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(b) To adopt rules and regulations as necessary or appropriate to implement this article;

(c) To issue subpoenas and subpoenas duces tecum; and

or

(d) To authorize any person to conduct hearings which the board is authorized to conduct, to take testimony with respect to the subject matter under investigation, and to report the testimony to the board. In the conduct of such hearings, any person SO authorized by the board shall have all the powers of the board.

§ 6-104. State energy plan. 1. The board shall adopt a state energy plan in accordance with the provisions of this article.

2.

The state energy plan shall include: (a) forecasts for a period of twenty years of (i) demand for electricity, natural gas, coal and petroleum products, including heating and transportation fuels, for the service areas of the state's major electric and gas utilities and/or the state as a whole, as appropriate, taking into account energy conservation, load management and other demand-reducing measures reasonably expected to occur;

(ii) energy supply requirements needed to satisfy demand for electricity, natural gas, coal and petroleum products, including heating and transportation fuels, for the service areas of the state's major electric and gas utilities and/or for the state as a whole, as appropriate, including with respect to electricity, the amount of capacity needed to provide adequate reserve margins;

(iii) an assessment of the ability of the existing energy supply sources and the existing transmission or fuel transportation systems, to satisfy, together with those sources or systems reasonably certain to be available, such energy supply requirements;

(iv) additional electric capacity needed to meet such energy supply requirements that will not be met by existing Sources of supply and those reasonably certain to be available; and

(v) energy prices;

(b) ident if ication and analysis of the costs, risks, benefits and uncertainties of energy supply source alternatives, including demandreducing measures, for satisfying energy supply requirements which are not reasonably certain to be met by the energy supply sources identified in subparagraph (iii) of paragraph (a) of this subdivision, provided that such analysis shall include the factors identified in paragraph (d) of this subdivision;

(c) identification and analysis of emerging trends related to energy supply, price and demand, including trends related to the transportation sector;

(d) a statement of energy policies and long-range energy planning objectives and strategies appropriate to achieve, among other things,, the least cost integration of energy supply sources and demand-reducing measures for satisfying energy supply requirements, giving due regard to such factors as ratepayer impacts, security and diversity of fuel supplies and generating modes, protection of public health and safety, adverse and beneficial environmental impacts, conservation of energy and energy resources and the ability of the state to compete economically; (e) recommendations, as appropriate and desirable, for administrative and legislative actions to implement such policies, objectives and strategies;

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(f) analysis of the probable impact of implementation of the plan upon economic development, health, safety and welfare, environmental quality, and energy costs for consumers, specifically low-income consumers; and (g) such additional information as the board deems appropriate. 3. (a) The state energy plan shall provide guidance for energy-related decisions to be made by the public and private sectors within the state. (b) Any energy-related action or decision of a state agency, board, commission or authority shall be reasonably consistent with the casts and the policies and long-range energy planning objectives and strategies contained in the plan, including its most recent update; provided, however, that any such action or decision which is not reasonably consistent with the plan shall be deemed in compliance with this section, provided that such action or decision includes a finding that the relevant provisions of the plan are no longer reasonable or probable based on a material and substantial change in fact or circumstance, and a statement explaining the basis for this finding.

EXPLANATION-Matter in italics is new; matter in brackets [ ] is old law

(c) No action or decision of a state agency, board, commission or authority that is required by this section to be reasonably consistent with the forecasts, policies and long-range energy planning objectives and strategies contained in the plan, including its most recent update, shall be deemed by a court of law to be unreasonably inconsistent with such forecasts, policies, objectives and strategies, under this or any other provision of law, unless a determination to this effect is made by the board upon its own initiative or following the referral of the issue to the board by a court after the commencement of a proceeding challenging such action. (d) Nothing in this section shall limit the authority of any state agency, board, commission or authority to deny an application to construct, operate or modify an energy facility on environmental or public health and safety grounds.

(e) A state agency, board, commission or authority may take official notice of the most recent final state energy plan adopted by the board prior to any final energy-related decision by such agency, board, commission or authority.

