Bill > A03975

This bill establishes an economy-wide cap and invest program to reduce greenhouse gas emissions in New York State through a comprehensive regulatory framework. The program will create an annually declining limit on total greenhouse gas emissions across covered sources, with allowances (emissions permits) distributed through auctions and direct allocations. Key provisions include prioritizing emissions reductions in disadvantaged communities, setting specific emissions limits for facilities in these areas, and creating mechanisms to prevent economic harm to energy-intensive and trade-exposed industries (EITEs). The bill requires quarterly auctions of emissions allowances, with a minimum and maximum price for these allowances, and establishes a process for potentially linking New York's program with similar initiatives in other jurisdictions. The New York State Energy Research and Development Authority will manage the auction process, with all proceeds deposited into the New York Climate Action Fund. The program includes robust reporting requirements, regular program reviews, and enforcement mechanisms with penalties of up to $12,500 per day for violations. Importantly, the bill explicitly aims to reduce greenhouse gas emissions while protecting vulnerable communities and maintaining economic competitiveness, reflecting the state's commitment to addressing climate change through a structured, market-based approach.

Agriculture and Natural Resources

https://www.nysenate.gov/legislation/bills/2025/A3975