A market assessment of the New York renewable portfolio standard (RPS) has just been released by the New York State Energy Research and Development Authority (NYSERDA).
Summit Blue Consulting, an energy and utility consulting firm, worked with NYSERDA to assess the current state of the market for renewable energy in New York and how the program has influenced or been influenced by market conditions since its inception in 2004.
New York's approach is unique among state RPS policies because it is structured to have a single procurer of renewable energy certificates (RECs) for compliance. Summit Blue's assessment found that the state's RPS has played a critical role in advancing renewable energy markets in the state to date.
In particular, long-term contracts offered under NYSERDA's main tier program have proven valuable in driving the development of large-scale renewable projects – primarily wind – in New York. An indication of the program's influence is the high percentage of New York's wind potential that has been realized, relative to other states that also possess relatively strong wind resources but lack similar RPS provisions. New York REC prices are now less than those in most neighboring states' that have RPS compliance markets.
The report identifies the key forces that have shaped the evolution of New York's market for renewable energy since the RPS took effect in 2004. This analysis is one of the outputs of Summit Blue's interviews, with more than 90 active players in the New York market, including developers, tax investors, debt holders, policy-makers, utilities, and manufacturers of renewable energy technologies.
These individuals represented companies spanning a wide range of utility-scale and distributed technologies, including wind, solar, biomass, landfill gas, hydro and tidal generation projects.
For more information, visit nyserda.org.
SOURCE: Summit Blue Consulting LLC