S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                          569
                              2015-2016 Regular Sessions
                                   I N  S E N A T E
                                      (PREFILED)
                                    January 7, 2015
                                      ___________
       Introduced  by  Sen. LATIMER -- read twice and ordered printed, and when
         printed to be committed to the Committee on  Energy  and  Telecommuni-
         cations
       AN  ACT  to  amend the public service law, in relation to establishing a
         solar incentive and financing program
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  Short  title. This act shall be known and may be cited as
    2  the "NY Sun Act of 2015".
    3    S 2. The public service law is amended by adding a new section 66-o to
    4  read as follows:
    5    S 66-O. SOLAR INCENTIVE AND FINANCING PROGRAM.  1.  AS  USED  IN  THIS
    6  SECTION:
    7    (A)  "ELECTRIC  DISTRIBUTION COMPANY" MEANS AN INVESTOR-OWNED ELECTRIC
    8  CORPORATION THAT DISTRIBUTES AND DELIVERS ELECTRICITY WITHIN THIS  STATE
    9  AND HAS ANNUAL REVENUES IN EXCESS OF TWO HUNDRED MILLION DOLLARS; AND
   10    (B)  (I)  "QUALIFIED  SOLAR  PHOTOVOLTAIC  GENERATING  SYSTEM" MEANS A
   11  SYSTEM OF COMPONENTS THAT GENERATES ELECTRICITY FROM SUNLIGHT  BY  MEANS
   12  OF  THE PHOTOVOLTAIC EFFECT, WHETHER OR NOT THE DEVICE IS COUPLED WITH A
   13  DEVICE CAPABLE OF STORING THE ENERGY PRODUCED FOR LATER USE, THAT IS (A)
   14  INSTALLED AND OPERATED IN NEW YORK  STATE  WITHIN  ONE  OF  THE  SERVICE
   15  TERRITORIES  OF  AN  ELECTRIC  DISTRIBUTION  COMPANY  AS DEFINED IN THIS
   16  SECTION, AND (B) INSTALLED AFTER JANUARY FIRST, TWO THOUSAND SIXTEEN.
   17    (II) A  QUALIFIED  SOLAR  PHOTOVOLTAIC  GENERATING  SYSTEM  SHALL  NOT
   18  INCLUDE:  (A)  A  SOLAR PHOTOVOLTAIC GENERATING SYSTEM OWNED BY A PUBLIC
   19  AUTHORITY, WHERE SUCH AUTHORITY DOES NOT CONSUME ALL OF THE  ELECTRICITY
   20  PRODUCED  AND  INSTEAD  SELLS  ALL  OR  A PORTION OF SAID ELECTRICITY TO
   21  ANOTHER ENTITY, OTHER THAN WHEN  SAID  AUTHORITY  USES  SUCH  SYSTEM  TO
   22  ENGAGE IN NET ENERGY METERING AS DEFINED IN PARAGRAPH (C) OF SUBDIVISION
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD03897-02-5
       S. 569                              2
    1  ONE OF SECTION SIXTY-SIX-J OF THIS ARTICLE, AND (B) A SOLAR PHOTOVOLTAIC
    2  GENERATING SYSTEM THAT IS OWNED BY AN ELECTRIC DISTRIBUTION COMPANY.
    3    2.  WITHIN  FORTY-FIVE DAYS OF THE EFFECTIVE DATE OF THIS SECTION, THE
    4  COMMISSION SHALL COMMENCE THE  CONSIDERATION  OF  MODIFICATIONS  TO  ITS
    5  EXISTING  PROGRAMS  THAT  ENCOURAGE  THE  DEVELOPMENT OF QUALIFIED SOLAR
    6  PHOTOVOLTAIC GENERATING SYSTEMS AND, NO LATER THAN SEPTEMBER FIRST,  TWO
    7  THOUSAND SIXTEEN, THE COMMISSION SHALL MAKE A DETERMINATION ESTABLISHING
    8  MODIFICATIONS TO ITS EXISTING PROGRAMS THAT ENCOURAGE THE DEVELOPMENT OF
    9  QUALIFIED SOLAR PHOTOVOLTAIC GENERATING SYSTEMS IN CONFORMANCE WITH THIS
   10  SECTION.  THE  DEPARTMENT  SHALL  CONSULT WITH THE NEW YORK STATE ENERGY
   11  RESEARCH AND DEVELOPMENT AUTHORITY IN THE PREPARATION OF ITS RECOMMENDA-
   12  TIONS TO THE COMMISSION FOR SUCH DETERMINATION.  THE  PROGRAM  MODIFICA-
   13  TIONS SHALL REQUIRE:
   14    (A)  ADMINISTRATION BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOP-
   15  MENT AUTHORITY;
   16    (B) PLANNED STATEWIDE ANNUAL EXPENDITURES INCLUDING  ALL  COSTS  OF  A
   17  MINIMUM  OF ONE HUNDRED FIFTY MILLION DOLLARS, TAKING INTO CONSIDERATION
   18  THE SOLAR-BASED PROGRAMS ADMINISTERED BY THE LONG ISLAND POWER  AUTHORI-
   19  TY,  COMMENCING IN CALENDAR YEAR TWO THOUSAND SIXTEEN AND SUSTAINED EACH
   20  YEAR THROUGH CALENDAR YEAR TWO THOUSAND TWENTY-FIVE;
   21    (C) A DIVERSITY OF PROJECT SIZES, GEOGRAPHIC DISTRIBUTION, AND PARTIC-
   22  IPATION AMONG CUSTOMER CLASSES, SUBJECT TO COST-EFFECTIVENESS  CONSIDER-
   23  ATIONS;
   24    (D) INCENTIVE OR FINANCING STRUCTURES THAT MAXIMIZE COST-EFFECTIVENESS
   25  AND  PRACTICALITY  THROUGH  COMPETITIVE  PROCUREMENTS,  STANDING-OFFERS,
   26  PRODUCTION INCENTIVES OR CAPACITY INCENTIVES AT THE WHOLESALE OR  RETAIL
   27  LEVEL  AS  IN THE JUDGMENT OF THE COMMISSION PROVIDE FOR THE MOST EFFEC-
   28  TIVE PROGRAM;
   29    (E) FOR PROJECTS  EXCEEDING  100  KILOWATTS,  INCENTIVE  OR  FINANCING
   30  STRUCTURES  THAT  TAKE  INTO  CONSIDERATION THE ECONOMIC BENEFITS TO THE
   31  STATE OF NEW YORK;
   32    (F) PROGRAM DESIGNS THAT TAKE  INTO  CONSIDERATION  THE  AVOIDANCE  OF
   33  LONG-TERM  COSTS TO THE TRANSMISSION AND DISTRIBUTION SYSTEM AND MINIMI-
   34  ZATION OF PEAK LOAD IN CONSTRAINED AREAS;
   35    (G) ANNUAL REPORTS  ON  THE  ACHIEVEMENTS  AND  EFFECTIVENESS  OF  THE
   36  PROGRAM; AND
   37    (H) SUCH OTHER ISSUES DEEMED APPROPRIATE BY THE COMMISSION.
   38    S 3. This act shall take effect immediately.