New York State proposes $5bn clean energy fund

The New York State Energy Research and Development Authority has proposed a fund to promote clean and affordable energy.

The New York State Energy Research and Development Authority has proposed a $5 billion Clean Energy Fund (CEF) to push forward clean and affordable energy over the next ten years, according to a regulatory filing.

The clean energy fund comes as part of a broader statewide policy framework, which includes Reforming Energy Vision (REF) and Regional Greenhouse Gas Initiative (RGGI), to leverage the collective resources of all energy programmes to accelerate deployment of clean energy, stimulate greater levels of total clean energy investment, and realise greenhouse gas emission reduction goals.

It also serves to replenish an old regime that is based on soon-to-be-expired renewable energy and efficiency mandates in 2015.

The CEF will serve as an integral part of the statewide policy initiatives, and will work alongside REV as it targets the “upstream” supply chain, ensuring that the market is ready to provide the products and services that the consumer market will be demanding from REV, the filing said.

REV was launched by Governor Andrew Cuomo in February to transform the state's energy regulations and markets to allow distributed resources to play a part in long-term energy planning.

The proposal also said the $5 billion investment will be made across four programme portfolios, including market development, technology and business innovation, New York Green Bank, and New York Sun. Through these investments, it is expected to transform the state's clean energy market to one that encourages and promotes the adoption of clean energy technologies and achieves meaningful greenhouse gas reductions.

The CEF will also be oriented to achieve scale, not only through the investment of public funds, but to foster new investment opportunities to attract private capital to invest in clean energy in New York, the filing said.

Ultimately, total greenhouse gas emissions in the state will be reduced, and public and private investment in clean energy and solutions will accelerate, which will spur the state's clean energy economic growth, it added.