NYISO: Failure to re-enact Article X could result in energy shortage

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21
Apr
2005

New York lawmakers’ failure to re-enact Article X power plant siting law could result in a potential energy shortage in the near future, according to the state’s Independent Systems Operator (NYISO) in its annual report on state power trends.

“In order to have sufficient in-state generation, New York State needs to site significant generation additions, commencing immediately, to meet its capacity requirements between the years 2008 and 2011,” the report said. The Legislature should act promptly to re-enacting the Article X siting law, the report added.

“Without a streamlined permitting process it will be very difficult for new generation to be built in a timely manner to meet future needs,” the report said.

The NYISO also urged legislators to act on Article X because the uncertain future of energy could push away potential investors.

“Potential energy investors in generating resources in the state need to know what they face in the way of licensing costs, schedules and the likelihood of success,” the report said. “The re-enactment of Article X will enable investors to make such assessments.”

The report said the state should have enough energy to meet demand this summer, with a 1,522 megawatt margin over its minimum requirements, with smaller margins in New York City and Long Island.

The report also warned of the danger of possible shortfalls in New York City and Long Island power supplies as soon as 2010.

"The lessons learned from both the blackout of 2003 and data included in today's report indicate that we cannot ignore the major issues that we face," said Mark S. Lynch, the newly appointed president and CEO of the NYISO. "The increase in demand and the lack of new generation, along with the failure of state and federal lawmakers to pass important energy legislation, pose great risks to reliability."