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New York · Through 2026-09-11

N.Y. Public Authorities Law § 1854: Purposes and specific powers of the authority

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Where this section sits in the code
  1. Public Authorities Law
  2. Article 8. Miscellaneous Authorities
  3. Title 9. New York State Energy Research and Development Authority

§ 1854. Purposes and specific powers of the authority. * The purposes

of the authority shall be to develop and implement new energy

technologies and invest in build-ready sites, as defined in subdivision

eight of section nineteen hundred one of this article, consistent with

economic, social and environmental objectives, to develop and encourage

energy conservation technologies, to promote, develop, encourage and

assist in the acquiring, constructing, improving, maintaining, equipping

and furnishing of industrial, manufacturing, warehousing, commercial,

research and industrial pollution control facilities at the Saratoga

Research and Development Center, and to promote, develop, encourage and

assist special energy projects and thereby advance job opportunities,

health, general prosperity and economic welfare of the people of the

state of New York. In carrying out such purposes, the authority shall,

with respect to the activities specified, have the following powers:

* NB Effective until December 31, 2030

* The purposes of the authority shall be to develop and implement new

energy technologies consistent with economic, social and environmental

objectives, to develop and encourage energy conservation technologies,

to promote, develop, encourage and assist in the acquiring,

constructing, improving, maintaining, equipping and furnishing of

industrial, manufacturing, warehousing, commercial, research and

industrial pollution control facilities at the Saratoga Research and

Development Center, and to promote, develop, encourage and assist

special energy projects and thereby advance job opportunities, health,

general prosperity and economic welfare of the people of the state of

New York. In carrying out such purposes, the authority shall, with

respect to the activities specified, have the following powers:

* NB Effective December 31, 2030

1. Research, development and demonstration. To conduct, sponsor,

assist and foster programs of research, development and demonstration in

new energy technologies including but not limited to (a) energy

conservation, (b) production of power from new sources with emphasis on

renewable energy sources such as solar, wind, bioconversion and solid

waste, (c) storage of energy with emphasis on inertial and battery

storage, (d) conversion and/or technological improvement of facilities

now utilizing nuclear fission energy and fossil fuel energy

technologies, (e) transmission and distribution of power, and (f)

conversion of energy and improvements of efficiencies of such

conversion, including the power after assessing and taking into account

environmental considerations thereof, to establish, acquire, operate,

develop and manage facilities therefor.

2. The provision of services. To provide services required for the

development and use of new energy technologies and related methods by

the industrial, commercial, medical, scientific, public interest,

educational and governmental organizations within the state, including

the power to establish, acquire and develop facilities therefor not

otherwise available within the state, and to operate and manage such

facilities.

3. Cooperation with gas and power companies. To contract with or enter

into joint undertakings with any gas or power company, or power

authority of the state of New York, or more than one of them, to

(a) Participate in the construction and operation of experimental or

developmental facilities which implement new energy technologies which

have prospects of reducing the economic, environmental and social costs

of energy production and utilization.

(b) Participate in the incorporation of features, including facilities

which incorporate new energy technologies, in nuclear power plants and

the construction of associated facilities to the extent required by the

public interest in development, health, recreation, safety, conservation

of natural resources and aesthetics.

(c) Participate in the incorporation of features, including facilities

which incorporate new energy technologies, in fossil fuel power plants

and the construction of associated facilities to the extent required by

the public interest in development, health, recreation, safety,

conservation of natural resources and aesthetics.

(d) Participate in the construction of facilities to be used for the

furnishing of electric energy or gas to the extent required by the

public interest in development, health, recreation, safety, conservation

of natural resources and aesthetics.

(e) Develop, prepare, and furnish by sale or lease real property

owned, held, or acquired by the authority within the state to be used

for the construction and operation of generating facilities based on new

energy technologies and related facilities, provided that no such

contract or joint venture shall be entered into which shall permit the

authority to distribute or sell any power or energy to any person or

entity other than the other contracting party or parties or joint

venturer or venturers, and provided further that all power and energy

received by power authority of the state of New York, pursuant to any

such contract or joint venture, shall be distributed and sold only to

such persons as power authority of the state of New York may sell power

pursuant to law.

