Labor and green groups look for another big win: Decarbonizing state buildings

ALBANY, N.Y. — An alliance of unions and environmental groups has returned after scoring a victory last year with a new target: shovel-ready plans to decarbonize the biggest state-owned energy gobblers.

The coalition has already made major progress by getting both the Assembly and Senate to include their proposal to require decarbonization of state-owned buildings in their one-house budget plans. That includes mandating the completion of shovel-ready plans to eliminate on-site fossil fuel use at the 15 biggest polluters by April 2025, with a focus on large-scale geothermal and other thermal energy networks.

Union leaders backing the plan say it will ensure there’s a steady flow of work to enable hiring more people from low-income and minority communities, particularly those most impacted by pollution and climate change. It will also ensure workers who today work in the fossil fuel industry — including installing and maintaining new gas pipelines and equipment — see a path forward as the state moves toward its climate goals, they say.

“Thermal energy networks provide that transition for the very workers that install fossil fuel systems and appliances today,” said John Murphy, international representative for the United Association of Journeyman and Apprentices of the Plumbing and Pipe Fitting Industry. “While there's never a perfect transition, this is as close as it gets to a promising transition for so many workers in that industry.”

The UpgradeNY campaign has the backing of the AFL-CIO and the New York State Building and Construction Trades Council. Environmental groups including the New York League of Conservation Voters and Building Decarbonization Coalition are also involved.

A similar alignment, which also included some utilities, last year successfully got the Legislature to pass and Hochul to sign a measure allowing gas and electric utilities to build thermal energy networks and requiring some pilots.

Thermal energy networks can connect multiple buildings on say, a college campus, with pipes and pumps that utilize energy from wastewater, geothermal boreholes, lakes and other sources to provide heating and cooling services.

Some of the state's largest energy guzzlers include Stony Brook University, the Empire State Plaza complex in Albany, the University at Buffalo, CUNY's City College of New York campus and Grand Central Terminal, according to state data.

Environmental groups see the proposal for state buildings as a way to prove out large-scale decarbonization efforts and support the state’s climate law, which requires an 85 percent reduction in emissions from 1990 levels by 2050.

“We need to scale up how we’re decarbonizing heating, cooling and water heating in a much bigger way,” said Julie Tighe, president of the New York League of Conservation Voters. “We want to make sure that we’re not just doing weatherization and lightbulbs. We want to make sure we’re looking at solutions that generate jobs … and really deal with on-site fossil fuel usage.”

The legislative proposal also requires total on-site emissions at state-owned buildings to be reduced 50 percent by 2031 from a 2024 baseline and sets a zero on-site emissions goal for 2041. That would require major retrofits and upgrades to remove gas boilers and other fossil fuel equipment.

Ninety percent of the state’s building space is overseen by six entities, according to NYPA: SUNY, the Department of Corrections & Community Supervision, CUNY, the Office of Mental Health, the Office of General Services and the Metropolitan Transportation Authority.

The state’s "New Efficiency: New York" program sets a target for state buildings to reduce energy use by 11 trillion British thermal units, or roughly 25 percent by 2025 compared with a baseline of 2014. The focus is on total energy use rather than only on-site emissions. The BuildSmart 2025 program overseen by the New York Power Authority is intended to achieve those reductions.

NYPA has long played a significant role in efforts to reduce emissions and energy use at state buildings, including by providing technical support and low-cost financing for projects. State agencies typically pay back NYPA for their work, which is financed through low-cost bonds.

The legislative proposal is a departure from that model, since it mandates NYPA to provide grants — rather than loans — to state entities required to decarbonize. NYPA officials have typically been wary of programs that mandate spending without a payback option because it could impact their bond rating.

“A lot of those details I think are still to be worked out,” said Sen. Michelle Hinchey (D-Saugerties), who along with Assemblymember John McDonald (D-Troy) pushed for the inclusion of the measure in their respective one-house budget proposals. “But we know NYPA has a lot of money, and to be able to do these things this is the work that they and are all of our agencies are kind of working towards.”

McDonald said he’s optimistic about the chances of including a version of the measure in a final budget.

“Let’s not only talk about it — let’s get it done,” he said. “Let them know there is life after gas lines.”