Funding

Several funding sources help NYSERDA advance the State’s clean energy goals and achieve the Authority’s mission. NYSERDA invests these funds in a fiscally responsible manner that maximizes benefits to New Yorkers, fills critical gaps, and addresses the needs of the market.

Clean Energy Fund

The Clean Energy Fund (CEF) is designed to deliver on New York State’s commitment to reduce ratepayer collections, drive economic development, and accelerate the use of clean energy and energy innovation through 2026. Authorized by the Public Service Commission (PSC) and derived from an assessment on retail sales of electricity by State utilities — it is comprised of four portfolios: Market Development, Innovation and Research, NY-Sun, and NY Green Bank.

CEF funding is collected through a System Benefits Charge (SBC). New Yorkers that pay into the SBC are eligible to participate in NYSERDA CEF-funded programs. To determine if you are paying the SBC, look at a recent bill from your utility company to see if “SBC” or “RPS” is listed as a charge. If you need assistance determining whether you pay into the SBC, contact NYSERDA at 1-866-NYSERDA. Generally, customers of the following utilities pay into the SBC:

• Central Hudson (Central Hudson Gas & Electric Corporation)
• Con Edison (Consolidated Edison Company of New York, Inc.)
• National Fuel (National Fuel Gas Distribution Corporation)
• National Grid (Niagara Mohawk Power Corporation)
• National Grid-Long Island (KeySpan Gas East Corporation)
• National Grid New York (Brooklyn Union Gas Company)
• NYSEG (New York State Electric and Gas Corporation)
• Orange and Rockland Utilities, Inc.
• RG&E (Rochester Gas and Electric Corporation)

Utility customers that do not pay into the SBC may still be eligible for NYSERDA programs. Contact NYSERDA at 1-866-NYSERDA to determine if any energy efficiency programs are available to you.

Clean Energy Standard

The Clean Energy Standard, as authorized by the Public Service Commission (PSC), funds are realized by NYSERDA through the sale of Tier 1 Renewable Energy Certificates (RECs), Offshore Wind Renewable Energy Credits (ORECs), and Zero Emission Credits (ZECs) as well as receipt of Alternative Compliance Payments from New York’s Load Serving Entities (LSEs). Through PSC orders, LSEs are obligated to meet annual compliance obligations for RECs, ORECs and ZECs. As needed, utility financial backstop collections may be called upon to meet funding shortfalls.

Regional Greenhouse Gas Initiative

The Regional Greenhouse Gas Initiative (RGGI) is focused on energy efficiency, renewable energy and carbon abatement projects in New York State. These funds are derived from sale of carbon emission allowances as set forth in 6 New York Code of Rules and Regulations (NYCRR) Part 200 and 21 NYCRR Part 507. The amount of revenues available is dependent on the auction prices for the allowances, which are variable. RGGI is the first market-based, mandatory cap-and-trade program in the U.S. to reduce greenhouse gas emissions. New York State participates along with eight other Northeast and Mid-Atlantic states. Green Jobs - Green New York  is funded by RGGI.

Bond Financing

Green Jobs – Green New York Financing

NYSERDA’s Green Jobs – Green New York (GJGNY) Program was authorized by Title 9-A of Article 8 of the Public Authorities Law of the State of New York to establish a program to provide funding to support sustainable community development; create opportunities for green jobs; and establish a revolving loan fund to finance energy audits and energy efficiency retrofits or improvements for the owners or occupants of residential, multifamily, small business, and not-for-profit structures. The GJGNY Act of 2009 allocated $112 million from the proceeds of selling CO2 allowances under the Regional Greenhouse Gas Initiative (RGGI) to promote energy efficiency and the installation of clean technologies to reduce energy costs and greenhouse gas emissions.

In August 2013, NYSERDA issued $24.3 million of Residential Energy Efficiency Financing Revenue Bonds (Series 2013A) to finance and refinance loans made by NYSERDA to fund energy efficiency improvements in one-to-four family residential structures for eligible applicants as part of the GJGNY program. The Bonds were issued under an Indenture of Trust between NYSERDA and The Bank of New York Mellon, as Trustee. The Bonds are limited obligations of NYSERDA, payable solely from and secured by money held by the Trustee under the Indenture and payments to the Trustee under a Series 2013A Guarantee issued by the New York State Environmental Facilities Corporation, secured by certain source under its 2010 Master Financing Indenture. Following is a link to the Official Statement for this transaction: NYSERDA 2013A Final OS [PDF].

In March 2018, the Residential Solar Financing Revenue Bonds Series 2018A were issued by the Authority to finance loans through the Green Jobs- Green New York Program to finance the installation of photovoltaic systems. The Official Statement can be found in the Residential Solar Financing Revenue Bonds Series 2018A [PDF].

In 2019, the Authority issued the Residential Solar and Energy Efficiency Financing Green Revenue Bonds, Series 2019A to finance additional loans issued through the Green Jobs – Green New York Program. The Official Statement can be found in the Residential Solar Financing Revenue Bonds Series 2019A [PDF].

In 2020, the Authority issued the Residential Solar and Energy Efficiency Financing Green Revenue Bonds, Series 2020A to finance additional loans issued through the Green Jobs – Green New York Program. The Official Statement can be found in the Residential Solar Financing Revenue Bonds Series 2020A [PDF].

Conduit Financing

Holding down the price of energy for New Yorkers is important to NYSERDA. Through its financing program, NYSERDA issues tax-exempt bonds and notes on behalf of utility companies to finance certain eligible costs of their electric, gas, or steam-service systems. Under certain circumstances, NYSERDA also can issue tax-exempt special energy project bonds to reduce costs of borrowing for businesses and institutions in the State. These interest-cost savings directly benefit New Yorkers.

Holding down the price of energy for New Yorkers is important to NYSERDA. Through its financing program, NYSERDA issues tax-exempt bonds and notes on behalf of utility companies to finance certain eligible costs of their electric, gas, or steam-service systems. Under certain circumstances, NYSERDA also can issue tax-exempt special energy project bonds to reduce costs of borrowing for businesses and institutions in the State. These interest-cost savings directly benefit New Yorkers.

NYSERDA has more than $30.1 million outstanding in tax-exempt and taxable State Service Contract Revenue Bonds issued to finance a portion of the State's share of West Valley Demonstration Program  expenditures.

This table lists outstanding bond program benefits:

Other Funds

Other funds includes sources provided by various sponsors used for specific purposes. Public funds are leveraged considerably with private sector funding through NYSERDA programs.