RESRFP25-1 Has Arrived: What Developers Need to Know Now?

Publish Date: September 30, 2025

Written by: Po-Yu Yuen, Director

Estimated Reading Time: 8 Minutes

On September 26, 2025, NYSERDA issued its highly anticipated RESRFP25-1 solicitation, seeking to procure 5.6 million Tier 1 RECs per year under long-term contracts. This issuance kicks off New York’s latest procurement round for large-scale renewables, with Step One Eligibility Applications due October 21, 2025 and Step Two Bid Proposals due December 4, 2025.

NYSERDA’s announcement emphasized that this round is designed to advance “shovel-ready projects” that can capture federal tax credits before they phase out – a focus consistent with recent procurement activity in neighboring New England states.

Minimum Thresholds: The Bar for Entry

Projects must meet several key minimum thresholds:

• Interconnection: For projects that have not yet secured an interconnection agreement, developers must provide evidence to NYSERDA of their intent to progress into Phase 2 of NYISO’s Transitional Cluster, including deposits, by the Step Two deadline. The decision window for entering Phase 2 is scheduled to span November 4-17, 2025.
• Permitting: Unlike RESRFP24-1, projects are not required to have filed a permit application within a certain timeline after bid submission. Instead, they must demonstrate awareness of all applicable permitting requirements, submit a permitting timeline, and show completed field studies or environmental assessments (depending on permitting jurisdiction). While lighter than last year’s threshold, permitting maturity remains an important non-price evaluation factor.

Other Features to Note

RESRFP25-1 also includes several noteworthy provisions:

• ARMTA Projects: Projects that were awarded in previous solicitations but terminated under the Amended and Restated Mutual Termination Agreement (ARMTA) may re-bid without having security drawn if awarded, but only until a confidential cap is reached. Combined with the looming tax credit deadlines, this may push some advanced projects to position their bids more aggressively this round.
• Contract Tenor: Despite PSC authorization to utilize REC contracts with tenors as long as 25 years, RESRFP25-1 retains a 20-year tenor. As highlighted in our July Early Look Briefing, longer terms could have been a key tool for moderating upward price pressure, but that lever is being deferred.
• Index Adjustments: Bid adjustment formulas now rely on technology-specific cost indices rather than a single inflation factor, aligning with NYSERDA’s ORECRFP approach. In today’s uncertain market, more projects may opt for this alternative bid option if this can reduce inflation risk premiums and make bids more financeable.  
• Co-located Storage: Hybrid projects may participate in both RESRFP25-1 and the bulk storage solicitation (ISCRFP25-1), but storage can only be awarded under one solicitation.
• Agricultural Mitigation: Solar projects on certified agricultural districts with specific soil classifications may be subject to mitigation payments.

Why This Matters

Earlier expectations were that RESRFP25-1 would begin with a Request for Information (RFI). Instead, NYSERDA moved directly to the RFP, with targeted changes from RESRFP24-1. At the same time, the state launched a parallel stakeholder process to inform a future white paper on procurement reform. Specifically, the PSC is investigating and soliciting comments on (i) hedging mechanisms to reduce electricity price volatility, (ii) potential benefits of alternate procurement mechanisms (other than the procurement structure currently administered by NYSERDA), (iii) how the renewable procurement program can best promote the voluntary market in New York and mitigate exports of RECs, and (iv) how existing wholesale capacity and energy market designs may need to be modified to better align with the existing or proposed clean energy procurement mechanisms.

This dual-track approach sends a clear signal:

• Procure Now – New York is prioritizing a near-term push to secure advanced projects that can still qualify for federal tax credits.
• Reform Later – Bigger structural shifts, such as extended contract tenors or changes to the Index REC structure that could help offset rising costs from tax credit phase-out and tariffs, will be left for subsequent solicitations.

The net result may be a more targeted procurement, awarding fewer but more advanced projects that are positioned to capture incentives and potentially deliver lower awarded volume than the nominal target.

What’s Next: SEA’s Detailed Look Briefing

For developers and investors, success in RESRFP25-1 will depend on navigating the interplay of interconnection, permitting, and tax credit dynamics – and understanding how your project compares.

That is the focus of SEA’s NY REMO Tier 1 Detailed Look Briefing, which will be delivered as a webinar on October 15, 2025 (2:00 – 3:00 PM ET).

Building on our July Early Look analysis, the Detailed Look Briefing will:

• Incorporate the final solicitation design and evaluation criteria;
• Assess the bid cohort under confirmed maturity thresholds and updated tax credit eligibility outlook;
• Model supply curves, award outcomes, and pricing ranges under alternative assumptions;
• Provide actionable insights for both RESRFP25-1 bid strategy and longer-term NYISO Cluster Study positioning.

Bottom Line

RESRFP25-1 offers a narrow but significant window of opportunity. Developers that succeed will be those who can pair readiness with sharp strategy under today’s rules.

Join Sustainable Energy Advantage for the Detailed Look Briefing on October 15, 2025 to get the independent intelligence you need to bid with confidence. Contact me at pyuen@seadvantage.com to schedule a NY REMO demo and learn more about the Detailed Look Briefing.