In a significant move to smooth permitting of energy storage systems in New York City, on December 15, 2020 the City Department of Buildings (“DOB”) established criteria for classifying stationary storage battery systems and fuel-cell power systems as “accessory uses” under the City’s Zoning Resolution, and outlined the filing procedures for such systems. This is an important step that provides developers with the concrete guidance they need to identify viable sites and streamline project permitting in the City, where, as we discussed in our May 6, 2020 Alert, Zoning Nuances for Energy Storage Development in New York City that Every Developer Should Know, the process for energy storage siting is unique, more challenging than in the rest of New York State, and has consistently stunted deployment progress.
Driven by New York State’s ambitious statewide energy storage goals of deploying 1,500 megawatts (MWs) by 2025 and 3,000 MWs by 2030, and the City’s own building decarbonization mandates, the City’s latest move addresses the specific barriers to permitting and siting of storage systems. For example, while there is no mention of energy storage in the New York City Zoning Resolution, the New York City Planning Commission has in the past confirmed that energy storage falls under Use Group 6 (Utility, Small). As such, energy storage projects were permitted in some Residential Districts (R1-R2 and R3-R10) by special permit and are permitted as-of-right within some Commercial (C1, C2, C4, C5, C6, and C8) and Manufacturing (M1, M2 and M3) Districts. Developers were therefore limited to sites within these districts unless they obtained a use variance from the Board of Standards and Appeals (i.e., an approval to use the land in a manner not permitted by the Zoning Resolution).
While this continues to hold true, the just-issued Bulletin provides developers certainty with respect to the requirements that stationary storage battery systems and stationary fuel-cell power systems must comply with to be deemed “accessory uses” within a principal zoning use group. Accessory stationary storage battery systems and stationary fuel-cell power systems may be permitted within a zoning lot as follows:
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