Greenhouse gas emissions in New York are the byproduct of energy use in buildings, transportation, and industrial sectors that the state and city aim to reduce through ambitious climate goals. This page covers CBC’s work on the Climate Leadership and Community Protection Act, New York City’s Local Law 97, the design of state cap-and-invest programs, building electrification, and the fiscal impacts of climate policy.
This page was created with AICBC Insights uses AI to group, analyze and present data and recommendations from CBC's publications. Always reference the cited sources to verify important details..
New York State’s leaders should recalibrate the CLCPA's emission reduction goals and adopt the emissions accounting used by other states.
The Legislature should adopt the approach of modifying the CLCPA to move New York in the right direction.
The State should reset its goals to be ambitious but attainable enough to underpin policies and investments that are affordable and promote economic growth—including a well-designed cap-and-invest program.
The State should clearly identify the full cost and impact of every proposal and program to all residents, businesses, and the State budget, as well as the impacts on jobs across sectors and regions.
The State should conduct and publicly release a more robust assessment of NYCI’s potential fiscal and economic impacts before or with the draft rules.
New York should recalibrate the 2030 emissions reduction goal to be ambitious but feasible, ensuring it is balanced with economic growth.
The State should present a detailed plan to use the program’s revenue, which could exceed $30 billion over the next 5 years.
The State should permit banking of allowances from the start, instead of after the first compliance period, to help smooth program costs.
The Department of Environmental Conservation should consider regulating co-pollutants separately from NYCI to avoid unintended effects on program compliance costs.
The State should allow limited use of rigorously verified offsets to improve the program's design.
The State should modify design elements to facilitate linkage with other systems and broaden coverage.
The State should proceed with rulemaking only when comprehensive assessments are public and based on recalibrated targets.
The State should periodically evaluate and adjust the program based on experience.
The State should consider switching to the conventional emissions accounting methodology.
Key Data
According to a November 2023 report, New York State's Climate Leadership and Community Protection Act (CLCPA) established statewide goals to reduce greenhouse gas emissions by 40% by 2030 and 85% by 2050, relative to 1990 levels.
A November 2023 analysis pointed out that less than 3% of United States greenhouse gas emissions originate from New York State, indicating that local efforts alone cannot fully address global climate change.
In October 2023, the CBC cited city estimates showing that 15,000 buildings were out of compliance with their 2030 emissions limits, potentially requiring up to $15 billion in upgrades to meet the second compliance period standards.
In November 2022, the CBC noted that New York City's Local Law 97 set targets to reduce greenhouse gas emissions from buildings larger than 25,000 square feet by 40% by 2030 and 80% by 2050, relative to their 2005 levels.
A November 2021 policy brief reported that in 2018, the transportation sector was New York State's largest emissions source, generating 83.3 MMT of CO2, or 47% of the state's total emissions.
2040 is the year by which New York State has to reduce its greenhouse gas emissions by 60% to the maximum extent feasible and cost effective, under the newly-amended Climate Leadership and Community Protection Act (CLCPA). The State also changed how it will measure greenhouse gas emissions to align with…
New York State should recalibrate its CLCPA emission reduction goals and adopt standard emissions accounting practices to ensure policies remain affordable and support economic growth. The state needs to reset its targets to be attainable while clearly identifying the full costs and impacts of climate proposals on residents, businesses, and the budget.
Recommendations related to Greenhouse Gas Emissions
New York State’s leaders should recalibrate the CLCPA's emission reduction goals and adopt the emissions accounting used by other states.
The Legislature should adopt the approach of modifying the CLCPA to move New York in the right direction.
The State should reset its goals to be ambitious but attainable enough to underpin policies and investments that are affordable and promote economic growth—including a well-designed cap-and-invest program.
The State should clearly identify the full cost and impact of every proposal and program to all residents, businesses, and the State budget, as well as the impacts on jobs across sectors and regions.
97 - that's the number of days between this conversation and the release of the Governor's Fiscal Year 2026 Executive Budget. But how the State will close its $16 billion structural gap isn't the only important issue facing New York State. How will the State buttress resiliency, reduce greenhouse gas…
New York's proposed cap-and-invest program risks shifting emissions and jobs out of state while imposing significant costs on residents and businesses, potentially reaching $12 billion annually by 2030. To ensure the program effectively balances environmental goals with economic vitality, the state should recalibrate its 2030 emissions targets, provide transparent fiscal impact assessments, and detail a clear plan for utilizing the projected $30 billion in program revenue.
Recommendations related to Greenhouse Gas Emissions
The State should conduct and publicly release a more robust assessment of NYCI’s potential fiscal and economic impacts before or with the draft rules.
New York should recalibrate the 2030 emissions reduction goal to be ambitious but feasible, ensuring it is balanced with economic growth.
The State should present a detailed plan to use the program’s revenue, which could exceed $30 billion over the next 5 years.
The State should permit banking of allowances from the start, instead of after the first compliance period, to help smooth program costs.
The Department of Environmental Conservation should consider regulating co-pollutants separately from NYCI to avoid unintended effects on program compliance costs.
The State should allow limited use of rigorously verified offsets to improve the program's design.
The State should modify design elements to facilitate linkage with other systems and broaden coverage.
The State should proceed with rulemaking only when comprehensive assessments are public and based on recalibrated targets.
