
Why New York Is All-In on Thermal Energy Networks
New York leaders sent a powerful message in their final budget: we’re building the infrastructure of tomorrow and it’s clean, efficient, and union-built.
Governor Hochul’s $1 billion Sustainable Future Program includes $200 million for modern thermal energy networks (TENs), paving the way forward for projects at public universities and municipalities across the state. The landmark funding proves that thermal energy networks are not just a pilot project – they are a blueprint for transforming communities.
The concept behind TENs is simple – if your house is too hot, why not give that excess heat to your neighbor who is cold? These networks facilitate sharing excess heating and cooling between buildings, saving everyone money on energy and lowering the emissions of interconnected structures. TENs use a shared network of water-filled pipes that transfer heat in and out of buildings. These campus- and neighborhood-scale systems allow buildings to exchange heat with a number of energy sources, such as lakes and rivers, energy-intensive buildings, wastewater systems, or the stable temperature of the earth with geothermal. Excess heat is all around us, as anyone who has stepped off a cool subway train into a hot station can attest. TENs allows communities to use it.
With their large building footprints, multiple building types and aging energy systems, SUNY and CUNY campuses are ideal sites for TENs projects. The funding secured in this year’s budget will catalyze shovel-ready projects at campuses in Buffalo, Albany, and Purchase, and support municipalities looking to update their outdated heating systems, like Jamestown. These efforts won’t just reduce building emissions—they’ll create tangible public health benefits, modernize educational environments, and save the public millions of dollars in the long run.
This funding is also a signal to working people: the clean energy transition will be built by them for the communities they call home. These projects will support family-sustaining union jobs in both construction and maintenance. That’s why UpgradeNY —composed of environmental advocates, labor leaders, buildings organizations, and environmental justice champions—has advocated for this funding. We know that decarbonization isn’t just about technology; it’s about justice, economic vitality, and making sure no community is left behind.
This latest investment builds on New York’s momentum to scale TENs – a solution Governor Hochul has rightly championed as essential to our sustainable future – and sets the pace for the rest of the county. In 2022, Governor Hochul signed the Utility Thermal Energy Network and Jobs Act, laying the foundation for projects from New York City to Buffalo. Since then, she’s committed nearly $400 million to TENs across the state. Now, under her leadership, we’re scaling three distinct models and exploring how TENs can serve municipalities, utilities, and campuses alike.
Thank you to Governor Hochul and the State Legislature for delivering this bold infrastructure investment that will pay dividends for decades.
And now the work begins. Let’s move quickly to implement these projects, demonstrate their success, and expand their reach. This is no longer a theoretical opportunity—it’s a ready to go solution for cleaner air, healthier communities, and a stronger, more resilient New York. Let’s get to work.