Power plant permit to test Hochul's Climate Act strategy

Lawmakers and environmentalists pushing the state to deny a required permit for a Hudson Valley power plant said the upcoming decision will test Gov. Kathy Hochul’s commitment to the 2019 Climate Act.

The state Department of Environmental Conservation continues to consider an application for Title V and IV air quality permits that allow a natural gas-fired power plant to operate in Orange County.

Democratic lawmakers and environmentalists are pressuring the agency to deny the permit and close the Competitive Power Ventures Valley Energy Center, arguing it violates the state’s Climate Law.

“Whether people like the Climate Law we passed in 2019, the law is very clear that new projects, new permits, cannot be approved that run contrary to the emissions reductions that the law calls for,” said Sen. James Skoufis, a Democrat from Woodbury. 

The power plant has operated without a finalized permit for seven years. 

The DEC first denied this power plant’s air permit in 2018, before the 2019 Climate Law that imposed strict requirements for the state to reduce its greenhouse gas emissions. The state’s top energy official said this week the state is likely to fall short of the law’s requirement to slash emissions 40% by 2030.

“We want to make sure that the DEC denies the air permit for this facility,” said Sane Energy Project director Kim Fraczek said. “It is only doing nothing but toxifying the community and creating a whole fossil fuel economy that we should be moving off of.”

Environmentalists and Hudson Valley Democrats like Skoufis are reigniting their push for the department to deny the permit as officials close in on a decision. They said the upcoming decision that could force the plant to close will reveal more about Gov. Kathy Hochul’s strategy to satisfy the Climate Act. 

Fraczek said the governor has made decisions that show she’s turned her back on state climate law — like Hochul’s approval of a $4 billion infrastructure upgrade for National Grid, and showing she’s open to work with President Trump to revive two natural gas pipeline projects in the state.

“We believe that she is in the pocket of the fossil fuel corporations,” Fraczek said. “We also notice, and I feel like Gov. Hochul is cowering to Trump politics to not stir up so much drama before her re-election. So we do have concerns.”

A spokesperson with Hochul’s office said the governor has pushed the president to lift the stop work order on the Empire Wind project, but never promised the pipeline in exchange — only that there will be an impartial review to ensure compliance with state and federal law.

“In the face of continued federal attacks on our environment, New York remains committed to moving forward with an energy policy that prioritizes affordability, grid reliability and sustainability to create a cleaner, healthier and more competitive New York,” Ken Lovett, Hochul’s spokesperson on energy and the environment said in a statement. “No state has done more on renewable energy, including offshore wind and solar energy. At the same time, we have to govern in reality, and the reality is with a hostile federal government toward renewables, I am committed to an all-of-the-above approach to ensure we have enough power to keep the lights on and attract major economic development projects like Micron in Syracuse and the Empire AI Consortium in Buffalo.” 

Skoufis said the DEC has denied two similar air quality permit applications since the Climate Law was enacted, and must also deny CPV’s permit to be consistent.

The Senate led a probe into the plant’s permit process two years ago, revealing DEC leaders told former Gov. Andrew Cuomo the agency needed his input to approve the permit.

“That illustrates the undue political influence that not only happened on this project, but was actively encouraged by the DEC staff,” Skoufis said.

A 2019 state Supreme Court ruling allows the facility to continue operating until the DEC completes the plant’s renewal application process. 

The DEC held two virtual public hearing about the permit earlier this year. The department received more than 1,000 written and oral comments about the application during a 60-day public comment period.

Skoufis said very few comments were made in the plant’s favor.

CPV has not proposed operational changes nor new emission sources and its application indicates the facility’s continued operation would not disproportionately burden any designated disadvantaged communities, according to the DEC.

“DEC protects public health and the environment and upholds environmental justice and fairness by subjecting every application to a rigorous review of all applicable federal and state standards, including those related to the Climate Act,” the department said in a statement. “The application for CPV’s Air Title V and Air Title IV permits remain under review by DEC. In accordance with a 2019 New York State Supreme Court ruling, CPV is currently operating under an Air State Facility permit issued by DEC.” 

CPV committed to create a $1 million DAC grant fund to support programs or projects to reduce greenhouse gas emissions or pollutants over five years, according to the DEC.

The department continues to review the permit application.

The CPV Valley Energy Center did not immediately return requests for comment.