4. Water desalination. To contract with one or more water distribution

companies or agencies to participate in the construction and operation

of power generating facilities for the purpose of desalination or

distribution of water, and to develop, prepare, and furnish by sale or

lease, real property owned, held or acquired by the authority within the

state to be used for the construction and operation of such facilities

and facilities related thereto, provided that the authority shall not

enter into any such contract relating to any such facility which also

produces electric power for purposes of sale unless the authority also

contracts with one or more power companies with respect to the

construction and operation of such facility and the distribution and use

of such power.

5. The dissemination of information. To accumulate and disseminate

information relating to the development and use of new energy

technologies and energy conservation technologies, including the power

to conduct, sponsor, assist and foster studies and surveys, and publish

the results thereof.

6. (a) To continue, modify, amend, or terminate such contractual

agreements as may be in force at the effective date of this subdivision

with regard to the Western New York Nuclear Service Center and the

Saratoga Research and Development Center, or take such other action as

the authority may deem necessary or appropriate with respect to such

Centers in the furtherance of the public interest in safe, reliable and

economical energy supplies or protection of public health and safety and

the environment.

(b) (i) Notwithstanding the provisions of any general or special law

to the contrary, the director of the budget and the chair of the

authority are each authorized to enter into one or more service

contracts, and to amend or supplement any existing service contract,

with respect to programs, projects, and activities of the authority

pursuant to this subdivision, upon such terms as the director of the

budget and the chair of the authority may agree, including, but not

limited to, provisions relating to the respective obligations of the

state and the authority with respect to administration, management,

maintenance, and use of the real property at the Western New York

Nuclear Service Center held by the authority, design, construction,

modification, operation, and maintenance of facilities thereon, and

implementation of programs, projects, or activities to improve or

correct conditions thereon, including, but not limited to, the West

Valley demonstration project, and provisions providing for the payment

of (A) all fees and charges of, and expenses and other non-asset costs

of financing incurred by, the authority in connection with the issuance

and administration of special obligation bonds or notes to pay for or

reimburse the state with respect to such actions, and (B) all debt

service payments on such bonds and notes. Provided, however, that the

aggregate net proceeds of any such bonds or notes issued, excluding any

bonds or notes issued for the purpose of refunding other bonds and notes

issued under this subdivision, shall not exceed the aggregate of amounts

appropriated for such actions in the state fiscal year ending March

thirty-one, nineteen hundred ninety-three and any state fiscal year

thereafter up to and including the state fiscal year ending March

thirty-first, nineteen hundred ninety-nine, not including amounts to be

applied to the payment of all fees and other charges of, and expenses

and other non-asset costs of financing incurred by, the authority in

connection with the issuance and administration of such bonds and notes;

and, capitalized interest and debt service reserve funds established for

such bonds or notes and the acquisition of insurance, letters of credit

or other credit enhancement or liquidity facilities obtained in

connection with such bonds or notes.

(ii) Of the moneys expended from appropriations made for the legal

requirements of the state debt service and lease purchase payments and

other special contractual obligations, for payment to the authority for

payment of principal and interest on bonds issued to finance activities

at the Western New York Nuclear Service Center pursuant to one or more

service contracts between the state and the authority, an amount not to

exceed the amount of such payment as determined by the director of the

budget shall be reimbursed to the comptroller according to a schedule

determined by the director of the budget, for deposit in the general

debt service fund, by the authority.

(iii) Any such contract entered into pursuant to subparagraph (i) of

this paragraph shall not exceed thirty years in duration and shall

provide that the obligation of the state to fund or to pay the amounts

therein provided for shall not constitute a debt of the state within the

meaning of any constitutional or statutory provision and shall be deemed

executory only to the extent of moneys available therefor and that no

liability shall be incurred by the state beyond the moneys available for

such purpose, and that such obligation is subject to annual

appropriation by the legislature.

(iv) Any such contract or any payments made or to be made thereunder

may be assigned and pledged by the authority as security for its bonds

and notes issued to pay for or reimburse the state with respect to

actions undertaken pursuant to this subdivision.

(v) The comptroller is authorized to receive from the authority any

portion of proceeds of special obligation bonds or notes issued to pay

for or reimburse the state with respect to actions undertaken pursuant

to this subdivision and to credit such amounts to the capital projects

fund or any other appropriate fund.

7. To advise the legislature of recommendations for implementing new

energy technologies and energy conservation measures, annually or so

often as the authority shall deem appropriate.

