New York's Climate Leadership and Community Protection Act, an aggressive piece of clean energy legislation, could see a significant increase in utility-scale resource investment according to a new report from Energy Ventures Analysis. According to the report, the aggressive clean energy legislation pursued by New York could push over $115 billion of new resource investment by the year 2040.
This huge potential for investment will be driven largely by the ongoing transition of New York energy generation to clean, renewable sources like solar energy and wind power. As the state begins to abandon the familiar past of gas-dominated energy generation, it looks like the future will be defined by renewables.
In fact, Energy Venture Analysis forecasts impending domination for solar and wind. Going by the forecast, this renewable duo will make up 39% of New York capacity by 2030, and a staggering 83% by 2040. In this forecast, it is assumed that NY will meet the legislated targets of 70% renewables by the year 2030, and the ambitious 100% carbon-free by 2040.
The model used by the report predicts that a number of renewable ventures will drive New York in achieving such aggressive climate goals—while also generating state investment and creating job opportunities. In addition to popular renewable solutions like solar and onshore wind turbines, the report suggests that considerable investment in both offshore wind and battery storage systems will be required to meet the state’s ambitious goals.
To arrive at the whopping $115 billion figure mentioned above, Energy Venture Analysis used long-term scenario modeling, based upon a range of assumptions and inputs. Base price assumptions for both renewable and non-renewable energy sources were factored in, as well as variables like energy demand, capital costs, and changing operations & maintenance costs moving forward.
It’s going to take a lot of work, and a lot of innovation, to reach the targets outlined by New York's Climate Leadership and Community Protection Act, but as this report has further highlighted, the potential rewards are immense. Not just financially, but for the future of our climate, and our planet.
By Shane Croghan