Energy and Telecom News
 IN THIS ISSUE

NYCEDC Initiates Broadband Feasibility Study

Rooftops Help Expand Telecom Service

Find Wi-Fi Hotspots on NYC.gov

October Is Energy Awareness Month

CUNY to Release Report on NYC's Solar Energy Potential

Queens Blackout Leads to Investigation of Con Edison Transmission Network

Commission Appointed to Study NYS Economic Power Programs

New York City Energy Company Merger Plan Under Review

Climate Change, Sustainability Make Strides on Both Coasts

2-Year Rate Freeze for Con Edison Steam Service Customers

District Energy

 ANNOUNCING...
 

NYCEDC Initiates Broadband Feasibility Study

NYCEDC has selected Diamond Management and Technology Consultants to undertake a Broadband Needs Assessment and Feasibility Study for the City of New York. This study will help fulfill the goals of the Mayor's Telecommunications Plan by determining whether broadband capabilities sufficiently serve all neighborhoods, and whether the City should be doing more to promote broadband deployment.

The study will be conducted in two phases. The first phase will involve rigorous data-gathering to identify current usage, demand and unmet demand for high-speed Internet services across New York City's five boroughs. If significant gaps exist and further action is needed, NYCEDC will initiate the second phase of the study, which addresses the implementation of a citywide or neighborhood broadband network.

Rooftops Help Expand Telecom Service

NYCEDC recently hired its first rooftop manager to develop, market, negotiate, and manage the rooftop at the Brooklyn Army Terminal (BAT) and other potential NYCEDC rooftop sites. The facility's large, unobstructed rooftops are ideal for wireless companies seeking to expand telecommunications service to the surrounding neighborhoods.

The contract was awarded to Tectonic Engineering & Surveying Consultants, an engineering/rooftop management company that manages rooftop and property assets across the United States. Tectonic will primarily be responsible for the rooftop at BAT, a thriving industrial park in Brooklyn's Sunset Park. NYCEDC is also considering making other rooftop facilities available.

Any wireless carrier interested in using BAT's rooftop for wireless equipment can contact Ed Frawley at Tectonic Engineering & Surveying Consultants (518-783-1630), or Khadine Branford at NYCEDC (212-312-3867).

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Find Wi-Fi Hotspots on NYC.gov

With the help of the New York City Department of Information Technology and Telecommunications, NYCEDC has included a map of all of New York City's Wi-Fi hotspots on NYC.gov's Interactive Map Portal. The map provides updated information on where to find wireless broadband access, including location and fee information. The Wi-Fi map is the newest addition to the NYC.gov Map Portal, which already contains information on where to find subway stations, libraries, schools, and fire houses.

The Map Portal can be found at: http://gis.nyc.gov/doitt/mp/Portal.do.

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October Is Energy Awareness Month

An easy way to save energy is to replace incandescent light bulbs with compact fluorescent light bulbs (CFL), and the ENERGY STAR Change a Light campaign is spreading the word. Since an Energy Star-approved CFL uses 66% less energy than incandescent lights, they can help reduce energy bills and power plant emissions that contribute to climate change. If everyone in the United States replaced their light bulbs with CFLs, it would amount to a $6.5 billion savings and prevent the equivalent emissions of harmful gases from 8 million cars. Going into its 7th year, the campaign culminates in an awareness event on October 4, with activities, events, proclamations and store promotions related to energy-efficient lighting.

If you would like to sign a pledge to change your light bulbs or learn more about the project, please visit: http://www.energystar.gov/index.cfm?fuseaction=cal.showPledge.

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CUNY to Release Report on NYC's Solar Energy Potential

The City University of New York will soon release the second report in a two-part study focusing on the solar energy potential in New York City. Solar Energy Policies and Barriers in New York City identifies key financial and political barriers to solar energy development and explores whether the PV market in New York City can meet its projected technical potential through existing policies. This report offers a menu of policy options that would encourage growth in New York City's solar market. This study is funded by the Million Solar Roofs Initiative (MSRI) in partnership with the United States Department of Energy's Million Solar Roofs program and managed by the Center for Sustainable Energy at Bronx Community College.

