ReCharge NY Power Allocations Support $1.4 Billion in Capital Investments Statewide
Additional NYPA Incentives Support Economic Development in Western New York
NYPA Board Approves Seven-Year Contract Extension with Alcoa in Massena to Preserve 450 Jobs
Governor Andrew M. Cuomo today announced the latest round of ReCharge NY power allocations in support of more than 7,800 jobs and $1.4 billion in capital investments statewide. The New York Power Authority Board of Trustees approved more than 16.7 megawatts (MW) of low-cost RNY power allocations to 23 enterprises throughout the state. The Governor’s Recharge NY program, launched at the start of the Governor’s administration in 2011, currently provides power to 770 businesses and not-for-profit organizations, boosting the state’s economy by retaining and creating jobs, and sparking capital investment statewide.
«Through innovative economic development initiatives like Recharge NY, we are ensuring that New York continues to retain and attract high-quality jobs across the state,» Governor Cuomo said. «This critical program leverages low-cost, clean energy from NYPA to incentivize businesses to lay down roots and make major capital investments in New York State, both protecting our environment and boosting our regional economies.»
«Our aggressive clean energy goals are creating jobs and opportunities for investment across the state,» said Lieutenant Governor Kathy Hochul. «The ReCharge NY program is supporting projects that are providing power to businesses and organizations and creating thousands of jobs. We are committed to advancing our energy and power initiatives that are ensuring a clean and green environment for future generations.»
The low-cost power in this round of allocations will be distributed to enterprises in the Capital District, Central New York, the Finger Lakes, Long Island and New York City. Some significant recipients include: Icahn Institute of Medical Research at Mount Sinai in New York City, Margaret Woodbury Strong Museum in Rochester, the Long Island Jewish Medical Center in Valley Stream, and Giovanni Food in Baldwinsville. All ReCharge NY allocations are can be found here.
John R. Koelmel, NYPA chairman, said, «The ReCharge NY program effectively leverages the Power Authority’s hydroelectric facilities in Niagara and Massena to give the state a significant competitive edge in economic development. The program is also the backbone of NYPA’s economic development efforts statewide, supporting job growth and retention all across New York.»
Gil C. Quiniones, NYPA president and CEO, said, «NYPA powers businesses all cross the state with the Governor’s ReCharge NY program. The program, now in its eighth year, is still going strong, generating billions in capital investments and supporting hundreds of thousands of jobs.»
In addition, the NYPA board also approved seven-year contract extensions for 72 existing ReCharge NY customers around the state. Those contracts directly support more than 44,000 jobs and are tied to $3.3 billion in new capital investments over the next several years. The renewed ReCharge NY contracts will go into effect as early as July 1, 2019. The full list of the seven-year RNY contract extensions can be found here.
ReCharge NY offers up to seven-year power contracts. Half of the power—455 MW—is from NYPA’s Niagara and St. Lawrence-Franklin D. Roosevelt hydroelectric power plants, which provide some of the greenest, cleanest and lowest-cost electricity in the state. The remaining 455 MW is lower-cost power bought by NYPA on the wholesale market.
Assemblyman Michael Cusick, Chair of Assembly Standing Committee on Energy, said, «The ReCharge NY program continues to be one of the highlights of New York’s economic development portfolio. By harnessing our state’s natural resources in a sustainable way, we’ve managed to secure employment for thousands of people from all regions of New York.»
NYPA Board Action in Support of Economic Development in Western New York
In addition, NYPA trustees approved a 200 kilowatt hydropower allocation to Time Release Sciences in Buffalo to support the creation of 12 jobs at Tuesday’s board meeting. The seven-year power allocation is in support of a $13.5 million expansion project by the packaging company, which has been in operation in Buffalo since 2003. The multi-phase expansion project will add packaging lines, operational equipment and storage space.
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. The hydropower is linked to tens of thousands of existing jobs.
The NYPA trustees also approved a $1 million Western New York power proceeds award to Hauptman-Woodward Medical Research Institute, based in Buffalo. The funding will support a planned $5 million project to establish the Center for Therapeutic Interactions, which will offer Cryo-electron microscopy-based research and a unique related suite of complimentary services. Included as part of the project is the installation of an onsite, lithium ion battery, which will be integrated into the building’s automation system and used to shave peak electric demand and reduce energy costs.
The award is made possible from net earnings from the sale of unused hydropower from NYPA’s Niagara power plant and stems from legislation signed into law by Governor Cuomo in 2012. To be eligible for power proceeds awards, enterprises must be located within a 30-mile radius of NYPA’s Niagara power plant and the projects must support the growth of business and lead to the creation or protection of jobs. Contracts include provisions for periodic audits to ensure the funds are used for agreed-upon purposes.
Including this latest award to the Hauptman-Woodward Medical Research Institute, there have been 46 awards totaling nearly $38 million in funding since 2013. NYPA has provided more than $41 million to the proceeds fund.
Assembly Majority Leader Crystal Peoples Stokes said, «Thanks to the Governor’s ReCharge NY program and the approved seven year extension of power allocation, NYPA continues to serve as a tool for economic development and job creation and retention. Congratulations to all of the recipients. Hundreds of kilowatts of hydropower and power proceed funds have been allocated to local companies to generate economic opportunity and create a greener and cleaner Western New York.»
Assemblyman Pat Burke said, «I’m happy to see these funds coming to Western New York to create jobs and expand important research efforts. These resources will help our region continue to lead in the scientific community.»
NYPA Board Action in Support of Economic Development in the North Country
As announced by the Governor last week, and officially approved by the NYPA board on Tuesday, Alcoa and NYPA have reached a seven-year agreement that will provide 240 MW of low-cost St. Lawrence-FDR hydropower in return for a commitment from Alcoa to retain 450 jobs at the aluminum company’s smelting plant in Massena. The previous contract, which expires at the end of the month, had included the protection of 145 jobs that are now supported by Arconic, which separated from Alcoa in 2016 but maintained operations at the same site. In December 2018, the Governor announced that Arconic would maintain its workforce through 2028, ensuring a commitment of roughly 600 jobs total between the two companies.
Alcoa signed its original contract with NYPA in July 1955, more than three years before the St. Lawrence-FDR project—the Power Authority’s first generating plant—began producing electricity.