8. Special energy projects. (a) To extend credit and make loans from

bond proceeds to any person for the construction, acquisition,

installation, reconstruction, improvement, maintenance, equipping,

furnishing or leasing of any special energy project or for the

reimbursement to any person for costs incurred in connection with a

special energy project completed or not completed at the time of such

credit or loan, which credits or loans may, but need not, be secured by

mortgages, contracts, leases or other instruments, upon such terms and

conditions as the authority shall determine reasonable in connection

with such credits or loans.

(b) In the exercise of powers granted in paragraph a of this

subdivision in connection with any special energy project, to require

the inclusion in any contract, lease, loan agreement or other instrument

of such provisions for the financing of such project and such other

financial or other covenants as the authority may deem necessary or

desirable and to do all things and to execute all instruments necessary

and desirable in connection therewith; provided, however, that no

contract, lease, loan agreement or other agreement entered into by the

authority in furtherance of this authorization shall permit the

authority to distribute or sell any power or energy to any person other

than a contracting party.

10. To coordinate the state's administration of any energy or energy

resource programs of the federal government, including but not limited

to those concerned with conservation, allocation, management or

education, and to formulate and from time to time revise a state energy

conservation plan to be submitted pursuant to the federal Energy Policy

and Conservation Act of 1975 last amended by Pub. L. 102-486, Title I,

§123(a).

10-a. (a) To administer the air pollution mitigation fund established

pursuant to section ninety-nine-g of the state finance law and

consisting of moneys collected by the public service commission as an

air pollution mitigation offset pursuant to subdivision two of section

sixty-six-k of the public service law.

(b) To disburse moneys from such fund for the following purposes: (i)

to reduce acid precipitation through energy efficiency, or through

public benefit research and development, including, but not limited to,

renewable energy; or (ii) the monitoring of, or research related to, the

impact of acid precipitation deposition.

(c) To establish guidelines pertaining to the allocation of moneys

from such fund.

11. To advise and assist the governor and the legislature in the

development and implementation of state policies relating to energy and

energy resources.

12. To require and receive from any agency of the state or any

political subdivision thereof assistance and data.

13. To act as a central repository and clearinghouse for information

on all energy and energy resource related matters including, but not

limited to, the availability and use of the most energy efficient and

environmentally sensitive outdoor lighting available for public and

private uses.

14. To apply for and to administer federal research and development

grants and other monies for the benefit of consumers.

15. To prepare an integrated resource plan specifying actions to be

taken in the event of the declaration by the governor of an energy or

fuel supply emergency pursuant to section 5-117 of the energy law.

16. To promulgate energy use standards after consultation with the

commissioner of the office of general services for the purchase, lease,

use or maintenance of state buildings and equipment.

17. To implement the provisions of sections 5-108, 5-111, 5-113 and

5-117 of article five and articles six, seven, eight and ten of the

energy law.

18. To provide for the deposit of all or a portion of the proceeds

collected by the authority from the auction or sale of emission

allowances allocated by the department of environmental conservation to

the authority pursuant to regulations adopted by the department of

environmental conservation to a green jobs-green New York fund to be

established in the custody of the commissioner of taxation and finance.

The monies in such fund shall be available for the green jobs-green New

York program pursuant to title nine-A of article eight of this chapter.

19. To, on its own or through a qualified entity, directly or

indirectly, and in consultation with the department of public service:

(a) develop and administer a generation attribute tracking system that

records generation attribute information within the state, and processes

generation attribute information from energy outside the state that is

imported to and consumed within the state, as a basis for creating

generation attribute certificates;

(b) assign initial ownership of generation attribute certificates;

(c) provide for the transfer or conveyance, ownership and retirement

of generation attribute certificates;

(d) obtain generation, delivery and consumption information from

independent system operators, generators, public utility companies, and

retail load-serving entities producing, delivering or selling

electricity in the state, including, but not limited to, "electric

corporations" as defined under subdivision thirteen of section two of

the public service law, "cooperatives" as defined under subdivision (a)

of section two of the rural electric cooperative law, and any publicly-

or municipally-owned utilities, including the power authority of the

state of New York and the Long Island power authority, deemed necessary

by the authority to verify or supplement such generation attribute

tracking system;

(e) facilitate participation in, and use of, such generation attribute

tracking system by buyers, sellers and brokers with respect to the

ownership, transfer or conveyance, and retirement of generation

attribute certificates; and

(f) perform such additional activities as may be deemed necessary by

the authority to ensure cooperation and the smooth exchange of

information among and between the generation attribute tracking system

and similar systems within or outside the state.

