ALBANY (TIP): Governor Hochul, on Tuesday, January 10th, announced in the 2023 State of the State address that New York will continue to undertake an ambitious and economywide effort to address the threat of climate change. It is truly encouraging to see New York’s climate and clean energy work represented in the Governor’s 2023 agenda, including important plans for a new Cap-and-Invest Program and significant investments in energy affordability, clean and efficient buildings, clean air, and clean water.

New York is once again leading the way with the following climate and clean energy proposals.

Cap-and-Invest Program: The Governor proposed advancing an ambitious Cap-and-Invest Program that will establish a declining cap on greenhouse gas emissions, invest proceeds in programs to reduce pollution, limit potential costs to New Yorkers, and maintain the competitiveness of New York industries. The Cap-and-Invest Program will be shaped by five core principles: affordability, climate leadership, creating jobs and preserving competitiveness, investing in Disadvantaged Communities, and funding a sustainable future. The Program will be developed in a public and transparent process to ensure stakeholders’ voices are heard and it will prioritize Disadvantaged Communities that have suffered from environmental injustice with at least 35%, and a goal of 40%, of investments directly benefitting these communities and ensuring pollution burdens are reduced in frontline communities. For more information on the Program, please read the press release and New York’s Climate Act website.

Clean and Efficient Buildings: As part of the State’s comprehensive efforts to decarbonize its building stock, Governor Hochul announced a package of policy initiatives including zero-emission new construction (with no on-site fossil fuel combustion by 2025 for smaller buildings, and by 2028 for larger buildings) and to prohibit the sale of new fossil fuel heating equipment (by 2030 for smaller buildings and 2035 for larger buildings). These will be advanced alongside a grading system for larger buildings statewide based on their energy usage to help building managers make informed choices to cut electricity bills and emissions. These proposals are significant as New York’s building sector was responsible for 32% of emissions, the largest source of emissions in the state.

Energy Affordability: To address high energy prices, Governor Hochul is proposing investments to insulate our most vulnerable households from rising energy prices while advancing the transition to lower emissions. These actions:

Providing $200 million in relief for high electric bills. New York State will provide a credit to the more than 800,000 New York households that make under $75,000 annually to help pay burdensome electric bills.

Pairing affordability support with modernizing low-income homes through EmPower Plus. The creation of the Energy Affordability Guarantee, the first-in-the nation pilot program will ensure low-income New Yorkers who participate in the EmPower Plus Program and fully electrify their homes will never pay more than six percent of their incomes on electricity.