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Energy Efficiency, Renewables, & Storage

Energy Efficiency, Renewables, & Storage

Energy Efficiency, Renewables, & Storage

Energy Efficiency

Our New Efficiency: New York (NENY) portfolio of programs provides our customers with financial incentives to help them use less energy as well as electrify their homes and buildings.

Through NENY programs, we have provided our customers $1.5 billion in incentives between 2020 and 2024. In 2024, our incentives helped our customers reduce their energy usage by over 5 million MMBtu. Since inception, our EE Program incentives have helped our customers avoid over 3.7 million metric tons of GHG emissions (see figure 14). These upgrades also helped our customers increase the comfort of their homes and businesses and better manage their energy bills.

Cumulative CO2 e Reductions Through Energy Efficiency Programs (metric tons)

3,760,000
2,820,000
1,880,000
940,000
2015
633,426
62,471
2016
791,490
70,622
2017
990,166
88,816
2018
1,212,535
94,753
2019
1,514,721
123,488
2020
1,821,462
146,677
2021
2,279,683
183,848
2022
2,753,618
231,803
2023
3,104,484
292,233
2024
3,400,896
356,693
  • CECONY Energy Efficiency & Demand Management (EEDM) Cumulative Total metric tons CO2 e Avoided
  • O&R Cumulative Total metric tons CO2 e Avoided

Figure 14

Nearly $93 million of the $1.5 billion went to over 160,000 low-to-moderate income (LMI) customer participants in our Affordable Multifamily Energy Efficiency Program. Increasing LMI customer participation in our energy efficiency programs is a core objective of our Clean Energy Commitment.

We have an additional $423 million in customer incentives planned for 2025. As the focus of energy efficiency shifts from simple measures such as installing LED lighting to more involved strategies, we are educating our customers, contractors, municipalities we serve, and the real estate community on how to take advantage of greater savings opportunities, such as building envelope improvements, ground-source heat pumps, and waste heat recovery. In addition to educating the public about these benefits, we partner with local contractors to do the associated work. At present, our network is 281 contractors strong.

Distributed Energy Resources

We are working with customers, regulators, policymakers, and other stakeholders to both enhance adoption of distributed energy resources (DER) and improve access to them regardless of one’s income level, renter status, or dwelling type in support of both our Clean Energy Commitment and the CLCPA.

In 2024, we hosted 60 DER developer outreach meetings and workshops. Based on participants’ input, we developed a streamlined interconnection standard for DER customers, which spurred a boost in customer-owned energy storage solutions, including four in Staten Island, New York alone, totaling 18 MW. Other outcomes helping to facilitate the interconnection of DER resulting from our outreach include:

  • Plans to assist DER developers with optimal project siting.
  • Ideas on how to enhance our hosting capacity maps for better upfront planning.
  • Pilot projects of new designs, equipment and technology to interconnect energy storage more cost efficiently.

We are also helping the New York Independent System Operator (NYISO) implement a DER Aggregator Market to enable greater participation in their wholesale energy market among small DER operators. For instance, we committed funding to developing software that will simplify the Aggregator Market application process through NYISO’s existing online portal.

Summarized in the table and graph below, we continued to make tremendous progress in 2024. This includes over 12,000 installations for a total of 214.3 MW in 2024, thereby bringing our running total past the 1 GW milestone.

DER Technology

CECONY (MW)

O&R (MW)

Solar

101.1

40.3

Battery Storage

43.9

11.9

Combined Heat and Power

16.6

-

Fuel Cells

0.5

-

Total

162.1

52.2

Figure 15

Cumulative Utility Customer Solar MW Installation (MW)

800
600
400
200
2011
13
2
2012
22
3
2013
35
7
2014
60
16
2015
95
34
2016
139
50
2017
178
60
2018
229
95
2019
277
121
2020
327
154
2021
398
183
2022
487
213
2023
579
243
2024
680
283
  • CECONY
  • O&R

Figure 16

Demonstration Projects

We also explore potential solutions to local energy access and affordability problems with partners through joint clean energy demonstration pilot projects. Our pilots strengthen our relationship with customers and stakeholders, advance energy access and affordability, and facilitate expansion of DER.

Community Power, our most recently completed pilot, ran from 2022 through 2024. It modeled a self-sustainable program for increasing LMI customers’ access to solar power coupled with smart inverter technology. In partnership with a solar energy development firm and the New York City Housing Authority (NYCHA), the project enabled direct-metered LMI customers in multifamily buildings to access benefits from the solar generation of three solar projects. Enabled by the production of solar energy, program participants received monthly credits from CECONY that reduced their monthly electricity bill. Program participants were not required to pay any upfront or additional fees to participate in this program. This model addressed two persistent challenges for LMI customers: 1) lack of access to clean energy sources; and 2) inability to lower their energy costs. Beneficial outcomes of this pilot include:

  • Increased awareness and understanding of the benefits of clean energy in communities near Kingsborough, Glenwood, and Carver NYCHA developments.
  • 12 NYCHA residents trained to support solar installation projects.
  • Reduced monthly electricity bills for program participants.
  • Greater than 1,260 metric tons of GHG avoided.

