We will facilitate the
construction of 2,000 to 3,000 MW of supply capacity
by repowering old plants, constructing new ones, and
building dedicated transmission lines
Achieving clean and reliable energy will require upgrading,
expanding, and replacing much of our current energy
supply. Between now and 2015, the City will pursue three
strategies to increase supply from cleaner power plants.
(See chart above: Electricity Prices Across the Region;
see case study on facing page: East River Repowering)
First, we can maximize existing power plant sites,
either by building additional generation facilities
within the existing site or modernizing the plant's
technology. This process, known as "repowering"
can increase efficiency up to 40% and significantly
reduce greenhouse gas emissions. Replacing old turbines
will also improve local air quality. The City will explore
opportunities to facilitate in-city repowering that
offers significant addi tional capacity and achieves
immediate local air quality improvements.
Our second option is to build new plants on new sites.
New construction costs about the same or less than repowering,
but land is limited and construction costs in New York
City remain high compared to the surrounding region.
Our final option is to build power plants outside city
limits that are completely dedicated to providing electricity
to the New York City grid. By controlling the types
of plants constructed and connecting those plants directly
to the city grid, we can ensure that we do not import
energy from dirtier sources such as conventional coal
plants.
All three of these options will provide a cleaner energy
supply that is also cheaper to run. Through the New
York City Energy Planning Board described above, we
will help facilitate the issuance of long-term contracts
to encourage new plants that are sensitive to communities.
We will also work actively with a broad range of community
stakeholders to advocate for the re-enactment of Article
X, which established a single streamlined process for
reviewing all permitting and siting issues for power
plants.
Progress (as of 4/22/08):
In September and in March, the City filed testimony
in the Con Edison Electric rate case and the Con Edison
Steam rate case advocating for further analysis of
repowering the Hudson Avenue Steam Plant to be able
to generate both steam and electricity. The City also
asked Con Edison to evaluate transmission capacity
in and around the city. KeySpan/National Grid, whose
merger was approved on August 22, agreed to work with
Con Edison on the transmission study. To further promote
new, clean capacity, on October 1, the City announced
its contingent support of US PowerGen's proposed repowering
in Sunset Park on the condition the company proved
an enforceable net environmental improvement to both
the neighborhood and the city. The City will work
closely with the local community in Brooklyn and US
PowerGen to ensure that the net positive environmental
impacts are realized. In addition, the City will continue
to advocate for the reenactment of the State's power
plant siting law, Article X, and the approval of the
NYC Energy Planning Board through the PSC's Long-Term
Planning and Supply Portfolio hearings.
Progress (as of 10/22/08):
In April, the New York Power Authority announced the winner of its request for proposals for a new 500 megawatt combined cycle power plant, SCS Astoria 2, in exchange for a power purchase agreement. This contract is on behalf of Southeast New York government entities, including the City of New York.
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