New York State Governor Andrew Cuomo just announced the largest single renewable energy solicitation to ever be put forth in the United States, providing an incredible funding opportunity for ABC biogas producers that can deliver energy to the New York State electric grid. The solicitation, which comes from the New York State Energy Research and Development Authority (NYSERDA) and the New York Power Authority (NYPA), calls for 4,000 megawatts of renewable capacity in total, 1,500 MW of which is designated for land based large-scale renewable energy projects— including biogas from landfills and anaerobic digesters.
The land-based renewable solicitation is split into two categories: projects being procured by NYSERDA and those being procured by NYPA.
· NYSERDA’s portion calls for the development of Tier-1 eligible renewable energy projects that will generate 1.6 million MWh or more annually.
· Any project that can be certified as a Tier 1 renewable technology and entered operation after January 1, 2015 or by November 30, 2022, with the option for extensions to November 30, 2025 that meets the kWh goal is eligible.
· The land-based projects selected will be the fastest to construction and NYSERDA hopes to notify the awarded developers in early 2021.
· As for NYPA, that solicitation is seeking projects that will generate 2 million MWh or more annually, with a generation capacity between 20 MW to 25 MW or 100 MW+. Only solar and wind projects are eligible for the NYPA portion of the solicitation.
Thanks to the work of the ABC and biogas advocates in New York, the following types of biogas development projects qualify as Tier 1 energy sources, and are therefore eligible for the NYSERDA solicitation:
· Biogas-electricity projects using anaerobic digestion, if they use one of the following feedstocks: animal waste (manure), agricultural byproducts, food processing residue, or wastewater.
· Biogas-electricity projects using landfill gas produced on-site for use in internal combustion engine gensets, fuel cells, or other fueled gensets.
· A renewable electricity generating project using renewable pipeline gas (RPG) must satisfy the following criteria:
· Common carrier RPG resources shall be considered eligible only if sourced and used in the same state to generate power delivered to New York.
· Contracts for RPG transported over common carrier must be new contracts with respect to the date established in the RFP for project eligibility. The Seller must notify the gas producer as part of the new RPG contract, or modification, that the gas contract is being purchased for conversion to RES eligible power and is subject to the accounting rules of the RES program, that could include some of the provisions listed above for the use of non-pipeline quality gas.
· The RPG producer/supplier must certify that the gas delivered under contract is produced from new resources (i.e., new or expanded RPG production systems).
· The Seller must keep and provide sufficient records on physical delivery from common carrier, gas consumption, and gas quality to pro rate the Seller’s monthly electrical generation based on the ratio of the total RPG contract gas energy and the total gas energy used. A report detailing the use of eligible and ineligible fuels shall be required.
· The Seller shall provide reporting of the total net electricity (net electricity in this context refers to the electric generation sold to the grid) generated as a direct result of the above measured eligible biogas fuel delivered to the conversion system. Total electricity shall be measured in MWh or kWh.
If you’d like to take advantage of this funding, you must participate in a two-step RES implementation process consisting of:
· Step One Eligibility Application: A qualifying step through which the Proposer must provide evidence that the Bid Facility is Tier 1 eligible and other general information about the Proposer and the Bid Facility.
· Step Two Bid Proposal: A competitive Bid Proposal step, through which NYSERDA will:
· (1) examine Bid Proposals to determine whether they demonstrate that the Bid Facility and Proposer meet the Project Viability Minimum Threshold Requirements; and
· (2) for Bid Proposals that meet those minimum requirements, a competitive evaluation based on price and non-price factors.
NYSERDA will open the Step One Eligibility Application on August 5, 2020 following a webinar on this RFP and the submittal process for potential proposers on Tuesday, August 4, 2020 at 1:00 p.m. EDT. Step One Eligibility Applications must be received by NYSERDA by 3:00 p.m. ET on Thursday, August 27, 2020 via electronic submission. The full schedule is below.