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A report prepared for the New York Building Congress, in coordination with a coalition of business, civic, environmental and building industry organizations warns that New York City must begin to address looming electricity shortages or risk not having sufficient energy to accommodate the major new office, commercial
and residential projects planned or proposed throughout the five boroughs over the next twenty years.

According to the report, Electricity Outlook: Powering New York City’s Economic Future, New York City needs an additional 6,000 to 7,000 megawatts (MW) of new electric generating capacity by 2025, as well as new infrastructure
to carry and distribute that electricity.

The report also warns that a critical threshold looms as early as 2008. Based on current projections for rising power demand within the City, the available supply of locally-produced electricity will fall below the State-mandated level between 2008 and 2011, if new power plants are not built and operational.

The joint report was issued by the New York Building Congress, Association for a Better New York, Building & Construction Trades Council of Greater New York, Natural Resources Defense Council, Partnership for New York City and the Real Estate Board of New York.

“New York City’s requirements for additional electricity capacity in the next twenty years are driven by the ongoing economic recovery, by expected long-term growth in employment and population, by intensified use of appliances by residents
and businesses, by the need to replace aging power plants and, most visibly, by
power required for the many major commercial and residential projects that
are currently planned or proposed,” said Building Congress Energy Committee
Chairman and Rudin Management COO John J. Gilbert III.

”The next few years in particular will be a time of intense building at the World
Trade Center site, the Atlantic Yards complex in Brooklyn, and the third phase
of the Queens West development in Long Island City, as well as the annual
addition of more than 20,000 new housing units in all five boroughs,” added Building Congress Chairman Frank J. Sciame. “All will require significant new energy supplies.”

The additional 7,000 MW in additional capacity required by 2025 is based on a number
of projections, including:

• Total New York City employment reaching 5,032,500;
• At least 44 million square feet of new office development;
• Substantial new university and hospital developments and expansions,
  as well as major public capital projects, including public school and
  subway system expansions;
• Replacement of approximately 3,000 MW of aging generation capacity;
• An additional 1,000 MW of capacity to assure market stability and avoid
  wide price swings in a deregulated market.

The report urges the Governor and the New York State Legislature to act promptly
to enact legislation to facilitate the siting, placement, approval, and financing of
environmentally sound, efficient power plants, and ensure that they are built in a
timely fashion.

The complete Electricity Outlook report is available for downloading at
http://www.buildingcongress.com/code/research-electricity.htm. Printed copies of the publication can be obtained by calling the Building Congress at 212-481-9230.