In unveiling the plan, the Governor said it is vital that New York
take action to minimize the current impact of high fuel prices,
increase the use of renewable energy, and develop a long-term
strategy to lower the State's dependence on foreign fossil fuels.
He noted that high home heating oil prices threaten seniors and
needy families on limited incomes, while elevated gas prices hurt
all consumers and have a negative impact on New York's business
community and ability to create jobs.
"This energy plan not only offers immediate energy savings for
residents and businesses, but also sets a course that will improve
energy efficiency and help us to decrease our dependence on
foreign fossil fuels," Pataki said. "New York is a national leader
in the use of renewable energy, but we remain susceptible to
individual and economic impacts of rising energy costs. In light
of the current energy situation, I call on the Legislature to join
me in renewing our commitment to improve energy efficiency and
diversify our energy supplies so that New York will be less
vulnerable to energy price volatility."
The Governor also noted that the Federal government passed an
energy bill this year that provides some valuable incentives to
promote greater energy efficiency and use of renewable fuels.
However, further action is needed at the Federal level, in
conjunction with State efforts, to provide long-term solutions to
decrease our dependence on foreign oil supplies.
The Governor's Strategic Energy Action Plan includes assistance to
offset higher expected heating bills this coming fall and winter.
Details can be found at the link following the story. Measures
promoting energy efficiency, and renewable energy, however, follow
in the bullet points below.
-- Tax Credit for Upgrades to Home Heating Systems - A refundable
Personal Income Tax credit, up to $500, would be offered to
homeowners for 50 percent of the costs related to the upgrade or
renovation of a residential home heating system. This credit would
provide $25 million in annual savings to homeowners.
-- Sales Tax Free Week for Energy Star - To encourage home energy
conservation, two sales-tax-free weeks would be offered for the
purchase of energy-efficient Energy Star appliances, weather
stripping, caulk, or insulation. This is similar to a proposal in
the Governor's 2005-06 Executive Budget. This is expected to save
consumers $3 million this fiscal year, and $6 million annually in
subsequent fiscal years.
-- Tax Credit for Alternative Vehicles - Similar to a proposal in
this year's Executive Budget, the State would provide a refundable
tax credit for individuals or corporations that purchase hybrid
vehicles. The tax credits, up to $4,000 depending on vehicle
weight, would be limited to individuals with incomes under
$150,000. The State would also provide a credit for clean-fuel
equipment installed in a motor vehicle other than a hybrid
vehicle. This clean-fueled vehicle credit would be up to $10,000
depending on vehicle weight. The estimated cost-savings for
consumers is $10 million annually.
-- Incentives for Alternative Fuel Production - Originally
proposed by the Governor in his 2005-06 Executive Budget, the
State would offer a bio-fuel production tax credit, up to $1
million per taxable year, for costs associated with constructing a
bio-fuel facility, or producing or storing bio-fuel.
-- Bulk Purchasing of Electricity - The Governor also called for
legislation, similar to a proposal in this year's Executive
Budget, that would authorize the State Office of General Services
(OGS) to buy electricity directly on the open market for use by
the State and localities, and to supply alternative fuels to these
entities. The bulk purchasing and energy supplies would create
additional opportunities for overall energy cost-savings. OGS
currently uses bulk purchasing of gasoline and heating fuel to
provide cost-savings for the State, localities and schools.
-- HOV Lanes for Alternative-Fueled Vehicles - The Governor has
proposed a measure to increase energy efficiency by allowing
alternative-fueled vehicles to utilize High Occupancy Vehicle (HOV)
lanes regardless of the number of passengers in the vehicle. This
is another incentive to promote the purchase of hybrid and other
alternative-fueled vehicles.
For more information, see the following link.