The State should periodically evaluate and adjust the program based on experience.
The State should consider switching to the conventional emissions accounting methodology.
Key Data
$12 billion
— Potential annual cost of the new emissions charge by 2030.
$30 billion
— Potential revenue generated by the program over the next 5 years.
85% is the amount New York State must reduce greenhouse gas emissions by 2050. The State’s Cap-and-Invest program is a key strategy to cap and reduce emissions, auction emission rights, and invest proceeds in energy transition. Doreen Harris, President and CEO of NYS Energy Research and Development Authority, and Basil…
New York's proposed Cap-and-Invest program aims to reduce greenhouse gas emissions by 85 percent by 2050, but its success depends on careful design to balance environmental goals with economic competitiveness. To ensure cost-effectiveness, the state should prioritize broad sectoral coverage, allow linkage with other trading programs, and maintain compliance flexibility while managing revenues transparently.
Recommendations related to Greenhouse Gas Emissions
Allow and pursue linkage with other cap-and-invest programs to enhance cost-effectiveness by providing a larger pool of emissions reduction opportunities.
Keep sectoral coverage as broad as possible to tap into varied emissions reduction opportunities across different regions and economic sectors.
Maintain flexibility in compliance through trading, banking, and verifiable offsets to ensure the program behaves as a true market.
Allocate revenue on-budget to ensure transparent and accountable use of funds toward climate-benefitting initiatives.
Regularly monitor, publicly report, and evaluate program data to inform necessary programmatic modifications and facilitate public scrutiny.
Align the program with other CLCPA-related regulations to minimize overlapping regulatory costs and improve overall policy effectiveness.
Finalize clear and comprehensive rules with adequate time for businesses to prepare for their compliance strategies.
Key Data
85 percent
— New York's goal to reduce greenhouse gas (GHG) emissions by 2050.
$38 billion
— Revenue generated by California's cap-and-invest system since it began operating in 2013.
3 percent
— Percentage of US GHG emissions that come from New York.
$112,790 Million
— Cumulative auction revenue for the European Union Emissions Trading System.
$6,749 Million
— Cumulative auction revenue for the Regional Greenhouse Gas Initiative.
3 percent
— Estimated increase in the price of allowances if facility-specific caps were implemented in disadvantaged communities.
New York City's Local Law 97 aims to reduce building emissions, with 15,000 buildings currently projected to be out of compliance for the 2030 period. Meeting these future requirements may necessitate up to $15 billion in building upgrades, highlighting the need for clear regulatory pathways and flexible compliance options.
Recommendations related to Greenhouse Gas Emissions
Additional rules should more clearly define the eligibility criteria for emissions-limit adjustments based on needs, including adjustments for high-density occupancy buildings and buildings facing financial hardship.
The City should allow carbon trading within an owner’s portfolio, permitting building owners to trade emissions credits across their portfolio of buildings to target emissions-reduction efforts where the cost is lowest.
The City should expand allowable Renewable Energy Credits (RECs) to include offshore wind and a phased-down portion of Tier 2 RECs.
Rules for the 2030-34 compliance period, which has much lower emissions limits and will require greater investment, should be released well in advance of 2030 to ensure sufficient time to plan for and make investments for compliance.
Key Data
15,000
— Number of buildings currently estimated to be out of compliance with their 2030 emissions limit.
$15 billion
— Estimated cost of building upgrades needed to meet the requirements of the second compliance period.
New York must prioritize cost-effective strategies to reduce greenhouse gas emissions and increase resiliency to protect its economic and environmental future. Additionally, implementing a vehicle miles traveled fee can provide stable transportation funding as environmental initiatives reduce reliance on gas tax revenue.
Recommendations related to Greenhouse Gas Emissions
The state should identify and prioritize the most cost-effective and least disruptive strategies to reduce greenhouse gas emissions and increase resiliency.
The state should pilot a vehicle miles traveled (VMT) fee to secure reliable funding for transportation infrastructure, as successful environmental efforts will appropriately decrease gas tax receipts.
New York aims to reduce greenhouse gas emissions by 40 percent by 2030 and 85 percent by 2050, but the current Climate Action Council Final Scoping Plan lacks the necessary cost-benefit analysis to effectively guide these efforts. Policymakers must prioritize strategies that maximize emissions reductions while minimizing economic disruption and costs to residents and businesses.
Recommendations related to Greenhouse Gas Emissions
The State should calculate the cost-effectiveness of each strategy to ensure informed decision-making.
Policymakers must identify, publicize, and consider the impacts of various strategies on residential and business utility rates, state economic competitiveness, and the State’s operating and capital budgets.
The State should prioritize strategies that generate the greatest emissions reduction at the lowest cost to New Yorkers.
Legislators should increase housing density near public transit via transit-oriented development.
The State should reduce waste generation and improve waste collection through an extended producer responsibility program, a volume-based waste fee, and organic waste reduction.
Key Data
40 percent
— New York's goal for reducing greenhouse gas emissions by 2030 from 1990 levels.
85 percent
— New York's goal for reducing greenhouse gas emissions by 2050 from 1990 levels.
