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A 11556

Relates to energy efficiency and weatherization

2025 Regular Session

NYSERDA will run municipal-level energy efficiency and weatherization pilots in three areas, with audits, funding oversight, and PSC-backed cost controls to save energy and protect

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Bill Summary · A 11556

Summary of NY A11556 (2025-2026) – Relates to energy efficiency and weatherization

Purpose and intent

  • Directs the New York State Energy Research and Development Authority (NYSERDA) to establish municipal-level energy efficiency and weatherization pilot projects.
  • Aims to decrease residential energy usage, reduce future utility capital costs, and facilitate large-scale, replicable projects through municipal involvement and coordination with the Public Service Commission (PSC) and local utilities.

Key provisions and requirements

  • Solicitation and identification of pilots (within 6 months of enactment):

    • NYSERDA must issue a request for proposals (RFP) to identify cities, towns, or villages interested in participating in municipal-level energy efficiency and weatherization pilot projects.
    • Projects must help reduce residential energy usage and future capital costs for utilities.
    • Pilots should be easily replicable across urban, suburban, and rural areas and demonstrate benefits to ratepayers both locally and across the utility service territory.

  • Scope of energy efficiency and weatherization (as part of pilots):

    • Includes weatherstriping, caulking, sealants, insulation improvements, thermostat upgrades, and repairs/upgrades to roofs, chimneys, fireplaces, and roof vents as needed for energy loss mitigation and safety.
    • May cover storm windows, permanent windows, added exterior insulation, and other comparable measures identified by NYSERDA.

  • Selection and execution of three pilot areas:

    • NYSERDA will identify three targeted pilot areas, considering:
    • Disadvantaged communities (as defined in environmental law).
    • Areas with electric grid constraints or leak-prone pipes.
    • Areas with many older or poorly insulated homes.
    • Geographic proximity of proposed pilot-area buildings.
    • In each pilot area, NYSERDA (with local government consultation) shall:
    • Conduct energy audits (air leaks, insulation, heating/cooling systems, ductwork, electrical capacity).
    • Outline scope and estimated costs of work.
    • Begin work using existing funding (weatherization/energy efficiency programs, EmPOWER NY, green rehabilitation, utility-administered funds).
    • If additional funding is needed, request PSC to initiate a proceeding to cover costs not eligible under existing programs or utility funds.
    • Any PSC-approved funding for non-covered costs shall be limited to an amount not exceeding estimated avoided capital investments or other savings.

  • PSC oversight and ratepayer protections:

    • PSC must ensure that any funding requests do not compromise safety/reliability of the distribution system and do not increase net costs to ratepayers.

  • Labor law compliance and reporting:

    • Pilot projects are subject to the provisions of Section 224-d of the Labor Law.
    • After completion, NYSERDA must publish a report detailing:
    • Project outlines and outcomes, including projected energy savings.
    • Cost-benefit analysis for expanded participant participation.
    • Recommendations for program changes to facilitate future large-scale projects.
    • Breakdown of which pilot costs were covered by pre-existing programs versus those not covered.

  • Statewide program evaluation and potential consolidation (PSC action):

    • Within one year of enactment, PSC must initiate a proceeding to review utilization, spending, and eligibility of existing residential energy efficiency and weatherization programs across utilities, state agencies, and authorities.
    • The review must be completed within six months.
    • Evaluation to include:
    • Efficacy and adoption rates of current programs and the three NYSERDA-enacted pilots.
    • Potential modifications to boost adoption while balancing ratepayer costs.
    • Consideration of consolidating utility- and state-administered programs to improve adoption rates.

Who is affected

  • Municipalities: Potential participants in pilot projects; gains from large-scale, replicable efficiency/weatherization installations.
  • NYSERDA: Lead coordinator for RFPs, audits, project scoping, and reporting.
  • Public Service Commission: Oversight of funding requests, ensuring reliability, safety, and ratepayer protection; conduct of a future program consolidation review.
  • Utility customers/ratepayers: Expected energy savings and potential changes in costs; protections against net cost increases.
  • Disadvantaged communities and areas with grid constraints or aging housing stock: Targeted consideration for pilot participation to address equity and infrastructure needs.

Timelines and process

  • Effective date: Act takes effect immediately.
  • NYSERDA RFP window: Within six months after effective date.
  • Pilot execution and audits: Conducted within identified pilot areas as part of the three selected sites.
  • Reporting by NYSERDA: Post-completion of pilots; content includes outcomes, savings, cost-benefit, and recommendations.
  • PSC proceeding on program review/consolidation: Initiated within one year; completed within six months.
  • Overall objective: Establish a framework for coordinated, municipal-led energy efficiency and weatherization efforts with scalable, replicable outcomes and ongoing oversight to optimize public benefit and ratepayer costs.

Compiled from official sources — confirm details with the bill’s official record.

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