As part of the state’s recently launched ten-point plan to speed up the deployment of renewable energy, New York has released an RFP to maintain momentum toward its clean energy goals, with project awards imminent. Initial applications are due in ten days.
The New York State Energy Research and Development Authority (NYSERDA) has issued a Request for Proposals (RFP) targeting accelerated solar power projects. The initial application deadline is December 13, 2023, followed by an eligibility application deadline a week later, and the final bid proposal due January 31, 2024 – what awards expected in April.
Details of the RFP are available on NYSERDA’s website.
This RFP mirrors the structure of the state’s standard energy procurement process, which annually awards approximately 1 GWac of solar power. The latest round of this program procured 6.2 GW of renewable energy, including three offshore wind and 22 land-based projects. The land-based projects include 14 new solar facilities, six wind repowering projects, one new wind project, and one hydroelectric project returning to service.
NYSERDA told pv magazine USA that this specific RFP, dubbed ‘RESRPF23-1’ (2023 Tier 1 Solicitation), aims “to keep New York State apace toward achieving New York’s Climate Act goals in the face of financial pressures on New York’s portfolio of projects. No specific quantity is targeted in this solicitation, given the dynamic status of the portfolio and the potential for a subset of active contracts awarded under previous solicitations to be terminated.”
This procurement round is part of the state’s “10-Point Renewable Energy Action Plan”.
The RFP mandates prevailing wage payments for laborers, with bid submission fees in the following range:
- Less than 5.00 MWac: $5,000
- 5.00 – 19.99 MWac: $20,000
- 20.00 – 49.99 MWac: $50,000
- 50.00 MWac: or more $100,000
Successful projects will receive an Index REC Strike Price, balancing the risk of low power prices for plant owners without overcompensating them in high energy price scenarios.
The strike price is composed of the environmental value, based on New York’s social cost of carbon, and the wholesale value of electricity. The state sets a floor price, historically $75.19/MWh, which combines these values. If wholesale electricity prices increase, the state incentive reduces to a floor value.