§6-106. Conduct of the state energy planning proceeding. 1. By May first, nineteen hundred ninety-four, and every four years following the adoption of the most recent plan, the state energy planning board shall adopt a state energy plan, which addresses each item identified in subdivision two of section 6-104 of this article provided, however, the board may adopt such a plan more frequently for good cause shown.

2. The board shall conduct a state energy planning proceeding, consistent with the need to develop the plan in a timely manner, which shall provide for the following at a minimum:

(a) The filing of information by major energy suppliers as specified in subdivision three of this section;

(b) The preparation and issuance of a draft plan, subsequent to the filing of information by major energy suppliers, which shall address each item identified in subdivision two of section 6-104 of this article;

(c) Public comment hearings, in at least three geographic locations in the state, and an opportunity to submit written comments, subsequent to the issuance of a draft plan, to obtain views and comments of interested persons on any aspect of, or issue addressed in, such draft plan;

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(d) Evidentiary hearings, at the request of any interested person, subsequent to the issuance of a draft plan, on the issues identified paragraph (a) of subdivision two of section 6-104 of this article or on the factual basis for any other issue identified in subdivision two of section 6-104 of this article; and

(e) Submission of a notice for any hearing or opportunity for comment provided for pursuant to this subdivision for publication within the

state register.

3. Information filed by major energy suppliers shall include the following:

(a) The members of the New York power pool, including the power authority of the state of New York, shall prepare and submit a single comprehensive long-range plan for future operations, which shall in

clude:

(i) a forecast of electricity demands over a period of twenty years, including annual in-state electric energy sales and summer and winter peak loads by utility service area, and total annual in-state electric energy sales and coincident peak load on a statewide basis, specifically identifying the extent to which energy conservation, load management and other demand-reducing measures, and electric energy generated by cogeneration, small hydro and alternate energy production facilities consumed on site, have been incorporated within such forecast;

(ii) a forecast of electricity supply requirements over a period of twenty years, statewide and by utility service area, specifically identifying the amount of reserve margins required for reliable electric service, the amounts of transmission and distribution losses assumed, and the amount of out-of-state sales commitments;

(iii) an assessment of the ability of existing electricity supply sources, and those reasonably certain to be available, to satisfy electricity supply requirements, including electric generating facilities which can be retained in service beyond their original design life through routine maintenance and repairs;

(iv) an inventory of (1) all existing electric generating and transmission facilities operated by members of the power pool including the power authority of the state of New York, (2) electric generating and

pool

transmission facilities under construction by members of the power including the power authority of the state of New York, including the dates for completion and operation, (3) the anticipated retirement dates for electric generating facilities currently operated by members of the power pool including the power authority of the state of New York, (4) land owned by the members of the power pool including the power authority of the state of New York and held for future use as sites for major electric generating facilities, and (5) electric generating facilities operated, or planned to be operated, by others, to the extent information concerning the same is known;

(v) recommended supply additions and demand reducing measures for satisfying the electricity supply requirements, not reasonably certain to be met by electricity supply sources identified in subparagraph (iii) of this paragraph, including the life extension of existing electric generating facilities, and reasons therefor;

(vi) a statement of research and development plans, including objectives and programs in the areas of energy conservation, load management, electric generation and transmission, new energy technologies and pollution abatement and control, recent results of such programs undertaken or funded to date, and an assessment of the potential impacts of such results;

(vii) a projection of estimated electricity prices to consumers over the forecast period;

(viii) a description of the load forecasting methodology and the assumptions and data used in the preparation of the forecasts, specifically including projections of demographic and economic activity and such other factors, statewide and by service area, which may influence electricity demand, and the bases for such projections;

(ix) proposed policies, objectives and strategies for meeting the state's future electricity needs; and

(x) such additional information as the board may, by regulation, require to carry out the purposes of this article.