Utility Integrated Storage

Utility Integrated Storage (UIS) are storage assets integrated into our delivery system that support localized grid needs and balance use of renewables with conventional energy sources.

Much like other utility-owned and operated critical infrastructure, our distribution-connected UIS projects help maintain network performance, provide customers with reliable service, and provide opportunities to manage concurrent and evolving needs of the grid. Thereby helping to lay the groundwork for an affordable clean energy transition accessible to all while optimizing the grid for our customers.

Located to provide maximum benefit across our service territory, we operate three UIS projects totaling over 12 MW and are developing another project, which will bring our total to over 18 MW. These projects are all described below.

Site Name

MW

Status

Ozone Park, New York

2

Active

Pomona, New York

3

Active

Brownsville, New York

5.8

Mid-2025

Fox Hills, New York

7.5

Active

Figure 17

  • Commissioned in 2019, our Ozone Park Energy Storage System provides 2 MW of summer load relief to communities in eastern Brooklyn and western Queens.
  • Our Pomona, New York site is a hybrid UIS-BESS project that provides 3 MW of energy to supplement the local grid during times of peak demand and increase system reliability.
  • Set to be commissioned in summer 2025, our Brownsville energy storage system will supply 5.8 MW of peak load relief.
  • Our first fully designed and constructed in-house energy system, Fox Hills directly supports the Fox Hills substation. Its primary roles are to assist with meeting substation peak demand and to support system ramp up needs.

Non-Wire Solutions Storage

Non-Wire Solutions support and incentivize third-party owned storage to meet local demand. CECONY has two active program areas across seven distribution networks serving neighborhoods in Brooklyn and Queens, New York.

In 2024, we completed installation and interconnection of two customer-sited battery energy storage systems (BESS) in Queens, New York as part of the Newtown NWS Portfolio. A third customer-sided BESS in the Newtown portfolio is set to be commissioned by summer 2025. Together, these systems will provide approximately 10 MW of summer period peak load relief through 2033 to communities in Queens.

Site Name

MW

Status

Maspeth, New York

3.6

Mid-2025

Maspeth, New York

1.5

Active

Borden, New York

4.7

Active

Figure 18

In addition to the two active projects at CECONY, a third active non-wire solutions project was commissioned at O&R. Fully operational as of early January 2025, our West Warwick, NY BESS uses three separate batteries totaling 12 MW to address system constraints instead of constructing a new transmission-distribution substation.

Site Name

MW

Status

Warwick, New York

12

Active

Figure 19

Utility Dispatch Rights

The PSC’s extension of its Utility Dispatch Rights (UDR) program through 2030 provides us greater opportunity to develop contractual arrangements with third-party storage providers. These arrangements allow us to dispatch storage projects to meet wholesale market and distribution needs. Presently, we hold three UDR contracts representing 165 MW. We are expecting the development of a fourth UDR contract in 2025.

Demonstration Projects

Our energy storage demonstration projects test new business models and technologies. Totaling 5 MW, we have two ongoing projects:

  • In partnership with another company, we installed a 1 MW battery at three separate customer sites. The project seeks to better satisfy all project stakeholders’ interests by granting us priority access to the battery during times of peak load and allowing customers and service providers to generate revenue on the wholesale market during all other times.
  • In partnership with another company, we have installed 342 of an expected 344 solar-plus-storage systems at customers’ homes that in aggregate will comprise a virtual power plant (VPP). With approximately 1.5 MW of energy, New York State’s largest VPP, it will begin providing demand relief and resilience benefits to our local distribution system in summer 2025.

Safety and Compliance

To properly integrate our projects into the local grid, we partner with New York City and State officials to meet or exceed safety requirements. We also proactively communicate safety considerations and train emergency personnel. For instance, in 2024, we:

  • Held our annual large-scale emergency drill at our Fox Hills, NY site.
  • Hosted a two-day training for first responders in Pomona, NY.
  • Developed an emergency response plan in partnership with a vendor for our Warwick, NY site.
  • Installed fire alarm annunciators at all site entrance gates.

Looking Ahead

In response to the PSC’s request for utilities to develop a new evaluation framework for UIS projects, the Joint Utilities proposal seeks to expand the scale and scope of UIS projects to service grid needs. PSC action on their filing is expected in the latter half of 2025.

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