20. To administer a program, using funds provided for such purpose, to

provide a grant based on standards and guidelines established by the

authority for costs as follows:

(a) for each retail outlet that is in operation before April first,

two thousand fourteen and is subject to the requirements of paragraph

(a) of subdivision three of section one hundred ninety-two-h of the

agriculture and markets law:

(i) no greater than ten thousand dollars required to prewire such

retail outlet with an appropriate transfer switch for using an alternate

generated power source as defined in section one hundred ninety-two-h of

the agriculture and markets law; or

(ii) no greater than thirteen thousand dollars required to prewire

such retail outlet with an appropriate transfer switch for using an

alternate generated power source as defined in section one hundred

ninety-two-h of the agriculture and markets law and purchase such power

source to be permanently affixed at the site.

(b) for each retail outlet that is in operation before April first,

two thousand fourteen and is subject to the requirements of paragraph

(b) of subdivision three of section one hundred ninety-two-h of the

agriculture and markets law, no greater than ten thousand dollars

required to: (i) prewire an existing retail outlet with an appropriate

transfer switch for using an alternate generated power source as defined

in section one hundred ninety-two-h of the agriculture and markets law;

and/or (ii) purchase such power source to be permanently affixed at the

site.

(c) to the extent funds are available, for retail outlets that become

operational on or after April first, two thousand fourteen, or to which

subdivision two of section one hundred ninety-two-h of the agriculture

and markets law becomes applicable after the effective date of this

subdivision, which grants shall otherwise be subject to the same

amounts, purposes and restrictions as paragraphs (a) and (b) of this

subdivision.

(d) to the extent funds are available, for retail outlets that

voluntarily apply before April first, two thousand fifteen and are

located on a strategic upstate highway as defined in paragraph (e) of

this subdivision or within one-half mile by road measurement from an

exit road on a strategic upstate highway, in such amounts and for such

purposes as set forth in subparagraphs (i) and (ii) of paragraph (a) of

this subdivision.

(e) "Strategic upstate highway" means the following:

(i) I-87 beginning at the Rockland-Orange county line thence northerly

passing through or in the vicinity of Albany to the intersection with

I-90, the foregoing route being a portion of the New York state thruway;

thence continuing northerly to the New York-Canada border;

(ii) I-90 beginning at I-87 in the vicinity of Albany thence westerly

passing through or in the vicinity of Schenectady, Utica, Syracuse,

Rochester, and Buffalo; thence continuing southwesterly to the New

York-Pennsylvania border, the foregoing route being a portion of the New

York state thruway;

(iii) the Berkshire section of the New York state thruway beginning at

I-87 thence easterly to the intersection with I-90 and continuing on

I-90 to the New York-Massachusetts border;

(iv) I-84 beginning at the New York-New Jersey border thence easterly

passing through or in the vicinity of Newburgh, thence continuing

easterly and southeasterly to the New York-Connecticut border;

(v) I-88 beginning at I-81 in the vicinity of Binghamton thence

northeasterly to I-90 in the vicinity of Schenectady;

(vi) I-86/State Route 17 beginning at I-87 in the vicinity of Woodbury

thence westerly and northwesterly passing through or in the vicinity of

Binghamton, Elmira, and Jamestown, continuing to the New

York-Pennsylvania border;

(vii) I-81 beginning at the New York-Pennsylvania border thence

northerly passing through or in the vicinity of Syracuse and Watertown,

continuing to the New York-Canada border;

(viii) I-390 beginning at I-86 in the vicinity of Avoca thence

northwesterly and northerly to I-490 in the vicinity of Rochester; and

(ix) I-190 beginning at I-90 in the vicinity of Buffalo, thence

westerly, northwesterly, and northerly through Buffalo, across Grand

Island, the foregoing route being a portion of the New York state

thruway, and thence generally westerly to the United States-Canada

border in the vicinity of Lewiston.

The authority may offer any funds provided for such purpose and not

expended to retail outlets that are not included in paragraphs (a)

through (d) of this subdivision but that voluntarily seek to participate

in such program.

