New York Must Build the Energy System Its Economy Needs
Randy Wolken, President & CEO

The next era of economic leadership will be shaped not only by who invents the most advanced technologies, but also by who can build and power them. Semiconductors, artificial intelligence, critical minerals, and advanced manufacturing all depend on dependable electricity and the infrastructure that delivers it. Former officials from multiple administrations recently warned that the United States risks losing ground to China because it takes too long to permit and construct energy projects. New York should treat that warning as a call to action: plan and build the power system that manufacturers need, with urgency, fairness, and durable public support.

The challenge is immediate. Manufacturers make investment decisions based on whether power will be available when a facility is ready to operate, at a price that allows it to compete, and with the reliability its processes require. A commitment to economic development can’t substitute for firm capacity, transmission, substations, and timely interconnection. A project announced for New York may still be delayed or scaled-back if the energy system can’t keep pace. In a state pursuing semiconductor investment, electrification, data centers, and the reshoring of supply chains, “time to power” is becoming a measure of competitiveness.

New York should begin with an integrated plan that connects new demand to specific, dependable supply and the wires needed to deliver it. State agencies, the New York Independent System Operator (NYISO), utilities, The New York Power Authority (NYPA), and local governments should work from shared forecasts and publish clear milestones for generation, transmission, storage, and interconnection. The plan must account for both committed projects and plausible future demand, while distinguishing firm capacity from proposals that may never be built. Reliability should be assessed under difficult conditions, including extreme heat and equipment or fuel disruptions, not just under average conditions.

The state should also shorten avoidable delays. Permitting and environmental review should be rigorous, coordinated, and predictable, with clear timelines and early engagement among agencies, communities, project developers, and affected Tribal nations. Reviews should identify meaningful impacts and reasonable protections while avoiding serial processes that make timelines unknowable. New York can uphold high standards and still make timely decisions. Certainty helps responsible projects proceed and gives communities a clearer opportunity to shape them.

That approach requires an all-of-the-above energy portfolio grounded in performance. New York should advance natural gas, nuclear power, renewable generation, storage, grid-enhancing technologies, efficiency, and other strategies that can reliably serve its needs. It should evaluate each option by its contribution to affordability, emissions goals, operating reliability, and the timing of delivery. Where firm generation is needed to maintain reliability as the system changes, the state should address that need directly and transparently. Retiring dependable resources before replacements and transmission are ready can raise costs and put manufacturers at risk.

New York must protect existing customers as it brings large new loads onto the grid. The principle that beneficiaries should pay for costs caused by their projects is sound, especially when new transmission or distribution upgrades are needed. But cost allocation should distinguish among speculative proposals, hyperscale data centers, and manufacturing investments with documented capital, workforce, and supply-chain commitments. Regional upgrades may serve more than one customer; costs should reflect those shared benefits. Manufacturers also need predictable interconnection rules and realistic options for operational flexibility, without being asked to compromise essential process reliability.

The buildout itself can become a manufacturing and workforce strategy. Transmission lines, transformers, switchgear, power electronics, turbines, storage systems, and nuclear components create demand for skilled suppliers and workers. New York should map what its manufacturers can produce, identify certification and capacity gaps, and connect suppliers to project owners and procurement opportunities. MACNY and MTI can help convene manufacturers, utilities, educators, labor, and government to build supply chain readiness and training pathways. The goal is to ensure that New York companies help build the infrastructure that will power the state’s growth.

The federal permitting debate recognizes a basic truth: investment can’t wait indefinitely for infrastructure. The pending bipartisan Senate proposal would revise federal permitting, support grid expansion, and require data centers to pay transmission costs associated with serving them. New York should press for effective federal and state action while making its own decisions clearer, faster, and more coordinated. Progress should be measured by results: dependable megawatts available, transmission delivered, interconnection times shortened, costs fairly assigned, and manufacturers able to invest with confidence

This is a consequential moment for New York. The state can welcome advanced manufacturing and meet its responsibilities by building an energy system that’s reliable, affordable, and ready on time. That requires candid planning, fair rules, durable safeguards, and sustained collaboration. If New York can turn its energy needs into a clear construction agenda – and its industrial base into a partner in delivering it – it can strengthen both its economic future and its role in the technologies shaping the world.