The Grid Optimization Blog

NY Region Needs New Generating Plants, Too

To address the Hudson Valley’s formidable near- and longer-term electricity challenges, it is not enough to simply bank on new and improved transmission lines bringing power from upstate New York downstate to address cost and reliability challenges. Transmission projects are extremely expensive and controversial. They take years to build and face intense community opposition and lawsuits.

It is essential that the region also have more electric generating plants, in order to meet both current and future demand. Electricity use will rise as there is economic recovery, greater demand due to more electronic devices and even a shift to electric-powered vehicles.

The New York Independent System Operator, the nonprofit operator of the state’s electric grid which handles the numerous engineering and technical challenges 24/7 to keep the lights on, recognizes this important reality. Through careful and rigorous assessment they have proposed a revised market structure to better attract long-term, capital-intensive investment in power plants.

NYISO’s request for a new downstate capacity zone to better reflect the need for this power, keep the grid reliably functioning and attract long-term investments in power plants and related infrastructure has the well-deserved support of the Federal Energy Regulatory Commission. It is a necessary and important step to ensure the area’s economic infrastructure remains strong.

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