Electricity Laws and Incentives in New York

The list below contains summaries of all New York laws and incentives related to electricity.

State Incentives

Alternative Fuel Vehicle Research and Development Funding

The New York State Energy Research and Development Authority’s (NYSERDA) Clean Transportation Program provides funding for projects that enhance mobility, improve efficiency, reduce congestion, and diversify transportation methods and fuels through research and development of advanced technologies. NYSERDA offers annual solicitations that support new product development and demonstration as well as research on new transportation policies and strategies. NYSERDA also supports projects that demonstrate the benefits of commercially available products that are underutilized in New York State. Once developed, NYSERDA provides incentives to accelerate the market introduction of emerging technologies through its ChargeNY program. For more information and funding opportunities, see the NYSERDA Clean Transportation Program website.

Alternative Fueling Infrastructure Tax Credit

A state tax credit is available for alternative fuel vehicle fueling infrastructure installed in the state. The tax credit is equal to 50% of the infrastructure cost. This includes infrastructure for storing or dispensing an alternative fuel into a motor vehicle’s fuel tank, as well as infrastructure used for charging electric vehicles. Eligible alternative fuels include natural gas, liquefied petroleum gas, hydrogen, electricity, and any other fuel that is a least 85% ethanol or other alcohol. (Reference New York Tax Law 187-b)

Electric Vehicle (EV) Charger Rebate

The New York State Energy Research and Development Authority’s (NYSERDA) Charge Ready NY program offers rebates for public and private entities toward the purchase and installation of Level 2 EV chargers at public parking facilities, workplaces, and multi-unit dwellings. Rebates are available for $4,000 per port. Disadvantaged communities may receive an additional rebate of $500 per Level 2 EV charger. Additional terms and conditions apply. For more information, including application guidelines, see the NYSERDA Charge Ready NY website.

Electric Vehicle (EV) Rebate Program

The New York State Energy Research and Development Authority (NYSERDA) provides rebates of up to $2,000 for the purchase or lease of a new eligible EV.

Rebate amounts vary based on a vehicle’s all-electric range and manufacturer’s suggested retail price. For more information, including a list of eligible vehicles, see the NYSERDA Drive Clean Rebate website.

Electric Vehicle Emissions Inspection Exemption

Vehicles powered exclusively by electricity are exempt from state motor vehicle emissions inspections. For more information, see the New York Vehicle Inspection Program website.

(Reference New York State Department of Environmental Conservation Regulations Chapter III, Part 217-6)

Heavy-Duty Alternative Fuel and Advanced Vehicle Purchase Vouchers

The New York State Energy Research and Development Authority (NYSERDA) provides incentives for all-electric and hydrogen fuel cell electric trucks and buses. Incentives are released on a staggered schedule and are distributed based on the following criteria:

Additional terms and conditions apply. For more information, including voucher availability and vehicle eligibility, see the NYSERDA New York Truck Voucher Incentive Program website.

High Occupancy Vehicle (HOV) Lane Exemption

Through the Clean Pass Program, eligible electric-drive vehicles may use the Long Island Expressway (LIE) HOV lanes, regardless of the number of occupants in the vehicle. Vehicles must display the Clean Pass vehicle sticker, which is available from the New York State Department of Motor Vehicles. To apply for the Clean Pass vehicle sticker, visit the Clean Pass Stickers for HOV Lanes on the LIE website. This exemption expires September 30, 2025. For more information, including a list of eligible vehicles and Clean Pass sticker application instructions, see the Clean Pass Program website.

New York's National Electric Vehicle Infrastructure (NEVI) Planning

The U.S. Department of Transportation’s (DOT) NEVI Formula Program requires the New York State Department of Transportation (NYSDOT) to submit an annual EV Infrastructure Deployment Plan (Plan) to the DOT and U.S. Department of Energy (DOE) Joint Office of Energy and Transportation (Joint Office), describing how the state intends to distribute NEVI funds. The submitted plans must be established according to NEVI guidance.

For more information about New York’s NEVI planning process, see the New York State Energy Research and Development Authority NEVI website. To review New York’s NEVI plan, see the Joint Office State Plans for EV Charging website.

Vehicle Emissions Reduction and Electric Vehicle (EV) Charging Station Project Funding

The New York State Department of Environmental Conservation (NYSDEC) provides funding for diesel vehicle replacement projects detailed in the Clean Transportation NY Beneficiary Mitigation Plan (Plan). The projects are funded by New York’s portion of the Volkswagen (VW) Environmental Mitigation Trust. The Plan provides funding for the replacement or repower of diesel medium- and heavy-duty vehicles, including Class 8 local freight or port drayage trucks, Class 4-8 school, shuttle, or transit buses, and Class 4-7 local freight trucks. The Plan also provides funding for the all-electric repower or replacement of airport ground support equipment, forklifts, and port cargo handling equipment, as well as light-duty EV chargers. For more information, including the funding opportunity list and funding priorities, see the NYSDEC VW Funding for Diesel Replacement and EV Charging Station Projects page.

