MEMO IN OPPOSITION
S.8008/A.9008 Budget Bill TED, Part EEE and S.6843-B (Kavanagh) / A.8431-A (Gallagher) – “All-Electric Building Act”

MACNY – The Manufacturers Association of Central New York represents more than 300 manufacturing companies and other businesses throughout a 26-county region. MACNY opposes these proposals that would require all-electric new building construction.

While we understand the intent, there are unintended consequences that should be considered with such legislation. If passed and signed into law, these bills would likely increase consumer costs, especially in colder, heating-dominated climates due to the need for more expensive heat pumps rated to operate in colder temperatures. Consumers in colder climates would likely face higher upfront construction costs and operating costs throughout the life of the equipment. At a time when New York families and small businesses are already struggling with higher energy prices and pandemic-related challenges, such requirements would be overly burdensome.

A policy that requires the installation of heat pumps can result in building construction delays and increased costs as the global demand for heat pumps increases. There is also the potential risk that customers could be incentivized to purchase and use backup generators, which can be loud and dangerous if not operated correctly.

A diverse fuel portfolio – including fuel utilization for heating – makes sense; having a single source electric energy policy could be dangerous. As state policies move more toward renewable energy; natural gas is pivotal in meeting electrification goals reliably and should be used as a complement to integrate renewables.

For the reasons stated above, MACNY opposes Budget Bill TED Part EEE and S.6843-B/A.8431-A.