80% is the reduction in greenhouse gas emissions NYC buildings are required to achieve by 2050 under Local Law 97. This is but one of the many climate and environmental initiatives New York City will implement in the years to come. As the science, technology, and needs continue to evolve,…
Commissioner Aggarwala discussed the Adams administration’s plans to increase the city’s resilience, reduce greenhouse gas emissions, and strengthen the NYC Department of Environmental Protection (DEP). Rohit T. "Rit" Aggarwala is a widely recognized expert on urban sustainability, technology, and mobility, and, as Chief Climate Officer he oversees the administration’s environmental…
Local Law 97 mandates that buildings over 25,000 square feet reduce greenhouse gas emissions by 40 percent by 2030 and 80 percent by 2050 compared to 2005 levels. To achieve these goals, regulators should provide clearer compliance pathways, including flexible emission limit adjustments, expanded renewable energy credit options, and internal carbon trading mechanisms for building owners.
Recommendations related to Greenhouse Gas Emissions
Specify, expand, and continue emission limit adjustments for density and specific uses to better capture the energy intensity of each type of use.
Set an accelerated, public timeline for rulemaking that includes critical rules governing limit adjustments and penalty mitigation as well as universal criteria, so building owners can determine their eligibility and adjusted requirements as-of-right.
Provide buildings with flexibility to meet emissions goals by allowing buildings to purchase unlimited amounts of RECs associated with downstate offshore wind projects and limited amounts of RECs from existing generation.
Allow owners of multiple buildings to target the most cost-effective emissions reductions across their assets by establishing a carbon trading scheme that allows credits to be traded within a portfolio.
Key Data
40 percent
— Greenhouse gas emissions reduction goal for buildings larger than 25,000 square feet by 2030.
80 percent
— Greenhouse gas emissions reduction goal for buildings larger than 25,000 square feet by 2050.
25,000 square feet
— Size threshold for buildings subject to Local Law 97 greenhouse gas emissions reduction goals.
2005
— Baseline year for measuring greenhouse gas emissions reduction goals.
New York State and City have established ambitious goals to significantly reduce greenhouse gas emissions by 2050 through energy efficiency and renewable energy adoption. To achieve these targets effectively, policymakers must prioritize cost-effective strategies, provide clear regulatory guidance for building owners, and balance economic impacts on businesses and households.
Recommendations related to Greenhouse Gas Emissions
The Final Scoping Plan should calculate and identify the cost-effectiveness of each mitigation strategy to provide the information needed for prioritization.
Policymakers should identify specific mitigation strategies and incentives to better understand the measures that would encourage businesses and households to adopt low-emission technologies.
The Final Scoping Plan should determine the probabilities associated with different mitigation strategies because cost-effectiveness alone is not sufficient for prioritization.
The Final Scoping Plan should disaggregate the financial impacts of each strategy on businesses and households to help prioritize strategies that maximize equity and minimize negative economic impacts.
The Final Scoping Plan should identify the distribution of benefits and costs across stakeholder groups, industries, and geography to understand how costs might fall heavily on specific sectors.
Regulators should adjust credits appropriately for lack of renewable energy availability to encourage electrification if the greening of the grid is slower than established by the CLCPA.
Regulators should expand allowable Renewable Energy Credits (RECs) to offshore wind and a phased-down portion of Tier 2 RECs to provide buildings with flexibility while the electric grid remains fossil fuel-powered.
Regulators should specify, expand, and continue emission limit adjustments for density and specific uses to alleviate counterproductive disincentives to density and economically vital uses.
Regulators should specify and extend need-based building-level adjustments by setting an accelerated, public timeline for rulemaking so building owners can determine their eligibility as-of-right.
Regulators should allow carbon trading within an owner’s portfolio to allow owners of multiple buildings to target the most cost-effective emissions reductions across their assets.
Key Data
40 percent
— Statewide greenhouse gas reduction goal by 2030 under the Climate Leadership and Community Protection Act.
85 percent
— Statewide greenhouse gas reduction goal by 2050 under the Climate Leadership and Community Protection Act.
40 percent
— Greenhouse gas emission reduction goal for large buildings in New York City by 2030 under Local Law 97.
80 percent
— Greenhouse gas emission reduction goal for large buildings in New York City by 2050 under Local Law 97.
Congestion pricing serves as a critical tool for reducing traffic and emissions while generating necessary revenue for the transit system's capital needs. To be effective, the program should minimize exemptions and credits, vary tolls by time of day, and utilize ongoing monitoring to ensure it meets its environmental and financial goals.
Recommendations related to Greenhouse Gas Emissions
Vary tolls based on the time of day and day of the week to prioritize both raising revenue and reducing congestion and emissions.
Limit exemptions to those specified in the law and perhaps to for-hire vehicles and taxis, and do not provide credits for MTA or Port Authority tolls, as proliferating exemptions would increase the toll other drivers would face in order to generate $1 billion in annual revenue.
Clearly communicate the tolls to enable drivers to know how much they would pay for different trip times and modify their trips accordingly as the law intends.
Monitor and report congestion pricing outcomes and operational metrics to inform future policy adjustments regarding congestion and emissions.
Consider charging a VMT fee for trips occurring entirely within the zone to remove in-zone vehicles’ de facto exemption from the charge.
Key Data
$1 billion
— The annual revenue goal for the congestion pricing program.
$5
— The lower end of the cost increase for non-exempted cars resulting from increased exemptions and credits.
$14
— The upper end of the cost increase for non-exempted cars resulting from increased exemptions and credits.
