On May 3, 2023, New York Governor Kathy Hochul (D) signed the FY 2024 Budget, which included several measures designed to accelerate the state’s shift away from fossil fuels, into law.[1] Included in the $229 billion budget is the nation’s first statewide ban on natural gas and other fossil fuels in new buildings, with the requirement coming into effect for new construction in 2025.[2] In addition, the budget includes the first cap-and-invest program on the East Coast. It authorizes the New York Power Authority (NYPA) to act as a developer of renewable power facilities and requires six peaker plants in New York City operated by NYPA to be shut down by 2030. The budget also allocates $400 million to provide relief to residents experiencing high electric bills as well as lowering energy burdens through electrifications and retrofits. New York has one of the most ambitious climate plans in the U.S. The state’s 2019 Climate Leadership and Community Protection Act (CLCPA) requires an 85% reduction in greenhouse gas emissions by 2050, almost half of which must be reached by 2030.

[1] https://www.governor.ny.gov/news/governor-hochul-announces-highlights-historic-fy-2024-new-york-state-budget

[2] Hospitals, critical infrastructure, and commercial food establishments are exempt. Buildings where the local grid is not capable of handling the load are also exempt.