Power provider Entergy balked this week at yet another attempt by New York state to save the 40-year-old James A. FitzPatrick Nuclear Power Plant.
In the latest effort, the New York Public Service Commission announced Tuesday the initiation of a “rescue plan” that would allow for expedited funding for the plant leading up to the rollout of Gov. Andrew Cuomo’s Clean Energy Standard. The commission is conducting a cost study to determine what monetary value the bridge funding would represent to Entergy, with results expected Monday. While the funding could be available as early as June, a representative for the company said this week the announcement does not change Entergy’s decision to shut down the FitzPatrick plant.
“While we share the NYPSC’s concerns about the loss of nuclear generation, the financial implications of its efforts are too uncertain and this proposal comes too late to save FitzPatrick,” Mike Twomey, vice president of external affairs for Entergy EWC, said in a statement. “At this point, we are moving forward with the safe and orderly shutdown of the Fitzpatrick plant.”
Twomey cited “several meetings” over the past few years between Entergy, the governor’s office, and the public service board concerning New York’s nuclear energy market structure. Those talks led to face-to-face negotiations between the two sides over several months in 2015.
“Those negotiations failed, as New York State was unwilling to agree on a path that was mutually acceptable to both parties,” Twomey wrote.
Entergy in November announced plans to close the plant this year or in early 2017, citing natural gas prices, increased operational costs, and poor market design. Entergy claims the shutdown will save the company as much as $275 million through 2020. Without directly addressing the FitzPatrick closure, Cuomo later unveiled plans for his Clean Energy Standard, with the goal of sourcing 50 percent of New York with clean, renewable energy by 2030.
“The plan would enable expedited financial support to FitzPatrick and other qualified nuclear power plants in Upstate New York,” Public Service Commission Chairwoman Audrey Zibelman said in Tuesday’s announcement. “Until then, we invite Entergy to work with us to make the plans necessary to refuel FitzPatrick and to support the statewide objectives of New York’s new Clean Energy Standard.”
