N.Y. Energy Law § 10-105 – Fuel set-aside

1. The commissioner shall promulgate rules and regulations establishing a fuel set-aside system for liquid fossil fuels. The fuel set-aside system established pursuant to this article shall not go into effect in whole or in part except where the federal government terminates, suspends or fails to implement all or part of the federal petroleum allocation program. The commissioner shall implement only that portion of the state set-aside program necessary to prevent and alleviate any energy hardships or shortages. Such rules and regulations shall direct that prime suppliers set aside an amount of liquid fossil fuel, as determined by the commissioner, which amount shall be a percentage of the monthly volume of liquid fossil fuels which prime suppliers intend to sell into the state distribution system for consumption within the state.
2. In addition to meeting the purposes set forth in section 10-101 of this article and the requirements of subdivision one of this section, the rules and regulations establishing the fuel set-aside system shall provide that:
1. (a) A prime supplier inform the office each month of the monthly volume of each product subject to fuel set-aside which is intended to be sold into the state distribution system for consumption within the state, provided the commissioner determines that such information is needed.
2. (b) The commissioner shall notify each prime supplier of the monthly fuel set-aside percentage, not exceeding three percent, applicable to each product subject to fuel set-aside. The commissioner may review and revise such percentages from time to time as he deems appropriate.
3. (c) The amount of fuel to be set aside for a particular month cannot be accumulated or deferred; it shall be made available from stocks of prime suppliers, whether directly or through distributors.
4. (d) Procedures shall be established for making an application for an allocation from the fuel set-aside reserves and for approval or disapproval of such application by the commissioner.