Power For Jobs Program May Be Reborn
Power for Jobs may have a new incarnation, if bills in the state Assembly and Senate are approved.
The program rewards with reduced electricity bills companies that create or retain jobs. The program, run by New York Power Authority, is due to expire on May 15.
State Sen. Darrel J. Aubertine, D-Cape Vincent, introduced a bill to create a permanent program, dubbed the Economic Benefit Power Program.
"It adds stability, which is needed," he said. "Any business that might take advantage of Power for Jobs will know they're in the program for the next years."
Power for Jobs was renewed by the state legislature on a yearly basis for the last five years, sometimes with considerable difficulty. The program had 570 customers that saved about $10 million per month on electricity in 2009.
Under Sen. Aubertine's proposal, Power for Jobs would be renewed through June 30, 2011 and then the new permanent program would start.
The bill has a mutual option for evergreen renewal. If the business or board overseeing the program agreed, the business would stay in the program for the next seven years. That option could be exercised every year, allowing the business to plan.
If a business no longer qualified or backed out, the board would have the ability to reallocate that power, which the New York Power Authority now is not allowed to do.
"It increases the ability to keep all the power they have available to businesses," Sen. Aubertine said.
The bill adds criteria for businesses to be considered. In addition to the job creation and retention required under Power for Jobs, the new program would consider capital investment, regional economic impact, quality of created and retained jobs, relative cost of electricity on the business's operation, impact of service on the community, prior performance in economic development programs and previous energy efficiency investments.
The existing Economic Development Power Allocation Board would remain in place to determine eligibility and enroll employers in the new program, but the current four member board would jump to nine members.
Sen. Aubertine's bill would also keep residential customers who are eligible for the Home Energy Assistance Program on the Rural and Domestic Power allocations, reducing their electricity bills. Investor-owned utilities buy the low-cost power for NYPA, then pass the savings on to residential customers.
Meanwhile, Assembly Energy Committee Chairman Kevin A. Cahill, D-Kingston, has proposed a bill to create the Power Solutions Program, also a permanent replacement for Power for Jobs. It would add another 150 megawatts to the program.
"We heard time and again from businesses and economic development leaders that the current year to year approach was not working," Mr. Cahill said in a press release.
Under Assemblyman Cahill's proposal, businesses would enter seven-year contracts with a mid-contract compliance review that would determine eligibility for a subsequent award. Businesses must undergo energy audits and follow through with energy efficiency measures.
Residential customers would have access to an energy efficiency program as opposed to the rural and domestic power program. The savings should be at least as much as what those customers receive now, Mr. Cahill's release said.
Mr. Aubertine said he expects a few other proposals for a Power for Jobs replacement, but said they could be reconciled if needed.
