New York is racing the clock on renewable energy projects

September 26, 2025

In today’s CapCon:

  • Gov. Kathy Hochul is directing the state’s energy agencies to accelerate approvals for renewable energy projects before federal tax credits expire.

  • Cannabis shops found to be too close to schools after a reinterpretation of law by the state are safe from any sanctions for now, a state judge ruled.

  • Republicans in the state Legislature are urging judges in at least four cases to invalidate the state’s new freshwater wetlands regulations.

  • SUNY is trying to appeal to the parents of prospective students. Here’s how.

Names in today’s CapCon: Donald J. Trump, Kathy Hochul, Gavin Donohue, Felicia A.B. Reid, Jorge Luis Vasquez Jr., Andrew Molitor, Joe Sempolinski, Phil Palmesano, John Lemondes, Joe Angelino, Chris Friend, Brian Maher, Stephen Hawley, George Borrello

(Lori Van Buren/Times Union)

There are a lot of moving parts to the future of energy production in New York.

The state asks developers of renewable energy projects each year for proposals that could help New York achieve its emissions reduction mandates.

The annual call went out Friday but came with a warning that this year would be different: It could be the last round in which developers of solar and wind energy have a strong incentive to invest in those projects.

That’s because the federal tax credit that’s made them less expensive to build is set to expire after the “One Big Beautiful Bill” was signed into law this year by President Donald J. Trump.

That incentive, which provides a 30% tax credit for renewable energy projects, is being phased out. Construction has to start by the middle of next summer with a deadline to come online by the end of 2027 to still be eligible.

Gov. Kathy Hochul has directed the New York State Energy Research and Development Authority to focus its consideration on projects that are essentially shovel-ready.

“We are seizing every opportunity to leverage federal incentives, reduce costs for ratepayers, and build a more resilient, sustainable and reliable energy grid,” Hochul said in a statement.

That aligns with what she said earlier this week in western New York when asked what the state could do to stop the expedited increase in the cost of energy that New Yorkers have seen in their monthly utility bills.

“My view is it’s about supply, just like housing: We build more housing, the prices will drop,” Hochul said.

Gavin Donohue from IPPNY (Lori Van Buren/Times Union)

Democrats in the state Senate held a virtual roundtable on Friday to hear thoughts from stakeholders on how New York can work toward its energy and emissions mandates.

 

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