In the aftermath of Hurricane Ida, concerns over energy infrastructure and environmental policy have intensified in New York. Former U.S. Rep. Jamaal Bowman captured the sentiment of many residents when he stated, “Hurricane Ida completely destroyed my district.” He emphasized the need for leadership focused on human-centered policies, suggesting that a change in governance might be necessary if these needs are not met.
The state of New York has made significant strides toward achieving its climate goals, particularly with the introduction of the All-Electric Building Act in 2023. This legislation mandates that most new constructions utilize electric appliances, marking a shift away from gas systems. The all-electric standard has been integrated into the state building code as of July, following a similar move by New York City in 2021.
Despite these advances, debates surrounding gas pipelines have resurfaced. Federal Energy Secretary Wright remarked on the potential benefits of two proposed gas pipelines, noting that they were “already planned” and could “lower the cost of heating.” These pipelines, previously rejected by the state, are once again under consideration.
Speculation arose from a May post by Secretary of the Interior Doug Burgum, suggesting that Governor Hochul might approve these pipelines to facilitate the Empire Wind offshore project. Hochul has denied any agreement with the White House, though reports indicate that the Trump administration believes she “caved” to allow pipeline construction as a concession for the wind project.
The Constitution pipeline, rejected in 2016, would transport gas from Pennsylvania’s Marcellus shale sites to upstate New York, while the NESE pipeline aims to extend gas infrastructure from New Jersey and Staten Island to Queens. Despite previous rejections, National Grid has included the NESE pipeline in its long-term gas plan, following a dispute with former Gov. Andrew Cuomo regarding the pipeline’s potential impact on water quality.
The NESE pipeline resurfaces
Recent evaluations by the Public Service Commission suggest that the NESE project could meet the state’s energy demands post-Winter Storm Elliott in 2022. A report by the Federal Energy Regulatory Commission highlighted the risk of gas shutoffs during the storm, emphasizing the need for reliable energy infrastructure.
Nevertheless, the decision has drawn criticism from New Yorkers and activists like Pete Sikora of New York Communities for Change, who stated, “We are in a week-by-week, hour-by-hour, fight to hold [Hochul] off and keep her from approving this thing.”
Kim Fraczek of Sane Energy warned that the governor appears willing to prioritize fossil fuel interests over legal obligations, potentially raising costs for New York families. A report by the Institute for Energy Economics and Financial Analysis estimates that the pipeline could cost $1.25 billion due to construction inflation, leading to increased monthly rates for consumers.
National Grid argues that the pipeline might reduce electricity bills by lowering natural gas prices, though the predicted cost to ratepayers is an additional $7.50 per month. Meanwhile, Energy Secretary Wright criticized New York’s Climate Act, calling net-zero emissions goals “totally nuts” and suggesting that aggressive pursuit of these targets could elevate energy prices.
While the impact of the Climate Act on energy prices is debated, a recent report by the Public Service Commission indicated that associated costs accounted for 5% to 9.5% of a typical residential electric bill in 2024. Large-scale gas infrastructure improvements, like National Grid’s $5 billion system upgrade, have also contributed to rising rates.
Original Story at www.canarymedia.com