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State Authority Helps Farms Lower Energy Costs


RELEASE: IMMEDIATE, June 14, 2001
CONTACT: Colleen Quinn, NYSERDA
(518) 862-1090, ext. 3359.

Syracuse, NY – – The New York State Energy Research and Development Authority (NYSERDA) today announced the results of a recently completed project, through their Standard Performance Contracting Program, that provided about $500,000 for energy-efficient milking equipment. Through NYSERDA's Variable-Speed Drive Dairy Farm Project, 145 farms participated and will save an estimated 3.1 million kWh of electricity annually, reducing summer peak demand by 400 kilowatts.

Those who participated in the Variable-Speed Drive Dairy Farm project have found significant energy savings resulting from the installation of the variable-speed drives on milking machine vacuum pumps. Annual cost savings are averaging $2,600 or more than $375,000 in total savings. This is important because New York State farms have to control their costs in order to compete in the global market where their competition faces fewer environmental regulations and has access to lower-cost labor.

"NYSERDA's Variable-Speed Drive Dairy Farm Project is a perfect example of the kinds of beneficial, energy efficiency programs NYSERDA offers. New York State farms play a vital role in the economic development of the State and I encourage more farms to work with us to help reduce their energy costs and improve productivity," said William Flynn, President of NYSERDA.

State Agriculture Commissioner Nathan L. Rudgers said, "Energy costs are one of the single largest costs for a dairy farm and when those costs escalate, farms become even more challenged to make ends meet. This project addresses a priority issue for our dairy farmers and illustrates how Governor Pataki is dedicated to making farming in the Empire State more profitable and energy-efficient."

"With the high cost of running a farm impacting so many dairy farmers across the State, any reduction in operating expenses will benefit not only the farming community, but the State as a whole. When farmers can run a more energy-efficient operation, all of New York benefits," said Hoffmann, a nine-term Senator from Syracuse and Chairwoman of the Senate Agriculture Committee.

"As a state we absolutely need to be assisting our farmers with lowering their production costs through, among other things, becoming more energy-efficient - I applaud NYSERDA's efforts in this area and look forward to continuing to work with them," said Assembly Agricultural Committee Chairman Bill Magee.

The Standard Performance Contracting Program is funded under NYSERDA's New York Energy $martSM program, which is designed to continue energy efficiency, low-income services, research and development, and environmental protection programs during the State's transition to electric retail competition. It is a key element in New York State's restructuring of the electric utility industry. Funding is paid for by a System Benefits Charge (SBC) on the electricity transmitted by the State's investor-owned utilities. The State's Public Service Commission (PSC) named NYSERDA administrator of these SBC-funded programs.

While this program has just completed, it is an excellent example of the type of work NYSERDA plan to support under the latest round of SBC funding.

"New York Farm Bureau applauds the innovation and incentives offered farmers by NYSERDA. With energy costs rising fast and becoming once again a big factor on a farmer's expense sheet, we need all the help we can get. I encourage all farmers to have a look at NYSERDA programs to see how they might fit on their farms to save money," said John Lincoln, President of the NY Farm Bureau.

For more information on NYSERDA please refer to our web sites at www.nyserda.org , www.GetEnergySmart.org, or call (518) 862-1090, ext. 3267.

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New York State Energy Research and Development Authority
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