Business

New York Governor announces three low-cost hydropower allocations

Tags
New York Governor announces three low-cost hydropower allocations

Governor Kathy Hochul announced that the New York Power Authority Board of Trustees approved economic development awards to three firms that will spur more than $508 million in capital investments and create 205 jobs.

“New York’s growing clean energy infrastructure and local economic development go hand in hand,” Governor Hochul said. “The items approved today by the NYPA Board of Trustees will create good-paying jobs and spark hundreds of millions of dollars of investment in communities in Western and Northern New York.”

The NYPA board approved a 50 MW low-cost Niagara hydropower allocation to Plug Power, located at Genesee County’s Science, Technology & Advanced Manufacturing Park (STAMP), to support the firm’s $387 million green hydrogen fuel production expansion project that will lead to the creation of 19 additional jobs at the location. The firm is under way with construction of the $290 million green hydrogen fuel production facility at the site that was announced by Governor Hochul in 2021. The expansion project will increase the capacity of the planned hydrogen production from an estimated 45 tons per day to 74 tons per day. The NYPA board also approved an additional 62 MW of High Load Factor power that NYPA will procure for Plug Power on the energy market. The Power Authority supports Plug Power at three other locations: Slingerlands, Latham and West Henrietta. In total, NYPA supports Plug Power with 272 MW of low-cost power, supporting more than 2,100 jobs throughout the state.

The NYPA Board of Trustees also approved a 16 MW allocation of low-cost Niagara hydropower to EnerPlate, a Niagara Falls-based company that provides electroplating services for use in manufacturing grid-scale battery systems. The firm will invest more than $105 million to refurbish its recently purchased 90,000-square-foot facility and procurement of equipment for electroplating — a process that produces a metal coating on substrates, or base materials such as copper or tungsten, to improve properties like electrical conductivity. The enhanced materials are used by battery manufacturers specializing in energy storage from clean sources, such as solar and wind. EnerPlate’s expansion will lead to the creation of 160 jobs in the Niagara Falls region.

Both of these projects support the state’s transition to low- and zero-carbon clean energy, advancing the Climate Leadership and Community Protection Act’s goal of reducing greenhouse gas emissions 85% by 2050, and were considered under the Green Jobs Evaluation Incentive Plan approved by the NYPA board in 2020. The plan allows for the consideration of green jobs impacts when evaluating applications for NYPA power.

The NYPA board also approved 320 kW of low-cost St. Lawrence hydropower to CWT, which is building a new egg hatchery in Watertown. The firm will invest $16 million in the construction of a 47,000-square-foot hatchery to support an additional product line for baby chicks. The expansion will help CWT serve its Canadian and northeastern U.S. customers and create 26 jobs in the North Country.

“By leveraging Niagara hydropower, the Power Authority is stimulating large-scale community investment and job growth in Western New York. Today’s hydropower allocations to Plug Power and EnerPlate support firms on the cutting-edge of clean energy solutions, advancing the goals of the State’s nation-leading climate and clean energy agenda,” said NYPA Chairman John R. Koelmel.

Low-cost Niagara hydropower is available for companies within a 30-mile radius of the Power Authority’s Niagara Power Project or businesses in Chautauqua County. Preservation Power is comprised of 490 MW of competitively priced hydropower generated at the St. Lawrence Franklin D. Roosevelt Power Project that may be allocated to eligible businesses in the Franklin, Jefferson and St. Lawrence counties of New York State.

NYPA is the largest state public power organization in the U.S., operating 16 generating facilities and more than 1,400 circuit-miles of transmission lines. More than 80% of the electricity NYPA produces is clean renewable hydropower.