BY JEFF CHUDZINSKINorth Country This Week

A leaked memo from NYSERDA has caused a stir in Albany as officials with the regulatory body openly question the impact of Climate Act legislation championed by Governor Kathy Hochul.

In the now public memo, NYSERDA officials say the CLCPA will likely lead to energy cost increase state-wide, impacting all utilities ranging from electric to gas.  

Senator Dan Stec weighed in on the matter, saying the memo was a "scathing indictment of the CLCPA."

"Because of it, Upstate New Yorkers can expect their energy costs to rise an average of $4,000 per household and gas prices can rise to over $5 a gallon as a direct result of these green energy policies. These numbers, which come directly from NYSERDA President and CEO Doreen M. Harris, highlights the reality of what my Senate Republican Conference colleagues and I have been saying for years: The CLCPA is going to drive up costs and crush our families and small businesses," Stec said.

Stec said a recent article from City & State also shows Albany lawmakers do not intend to change the regulations set forth in the CLCPA.

“What's even worse is that in a recent City & State article, Senate Democrats made it clear that they have no intentions of making any changes to the unaffordable and unfeasible CLCPA in the upcoming budget. At a time when, according to a recent Marist poll, one-in-three New Yorkers plan to move out of the state due to the escalating cost of living, perhaps my colleagues on the other side of the aisle should reconsider their position and put an end to the failing CLCPA mandates," Stec said.

Stec believes the memo should spell the end of the CLCPA, which includes bans on natural gas hookups in new construction beginning in 2027.

Assemblyman Scott Gray, who is the ranking member from the Energy Committee, weighed in on a lack of affordability at a time when families are being hit hardest.

He said utility bills are "unworkable for household budgets," pointing to a recent Spectrum News report that highlighted the claim that higher costs are primarily being driven by U.S. LNG exports.

"Exports and winter demand do influence natural gas prices, and New York is not insulated from those swings," he said in a release.

"But that is not the whole story. New York has also been shrinking the in-state supply of dispatchable, fast-start natural gas and dual-fuel generation that keeps the grid stable on the coldest nights and hottest days," he continued.

Gray said limited use of fossil-fired power has also played a big role in rising costs.

"Here are the megawatts. Under the DEC 'Peaker Rule,' 1,027 MW of fossil-fired generation became unavailable or limited as of May 1, 2023, and another 590 MW became unavailable by May 2025. That is 1,617 MW no longer fully available when demand spikes. State law also directs NYPA to cease electricity production from its 'small natural gas power plants,' totaling about 517 MW, by December 31, 2030, unless needed for emergency service or electric system reliability," Gray said.

Gray said the increased demand for electric power, coupled with grid investments that are finally be implemented after years of delays is also driving up costs for end users.

"That is exactly why a CLCPA course correction is needed. Grid upgrades and replacement resources take years to build. The CLCPA implementation requires upgrades on a compressed timeline, which is colliding with consumer affordability and reliability requirements," Gray said.

He pointed to the NYSERDA memo as proof that the legislation should be addressed, noting a line that states differing accounting standards from internationally accepted approach in inflexible near-term targets would combine to yield higher cost.”

"New Yorkers deserve an energy plan that follows a simple rule: build first, then retire. Megawatts and wires matter, and the transition needs a long, realistic time frame that protects affordability and reliability," Gray said.

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