New York's new climate change plan would be devastating for many businesses
Business owners are a strong breed. We have faced many unexpected challenges recently, from COVID-19 lockdowns to an unsteady reopening, labor shortages, supply chain issues, and rising energy prices. We’re ready to tackle whatever new challenge comes our way, but our leaders shouldn’t be making things harder for businesses without first making sure there is no better path forward.
Unfortunately, the Climate Action Council, or CAC, which is charged with crafting a plan to meet New York’s climate goals, is doing just that. The CAC has created a Draft Scoping Plan without adequately studying the impacts on businesses or preparing a plan to ensure reliable, affordable heat and electric power to all New Yorkers. This has resulted in a draft plan that would have devastating impacts on our economy and communities across the state.
The CAC calls for New York to transition from a combination of gas and electricity to only electricity — also known as high electrification. Right now, virtually all businesses on Long Island rely on natural gas to heat their facilities and power their equipment.
Using only electric power would require massive investments in new equipment and retrofitting existing buildings. In many cases, it will not even be possible. In addition, current limits on the supply of renewable electricity mean increased electrification will cause rates to spike and make outages more likely.
Many businesses would close. When that happens, friends and family lose jobs, neighborhoods lose their character, and communities lose tax dollars.
Fortunately, there are alternative ways to meet New York’s climate bench marks that will not undercut job creation and economic growth. According to the New York City Office of Sustainability's Pathways to Carbon-Neutral NYC study — a collaboration with Con Edison and National Grid, a hybrid approach that incorporates renewable natural gas (RNG) and green hydrogen alongside wind and solar electricity can exceed what is possible under the CAC’s draft plan without imposing unsustainable new costs on businesses and communities.
I learned about these low-carbon alternatives to fossil fuels when National Grid presented its vision for a clean energy future to Riverhead Chamber of Commerce members in June. RNG is produced through a process that captures methane from landfills, farms, wastewater treatment plants, and other sources and repurposes it as fossil-free fuel. Methane is one of the most potent and plentiful greenhouse gases and removing it from the atmosphere is vital for stopping global warming. Green hydrogen is an emissions-free alternative to fossil fuels produced by separating hydrogen out of the water molecule, creating a gas that can be used in regular appliances and leaving only water vapor behind.
Using these fuels will allow businesses to keep their existing equipment and help decarbonize our gas system, much as renewables are decarbonizing our electricity grid. RNG and green hydrogen are vital tools to fill the gap between the amount of energy New York needs and what can be produced using wind and solar, ensuring affordable, reliable service.
The CAC needs to study the costs and economic impacts of various paths to achieving New York’s emission-reduction goals — including a hybrid approach that incorporates RNG and green hydrogen — and share those results with New Yorkers.
New Yorkers can face any challenge that comes our way. But our government shouldn’t be creating new problems and keeping us in the dark without studying alternative, and better, solutions.
This guest essay reflects the views of Liz O’Shaughnessy, executive director of the Riverhead Chamber of Commerce.