Zero Emission School Bus and Infrastructure Funding

The New York State Energy Research and Development Authority (NYSERDA) New York School Bus Incentive Program (NYSBIP) offers point-of-sale vouchers to school districts for the incremental cost to purchase or repower zero emission school buses to meet state acquisition requirements. Eligible zero emission school buses include all-electric or hydrogen fuel cell electric school buses. Associated charging or fueling infrastructure may also be eligible to receive funding. Rebate amounts vary based on school bus and project type. Applicants located in underserved communities are eligible for increased funding amounts. For more information, including eligibility and voucher amounts, see the NYSERDA NY School Bus Incentive Program Overview website.

(Reference New York Consolidated Laws Environmental Conservation Section, Article 58)

Zero Emission Vehicle (ZEV) Rebate and ZEV Fueling Infrastructure Grant for Municipalities

The New York State Department of Environmental Conservation’s (NYSDEC) Municipal ZEV Program offers rebates to cities, towns, villages, counties, and New York City boroughs for the purchase or lease of eligible ZEVs and grants for purchase and installation of public ZEV fueling infrastructure. Rebates of up to $7,500 are available for ZEVs and up to $500,000 for ZEV fueling infrastructure. ZEV rebate amounts vary based on a vehicle’s all-electric range and gross vehicle weight rating. Municipalities may apply for multiple ZEV rebates, worth up to $375,000, and multiple ZEV infrastructure grants, worth up to $500,000. Additional rules and conditions apply. For more information, including eligible projects and application periods, see the NYSDEC Grant Funding for Municipalities website.

Laws and Regulations

Clean Truck Port Requirements

Port drayage trucks must meet or exceed Model Year 2014 engine federal emissions standards to access the Port Authority of New York & New Jersey (PANYNJ) marine terminals. Drayage trucks operating on liquefied or compressed natural gas, electricity, or hybrid electric technology are exempt from these requirements. For purposes of this rule, drayage trucks are defined as on-road vehicles with a gross vehicle weight rating of 33,001 pounds or greater and intended to load, unload, or transport cargo from PANYNJ terminals. Additional rules apply. For more information, see the PANYNJ Drayage Truck Registration website.

Electric Utility Commercial Tariff Requirements for Electric Vehicle (EV) Charging

The New York Public Service Commission (PSC) must establish a commercial tariff to facilitate faster EV charging. In establishing this tariff, the PSC must use alternatives to traditional demand-based rate structures, other operation cost relief mechanisms, or a combination of approaches. The PSC must include mechanisms that enable customers whose largest electricity demand is from EVs to opt into the commercial tariff without unreasonable delay.

(Reference New York Consolidated Laws Public Service Section 66-S)

Electric Vehicle (EV) Charger Make-Ready Requirements

Beginning December 28, 2023, new construction of parking facilities that can accommodate between 50 and 200 parking spaces must designate at least 10% of parking spaces as EV make-ready parking spaces. New construction of parking facilities that can accommodate over 200 parking spaces must designate at least 20% of parking as EV make-ready parking spaces. EV make-ready parking spaces must be equipped with a minimum of 40 amps and 208 volts of electrical capacity. Requirements only apply to publicly funded construction projects and non-residential parking facilities. Additional requirements and exemptions may apply.

(Reference Assembly Bill 622, 2023 and New York Consolidated Laws State and Finance Section 19-A)

Electric Vehicle (EV) Charger Policies for Homeowners' Associations

Homeowner associations may not prohibit or restrict the installation or use of an EV charger in a homeowner’s designated parking space. Associations may put reasonable restrictions on EV chargers located on property owned by associations or in common spaces. The EV charger owner is responsible for the cost of installation and maintenance. Residents are required to comply with all local, state, and federal laws and health and safety standards. Additional requirements apply.

(Reference New York Consolidated Laws Real Property Section 343)

Electric Vehicle (EV) Charging Signage and Parking Space Regulation

Individuals may not stop, stand, or park a motor vehicle within any parking space specifically designated for parking and charging EVs unless the motor vehicle is an EV. Any vehicle that is not actively charging may not park in designated EV charging parking spaces. An EV is presumed to not be charging if it is parked at a charger and is not connected to the charger for longer than 30 minutes. Conspicuous and permanently installed signage is required to properly identify the EV station parking and charging restrictions.

