GOVERNOR
PROPOSES NEW ARTICLE X POWER PLANT SITING BILL
May 7, 2005 - - Governor George E. Pataki submitted new Article X legislation that will improve the review and siting process for electric generating facilities in the State and reauthorize a state-wide energy planning process to ensure an adequate, reliable and affordable supply of energy to meet New York's growing energy needs.
The bill provides a new review procedure for non-major power plants and re-powering projects with a net generating output of 50-80 megawatts (MW), including ample opportunities for public comment, intervenor funding, a public statement hearing and evidentiary hearings. The process would be completed within a six-month time frame. Because the bill would set a limit of six months for the review of non-major facilities capable of meeting peak electric demands in the short term, there are no provisions for "emergency" exceptions. Consistent with the previous provisions of Article X, all new plants and re-powering projects with a net generating output greater than 80 megawatts would be subject to a 12-month review.
The legislation also would establish a new pre-application fee of $50,000 for major projects (80 MW or greater) to be available to intervenors, and a fee of $20,000 for non-major facilities or repowering projects that would increase the net generation by less than 80 MW. If a project application is amended in a manner requiring additional substantial public review and scrutiny, the New York State Board on Electric Generation Siting and the Environment (Siting Board), which oversees the Article X process, would be authorized to impose additional fees to defray intervenors' costs. Additional intervenor funding would be provided at $500 per new megawatt for non-major and re-powering projects and at $1,000 per new megawatt for major projects.
In addition, the Siting Board would be required to determine the environmental justice impacts of projects and conduct a detailed public health and safety review, including assessments of environmental and health impacts. The cumulative air impacts of all operating power plant facilities, along with the addition of the proposed plant, would be considered by the Board, with emphasis on areas in non-attainment with federal air quality standards.
The bill would reduce the energy planning horizon from 20 years to 10 years to more realistically reflect energy market changes and energy forecasting capabilities. To grant a Certificate, the Siting Board must determine all of the following:
1. Either (a) Construction of the facility is reasonably consistent with the most recent State Energy Plan, or (b) The facility will be constructed and operated as part of the competitive electricity supply market;
2. The nature of the probable environmental impacts based on an evaluation of impacts including cumulative air quality impacts;
3. The facility minimizes adverse environmental impacts, given environmental and other pertinent considerations;
4. The facility is compatible with public health and safety;
5. The facility will not discharge or emit any pollutants in violation of existing requirements and standards;
6. The facility will control the disposal of solid and hazardous wastes;
7. The facility is designed to operate in compliance with state and local legal provisions, although the applicant may ask the Siting Board to refuse to apply any local legal provisions the applicant considered unreasonably restrictive; and
8. The construction and operation of the facility is in the public interest.
Article X of the Public Service Law was enacted in 1992 (replacing Article VIII) and expired on January 1, 2003. The new bill does not set an expiration date for Article X.
