GREEN POWER PURCHASING

A.2162 (Galef, et al.)

Summary

This bill amends Section 104-a of the General Municipal Law and clarifies that local governments may purchase electricity generated from renewable energy sources, provided that the cost of the renewable energy is not more than 15 percent above the cost of non-renewable resources.

Explanation

In New York State, accelerating the growth of clean energy is an important environmental and energy policy goal. State agencies are currently required to purchase a percentage of their energy from renewable resources, and at least 25 percent of the electricity sold in New York must come from renewable sources by 2013.

While individuals and businesses already have the option to purchase clean energy, many local governments cannot pursue similar clean energy strategies for fear of violating the state’s low-bid contracts law. Existing state public contracts law requires local governments to choose the cheapest products available. And although the cost of many renewable energy technologies has fallen dramatically over the past 10 years, the retail price of electricity from wind and solar systems is still higher than the retail price of electricity from polluting technologies.

Similar to exemptions added to the low-bid contracts law to encourage the purchase of recycled products, this bill would make it possible for local governments to purchase electricity from clean energy sources. The bill would make contracts law consistent with New York’s existing clean energy goals and would give local governments the option to make environmentally sound purchasing decisions.

Environmental Advocates of New York supports this bill.