(b) The members of the New York gas group shall prepare and submit a single comprehensive long-range plan for future operations, which shall include:

(i) a forecast over a period of twenty years, statewide and by utility service area, of estimated annual in-state gas sales, winter season sales and peak day sales by appropriate end-use classifications, specifically identifying the extent to which energy conservation measures and the sale of gas owned by persons other than the members of the New York gas group directly to end-users have been incorporated within such forecast;

(ii) a forecast of gas supply requirements over a period of twenty years, statewide and by utility service area, specifically identifying the amounts of gas needed to meet severe weather conditions, lost and unaccounted for gas, out-of-state sales commitments and internal use; (iii) an assessment of the ability of existing gas supply sources, and those reasonably certain to be available, to satisfy gas supply requirements;

(iv) an inventory of (1) all existing supply sources, storage facilities, and transmission facilities which are used in providing service within the state, (2) the transmission and storage facilities under construction which would be used in providing service within the state, their projected costs and capacities, including peaking capacity, (3) transmission facility additions proposed to be constructed by members of the gas group, (4) transmission facilities operated, or planned to be operated, by others, to the extent information concerning the same is known;

(v) recommended supply additions and demand-reducing measures for satisfying the gas supply requirements, not reasonably certain to be met by gas supply sources identified in subparagraph (iii) of this paragraph and the reasons therefor;

(vi) a projection of estimated gas prices to consumers over the forecast period;

(vii) a description of the load forecasting methodology and the assumptions and data used in the preparation of the forecasts, specifically including projections of demographic and economic activity and such other factors, statewide and by service area, which may influence demand for natural gas, and the bases for such projections;

EXPLANATION-Matter in italics is new; matter in brackets [ ] is old law

and

(viii) a statement of research and development plans, including objectives and programs in the areas of energy conservation new energy technologies, recent results of such programs undertaken or funded to date, and an assessment of the potential impacts of such results; (ix) proposed policies, objectives and strategies for meeting the state's future gas needs; and

(x) such additional information as the board board may, by regulation, require to carry out the purposes of this article.

(c) Such information from major petroleum suppliers and major coal suppliers as the board may, by regulation, require to carry out the purposes of this article.

4. Any information filed by a major energy supplier under this section that is claimed to be confidential shall be treated in accordance with regulations adopted by the board pertaining to the determination of confidential status and the retention of confidential records.

5. Copies of the draft plan, and all non-confidential information and comments filed pursuant to this section shall be made available to the public for inspection.

6. The board may amend the state energy plan, or aspects thereof, upon its own initiative or upon the written application of any interested person. In connection with any such amendment, the board may require the filing of such information by major energy suppliers as may be required, consistent with regulation. Prior to adopting any proposed amendment to an element of the plan identified in paragraph (a) of subdivision two of section 6-104 of this article, the board shall hold evidentiary hearings, upon the written application of an interested party. In addition, upon the written application of an interested party, the board shall conduct evidentiary hearings on the factual basis for any other issue identified in subdivision two of section 6-104 of this article. Prior to adopting a proposed amendment to any element of the plan, the board shall prepare and publish in the state register notice of any draft amendment and reasons therefore and shall solicit public comments thereon. The board shall adopt an amendment to the state energy plan, or aspects thereof, upon a finding by the board that there has been a material and substantial change in fact or circumstance since the most recent plan was adopted. A decision of the board that no amendment is necessary, together with the reasons supporting such determination,

shall be final.

7. Any person who participated in the state energy planning proceeding or any person who sought an amendment of the state energy plan pursuant to subdivision six of this section, may obtain, pursuant to article seventy-eight of the civil practice law and rules, judicial review of the board's decision adopting a plan, or any amendment thereto, or of the board's decision not to amend such plan pursuant to subdivision six of this section. Any such special proceeding shall be brought in the appellate division of the supreme court of the state of New York for the third judicial department. Such proceeding shall be initiated by the filing of a petition in such court within thirty days after the issuance of a decision by the board. The proceeding shall have a lawful preference over any other matter, shall be heard on an expedited basis and shall be completed in all respects, including any subsequent appeal, within one hundred eighty days of the filing of the petition. Where more than one such petition is filed, the court may provide for consolidation of the proceedings. Notwithstanding the provisions of article seven ten of the public service law, the procedure set forth herein shall constitute the exclusive means for seeking judicial review of any element of the plan.

or

8. Proceedings conducted pursuant to this section shall not be considered part of an adjudicatory proceeding as defined in subdivision three of section one hundred two of the state administrative procedure act, or part of a rule making proceeding held under subdivision one section two hundred two of the state administrative procedure act.

