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File #: Res 0112-2026    Version: * Name: Requiring private developers of battery energy storage systems to provide liability insurance and financial support to nearby property owners, covering losses related to battery fires.
Type: Resolution Status: Committee
Committee: Committee on Environmental Protection and Waterfronts
On agenda: 1/29/2026
Enactment date: Law number:
Title: Resolution calling on the New York State Legislature to pass, and the Governor to sign, legislation requiring private developers of battery energy storage systems to provide liability insurance and financial support to nearby property owners, covering losses related to battery fires
Sponsors: Mercedes Narcisse, Farah N. Louis, Frank Morano
Council Member Sponsors: 3
Attachments: 1. Res. No. 112, 2. January 29, 2026 - Stated Meeting Agenda, 3. Hearing Transcript - Stated Meeting 1-29-26

Res. No. 112

Resolution calling on the New York State Legislature to pass, and the Governor to sign, legislation requiring private developers of battery energy storage systems to provide liability insurance and financial support to nearby property owners, covering losses related to battery fires

By Council Members Narcisse, Louis and Morano

Whereas, In 2019, the New York State (NYS) Legislature passed the Climate Leadership and Community Protection Act (CLCPA), committing NYS to a net-zero carbon economy by 2050, 100 percent zero emission electrical generation by 2040, a 40 percent reduction from 1990 levels in statewide greenhouse gas emissions by 2030, and 70 percent renewable energy by 2030; and

Whereas, In 2015, the administration of then-Mayor Bill de Blasio released “One New York: the Plan for a Strong and Just City,” which established a goal of reducing New York City’s (NYC or City) greenhouse gas emissions by 80 percent compared to 2005 levels by 2050; and

                     Whereas, As part of the effort to meet these emissions reduction goals, NYC has established a target of 500 megawatts (MW) of battery storage capacity by 2025, with the NYC Industrial Development Agency, a NYS public benefit corporation established to facilitate economic development, stating that it has supported projects totaling approximately 254 MW of battery storage capacity as of April 2024: and

Whereas, Battery energy storage systems (BESS) foster grid reliability by storing surplus renewable energy produced during peak generation periods for use when demand outpaces generation, and can consist of  large banks of multiple battery packs linked together with safety monitoring equipment and climate control systems; and

Whereas, Many of the BESS installations that have been announced for the City are located in residential neighborhoods, like the Ninedot Energy projects planned for the Manor Heights neighborhood in Staten Island and the Marine Park neighborhood in Brooklyn, both of which are sited adjacent to homes; and

Whereas, Due to their high energy density, long lifespan, and fast charge and discharge times, lithium ion batteries have become the most popular battery chemistry utilized in BESS installations; and

Whereas, Appropriately designed BESS installations have seen safety improvements in the last 5 years as industry best practices have been established, with the failure rate of grid-scale energy storage systems dropping by 98 percent between 2018 and 2024 despite a significant increase in global deployed capacity; and

Whereas, Despite those safety improvements, any system failure can come with significant consequences; and

Whereas, When subjected to mechanical damage or when exposed to unsafe temperatures, lithium ion batteries can undergo a process known as thermal runaway, in which an internal short circuit converts stored chemical energy to heat energy, intensifying chemical reactions and leading to the release of additional heat energy, potentially resulting in the release of flammable gases, fires, or explosions; and

Whereas, In the event of a fire, lithium ion batteries can release toxic emissions like carbon monoxide, heavy metals, and hydrogen fluoride, which have the potential to damage skin and respiratory organs, cause severe burns, lead to cardiac arrhythmia and renal failure, and can also release potentially harmful fluorinated compounds; and

Whereas, A fire on January 16, 2025 at the Vistra Energy Moss Landing battery storage facility in California caused approximately 1,500 nearby residents to be temporarily evacuated from their homes, and led to widespread school closures due to concerns over hazardous materials and potential toxic exposures; and

Whereas, After the Moss Landing fire, residents of the nearby Prunedale and Castroville communities submitted over 100 dust samples collected by volunteers for testing at a private lab, with results showing elevated levels of nickel, cobalt, and manganese, the 3 major components of lithium ion batteries; and

Whereas, Nickel is a known carcinogen, and manganese and cobalt can act as neurotoxins, with environmental exposure potentially resulting in respiratory inflammation and other long and short term negative health effects, according to Don Smith, an environmental toxicologist at the University of California, Santa Cruz; and

Whereas, Some residents of the Prunedale and Castroville communities reported being forced to leave their homes due to respiratory symptoms in the aftermath of the fire, while at least one restaurant was forced to close due to lingering health concerns and reduced foot traffic following the fire; and

Whereas, The experiences of Prunedale and Castroville residents, and other communities near the Moss Landing fire, underscore the urgent importance of ensuring that BESS facilities are constructed with the safety of surrounding communities in mind, but also with robust protections for local residents and businesses in the event of a catastrophic failure; and

Whereas, While BESS are a vital component of the City’s clean energy and emissions reduction goals, it is important to ensure that the communities that house these facilities have financial and liability protections in the event that a battery fire occurs; now, therefore, be it

Resolved, That the City of New York calls on the New York State Legislature to pass, and the Governor to sign, legislation requiring private developers of  battery energy storage systems to provide liability insurance and financial support to nearby property owners, covering losses related to battery fires.

NRC

LS#19276

Res. #0890-2025

1/5/2026 4:30 PM