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 IN THE NEWS...
 

Queens Blackout Leads to Investigation of Con Edison Transmission Network

Nearly 100,000 Queens residents and businesses were without electricity for over a week in July during the first neighborhood blackout in New York City since 1999. Despite being on one of the most reliable grids in the nation, the Long Island City portion of Con Edison's network went dark for up to nine days after 10 of its 22 primary feeder cables failed.

The outage followed a decision by Con Edison to keep up the network, despite the failing feeders, in an attempt to avoid shutting down the entire service area. Although the resulting outage affected fewer customers than the alternative of a complete network shutdown, the distribution system suffered considerable damage. Furthermore, Queens residents and business owners were angered by the underestimation of the number of customers affected by the blackout. Mayor Bloomberg has asked that the Con Edison outage be thoroughly investigated by the City itself in parallel with the New York State Public Service Commission (PSC).

The PSC instituted an investigation on July 26, and the PSC's final report on the outage is tentatively set for the end of the year. New York City has taken a central role in the Long Island City investigation by retaining a law firm and a number of electric system experts to assist the inquiry. The objective is to determine the cause of the blackout and to provide recommendations for preventing such an incident from occurring again.

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Commission Appointed to Study NYS Economic Power Programs

Despite vetoing an earlier budget measure to extend New York State's economic development power programs, Governor Pataki signed a bill in August that continued the programs through June 2007. These programs, including Power for Jobs and the Energy Cost-Savings Benefit, provide low-cost power to New York businesses and encourage increased employment in the state.

In order to analyze the effectiveness of these programs prior to their expiration, Governor Pataki appointed eleven people to the temporary Commission on the Future of New York State Power Programs for Economic Development. The Commission includes representatives from across the state and will be chaired by Charles Gargano, chairman and CEO of Empire State Development Corporation. Gil Quiniones, senior vice president of NYCEDC's Energy Department and head of the Mayor's Energy Task Force, will represent New York City on the Commission.

The Commission will examine the New York State economic development power programs and make recommendations on their structure and utility as economic incentives. In addition, public forums took place in late September to allow for input from stakeholders. The Commission will make its final recommendations on the programs to the Governor and State Legislature by December 1, 2006.

For more information, visit: http://www.ny.gov/governor/press/06/0719062.html.

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New York City Energy Company Merger Plan Under Review

KeySpan Energy and National Grid – a British firm with extensive operations in upstate New York and New England – have announced plans to merge in early 2007. KeySpan is the primary natural gas service utility in Brooklyn, Staten Island and parts of Queens; it currently owns almost a quarter of the City's electric generation capacity and operates numerous power plants on Long Island under a contract with the Long Island Power Authority. National Grid owns the upstate utility Niagara Mohawk and is the principal private owner of transmission lines in New York State. The acquisition of KeySpan by National Grid is subject to federal and state regulatory approval and is now being reviewed by the Federal Energy Regulatory Commission and the New York State Public Service Commission.

New York City has entered both regulatory proceedings on behalf of City business and residential electricity and gas consumers. As planned, the merged company would have an important presence in natural gas transmission, storage and retail sales, large-scale electric generation, and in the wholesale electricity transmission system. Among the concerns that the City will ask regulators to address are whether the combined company will operate in the public interest, and if the merger is to be approved, what structural changes or behavioral requirements will be imposed on the merged corporation to ensure that competition is preserved. These steps might include divestiture of power plants such as the City's largest power plant, KeySpan-Ravenswood in Long Island City, and also the development of a long-term gas rate plan to protect consumers over a period of years from bearing merger-related costs.

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Climate Change, Sustainability Make Strides on Both Coasts

On August 31, California became the first state to approve legislation limiting greenhouse gas emissions. Despite Republican opposition and last minute bargaining that threatened the success of the bill, Governor Schwarzenegger and the Legislature reached agreement on a deal that aims to cut carbon dioxide emissions 25% by the year 2020. The bill was signed on September 27th.

