Phillips Lytle Partner and Team Co-Leader of the firm’s Energy Practice David P. Flynn, and Energy Consultant Dennis W. Elsenbeck, were once again recognized as a power leaders on City & State’s 2022 Energy & Environment Power 100 list. Ranking at #68 and #70 respectively, Mr. Flynn and Mr. Elsenbeck have been identified as key players in New York who are helping to reshape the energy industry and rescue our environment.
Continue Reading Flynn, Elsenbeck Named to City & State Energy & Environment Power 100

On September 22, 2021, Justice Peter Lynch of the New York State Supreme Court, Albany County denied the petitioners’ application in Town of Copake v. New York State Office of Renewable Energy Siting, No. 905502-21 (Sup. Ct. Albany Cty. Sept. 24, 2021), rejecting a challenge to regulations promulgated by the New York State Office of Renewable Energy Siting (ORES). Justice Lynch’s decision comes following an earlier ruling that denied the petitioners’ application for a temporary restraining order. These rulings have now twice affirmed the validity of the ORES regulations, which will play an important role in helping New York State to achieve its aggressive renewable energy goals.
Continue Reading Judge Denies Preliminary Injunction Rejecting Challenge to Office of Renewable Energy Siting Regulations

On August 27, 2021, Justice Peter Lynch of the New York State Supreme Court, Albany County issued the first substantive ruling in Town of Copake v. New York State Office of Renewable Energy Siting, No. 905502-21 (Sup. Ct. Albany Cty. Aug. 27, 2021), a lawsuit challenging the validity of regulations promulgated by the New York State Office of Renewable Energy Siting (ORES). Specifically, in a brief order, the Court denied the petitioners’ request for a temporary restraining order and ordered argument on whether the petitioners are entitled to a preliminary injunction. Oral argument is scheduled for September 8, 2021.
Continue Reading Important Development in Lawsuit Challenging Office of Renewable Energy Siting Regulations

Earlier this year, as part of the New York State budget, the Legislature enacted New York State Real Property Tax Law Section 575-b (RPTL 575-b), which creates new requirements for the real property taxation of wind and solar energy projects that have a nameplate capacity of 1 megawatt (MW) or greater. These new requirements are applicable to projects that are not subject to a payment in lieu of taxes (PILOT) agreement and, notwithstanding these statutory changes, municipalities will continue to have the flexibility to enter into PILOT agreements with project proponents. Municipalities are likely, however, to look to the new requirements for guidance when negotiating such PILOT agreements.
Continue Reading New York State Department of Taxation and Finance Issues Preliminary Appraisal Model and Discount Rates for Solar and Wind Energy Projects – Comments Due by October 1, 2021

New York State continues to supercharge the deployment of renewable energy projects. Building on landmark legislation passed in 2019, New York State’s newly created Office of Renewable Energy Siting (ORES) has now finalized the regulations that will govern siting and permitting of large-scale renewable energy projects greater than 25 MW; projects between 20 and 25MW have the option of proceeding under Article 10 of the Public Service Law or the ORES process. The regulations create a clear glide path that replaces the lengthy and cumbersome process previously established under Article 10. With these new procedures in place, developers can expect a 60-day shot clock for ORES to make a completeness determination, and a 12-month deadline for ORES to issue a final decision on a siting permit to promote cost-effective and efficient development that aligns with New York State’s commitment to fully decarbonize its electric sector by 2040.
Continue Reading New York State Office of Renewable Energy Siting Streamlines and Expedites Deployment of Large-Scale Renewables

On August 20, 2020, the New York State Supreme Court, Appellate Division, Fourth Department issued a decision in Cornell University v. Board of Assessment Review (“Cornell University”), finding that a solar photovoltaic system is taxable real property. See No. CA 19-00339, slip op. 04636, 2020 WL 4876486 (4th Dep’t Aug. 20, 2020). This decision settled, at least in the Fourth Department, a real property tax question long considered—and feared—by solar developers. Although this decision has the potential for significant impacts on solar development projects throughout New York State, it may be possible to mitigate the financial impact of this tax burden with careful planning and mindful project decisions.
Continue Reading Solar Photovoltaic Systems Are Taxable Real Property: Fourth Department Decision Requires Consideration in Early Project Development

On May 14, 2020, the New York State Public Service Commission (“Commission”) issued an order that will mark a turning point in the State’s electric grid modernization efforts (“Transmission Planning Order”). The Transmission Planning Order was issued in response to the recently enacted Accelerated Renewable Energy Growth and Community Benefit Act (“Accelerate Act”), which was signed into law on April 3, 2020, as previously reported in Phillips Lytle’s Energy Client Alert. The Accelerate Act directs the Commission to conduct a comprehensive study (“Power Grid Study”) to identify distribution, transmission and bulk investments to facilitate timely achievement of New York State’s nation-leading clean energy objectives set forth in the Community Leadership and Community Protection Act (CLCPA). Upon completion of the Power Grid Study, the Accelerate Act directs the Commission to establish utility-specific capital plans to support the development and implementation of appropriate electric system upgrades.
Continue Reading New York State Public Service Commission Accelerates Grid Modernization Efforts

The New York State Public Service Commission (“Commission”) leveraged an unprecedented interpretation of its “just and reasonable” regulatory authority to impose drastic changes to the retail energy marketplace, which will have ripple effects on Renewable Energy Credit (REC) markets, retail energy contracts, Distributed Energy Resource (DER) providers and other clean technology stakeholders. The Commission’s Order

Since the New York State Public Service Commission (“Commission”) first authorized the Community Distributed Generation (CDG) program in 2015, CDG Sponsors—the entities that organize, own and/or operate CDG projects—have faced an uphill battle in explaining the program, marketing it to customers and streamlining the energy billing process. The confusion arises first and foremost because CDG customers currently receive only bill credits, not renewable electricity or the environmental attributes of that electricity. This is further complicated by the fact that credits are typically denominated on the bill in kilowatt hours and are allocated in a cumbersome manner, whereby the utility first applies credits to a customer’s utility bill, but then the customer separately pays for a portion of those credits at a discounted rate (the “CDG Savings Rate”) to a third party – the CDG Sponsor – through a second bill. In addition to creating market confusion, this two-step process imposes unnecessary customer management and billing costs.
Continue Reading New York State Public Service Commission Modernizes Community Solar Billing Procedures

Public Service Commission Resets Retail Energy Marketplace:
All ESCOs Required to Re-Register Under New Rules and Completely Revise Product Offerings

On December 12, 2019, the New York State Public Service Commission (“Commission”) voted to reset the retail energy marketplace by requiring all Energy Service Companies (ESCOs) to re-register for eligibility to serve customers. While the final order remains to be issued, the Department of Public Service (DPS) explained that as part of the re-registration process, it will subject each ESCO to new eligibility requirements and require all ESCOs to modify their product offerings to fit one of four categories.
Continue Reading Reset 2.0?