Dive Brief:
- The New York Public Service Commission has, for a second time, entreated Entergy Corp. to work with the state to keep its James A. FitzPatrick plant in upstate New York operating.
- In a statement this week, the commission said it is currently developing a new energy credit that
"would, for the first time, place a monetary value on the zero-emission power produced by FitzPatrick and other qualified plants." - Entergy, however, has previously said it is too late to save the plant and plans to close it in 2017. The Citizen reports the new proposal will likely have no impact "We are moving forward with the safe and orderly shutdown of the FitzPatrick plant," an official told the newspaper.
Dive Insight:
Entergy officials told The Citizen that they have received no firm proposal for the state relating to a new carbon free credit that could help prop up the ailing FitzPatrick plant. That statement would seem to leave a little wiggle room, but the company remains firm in its decision to shutter the plant next year in January.
"Entergy met with New York state officials from the governor's office and with the PSC repeatedly over the last few years ... Unfortunately, these discussions resulted in no meaningful progress or policy changes by New York state," Mike Twomey, a spokesman for Entergy Wholesale Commodities, told The Citizen.
"At this point, we are moving forward with the safe and orderly shutdown of the FitzPatrick plant," he said.
Despite those declarations, New York regulators are moving anyway in an attempt to save the plant, its cabon-free generation and the 600 jobs that are required for its operation. Cuomo previously said he would use "every legal and regulatory avenue" to save the 838 MW plant. Last month regulators approved the 10-year, $5 billion Clean Energy Fund, designed to bolster the state's grid while also attracting third-party capital to the state and lowering power prices.
Regulators this week said the FitzPatrick plant, located in Oswego County, could be financially sound and ready for refueling in June under the "expedited rescue plan." And regulators said they would work with Entergy to take steps necessary to keep the plant operating beyond this year.
“The plan would enable expedited financial support to FitzPatrick and other qualified nuclear power plants in Upstate New York,” said Commission Chair Audrey Zibelman. “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.”
Despite the push to preserve the Fitzpatrick plant, Cuomo is engaged in another battle over Entergy's Indian Point nuclear plant. Cuomo (D) this month called for an investigation following radiation spikes at three monitoring wells. The plant is located just 40 miles from New York City, and Cuomo has previously advocated closing it down over safety concerns.
The New York governor has pushed for closing the Indian Point facility, arguing it is not possible to safely operate a reactor so close to the nation's largest metropolitan area, which is home to some 20 million residents.
Last year, the state denied Indian Point a water use permit, and Entergy filed a lawsuit in response alleging that the state's objections were based on concerns over the plant's safety, which is regulated by the federal government and not New York.