New Renewable Power Financing and Investment Opportunities in New York as State Opens Billion Dollar Funding Initiative Through "NY Green Bank"
New York just recently opened the New York Green Bank (“NY Green Bank”), the largest of its kind in the nation. The NY Green Bank is a division of the New York State Energy Research and Development Authority and will have an initial capitalization of $210 million. This amount includes $165 million that was redirected from other clean-energy programs by the New York Public Service Commission from idle clean energy ratepayer funds, and an additional $50 million from emission allowance sales under the Regional Greenhouse Gas Initiative.
Governor Cuomo states that:
“The NY Green Bank will be the catalyst for significantly accelerating the flow of private capital to energy efficiency and renewable energy projects and will send a message to the financial markets that expanding our clean energy economy is a priority for New York State,” Governor Cuomo said. “Today’s announcement that the NY Green Bank is ‘open for business’ confirms the State’s unwavering commitment to a more cost effective and resilient energy system, to creating green jobs and to providing a cleaner environment for all New Yorkers.”
To that end, the NY Green Bank is looking to partner with financial institutions, as well as industry participants such as energy service companies, developers and equipment manufacturers. The NY Green Bank will then leverage its funds by investing alongside private outside capital to lower the costs of renewable energy investment.
In order to take advantage of this new program, the first step is to submit a request for proposal (RFP). The NY Green Bank states that the purpose of the ongoing RFP process is to ensure all potential partners have an opportunity to propose financing arrangements and in order to achieve that it encourages direct communication and engagement with partners on a pre- or post-submission basis. Eligible projects can include solar, wind and other renewable energy generation technologies. Also eligible are residential and commercial energy efficiency projects, on-site clean generation, and electricity load reduction.