Up until a few years ago the energy supply in New York was managed by an monopoly. The cost of electricity, delivery and maintenance of the power grid were all managed by utility companies. They also had control over natural gas and gas delivery. This monopoly led to low efficiency and expensive prices. The Public Service Commission (PSC) was hoping to remove barriers to competition and to lower prices. It hoped to achieve this by giving consumers to choose their electricity and gas suppliers.
New York is a state of diverse fuels and this impacts the reliability of the power grid. The majority of the state’s electricity is generated by nuclear and hydroelectric power plants. In addition, coal, natural gas and oil also contribute to the state’s energy supply.
NYSEG system has been built to handle the worst case scenario. The most dire scenario occurs when the electricity grid is overwhelmed by the demand during hot summer days. Grid operators will switch on more expensive and less efficient generators when this occurs. This causes electricity prices rise, and carbon emissions increase. This is one of the reasons New York has adopted clean energy goals. It will take time to build an entirely new energy system however, the state is making steps to ensure that green energy is the standard.
New York’s public utility commission has taken steps to encourage competition, and the market for energy is beginning to grow. More than 2 million customers have switched to energy service companies. Energy companies offer a variety of services that include fixed-rate plans initial rates and minimum usage levels. They also offer contracts that are flexible in terms of length and rates.
New York has approximately 200 energy service businesses. They provide electricity to customers through local utilities. The New York Independent System Operator (NYISO) is one of the 36 entities which monitor electricity in the grid of the state. It has a $38 million control room close to Albany. The control center is responsible for monitoring the electricity that enters the grid of the state from grids that are adjacent to it.
New York State has an ambitious goal of achieving 100 zero carbon electricity in 2040. To meet the goal, the state has announced plans to close coal-fired power plants and convert them to natural gas. It is also planning to subsidize nuclear power plants in the upper states. It will make use of incentives to construct batteries, create efficient transmission and more sustainable renewable energy. It is learning from other pioneers in clean energy such as California, Germany, and California.
The power grid in New York is a mix of three major components comprising transmission lines, power plants, and distribution networks. The amount of energy generated by each source differs from day to day and season to season, and the cost of fuel can affect the price of electricity. Power plants are primarily fueled by natural gas, but can use oil or other fuels.
New York State is using incentives to create efficient transmission batteries, and smart appliances. The state regulators approved plans to cut gas prices and offer incentives to encourage consumers to switch to renewable energy sources. It also pledged to pay the lowest ratepayers no more than 6 percent of their household income to cover energy costs.