(Reference New York Consolidated Laws Vehicles and Traffic Section 1202)

Electric Vehicle (EV) Policies for Condominiums

Condominium associations may not prohibit or restrict the installation or use of EV chargers in a homeowner’s designated parking space. Condominium associations may put reasonable restrictions on EV chargers, but the policies may not significantly increase the cost of the EV chargers or prohibit installation. Homeowners must comply with applicable health and safety codes and architectural standards, engage a licensed installation contractor, and provide a certificate of insurance. The homeowner is responsible for the cost of the installation, operation, maintenance, repair, removal, or replacement of the station in their parking space, as well as any resulting damage to the EV charger or surrounding area. (Reference New York Consolidated Laws Real Property Section 339-LL)

Electric Vehicle (EV) and Charging Infrastructure Support

The New York Power Authority (NYPA) EVolve NY program has allocated up to $250 million to support EVs and address charging infrastructure gaps throughout the state. EVolve NY will implement this funding in phases. The initial phase directs $40 million to fund three initiatives through 2019, including programs for interstate direct current fast chargers (DCFC), airport charging hubs, and EV model communities. NYPA must post on their website a report by January 31 annually on the activities undertaken, including the total number of EV chargers supported and the total costs allocated. For more information, see the NYPA EVolve NY website.

(Reference New York Consolidated Laws Public Authorities Section 1005(18), 1005(23), and 1005(24e))

Electric Vehicle (EV) and EV Charger Study

The New York State Energy Research and Development Authority (NYSERDA) prepared a report on the state’s EVs and EV chargers. The report analyzes the potential environmental and policy benefits from expanding the state’s inventory of EV and EV chargers, identifies current EV chargers, evaluates geographic areas lacking access to public EV chargers, evaluates EV incentives, and assesses the feasibility to electrify the state vehicle fleet.

(Reference Senate Bill 5820, 2019)

Medium- and Heavy-Duty (MHD) Zero Emission Vehicle (ZEV) Deployment Support

California, Colorado, Connecticut, District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Nevada, New Jersey, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, and Washington (signatory states) signed a memorandum of understanding (MOU) to support the deployment of medium- and heavy-duty (MHD) ZEVs through involvement in a Multi-State ZEV Task Force (Task Force).

In July 2022, the Task Force published a multi-state action plan to support electrification of MHD vehicles. The action plan includes strategies and recommendations to accomplish the goals of the MOU, including limiting all new MHD vehicle sales in the signatory states to ZEVs by 2050, accelerating the deployment of MHD ZEVs, and ensuring MHD ZEV deployment also benefits disadvantaged communities.

For more information, see the MHD ZEVs: Action Plan Development Process website.

Medium- and Heavy-Duty Zero Emission Vehicle (ZEV) Requirement

New York has adopted the California Advanced Clean Trucks requirements specified in Title 13 of the California Code of Regulations, requiring manufacturers to meet California’s ZEV production and sales requirements. Beginning with model year 2025, manufacturers will be required to sell zero-emission trucks as an increasing percentage of their annual sales for Class 2b through Class 8 vehicles in New York. ZEVs include all-electric and fuel cell electric vehicles. For more information, see the New York Department of Environmental Conservation Controlling Air Pollution from Motor Vehicles website.

(Reference New York State Department of Environmental Conservation Regulations Title 6, Chapter III, Part 218)

Public Utility Definition

According to the New York Public Service Commission (PSC), electric vehicle (EV) chargers are not defined as electric plants and owners and operators of chargers are not defined as electric corporations. The PSC does not have jurisdiction over publicly available EV chargers, the owners and operators of the chargers, or the transactions between the owners and operators of the stations, as long as the owners and operators do not fall within the definition of an electric corporation. (Reference New York State Department of Public Service Case 13-E-0199)

State Zero Emission Vehicle (ZEV) Acquisition Plan Requirements

State agencies must prepare fleet decarbonization plans for state fleet vehicles. A light-duty vehicle (LDV) decarbonization plan must be complete by December 31, 2023, and a medium- and heavy-duty vehicle (MHDV) decarbonization plan must be complete by December 31, 2025. Fleet decarbonization plans must meet the following schedule:

• All state LDVs must be ZEVs by December 31, 2035
• All state MHD vehicles must be ZEVs by December 31, 2040

To support state fleet vehicle acquisition goals, state agencies must file their LDV fleet decarbonization plans with the GreenNY Council (GreenNY). Emergency vehicles are exempt from these requirements, but agencies must evaluate emergency ZEV technologies for adoption on an annual basis. Decarbonization plans must include interim targets to achieve decarbonization goals. State agencies must update their fleet decarbonization plans every three years. Additional conditions apply. For more information, see the New York Office of General Services GreenNY website.