New York State aims to reduce greenhouse gas emissions by 85 percent from 1990 levels by 2050, requiring significant investment and cost-effective strategies. The Final Scoping Plan must provide detailed data on mitigation costs, economic impacts, and specific incentives to guide policymakers in achieving these targets efficiently.
Recommendations related to Greenhouse Gas Emissions
The State should calculate and identify the cost effectiveness of each mitigation strategy to provide a basis for prioritization.
The State should utilize market incentives as much as possible, such as a fee system or a cap-and-trade system, to incentivize low-emission choices.
The State should disaggregate the financial impacts of each strategy on businesses and households to help prioritize strategies that maximize equity.
The State should specify the incremental costs of achieving the 2050 goal to support public discussion on economic impacts.
The State should retain the low carbon benefits of nuclear energy as a key component of the decarbonization path.
The State should maximize the distribution of renewable energy throughout the state to ensure energy is available for businesses and households downstate.
The State should promote transportation strategies that build on existing infrastructure to mitigate the use of private automobiles.
The State should identify and assess the economic impacts of mitigation strategies on various industries’ or geographies’ productivity and competitiveness.
The State should identify benefits and costs to the economy and their distribution to each stakeholder group.
The State should determine the probabilities associated with different mitigation strategies to ensure prioritization based on success likelihood.
Key Data
85 percent
— The target reduction for statewide greenhouse gas emissions from 1990 levels by 2050.
$300 billion
— The estimated total costs through 2050 on a discounted present value basis for the proposed climate scenarios.
New York City's Local Law 97 aims to cut emissions from large buildings by 40 percent by 2030 and 80 percent by 2050, but implementation challenges threaten cost-effectiveness. Adjusting compliance paths, expanding renewable energy credits, and allowing portfolio-wide carbon trading are essential to ensure building owners can meet these ambitious climate goals.
Recommendations related to Greenhouse Gas Emissions
The City should adjust credits appropriately for lack of renewable energy availability to encourage electrification if the greening of the grid is slower than established by the New York State Climate Leadership and Community Protection Act.
The City should expand allowable Renewable Energy Credits (RECs) to offshore wind and a portion of Tier 2 RECs to provide buildings with flexibility while the electric grid remains mostly fossil fuel-powered.
The City should specify, expand, and continue emission limit adjustments for density and specific uses to alleviate counterproductive disincentives to density and certain economically vital uses.
The City should specify and extend need-based building-level adjustments by setting an accelerated, public timeline for rulemaking that includes critical rules governing limit adjustments and penalty mitigation.
The City should allow carbon trading within an owner’s portfolio to allow owners of multiple buildings to target the most cost-effective emissions reductions across their assets.
The City should adjust limits and penalties appropriately to the post-pandemic economy by studying whether emissions limits or alternative compliance paths should be modified due to permanent shifts in work patterns or financial strain.
Key Data
40 percent
— The goal for cutting emissions from large buildings by 2030.
80 percent
— The goal for cutting emissions from large buildings by 2050.
$268 per metric ton
— The maximum annual fine for buildings with emissions above the limit.
one in four
— The number of affected buildings that do not comply with 2024 emissions levels.
three in four
— The number of affected buildings that will not comply when 2030 limits take effect.
24 percent
— The portion of buildings needing to cut emissions by more than half to comply with 2030 standards.
Local Law 97 of 2019 establishes annual greenhouse gas emission limits for buildings over 25,000 square feet in New York City. To ensure these goals are met efficiently, policy and compliance rules should be tailored to encourage investments in emissions reduction rather than the payment of penalties.
Recommendations related to Greenhouse Gas Emissions
The City should tailor policy and compliance rules to provide cost-effective compliance paths that promote investments in emissions reduction, rather than simply paying penalties.
New York's transportation sector is the largest source of carbon dioxide emissions in the state, with emissions rising significantly even as other sectors become more efficient. To meet the state's ambitious climate goals, policymakers must address the increase in aviation travel and the persistent use of motor gasoline through measures like congestion pricing, carbon fees, and zero-emission vehicle mandates.
Recommendations related to Greenhouse Gas Emissions
Implementing congestion pricing in Manhattan should reduce emissions.
State leaders also should consider how transportation emission reductions can be encouraged when making tax policy, state spending, and local aid decisions.
Governor Kathy Hochul recently signed legislation mandating that 100 percent of new passenger cars and trucks sold in NYS be zero-emissions by 2035.
The State also should consider other options, such as carbon fees to build the cost of carbon emissions in the price of fossil fuel heavy transport options like gas cars and aviation with the intent to reduce their use.
Key Data
47 percent
— The transportation sector's share of New York State's total annual carbon dioxide emissions in 2018.
175.9 MMT
— Total carbon dioxide emissions contributed by New York State into the atmosphere in 2018.
83.3 MMT
— The amount of carbon dioxide emissions generated by the transportation sector in 2018.
31 percent
— The increase in transportation emissions in New York State between 1990 and 2018.
4.3 metric tons
— Transportation emissions per capita in New York State in 2018.
22 MMT
— The amount of aviation-related emissions in 2018, up from 2 MMT in 1990.
Local Law 97 aims to reduce greenhouse gas emissions from large New York City buildings by 40 percent by 2030 and 80 percent by 2050, but the law's implementation faces challenges regarding renewable energy supply, building density, and economic impacts. To ensure cost-effective compliance, the City should refine its regulatory approach by adjusting credits, expanding renewable energy options, and providing flexible, need-based adjustments for building owners.
