Karl Herchenroeder
RW Monitor
12/4/2015
On the heels of New York Gov. Andrew Cuomo’s announcement that the state will develop a new clean energy standard, energy company Exelon said Wednesday it is willing to sell fuel to the James A. FitzPatrick Nuclear Power Plant at a cost should it mean the plant remains open in the interim.
In November, plant operator Entergy gave the Nuclear Regulatory Commission formal notice that the 40-year-old facility will cease operations permanently between late 2016 and early 2017. Entergy spokeswoman Tammy Holden reiterated that point following the latest announcements Wednesday, saying the company has explored every legitimate commercial arrangement, and there is no viable alternative left to consider.
Cuomo on Wednesday said he had directed the state’s Department of Public Service to design a new clean energy standard under which 50 percent of all New York electricity would come from clean and renewable sources by 2030. Cuomo also has directed the agency to prepare a plan to “prevent the premature retirement of safe, upstate nuclear power plants during this transition,” according to a press release from the governor’s office.
While the release did not cite the FitzPatrick plant, there is little doubt it was at least partially referring to the facility, which is located in upstate Oswego County.
“As New York State continues to aggressively add new renewable resources, it cannot lose ground in the fight to reduce carbon pollution through the unnecessary retirement of safely operating nuclear power plants in Upstate New York,” the press release states . “The early closure of those plants would result in increased carbon pollution from fossil fuel generators, reduced fuel diversity and unstable electric prices, as well as job losses and economic distress in Upstate communities. Support for nuclear plants is separate and distinct from the 50 percent renewable energy mandate.”
On Wednesday, Syracuse.com reported that Exelon officials estimate it would cost $125 million to resupply FitzPatrick with uranium fuel rods next fall, and that the move would allow the plant to remain open to the close of 2018. Exelon spokesman Marshall Murphy would not confirm that information.
“We believe that with the Governor’s leadership, a clean energy standard could prevent the loss of New York’s upstate nuclear units which would be a significant setback to the state’s efforts to reduce carbon emissions and maintain reliability of the electric grid at the lowest cost to consumers,” Murphy said by email. “To that end, Exelon has offered to provide fuel to Entergy ‘at cost’ should it be needed to keep the plant operating while the governor’s administration, New York State Public Service Commission and other stakeholders work toward implementing a clean energy standard that properly values the emissions-free and reliability benefits of nuclear energy.”
