New York Court Denies Challenge To New York Nuclear Subsidies (Costs Recovered From ESCOs)
October 10,2019
The Supreme Court for the County of Albany, NY has denied a challenge to the Zero Emissions Challenge program established by the New York PSC to provide subsidies to certain nuclear plants
New York's ZEC program is notable because it imposes a compliance obligation on ESCOs and the default service supplier on the supply side of the bill
The PSC's order was challenged by various IPPs and certain environmental groups
Generally, the court found that the PSC demonstrated adequate administrative record support for the PSC's decision
The Court found that the PSC's order was not arbitrary or capricious
The Court cited the PSC's broad statutory power to set rates charged by utilities and found that the PSC had established a rational basis for ZEC pricing methodology adopted by the PSC
All of the claims made by parties challenging the ZEC program were denied
Hudson River Sloop vs. NYS PSC, et al; Index Number: 7242-16