Recommendations related to Greenhouse Gas Emissions
DOB should adjust credits for beneficial electrification to account for the current lack of renewable energy availability, incentivizing owners to switch to electric systems sooner.
The City should expand allowable Renewable Energy Certificates (RECs) to include offshore wind and a phased-down portion of Tier 2 RECs to provide building owners with greater flexibility.
DOB should specify, expand, and continue emission limit adjustments for high-density and energy-intensive uses to prevent counterproductive disincentives for economically vital activities.
The City should specify and extend need-based building-level adjustments by setting an accelerated, public rulemaking timeline and universal criteria for eligibility.
DOB should allow carbon trading within an owner’s portfolio to enable the most cost-effective emissions reductions across multiple assets.
The City should adjust emissions limits and penalties to reflect the post-pandemic economy, considering permanent shifts in work patterns and financial strain.
Key Data
24%
— Percentage of affected buildings that were not compliant with 2024 limits.
75%
— Percentage of affected buildings that will not be compliant with 2030 limits.
$268
— Maximum annual fine per metric ton of CO2e emitted over a building's limit.
$218 million
— Estimated total annual penalties in 2030 for all covered buildings if 2019 emissions levels remain constant.
$20 billion
— Estimated total city-wide cost of reaching emissions limits set in the first and second compliance periods solely through energy efficiency retrofits.
68.3%
— Share of downstate energy production derived from fossil fuels in 2019.
Congestion pricing in Manhattan aims to generate $1 billion annually for MTA capital improvements while simultaneously reducing traffic congestion and vehicle emissions. To maximize these environmental and operational benefits, the program should implement variable tolling, limit exemptions, and monitor performance metrics to allow for future policy adjustments.
Recommendations related to Greenhouse Gas Emissions
Vary the congestion charge to prioritize both raising revenue and reducing congestion and emissions.
Limit exemptions to transit providers, those specified in the law, and perhaps to for-hire vehicles (FHVs) and taxis, as proliferating exemptions could reduce the program’s ability to... increase congestion and emissions.
Do not provide credit for payment of MTA or Port Authority of New York and New Jersey (PANYNJ) tolls, as credits increase the congestion charge for those who pay, and may increase traffic and congestion.
Vary the congestion charge while ensuring it is easy to understand and well communicated to minimize peak hour gridlock.
Consider charging a vehicle miles travelled (VMT) fee for those that stay in the zone to reduce congestion and emissions.
Monitor and report congestion pricing outcomes and operational metrics to ensure the program is meeting its revenue, congestion, and emissions goals.
Key Data
$1 Billion
— Annual revenue generated by the congestion toll to support the MTA's capital program.
$15 Billion
— Amount of the MTA's capital program supported by the congestion toll revenue.
$55 Billion
— Total value of the MTA's 5-year capital program.
$2.50
— Congestion pickup fee on taxis.
$2.75
— Congestion pickup fee on for-hire vehicles (FHVs).
$60,000
— Annual income threshold for residents of the congestion zone to be exempt from the toll.
$150 million is the amount of capital funding NYC has committed toward the creation of a Center for Climate Solutions on Governors Island. Joining the podcast to discuss this and other plans for Governors Island is Alicia Glen, Chair of the Trust of Governors Island and the former Deputy Mayor…
New York State must align its fiscal policies, including tax incentives and spending, with the Climate Leadership and Community Protection Act to effectively reduce greenhouse gas emissions. By eliminating subsidies for fossil fuels and transitioning government infrastructure to clean energy, the state can achieve its carbon-neutrality goals while potentially saving hundreds of millions of dollars annually.
Recommendations related to Greenhouse Gas Emissions
New York could limit its sales tax exemptions on residential energy, which currently apply to fossil fuels, to zero-emission fuels and renewable energy sources.
The state could tailor existing tax incentives to incorporate renewable energy by excluding heating systems that rely on fossil fuels from economic investment tax credits.
The state should transition buildings with aging heating systems away from fossil fuels where cost-effective.
Converting the 7,000 government fleet to electric vehicles and building charging infrastructure would accelerate the transition to clean transportation and lower maintenance costs.
The state should align spending decisions and tax policies that work at cross purposes with the CLCPA’s goals to advance all New Yorkers towards a clean energy future.
Key Data
$800 million
— Potential annual state savings from adjusting tax policies to exclude fossil fuel-reliant heating systems.
$200 million
— Amount spent by New York State on utilities, such as heating and cooling, in fiscal year 2019.
7,000
— Number of government fleet vehicles that could be converted to electric to accelerate the transition to clean transportation.
New York State's current tax and spending policies often subsidize fossil fuel consumption, undermining the state's ambitious goals to reduce greenhouse gas emissions under the Climate Leadership and Community Protection Act. To align fiscal policy with environmental targets, the state should eliminate tax exemptions for fossil fuel-based energy, transition public facilities and school fleets to renewable energy, and prioritize clean energy investments in economic development grants.
Recommendations related to Greenhouse Gas Emissions
The State should limit the residential energy sales tax exemption only to zero-emission fuels and renewable energy sources.
The State should lower or gradually eliminate the sales tax exemptions on fossil fuel-based residential energy sources.
