On April 6th, 2026, NYSEIA, as part of the Clean Energy Parties, filed comments on DPS Staff Proposal on Updating DRV and LSRV for VDER compensation. 

The comments urge the Commission to adopt updated MCOS and derivative DRV values at the Commission’s April 2026 session, or otherwise as soon as possible, as the current rates are nearly a decade out of date, and delaying a decision risks stranding billions of dollars in private investment and missing out on federal tax credits. Further, the Commission should ensure compensation for DLM and other programs be updated to leverage the most accurate MCOS values, and to consider modifying the Environmental Value to ensure parity among utility and distributed scale resources.

The comments highlight DERs as a critical energy affordability solution, providing utility bill relief to consumers participating in EAP, and lower electricity supply charges. Further, DERs eliminate the need for costly transmission projects. 

The parties urge the commission to 

• Issue an Order quickly approving new DRV rates, set equal to MCOS as proposed by Staff

• Implement a one-time opt-in window that allows developers that paid their 25% deposit

• after 6/30/2025 to elect to receive the up-to-date DRV rates;

• Approve the MCOS Studies and updated DRV rates as soon as possible while allowing for further time and process to address details such as the operationalization of Staff’s LSRV proposal; 

• Direct the utilities to improve and standardize their MCOS methodology by including all known costs, including load transfers, in the MCOS calculation, consistently using post-tax Weighted Average Cost of Capital (WACC), and accounting for capacity phase-in for multi-year utility capital projects by discounting the MW project capacity by WACC.

Click "READ MORE" to view the CEPs full comments.