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§ 2. Subdivision 1-a of section 1-103 and sections 5-110, 5-112 and 5-114 of the energy law are repealed.

§ 3. Subdivision 1 of section 66-c of the public service law, as amended by chapter 651 of the laws of 1991, is amended to read as

follows:

1. It is hereby declared to be the policy of this state that it is in the public interest to encourage, at rates just and reasonable to electric and steam corporation ratepayers, the development of alternate energy production facilities, co-generation facilities and small hydro facilities in order to conserve our finite and expensive energy

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resources and to provide for their most efficient utilization when such facilities are needed to fulfill the energy, capacity or other electric system needs of this state, as determined by the most recent state energy plan. In furtherance of this declared policy, the commission shall encourage the participation of utilities in co-generation, small hydro and alternate energy production facilities either directly or through subsidiaries formed pursuant to the provisions of [subdivision two] subdivisions three and four of this section. In addition, the commission shall require any electric corporation or steam corporation (a) to enter into long-term contracts to purchase or wheel electricity or useful thermal energy from any alternate energy production, small hydro or co-generation facility, with an electric generating capacity of up to eighty megawatts, under such rates, terms and conditions as the commission shall find just and economically reasonable to the corporation's ratepayers, non-discriminatory to co-generators, small hydro producers and alternate energy producers and further the public policy set forth herein; [provided, however, the commission shall establish a minimum sales price for such purchased electricity from any such facility developed on or after June twenty-six, nineteen hundred eighty, of at least six cents per kilowatt hour for each utility, which sales price shall be subject to periodic revision by the commission to reflect increases in the cost of utility generated electricity,] and (b) to provide supplemental or back-up power to any alternate energy production, small hydro or Co-generation facility on a non-discriminatory basis and at just and reasonable rates; provided, however, that nothing contained in this section shall require any such electric or steam corporation to construct any additional facilities for such purposes unless such facilities are paid for in full by the owner or operator of the cogeneration, small hydro or alternate energy production facility.

§ 4. Subdivisions 2, 3 and 4 of section 66-c of the public service law are renumbered subdivisions 3, 4 and 5 and a new subdivision 2 is added to read as follows:

2. Notwithstanding any other provision of law, the minimum sales price for purchased electricity from any alternate energy production facility, co-generation facility or small hydro facility of six cents per kilowatt hour for each utility, as established by chapter eight hundred fortythree of the laws of nineteen hundred eighty-one, shall remain in full force and effect (a) for any contract fully executed by the parties and filed with the commission on or before June twenty-sixth, nineteen hundred ninety-two and (i) providing for the purchase of electricity at such minimum sales price, or (ii) providing for the purchase of electricity at a utility tariff rate referencing a statutory minimum sales price, or (iii) providing for the reconciliation or recalculation of such contract's purchase price by comparison to such statutory minimum sales price or tariff rate, for the duration of any such contract and subject to the terms and conditions of such contract and performance thereunder, provided, however, that such minimum sales price shall be implemented in accordance with the policies and conditions established by the commission, and (b) for any such facility concerning which a final and unappealable judgment of a court of New York state, rendered prior to January first, nineteen hundred eighty-seven, determined that such facility was entitled to receive such minimum sales price, provided that such minimum sales price shall be applicable to all purchased electricity from such facility irrespective of any modifications or additions to such facility that may be necessary to enable such facility to achieve the electric power production_capacity of such facility as set forth in an order of the Federal Energy Regulatory Commission issued prior to January first, nineteen hundred eighty-seven granting an application for certification of such facility as a qualifying facility, and (c) for any such facility which has been producing electricity in addition to the electricity which is the subject of a contract previously entered into with an electric corporation for such facility, which tract provides for the purchase of electricity in accordance with subdivision (a) of this section; provided, however, that the minimum sales price shall only be paid for electricity that does not exceed the maximum annual amount of electricity produced by such facility as of the effective date of this subdivision and does not exceed the amount of electricity provided for in the contract by more than ten percent, and provided, however, that such minimum sale price shall be implemented for EXPLANATION-Matter in italics is new; matter in brackets [ ] is old law

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