To avoid creating economic hardship, the State should provide financial support to low-income households to enable them to afford switching to clean heating sources.
The State should eliminate exemptions for fossil-fuel based energy used for non-residential purposes, such as research and development.
The State should eliminate the sales tax exemption on gasoline that exceeds $2 per gallon to increase the price at the pump and reduce consumption.
The State should tailor tax credit programs to exclude heating systems that rely on fossil fuels.
The State should transition public building heating systems away from fossil fuels wherever cost-effective and feasible.
The State should accelerate the transition to clean fuel vehicles by purchasing electric vehicles and building vehicle charging infrastructure.
The State should stop reimbursing the cost of installing fossil fuel dependent building infrastructure or vehicles through economic development grants.
The State should use school aid to convert schools to renewable energy sources and incentivize the purchase of zero-emission school buses.
Key Data
$800 million
— Annual tax exemptions provided by New York State that reduce the cost of consuming fossil fuels.
$200 million
— Amount spent by the State on heating, cooling, and providing electricity to public buildings in fiscal year 2019.
7,000
— Number of passenger vehicles maintained in the State's vehicle fleet.
$1.8 billion
— Annual amount provided by the State in economic development grants to companies to subsidize expansion or relocation.
$5 billion
— Annual portion of the State's budget allocated for school building aid and transportation aid.
$369 million
— Fiscal impact of a partial repeal of the sales tax on residential energy, including wood, fuel oil, propane, natural gas, electricity, and steam.
New York State's Climate Leadership and Community Protection Act mandates a net-zero carbon economy by 2050, including a 70% renewable energy target by 2030 and the decarbonization of the electric sector by 2040. Simultaneously, New York City law requires buildings over 25,000 square feet to reduce emissions by 40% by 2030 and 80% by 2050 compared to 2005 levels.
Recommendations related to Greenhouse Gas Emissions
Continue to advance the energy efficiency of buildings to lower electrical demand.
Rapidly deploy significantly more renewable power, while we protect existing carbon-free generation such as hydro power and bring planned renewable resources online.
Modernize, optimize, and build-out the transmission system so that renewable energy quickly reaches the areas of heaviest use.
Upgrade local distribution networks to ensure customers receive reliable power.
Enable widespread use of energy storage combined with a focus on energy efficiency to ensure reliability, control costs, and manage demand.
Key Data
70%
— Renewable energy target for New York State by 2030.
40%
— Reduction in emissions from buildings over 25,000 square feet in New York City by 2030.
80%
— Reduction in emissions from buildings over 25,000 square feet in New York City by 2050 from 2005 levels.
New York is set to begin implementing the Climate Leadership and Community Protection Act, which aims to meet ambitious clean energy and emission reduction targets. To achieve these goals efficiently, the state is advised to adopt a revenue-neutral, economy-wide carbon pricing system alongside other cost-effective strategies.
Recommendations related to Greenhouse Gas Emissions
The State should pursue a revenue-neutral economy-wide carbon pricing system and other cost-effective approaches to achieve its clean energy and emission reduction goals.
New York State has set ambitious goals to reduce greenhouse gas emissions by 40 percent by 2030 and 85 percent by 2050, but achieving these targets cost-effectively requires a more flexible, market-based approach rather than prescriptive mandates. The state should prioritize competition and cost-efficiency across all sectors, including transportation and heating, while maintaining existing low-carbon resources like nuclear power.
Recommendations related to Greenhouse Gas Emissions
Establish an economy-wide carbon pricing system to deliver effective price signals to energy consumers.
Look beyond New York’s borders for low-cost, low-emission energy supplies and to cut GHG emissions.
Retain nuclear energy to retain the benefits of carbon avoidance.
Avoid self-imposed constraints such as limiting gas pipeline capacity.
Promote broad transportation solutions that build on existing infrastructure.
Establish a prioritization system to pursue renewables that provide the greatest GHG reductions at lowest cost.
Key Data
40 percent
— Goal to reduce GHG emissions by 2030 from 1990 levels.
85 percent
— Goal to reduce GHG emissions by 2050 from 1990 levels.
185 trillion
— British thermal units of energy efficiency increase targeted by 2025.
70 percent
— Target for electric power generated by renewable sources by 2030.
$2.3 billion
— Annual increase in electricity costs if the renewable target is met entirely with offshore wind.
94,000
— Gigawatt hours of additional renewables needed by 2040 to meet decarbonization goals.
Modernizing New York City's commercial waste collection through the establishment of non-exclusive waste zones offers a strategy to reduce vehicle miles traveled by 50 percent, thereby lowering carbon emissions and improving urban air quality. This approach aims to balance environmental goals with the need to maintain market competition and avoid the fiscal risks associated with exclusive service models.
Recommendations related to Greenhouse Gas Emissions
We urge enactment of non-exclusive waste zones, which will achieve most of the benefits resulting from a zone system while maintaining competition and customer service, and minimizing fiscal risk to the City.
We urge the City Council to amend Intro 1574 to permit DSNY to award contracts to three to five carters per zone.
Key Data
50 percent
— Projected reduction in vehicle miles traveled (VMT) under a non-exclusive zone model with three to five carters.
58 percent
— Projected reduction in vehicle miles traveled (VMT) under an exclusive zone model.
