N.Y. Energy Law § 10-105: Fuel set-aside

§ 10-105. Fuel set-aside. 1. The commissioner shall promulgate rules

and regulations establishing a fuel set-aside system for liquid fossil

fuels. The fuel set-aside system established pursuant to this article

shall not go into effect in whole or in part except where the federal

government terminates, suspends or fails to implement all or part of the

federal petroleum allocation program. The commissioner shall implement

only that portion of the state set-aside program necessary to prevent

and alleviate any energy hardships or shortages. Such rules and

regulations shall direct that prime suppliers set aside an amount of

liquid fossil fuel, as determined by the commissioner, which amount

shall be a percentage of the monthly volume of liquid fossil fuels which

prime suppliers intend to sell into the state distribution system for

consumption within the state.

2. In addition to meeting the purposes set forth in section 10-101 of

this article and the requirements of subdivision one of this section,

the rules and regulations establishing the fuel set-aside system shall

provide that:

(a) A prime supplier inform the office each month of the monthly

volume of each product subject to fuel set-aside which is intended to be

sold into the state distribution system for consumption within the

state, provided the commissioner determines that such information is

needed.

(b) The commissioner shall notify each prime supplier of the monthly

fuel set-aside percentage, not exceeding three percent, applicable to

each product subject to fuel set-aside. The commissioner may review and

revise such percentages from time to time as he deems appropriate.

(c) The amount of fuel to be set aside for a particular month cannot

be accumulated or deferred; it shall be made available from stocks of

prime suppliers, whether directly or through distributors.

(d) Procedures shall be established for making an application for an

allocation from the fuel set-aside reserves and for approval or

disapproval of such application by the commissioner.