21. To administer a program to establish a pool of generators for

retail outlets as defined in section one hundred ninety-two-h of the

agriculture and markets law. The authority may enter into or facilitate

contracts, lease agreements and any other instruments subject to the

provisions of law, with companies providing generators and generator

services to provide for such pool and the deployment and installation of

generators in the pool. Retail outlets that elect to participate in the

program and are subject to the requirements of paragraph (a) of

subdivision three of section one hundred ninety-two-h of the agriculture

and markets law shall be required only to pay the actual cost of

generator rental, deployment and installation in the event that

emergency deployment is required, provided, that a participant must

abide by the terms of any contract or written agreement covering the

rental, deployment and installation of such generator. In the event that

an insufficient number of generators is available to meet required

emergency deployment, the authority in consultation with the

commissioner of homeland security and emergency services shall

prioritize such retail outlets as are most essential to public safety

and well-being during the energy or fuel supply emergency. When

generators from such program are deployed, the authority shall provide

public notice on its website, to the media and through other means

practicable of those retail outlets where generators are deployed.

22. To administer a program to provide technical assistance to school

districts, school bus fleet operators and public transportation systems

on managing zero-emission vehicle fleets and the charging or fueling

infrastructure for such zero-emission vehicle fleets.

23. No later than December thirty-first, two thousand twenty-five, and

annually thereafter, the authority shall issue a report on the

availability of zero-emission school buses and charging or fueling

infrastructure that meet the criteria established in subdivision two of

section thirty-six hundred thirty-eight of the education law. The

authority shall provide technical assistance to school districts, upon

request, in pursuing state and federal grants and other funding

opportunities to support the purchase and contracting requirements set

forth in subdivision two of section thirty-six hundred thirty-eight of

the education law.

24. All revenues generated pursuant to regulations or actions taken by

the department, the authority or any other state entity, pursuant to

sections 75-0107 and 75-0109 of the environmental conservation law,

shall be placed into a segregated authority funding account, established

pursuant to section eighteen hundred fifty-nine of this title, prior to

programmatic or administrative allocation, and shall not be commingled

with other authority funds.

25. Within thirty days following receipt of revenues generated

pursuant to regulations or actions taken by the department, the

authority or any other state entity pursuant to sections 75-0107 and

75-0109 of the environmental conservation law, the authority shall make

the following transfers from such segregated authority funding account:

(a) Not less than thirty percent to the New York climate action fund

consumer climate action account established pursuant to section

ninety-nine-qq of the state finance law;

(b) Up to three percent to the New York climate action fund industrial

small business climate action account established pursuant to section

ninety-nine-qq of the state finance law; and

(c) Not less than sixty-seven percent to the New York climate action

fund climate investment account established pursuant to section

ninety-nine-qq of the state finance law.

26. Climate affordability study. The authority and the department of

environmental conservation, in consultation with the division of the

budget, the department of public service, and the department of taxation

and finance, shall conduct a study and issue a report with

recommendations for the use of moneys transferred to the consumer

climate action account established pursuant to section ninety-nine-qq of

the state finance law. Such report shall be guided by the final scoping

plan prepared pursuant to section 75-0103 of the environmental

conservation law and shall consider, among other things: (a) structure

and distribution of benefits in an equitable manner, accounting for

potential disproportionate impacts to low-income households and

disadvantaged communities; (b) implementation of a variety of mechanisms

to meet the varied needs of the people of the state, which may include

direct payments, tax credits, transit vouchers, utility assistance, or

other financial benefits that are reasonable and practicable; (c)

financial benefits that ensure that individuals receiving means-tested

government assistance receive benefits that will not constitute income

for purposes of any such means-tested government assistance programs;

and (d) benefit programs that limit the administrative effort required

of recipients. Such study shall be completed by the first of January,

two thousand twenty-four, and shall be delivered to the governor and the

legislature.

In exercising the powers granted by this title, the authority shall,

insofar as practicable, cooperate and act in conjunction with

industrial, commercial, medical, scientific, public interest and

educational organizations within the state, and with agencies of the

federal government, of the state and its political subdivisions, of

other states, and joint agencies thereof.

In carrying out its corporate purposes and in exercising the powers

granted by this title, the authority shall be regarded as performing an

essential governmental function.

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