The Climate Leadership and Community Protection Act sets ambitious goals to reduce greenhouse gas emissions to 60 percent of 1990 levels by 2030 and achieve net-zero emissions by 2050. Achieving these targets will require a significant expansion of renewable energy sources and a reversal of rising emissions trends in the transportation sector, which currently accounts for 33 percent of all emissions.
Key Data
60 percent
— The CLCPA aims to reduce greenhouse gas emissions to 60 percent of 1990 emissions levels by 2030.
9 gigawatts (GW)
— The state aims to develop or support 9 gigawatts (GW) of offshore wind electric generation by 2035.
185 trillion British thermal units (TBTUs)
— The law mandates that the state conserve 185 trillion British thermal units (TBTUs) of annual end-use energy use by 2025.
33 percent
— Transportation sector emissions increased from 25 percent of all emissions in 1990 to 33 percent in 2015.
28 percent
— Currently, only 28 percent of New York’s electricity is from renewable sources, including hydro, wind, and solar power.
11,000 GWh
— Approximately 11,000 GWh of additional renewable electric production are currently under contract, which is only one-fifth of what is needed to meet the 70 percent renewable goal.
Establishing commercial waste zones in New York City would significantly reduce vehicle miles traveled by waste collection trucks, thereby lowering noxious emissions and improving neighborhood quality of life. A non-exclusive zone model is recommended to achieve these environmental benefits while maintaining competitive pricing and avoiding the risks associated with exclusive service contracts.
Recommendations related to Greenhouse Gas Emissions
The City should establish commercial waste zones to reduce vehicle miles traveled and noxious emissions.
The City should implement a non-exclusive zone model to achieve environmental benefits while retaining customer choice and performance incentives.
The City's request for proposals should include detailed performance metrics to be tracked and made publicly available to ensure a robust evaluation of the program's environmental and efficiency goals.
Key Data
50 percent
— Reduction in VMT achieved by moving from the current system to a zone model.
58 percent
— Overall VMT reduction provided by exclusive zones.
8 percentage points
— Difference in VMT reduction between exclusive zones and a non-exclusive model.
86 percent
— Portion of potential VMT reduction achievable through non-exclusive zones.
20
— Number of zones proposed in the commercial waste zone plan.
3 to 5
— Number of carters proposed to serve each zone in a non-exclusive model.
8.4% is the reduction in carbon dioxide emissions in New York between 1990 and 2015. Governor Cuomo now wants to reduce greenhouse gas emissions 40% by 2030. Is this goal realistic? A panel of energy experts met at the CBC State Conference to help answer this question.
The implementation of commercial waste zones in New York City aims to rationalize collection routes, significantly reducing truck traffic and associated air pollution. By limiting the number of carters per zone and mandating higher environmental standards, the city can improve operational efficiency while curbing negative externalities like noise and emissions.
Recommendations related to Greenhouse Gas Emissions
New York City should implement the Commercial Waste Zone program to reduce the miles driven by private trucks, thereby lowering emissions and improving air quality.
The City should utilize competitive procurement to mandate higher vehicle and environmental standards for commercial waste carters.
The City should establish nonexclusive zones to maintain competition in pricing and customer service while rationalizing collection routes.
Key Data
18 million
— Reduction in vehicle miles traveled by truck traffic under the proposed Commercial Waste Zone program.
90
— Number of licensed commercial carters currently operating in New York City.
3.5 million
— Tons of waste generated per year by commercial customers in New York City.
$20.76
— Current ceiling price per cubic yard for commercial waste collection set by the Business Integrity Commission.
New York's energy sector has become cleaner since 2010, with total carbon dioxide emissions decreasing by 3.6 percent and emissions of nitrous oxide, sulfur dioxide, and carbon dioxide remaining lower than national levels. These improvements are largely driven by a shift from coal to natural gas for electrical production, which has also contributed to a 26.4 percent reduction in carbon dioxide emissions within the electrical sector.
Key Data
3.6 percent
— Total carbon dioxide emissions decreased in New York since 2010.
26.4 percent
— Carbon dioxide emissions decreased in the electrical sector between 2010 and 2016.
175
— Million Metric Tons (MMT) of CO2 emitted by New York in 2010.
168
— Million Metric Tons (MMT) of CO2 emitted by New York in 2015.
The Fiscal Year 2018 Executive Budget includes several environmental initiatives, such as lowering the Regional Greenhouse Gas Initiative cap, expanding electric vehicle charging infrastructure, and investing in offshore wind energy. These proposals are currently listed with undetermined fiscal impacts, leaving questions about their implementation and funding levels.
New York City's current waste management practices produce over 1 million tons of greenhouse gas emissions annually, necessitating a shift toward variable residential garbage fees to incentivize waste reduction. Implementing a fee structure, potentially starting with a voluntary pilot program, would align costs with usage and support the city's goal of reducing greenhouse gas emissions by 80 percent by 2050.
Recommendations related to Greenhouse Gas Emissions
The City should implement a variable fee for residential trash removal to provide an economic incentive to reduce non-recyclable and non-compostable waste.
City officials should craft a plan for phased implementation of garbage fees before moving to wider expansion.
The City should start the implementation of garbage fees with a voluntary pilot program.
The City should peg fees initially to the cost of disposal, which is about $7 per month for the average New York City household.
The City could use bag or sticker programs for large apartment buildings to manage administrative challenges.
