On July 23, 2025, the New York State Energy Planning Board (SEP Board) approved a draft State Energy Plan for public comment.
The framework and procedure for the State Energy Plan is governed by the New York Energy Law, which provides that the Plan must assess New York’s energy-related policies and programs and, where appropriate, recommend actions to achieve the State’s long-range energy planning objectives.
The Draft Plan reflects certain changes in the policy landscape regarding economic development, affordability, nuclear energy, the role of natural gas, and expected progress toward the State’s clean energy and climate targets. It emphasizes the importance of maintaining adequate supplies and infrastructure for all major energy sources while New York State ramps up clean energy resources over time. The Draft Plan’s core planning scenario shows the State will not meet the Climate Leadership and Community Protection Act (CLCPA) goal of 70% reliance on renewable generation by 2030.
The Draft Plan acknowledges the impacts of recent and forecasted load growth, changes in demand patterns, and pursuit of climate policy objectives on the State’s supply portfolio and transmission and distribution system needs. It emphasizes that the State’s grid must be managed in a manner that is consistent with applicable reliability requirements at justifiable costs for customers. The Draft Plan recommends an “all-of the above” approach to resource adequacy to meet load growth and maintain reliability. While continuing to advance the clean energy transition, the State will rely on a diverse resource mix, including existing baseline and dispatchable fossil-fuel generation.
The Draft Plan asserts that meaningful progress toward the CLCPA’s mandated 100% zero-emissions electric grid by 2040 will require maintaining and growing clean firm capacity. It recommends: (1) extending support for existing baseload nuclear generation; (2) evaluating and pursuing advanced nuclear technologies; and (3) maintaining hydroelectric generation.
The Draft Plan acknowledges that while the State will continue to focus on downsizing natural gas consumption and infrastructure, gas usage in some regions may rise in the short term and a variety of customers will continue to depend upon reliable gas service. Consequently, the Draft Plan finds that continuing investments may be required in some gas systems.
The findings and recommendations in the Draft Plan are informed by a “Pathways Analysis” of different policy scenarios to achieve CLCPA mandates. In all scenarios, the gas system remains a significant energy delivery resource throughout the 15-year planning period.
Importantly, the Draft Plan relies on policies and economic conditions in effect as of March 2025 and it acknowledges that certain assumptions do not reflect recent state and federal policy developments and associated uncertainties. The Final State Energy Plan, however, will reflect updated policy developments and economic conditions.
The SEP Board’s notice with more information regarding the Draft State Energy Plan documents and opportunities for public comment can be accessed here. The SEP Board intends to review public comments and issue a final State Energy Plan before the end of the year.
Please contact Bob Loughney or Mike Mager at (518) 426-4600, or via e-mail at rloughney@couchwhite.com or mmager@couchwhite.com, with any questions regarding the Draft State Energy Plan.