While environmentalists, climate experts, and politicians applauded the bill (called the Global Warming Solutions Act), many business representatives claimed the mandates would add unnecessary costs to business and push industry out of the state. Pacific Gas and Electric was the only utility to support the law as a market-based approach to encouraging innovation.

The California program will be in place by 2009, with industry cutbacks starting in 2012. This initiative parallels other state attempts to act in the absence of a federal plan on greenhouse gas emissions and climate change. In addition to California, seven northeastern states, including New York, signed a Memorandum of Understanding in December 2005 to create the Regional Greenhouse Gas Initiative (RGGI), which will use a carbon cap-and-trade system for power plants to cut emissions 10% by 2019. While these campaigns will not significantly reduce carbon emissions, they illustrate the growing momentum behind local policies to address the issue of climate change.

In local news, New York City Mayor Michael Bloomberg announced the creation of his Office of Long-Term Planning and Sustainability in a joint press conference in California with Governor Schwarzenegger on September 21st. The group will spearhead a new environmental agenda for the City, and one of their first tasks is a Citywide greenhouse gas inventory. They will also work with a newly-appointed Sustainability Advisory Board, and the Earth Institute of Columbia University.

For more information on RGGI, visit: http://www.rggi.org/index.htm.

On the Office of Long-Term Planning and Sustainability: http://www.nyc.gov.

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2-Year Rate Freeze for Con Edison Steam Service Customers

The New York State Public Service Commission (PSC) has voted to approve a two-year rate plan settlement for Consolidated Edison Company of New York, Inc. (Con Edison), which will maintain base rates for steam service at current levels through September 30, 2008.

The current settlement began in November 2005, when Con Edison filed a proposal with the PSC a proposal to raise base rates which would increase annual steam revenues by about $67.6 million (9.6%) for the year ending in September 2007. The City of New York and NYCEDC were key participants in the proceeding and worked with the PSC Staff, Con Edison and others to reach a successful settlement in June. That settlement was approved and ratified by the PSC on September 20, 2006.

The Con Edison rate plan includes company incentives for the provision of safe and adequate steam service. In addition, it should help to improve customer service, and provide for more systematic planning for the steam system. Key requirements of the plan include:

  • Annual filing of a 10-year strategic plan for business development and production planning efforts
  • Development of a steam resource plan for cost-effective steam service
  • Improvement of customer relations, including focus groups and appointment of a customer ombudsman
  • Retention of a consultant to provide recommendations for more effective service, including introduction of demand meters, sample demand billing, and to encourage the use of combined heat and power (CHP) facilities
  • Implementation of other Steam Business Development Task Force initiatives to maintain customer base, rate stability, and infrastructure
The Con Edison steam system serves about 1,800 customers in Manhattan, many of them in the City's most prominent buildings and numerous commercial and residential customers. The steam system is invaluable to the City, as steam cooling takes a great deal of pressure off the electrical system, especially during the peak summer electric use period.

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 TECHNOLOGY CORNER...
 

District Energy

Manhattan is home to the largest district steam system in the world. While most of the buildings in New York City have on-site boilers to provide heat during the winter, the Con Edison Steam Business Unit heats 1,800 buildings through a series of underground pipes south of 96th Street. Con Edison's steam network is an example of district energy, which is a system that links many end-users to central power plants through a network of pipes carrying either steam or heated/cooled water.

By centralizing the heating and cooling needs of many users into one plant, the system can take advantage of economies of scale to employ the most advanced and efficient technologies. For example, many district energy systems use combined heat and power (CHP) technology to capture the usually wasted heat produced by traditional combustion for electricity. By using CHP technology, combustion facilities that are usually 49% efficient can reach efficiency levels up to 75%. District energy systems can also use multiple fuels (e.g. oil, natural gas, coal, and biomass), which allows the plant to use whichever source is the least expensive.

District energy also has many advantages for end-use customers, such as increased reliability, reduced space needed for heating and cooling (a premium for urban users), reduced peak demand for electric use, lower maintenance needs and installation costs, and less combustion being done on-site.

To learn more about district energy, visit: http://www.districtenergy.org/.

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