State Funds to Help Disadvantaged Co-ops Cut Their Carbon Emissions

The New York State Energy Research and Development Authority is making $10 million available to advance carbon-neutral building projects and economic development in disadvantaged communities throughout the state, Crain's reports.

Funds are available as part of the fifth round of the state’s Carbon Neutral Community Economic Development Program. The initiative aims to finance projects that support the state’s climate goal of reducing New York’s greenhouse gas emissions by 85% by 2050, and ensuring at least 35% of state spending on the clean energy economy is directed to disadvantaged communities, which were finalized in April by a state-appointed board. Large swaths of New York City fall under the "disadvantaged" category.

Projects are eligible for funds through two categories: commercial, industrial, municipal and mixed-use property owners can apply for incentives to construct high-performance buildings; or owners, including co-op and condo boards, renovating existing buildings to green standards.

Financing for such projects would go toward the planning and design work necessary to convert proposed building portfolios to carbon neutrality or net zero, cutting greenhouse gas emissions as close to zero as possible. This category of funds could be a particular boon to property owners within disadvantaged communities that must comply with Local Law 97, which requires building owners in the five boroughs to reduce a property’s carbon emissions beginning in 2024.

Eligible projects under either category could be awarded up to 75% of the expected costs, or $2 million, whichever amount is less, officials said.

The deadline for project applications is July 28 at 4 p.m. Those interested in applying for funds can find more information about the program and application process on the state’s website.