(Reference Executive Order 22, 2022, Senate Bill 1346, 2023, and New York Consolidated Laws State and Finance Section 163-D)

Utility Commercial Electric Vehicle (EV) Charger Program Requirements

The New York State Public Service Commission (PSC) authorizes the Demand Charge Rebate program to provide operating cost relief for commercial EV charging customers. Investor-owned utilities must file plans with the PSC to implement a series of programs provide demand charge relief for EV charger operators, terminate per-plug incentive programs, and implement a commercial managed charging program. For more information, including program details, see the PSC Order Implementing Immediate Solutions Programs.

(Reference PSC Case 22-E-0236)

Utility Electric Vehicle (EV) Charger Programs Authorization

The New York State Public Service Commission (PSC) authorized the Make-Ready Program to provide incentives for the installation of light-duty Level 2 and direct current fast chargers (DCFC) by electric utilities. Additionally, the PSC directs utilities to establish a medium-and heavy-duty make-ready pilot program and a fleet assessment service. The PSC also directs select utilities to establish a transit authority make-ready program. Lastly, the PSC directs the New York State Energy Research and Development Authority to establish an environmental justice community clean vehicles transformation prize, a clean personal mobility prize, and a clean medium-duty and heavy-duty innovation prize.

For more information, including program details, see the Order Establishing EV Infrastructure Make-Ready Program and Other Programs filing.

(Reference PSC Case 18-E-0138)

Zero Emission School Bus Acquisition Requirements

Beginning July 1, 2027, school districts may only purchase or lease zero emission school buses when entering new purchase or lease contracts. School districts are exempt from this requirement if:

• The Commissioner of Social Services waives the requirements;
• Zero emission bus acquisition, recharging, or refueling equipment would result in unreasonable costs to the school district; or,
• Vehicles do not meet performance requirements.

Zero emission school buses may be powered by electricity or hydrogen. Before acquiring a zero emission bus, school districts must create a workforce development report that estimates the impact of zero emission buses on employment opportunities, identifies maintenance staff training needs, and estimates costs to train employees in how to operate zero emission buses and infrastructure.

(Reference New York Consolidated Laws Education Section 3638)

Zero Emission Vehicle (ZEV) Deployment Support

New York joined California, Connecticut, Maine, Maryland, Massachusetts, New Jersey, Oregon, Rhode Island, and Vermont in signing a memorandum of understanding (MOU) to support the deployment of ZEVs through involvement in a ZEV Program Implementation Task Force (Task Force). In May 2014, the Task Force published a ZEV Action Plan (Plan) identifying 11 priority actions to accomplish the goals of the MOU, including deploying at least 3.3 million ZEVs and adequate fueling infrastructure within the signatory states by 2025. The Plan also includes a research agenda to inform future actions. On an annual basis, each state must report on the number of registered ZEVs, the number of public electric vehicle (EV) chargers and hydrogen fueling stations, and available information regarding workplace fueling for ZEVs.

In June 2018, the Task Force published a new ZEV Action Plan for 2018-2021. Building on the 2014 Action Plan, the 2018 Action Plan makes recommendations for states and other key partners in five priority areas:

• Raising consumer awareness and interest in electric vehicle technology;
• Building out a reliable and convenient residential, workplace and public charging/fueling infrastructure network;
• Continuing and improving access to consumer purchase and non-financial incentives;
• Expanding public and private sector fleet adoption; and
• Supporting dealership efforts to increase ZEV sales.

For more information, see the Multi-State ZEV Task Force website.

Zero Emission Vehicle (ZEV) Requirements

All sales or leases of new light-duty passenger vehicles in New York must be ZEVs by 2035, and all sales or leases of new medium- and heavy-duty vehicles must be ZEVs by 2045. All new off-road vehicle and equipment purchases must be zero emission by 2035.

To support the ZEV sales requirement, the New York State Energy Research and Development Authority (NYSERDA) must develop the following:

• Regulations and strategies to meet the 2035 and 2045 goals;
• A ZEV market development strategy by January 31, 2023, and update it triennially;
• Strategies to accelerate deployment of affordable ZEV infrastructure that serves low-income and disadvantaged communities; and,
• Near-term actions and investment strategies to improve ZEV infrastructure by July 15, 2023.

(Reference New York Consolidated Laws Environmental Conservation Section 19-0306-B)

Zero Emission Vehicle (ZEV) and Alternative Fueling Infrastructure Procurement Requirements

The New York Office of General Services (OGS) must develop production and assembly requirements for the purchase or retrofit of ZEVs and related infrastructure for the state fleet. Requirements for fleet vehicle procurement must include the following:

• ZEVs and related infrastructure components and parts must be produced or made in the United States; and
• Final assembly of ZEVs and related infrastructure must occur in the United States.

State agencies must create and implement a workforce development report prior to each procurement.

Exceptions and additional terms and conditions may apply. For more information, see the OGS GreenNY website.

(Reference Senate Bill 1343, 2023 and New York Consolidated Laws Executive Section 201-a)

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