New Yorkers Can’t Afford to Delay Battery Storage
If there’s one thing that nearly every New Yorker agrees on, it’s that we are paying too much for electricity. That’s part of the reason why Governor Kathy Hochul recently enacted a first-in-the nation moratorium on new data center construction, a thoughtful pause that we support to help protect our grid, our energy prices and our water supplies.
At a time when New Yorkers are struggling to keep up with rising costs, the state Public Service Commission — the watchdog for our electric grid — needs to advance proposals that are ready to go. Right now, there’s one proposal that would get more battery storage on the grid faster by updating the payment rules for battery projects that support the grid. Approving it would help control utility costs, support new construction and create good-paying jobs, all while building a cleaner, more reliable electric system.
Moving this forward is a no brainer — and the Commission’s own staff recommended action in December. Seven months later, New Yorkers cannot afford additional delay. The PSC must act.
Battery storage and community solar projects can supply low-cost power when electricity use is highest, reducing strain on the grid. This helps keep costs down when demand is highest. It also helps utilities avoid or delay expensive new substations, wires and other costly infrastructure. The rates pending before the PSC will determine how much battery storage projects get paid for that service, based on the value of that fossil fuel infrastructure they help utilities avoid building.
Updated rates are critical to getting more battery projects deployed faster — unlocking private investment, construction jobs, and more power to the grid across the state when it’s needed most.
NYLCV has long advocated for expanding New York’s battery storage infrastructure, and New York City is on board as well. In formal comments to the PSC, Mayor Mamdani’s administration said the updated rates would reflect the cost of utility upgrades these projects help avoid, called the update long overdue, and said there’s no benefit to further delay.
New Yorkers need a more affordable and reliable electric system. Workers need projects to build. Communities need cleaner energy and relief from rising utility costs – in New York City for example, older, polluting, and more expensive power plants will be used less if there is scaled up deployment of batteries to help at times of peak demand.
And this is just a first step. New York has more room to move batteries and other affordable tools onto the grid faster, and to put more power back in the hands of homeowners and businesses. Getting these rates right now builds the foundation for that bigger push.
The PSC must swiftly approve the updated rates now.
Julie Tighe is president of the New York League of Conservation Voters
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