May 2008

GOVERNOR PATERSON ANNOUNCES PLANS FOR STATE'S LARGEST SOLAR ENERGY PROJECT

LIPA Solar Project Would Provide Enough Power to Sustain 6,500 Households And Reduce Carbon Dioxide Emissions by 20,000 Tons
Request for Proposals Deadline: June 27, 2008

Governor David A. Paterson announced a major alternative energy project that would create the state's largest source of solar power to help meet the challenge of developing comprehensive renewable energy alternatives and address the growing demand for energy on Long Island and throughout the state.

     Long Island Power Authority (LIPA) President and CEO Kevin S. Law said LIPA released a Request for Proposals (RFP) calling for 50 megawatts (MW) of solar energy to be generated on Long Island. The project would provide enough power to sustain more than 6,500 households and reduce carbon dioxide emissions by 20,000 tons. The solar energy would be produced by one or more developers of solar photovoltaic systems and will be introduced onto the LIPA grid and purchased by LIPA.

     "As our need for energy continues to grow on Long Island and throughout the state, it is imperative that we find new ways to develop more renewable energy resources that will reduce our dependence on fossil fuels," said Governor Paterson. "The RFP issued, which was one of the recommendations of my Renewable Energy Task Force, is just one of the actions we are taking to meet our energy needs while reducing the State's carbon footprint."

     LIPA envisions that the photovoltaic arrays will be installed at school buildings, on commercial and municipal rooftops, along parking lots, atop landfills, and at brownfield sites. This innovative project could further stimulate the solar marketplace throughout the state, fostering the creation of more "green collar"jobs.

     The 50MW of solar energy builds on the success of LIPA's Solar Pioneer program, which boasts more than 1,200 participants and has resulted in more than $30 million in LIPA rebates. LIPA and Long Island have been leading the way in this regard, serving as hosts to 90 percent of the photovoltaic systems purchased throughout the entire state. The new 50MW will count for nearly one percent of LIPA's total annual demand and will be the single largest block of solar energy in New York State.
    
    LIPA President and CEO Kevin S. Law said, "This project will diversify Long Island's energy portfolio, strengthen the local economy, transform the solar photovoltaic marketplace, and reduce our dependency on costly fossil fuels."

     Ashok Gupta, Senior Energy Economist for the Natural Resources Defense Council, said "Governor Paterson and LIPA's leadership on solar is to be commended. Having 50 MW of solar in LIPA's portfolio will not only help reduce the pollution that causes global warming but it will also provide critical peaking power which is otherwise very expensive and often dirtier than baseload generation."

     Gordian Raacke, Executive Director of the not-for-profit Renewable Energy Long Island said, "LIPA's Solar Pioneer program for homeowners has helped transform a virtually non-existent residential market into a fast growing success story. I hope that LIPA's new large-scale solar initiative will do the same for commercial and institutional buildings on Long Island. The roofs of our malls, institutional buildings and covered parking lots present a huge opportunity to turn Long Island's abundant sunshine into clean and green electricity."

     The deadline for RFP responses is June 27, 2008. Recommendations for an award are expected to be made at the October 2008 meeting of LIPA's Board of Trustees.