve electric energy affordability program (EAP) customers. In addition, the PSC took action to improve New York’s opt-in Community Distributed Generation (CDG) program.
The Statewide Solar for All program’s streamlined and cost-effective model will combine two successful state programs — the utility-managed Energy Affordability Program (EAP) and market-based community solar — to efficiently deliver clean energy savings to low-income households. The new program will begin by delivering an electric bill credit to EAP customers who reside in a disadvantaged community with the goal of delivering a minimum of $40 in annual bill credits to more than 800,000 households once the program has fully matured. The actions taken today support a long-term program design that drives continued community solar and storage growth and directs the benefits of that growth to New York State’s low-income residents.
Additionally, today the PSC granted CDG developers the flexibility to offer up to three different savings rates to opt-in CDG subscribers. Within one year, the state’s investor-owned utilities will be required to implement the capability to allow for multiple savings rates based on the cost of supply of the electricity for a CDG project. This action will not only grow New York State’s solar industry, but allow for a greater number of households, including low-income households, to benefit from community solar projects across the state. {***}
From the Order:
{***} On June 23, 2023, the Public Service Commission (Commission) issued the NY-Sun Modification Order which, among other things, explored the option of permitting Community Distributed Generation (CDG) projects the ability to offer multiple savings rates to CDG subscribers.1 The NY-Sun Modification Order directed the Joint Utilities to conduct a technical conference and file a proposal to implement multiple savings rates as part of the utility efforts to automate CDG billing and crediting. The technical conference was held in Albany on August 15, 2023, and on October 20, 2023, the Joint Utilities submitted a petition that proposes permitting multiple CDG savings rates in a single project (Petition). The Petition proposes that the Commission determine the appropriate number of CDG savings rates within a single CDG project, and whether to exclude multiple anchor customers in a single CDG project from Net Crediting.
In this Order the Commission adopts the Joint Utilities’ Petition, with modifications. The Commission approves up to three distinct CDG savings rates per project. Also, the Commission authorizes CDG projects to exclude more than one anchor customer from Net Crediting. The Joint Utilities are directed to complete implementation of these policy changes within one year of the issuance of this Order. {***}
Note that in this order adopting a Statewide Solar for All program (S-SFA), the New York PSC again denied a proposal to allow municipal aggregations (also known as community choice aggregations or CCAs) to provide community distributed generation (CDG) on an opt-out basis. As previously reported, the PSC had placed a “pause” on CCA-offered opt-out CDG.
As background in this proceeding, several parties had requested that the PSC authorize opt-out CDG by CCAs.
The PSC declined to do so in adopting an S-SFA program.
The PSC said, “Pertaining to [CCA parties’] request that the Commission approve the CCA opt-out CDG ‘at scale solution,’ the Commission finds the objective of the Statewide Solar for All and ‘Opt-Out CDG’ proposals equivalent, as both policies seek to promote enrollment of low-income customers into a program to receive solar credits. The Commission considers National Grid’s E-SFA [Expanded Solar for All Proposal] model an ‘at scale solution’ fully operational right now and, for that reason, is authorizing the scalable solution to be administered at each major electric IOU. Moreover, under an S-SFA program, the value of participation in the program could accrue to low-income customers across the State, instead of only to low-income customers in municipalities that have a CCA program, as would be the case under an opt-out CDG program[.]”
Under S-SFA, the investor-owned utilities (IOUs) are directed to aggregate bill credits generated by participating community distributed generation (CDG) projects and distribute them among customers who meet both of the following criteria: (1) reside in disadvantaged communities and (2) are enrolled in the utility’s low-income energy affordability program (EAP).
About monopoly utilities running the S-SFA program, the PSC had the following to say:
“In response to comments that the S-SFA program will be run by utilities, or that the program is handing over control to the utilities, the Commission reminds market participants, and the public in general, that CDG in New York State has always been, and will continue to be, a market-based program with very active third-party project development. Currently, there is no existing utility control of the CDG program and the adoption of S-SFA will not change that.”
“Fundamentally, any program, including opt-in CDG, opt-out CDG, S-SFA, and onsite net energy metering (NEM), that involves utility bill credits also involve administrative and implementation activities by the utilities.”
“It is disingenuous to assert that S-SFA reflects a qualitative change in utility control or involvement compared to traditional opt-in CDG, EAP assistance [a utility’s low-income energy affordability program], or onsite NEM.”
Note that the PSC did order that utilities will be required to train their call center representatives to, “help low-income customers sign up for opt-in CDG by directing them to tools established for the purpose of making CDG subscriptions with savings more accessible to households participating in government-run low-income support programs.”
Specifically, the PSC ordered the Joint Utilities to develop a shared “dual participation” [customer participation in both S-SFA and opt-in CDG] resource plan that includes training material for utilities to “proactively encourage dual participation[.]”
Such dual participation plan shall include a utility-sided S-SFA EAP webpage with links to New York State’s Energy Advisor webpage [a clearinghouse for state info on low-income assistance], DOE’s Low-Income Clean Energy Connector tool, and NYSERDA’s Find a Community Solar Project tool.
Tariffs to implement S-SFA shall be filed to be effective December 1, 2024, while utilities were ordered to begin Statewide Solar for All credit distribution to eligible customers on December 1, 2025.
Press Release – Governor Hochul Announces Statewide Solar for All Program (05/16/2024)
Order Approving Multiple Savings Rates for Community Distributed Generation Subscribers (05/16/2024)
Order Approving Statewide Solar for All Program with Modifications (05/16/2024)
1-E-0629 (Opened 12/17/2021)
See also:
19-E-0735 (Opened 12/15/20214)
Petition of New York State Energy Research and Development Authority Requesting Additional NY-Sun Program Funding and Extension of Program Through 2025.
Order Instituting Proceeding and Soliciting Comments (12/15/20214)
14-M-0224 (Opened 12/15/2014)
Proceeding on Motion of the Commission to Enable Community Choice Aggregation Programs.

