Lawmakers have returned to Albany with a clear mandate from voters to lower the cost of living and address the affordability crisis.
Amid this backdrop, Governor Kathy Hochul is rightfully signaling a more cautious approach to implementing new climate and energy policies that would otherwise slam New Yorkers with increased costs. Yet the governor’s proposed budget also speaks volumes for what it leaves out: clarity on how cost-effective renewable fuels will be incorporated into her self-stated “all-of-the-above” approach to the state’s energy mix.
Biofuels are a lifeline not only for home and building owners, but also for heavy-duty truckers and every consumer who purchases the 96% of all goods that are delivered by truck. Staring down a double whammy of congestion pricing and mandates to switch to prohibitively expensive all-electric trucks — for which an adequate charging infrastructure doesn’t yet exist — renewable fuels have to be part of the mix to keep consumer costs down.
Biodiesel blends for buildings (a mixture of biodiesel and traditional fuel) and renewable diesel vehicle fuel are so-called “drop-in” fuels. That means they work with existing equipment without the need to engage in a cost-prohibitive rip-and-replace process for building heat boilers or truck engines and fuel systems. And they deliver immediate emissions benefits, up to 86% lower than petroleum diesel.
Albany needs to make a concerted effort in the coming months to make renewable diesel and biodiesel a key component of decarbonizing buildings and transportation — especially as the federal government moves to tie states’ hands by limiting renewable generation options like offshore wind.
This isn’t an abstract concept relying on unproven future technology. It’s a solution that is being deployed right now, albeit in a regrettably limited fashion.
Renewable diesel is powering New York City’s heavy-duty vehicle fleet, is being rolled out for city ferries, and is increasingly being made available by the state for agencies, authorities, schools and municipalities to use. And the city has been using bioheat blends for more than a decade to heat municipal buildings and schools citywide.
Still, heating fuel providers who want to increase blends — including up to a 100% biodiesel option — and fleet operators who want to fill up on the road have limited options because New York’s biofuels market is still comparatively in its infancy stage. California, by contrast, which long ago implemented policy to increase the use of biofuels alongside growth in electrification, is the nation’s leading market for U.S.-produced biofuels.
Policies like a clean fuel standard for New York would help increase availability and drive further emissions reductions among those who need cost-effective options right now. They also could be key in protecting against the catastrophic energy challenges on our horizon.
The simple fact is the renewable generation that certain state lawmakers and advocates are so desperately clamoring for more of isn’t keeping up with projected demand driven by mandates to build more all-electric buildings and sell more electric vehicles.
The New York Independent System Operator is frantically waving red flags about “growing risks” to electric system reliability – particularly in the energy-hungry downstate market. Energy-intensive commercial projects like data centers and chip fabrication plants are projected to add to the strain, raising the risk of brownouts and blackouts that have significant public safety, public health and financial costs.
Despite the state’s efforts to build more wind and solar, Cornell researchers are sounding the alarm that the state is behind in developing “dispatchable emissions-free resources” that can be deployed when these renewable energy resources fall short.
It’s all the more reason to help more New Yorkers tap into renewable fuels as we await reasonable price drops for all-electric options and for the actual megawatts that will power them. The alternative is that New Yorkers just keep burning fossil fuels, which might not require expensive upgrades to use, but do nothing to advance New York’s emissions reduction goals.
It’s time to stop missing the forest for the trees.
Thomas J. Grech is president and CEO of the Queens Chamber of Commerce
