In celebration of Earth Week, Governor Kathy Hochul announced that the New York State Public Service Commission has initiated a process to implement policy and develop plans related to medium- and heavy-duty electric vehicle charging infrastructure and planning. The program will also initiate the process of actively investing in the utility infrastructure needed to serve the electrification of transportation. Additionally, the initiative will prioritize medium- and heavy-duty charging infrastructure investments in disadvantaged communities.
“It is critical that we invest in supporting infrastructure to get more electric vehicles on the streets of New York and reduce harmful vehicle emissions,” Governor Hao Zhe explain. “With today’s PSC decision, we’re stimulating innovation and advancing our state-leading climate goals by making electricity more accessible to New Yorkers and businesses. ”
The Public Service Commission’s action follows Governor Hochul’s 2023 State Address Directive to identify and remove barriers to the deployment of charging infrastructure for medium- and heavy-duty vehicles.
New York Governor Hochul has directed the Department of Public Service (DPS) to initiate a process to identify and remove barriers to effective and timely deployment of electrification of medium- and heavy-duty vehicles in New York, building on a total investment of more than $1 billion in utility projects to support the electrification of transportation The required charging infrastructure. Pollution from these vehicles disproportionately affects vulnerable communities where air quality is a public health issue, such as Hunts Point in the Bronx, where more than 15,000 diesel trucks operate daily. As part of this process, DPS will consider revising the utility’s electric vehicle (EV) infrastructure plan to encourage aggressive investment in high-priority locations, especially in disadvantaged communities and Clean Air Act non-compliance areas.
Rory M. Christian, Chair of the Public Service Commission, said, “I applaud Governor Hochul for his commitment to creating a cleaner environment. PSC recognizes the importance of electrification in the transportation sector in meeting New York State’s climate goals. To advance these goals, PSC has implemented policies that incentivize the development of electric vehicle charging infrastructure and programs .The focus of these policies so far has been mainly on light passenger electric vehicles such as sedans, pickup trucks and SUVs.Ensuring a holistic approach to support climate leadership and the Community Protection Act (Climate Act), which the PSC is launching , to address the electrification needs of the state’s medium- and heavy-duty electric vehicle industry.”
As determined by the PSC, DPS, the staff arm of the PSC, will develop at least one white paper later this year to initiate the development and proactive planning process for medium and heavy projects, which will be subject to public notification and comment, prior to potential PSC action . DPS will hold several technical meetings over the next 6 months to seek input from stakeholders before releasing the white paper.
While the exact scope of this program will be developed with the help of interested stakeholders, electric vehicle infrastructure investments will prioritize disadvantaged communities, including those bearing the burden of pollution from trucks and buses in Clean Air Act nonattainment areas Overweight community. Additionally, a proactive planning process will ensure that the grid infrastructure is ready to meet New York State’s growing demand for electric vehicle charging.
Today’s decision by the PSC builds on the Commission’s previous actions on infrastructure development and innovative rate design to support New York’s transportation electrification efforts. This includes the $701 million EV Make-Ready program, which provides incentives to fund grid infrastructure and customer-side work to get sites ready for EV charging, including at least $206 million allocated to disadvantaged communities Equitable access and benefits. The department is currently conducting a mid-term review of the program and published a white paper on 1 March 2023 containing some recommendations for potential revisions and expansions to the program.
While the readiness program helps offset the upfront costs of EV charging infrastructure, the Commission has also adopted concessional rates and managed charging programs to help lower utility bills for residential and commercial EV charging. Managed charging schemes provide incentives or bill credits to participants who can shift charging to times that are most beneficial to the grid. Residential customers can sign up for voluntary time-of-use rates, and electric vehicle phasing rates offer commercial EV customers an alternative to traditional needs-based rates. EV Phase-In Rate aims to reduce the impact of demand charges on the operating costs of EV charging stations by starting with a time-of-use rate when utilization is low and blending demand charges as station usage increases. Utilities have until July to submit proposed tariffs for electric vehicle phasing rates and are implementing a 50% demand electricity discount that will take effect on a sooner timeline and when EV phasing rates take effect was valid before becoming available. Using today’s prices, EV Phase-In rates are expected to result in electricity costs that are at least 30% lower than equivalent gasoline costs.
New York State’s National Leading Climate Program
New York State’s nationally leading climate agenda calls for an orderly and just transition that creates sustaining jobs, continues to foster a green economy across all sectors, and ensures at least 35 percent (with a target of 40 percent) of the Benefit energy investments target disadvantaged communities. Guided by some of the most aggressive climate and clean energy initiatives in the U.S., New York is on a path to a zero-emissions electricity sector by 2040, including 70 percent renewable electricity generation by 2030 and an economically wide carbon neutrality within. A cornerstone of this transition is New York’s unprecedented clean energy investment, including more than $35 billion in 120 large-scale renewable energy and transmission projects across the state, $6.8 billion to reduce building emissions and $1.8 billion to scale up solar , more than $1 billion for clean transportation initiatives, and more than $1.8 billion in New York Green Bank commitments. These and other investments support more than 165,000 jobs in New York’s clean energy industry in 2021, and the distributed solar industry has grown 2,100 percent since 2011. To reduce greenhouse gas emissions and improve air quality, New York also passed zero-emission vehicle regulations, including requiring all new passenger cars and trucks sold in the state to be zero-emission by 2035. Partnership continues to advance climate action in New York with nearly 400 registered and 100 certified climate-smart communities, nearly 500 clean energy communities and the state’s largest air monitoring program in 10 disadvantaged communities across the state, to help with interventions against air pollution and the fight against climate change.
