S2016B

The New York State Senate passed the HEAT Act (S2016B) on a 40-22 vote Tuesday, eliminating utilities' obligation to extend natural gas service to new buildings within 100 feet of existing lines and capping residential electricity costs at 6 percent of household income. Sponsor Sen. Liz Krueger argued the bill eliminates wasteful spending on gas infrastructure that will become obsolete under existing climate laws, saving ratepayers $200 million annually and freeing $150 billion for grid modernization. She emphasized the bill does not ban natural gas for existing customers and allows the Public Service Commission to approve new gas connections on a case-by-case basis. The bill includes $315 million in state and federal funding for worker retraining. Opponents, led by Sen. Mattera and Sen. Borrello, contended the legislation effectively bans natural gas by making it unaffordable and inaccessible, will eliminate thousands of utility jobs, and impose trillions in costs on New Yorkers through higher electricity rates. They argued the 6 percent energy burden cap is unworkable and will shift costs to commercial ratepayers or taxpayers. Sen. Canzoneri-Fitzpatrick proposed an amendment requiring cost-impact analysis before new energy regulations, but it was ruled nongermane. The bill passed largely along party lines, with all 22 nays from Republican and conservative Democratic senators.