Key Data
1 million tons
— Annual greenhouse gas emissions produced by landfilled trash managed by New York City's Department of Sanitation.
80 percent
— Goal set by Mayor de Blasio to reduce greenhouse gas emissions by 2050.
$300 million
— Annual cost of landfilled trash managed by New York City's Department of Sanitation.
13,500
— Equivalent number of tanker trucks of gasoline represented by the greenhouse gas emissions from landfilled trash.
$7
— Initial monthly fee per household for garbage disposal.
$1.5 billion
— Annual amount New York City taxpayers spend to pick up residential and public trash.
New York City's reliance on long-distance garbage transport generates 679,000 metric tons of greenhouse gases annually, which is equivalent to 133,000 cars on the road. Transitioning to local waste-to-energy facilities could reduce these emissions by 35% while simultaneously lowering disposal costs.
Recommendations related to Greenhouse Gas Emissions
Instead of landfilling, New York City should follow the example of many European countries that convert nonrecyclable garbage into energy.
Greater savings would be achieved by allowing larger new plants and partnering with existing local ones.
The city should explore their ability to receive additional garbage, either as currently configured or through expansion.
Key Data
679,000 metric tons
— Annual greenhouse gas emissions generated by garbage transport.
133,000 cars
— Equivalent of the greenhouse gas emissions generated by garbage transport.
14,400 tons
— Amount of garbage converted to energy equivalent to removing 1,000 cars from the road.
35%
— Reduction in annual greenhouse-gas emissions if local waste-to-energy facilities processed 2 million more tons of city waste.
New York City's current waste disposal practices, which rely heavily on long-distance exporting to landfills, generate approximately 679,000 metric tons of greenhouse gases annually, equivalent to adding over 133,000 cars to the roads. Shifting to local waste-to-energy facilities and implementing waste reduction and recycling policies could reduce these emissions by 35 percent, or about 240,000 metric tons per year.
Recommendations related to Greenhouse Gas Emissions
The City should foster the construction of waste-to-energy plants sited and designed for city needs and should partner with owners of existing facilities within the region to expand their capacity and willingness to process New York City’s waste.
The City should pursue strategies to bring the amount of waste sent to landfills down through policies aimed at less waste generation and more recycling.
The City should implement a trial pay-as-you-throw system in the short-term, taking lessons learned to a citywide program in the long-term.
The City should stick to its plan and reinvigorate the recycling program by touting the expansion and the simplification of recycling rules.
Key Data
679,000 metric tons
— The amount of greenhouse gases generated per year by the waste New York City sends to landfills.
133,000 cars
— The number of cars on the road that would produce an equivalent level of annual greenhouse gas emissions as the city's current waste disposal practices.
35 percent
— The reduction in annual greenhouse gas emissions that would result from shifting two million tons of waste from landfills to local waste-to-energy facilities.
240,000 metric tons
— The annual reduction in greenhouse gas emissions that would result from shifting two million tons of waste from landfills to local waste-to-energy facilities.
0.36 metric tons
— The amount of greenhouse gas emissions reduced per ton of garbage converted to energy rather than shipped to a landfill.
14,400 tons
— The amount of garbage that, when shifted to local waste-to-energy plants, is the equivalent of removing 1,000 cars from the road.
The Regional Greenhouse Gas Initiative, a market-based cap and trade system, has successfully reduced greenhouse gas emissions while generating $912 million in auction proceeds for participating states. This initiative has provided a net regional benefit of $1.6 billion in its first three years, including significant energy savings for residents and the creation of 16,000 job-years.
Key Data
$912 million
— Total raised by participating states through the auction of emission allowances from 2008 to June 2011.
15,553
— Annual tons of carbon dioxide equivalent emissions avoided due to funding from the initiative.
$1.6 billion
— Net present benefit across the entire region in the first three years of the program.
$1.3 billion
— Amount saved by residents in reduced utility bills during the first three years.
16,000
— Job-years created across the region during the first three years.
136,893,163
— Number of allowances sold by New York State for auction proceeds.
Non-industrial buildings are the primary driver of local greenhouse gas emissions, accounting for 69 percent of the total compared to 32 percent nationally. To enhance competitiveness while meeting environmental goals, the city should prioritize cost-effective policies like energy efficiency in buildings, congestion pricing, and modernizing waste-to-energy infrastructure.
Recommendations related to Greenhouse Gas Emissions
The city should limit municipal government activities to those appropriate to the local level of government.
Leaders should give preference to practices that support and encourage consumer choice and responsible consumer behavior.
The city should elevate the use of cost-effectiveness as the basis for decision-making, and rethink existing subsidies and regulations.
Municipal leaders should assess innovative ideas before citywide adoption through evaluation of efforts in other localities and/or pilot programs within New York City.
A renewed effort to authorize and implement congestion pricing should be pursued.
New York’s leaders should give waste-to-energy technology increased attention.
Key Data
69%
— Non-industrial buildings account for 69% of New York City's GHG emissions compared to 32% nationally.
21%
— New York City commercial buildings alone account for about 21% of all GHG emissions.
14%
— New York State relies less heavily on coal for electricity generation, at 14% versus 48% nationally.
55%
— New York City ranks first in the share of commuters using mass transit, with 55% of commuters using these modes compared to a national average of 5%.
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