Governor Kathy Hochul announced that the New York Power Authority Board of Trustees approved economic development awards under the ReCharge NY program to 21 firms that will spur more than $800 million in capital investments and support nearly 4,500 jobs.
In addition, low-cost Niagara hydropower was awarded to a firm in Buffalo to spur $8.6 million in capital investments in the region, and $670,000 in funding awards were approved to three firms through the Western New York Power Proceeds Fund.
“These economic development awards from the New York Power Authority support New York’s nation-leading transition to a clean energy economy,” Governor Hochul said. “By leveraging low-cost power, the ReCharge NY program is revitalizing communities across New York State, catalyzing billions of dollars of investment and creating tens of thousands of jobs.”
The approved allocations of more than 9 MW of low-cost power under the ReCharge NY program will be directed to 21 companies in the Capital District, Central New York, Finger Lakes, Southern Tier, Hudson Valley, New York City, Western New York and Long Island.
ReCharge NY has strengthened the state’s economy by encouraging companies to retain and create jobs, while sparking capital investment throughout the state. ReCharge NY offers power contracts up to seven years. Half of the power — 455 MW— is from New York Power Authority’s (NYPA) Niagara and St. Lawrence-Franklin D. Roosevelt hydroelectric power plants. The remaining 455 MW is lower-cost power bought by NYPA on the wholesale market.
The NYPA board approved a 450-kW ReCharge NY power allocation to Cummins, a designer and manufacturer of engines and power generation products in the automotive industry. Cummins will invest $452 million at its Chautauqua County site to retool the facility for its next generation of products. The firm’s expansion will create 90 jobs and support an additional 1,280 existing jobs.
Additionally, the NYPA Board of Trustees awarded a low-cost ReCharge NY power allocation to iSpice Foods in Cortland County. iSpice imports, processes and supplies herbs and spices from around the world. The firm will invest $25 million to purchase and renovate a building so that it may accommodate more than 50 production lines. The new facility will also include a laboratory for research and development of new products. iSpice received a 2.25-MW low-cost power allocation and has committed to creating 350 jobs in Central New York.
“Today’s economic development announcements further demonstrate the depth and breadth of the Power Authority’s impact on the Buffalo-Niagara area and the larger Western New York region,” said New York Power Authority Chairman John R. Koelmel. “Today’s actions by the NYPA Board of Trustees directly support Cummins $500 million investment in Chautauqua County while also enabling the Hispanic Heritage Council to build a cultural and educational center on Buffalo’s westside. The Power Authority is continuing to leverage low-cost Niagara hydropower to improve the economic and cultural well-being of our host communities.”
The NYPA board also approved a 410-kW low-cost Niagara hydropower allocation to Father Sam’s Bakery in Buffalo, a wholesale bakery specializing in the production of flour tortilla and flatbread products. The award will support the bakery’s $8.6 million expansion, which includes a 16,875-square-foot addition and the installation of two fully automated flour tortilla lines that are expected to increase production capacity by about 40%. As a result of its expansion, Father Sam’s will create 12 permanent, full-time jobs.
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 NYPA Board of Trustees also approved $670,000 in funding awards from the Western New York Power Proceeds Fund to enterprises in Buffalo, including Launch, a non-profit that provides support to startups; the Buffalo Niagara Convention & Visitors Bureau and the Hispanic Heritage Council of Western New York. The NYPA funding award is made possible through net earnings resulting from the sale of unused hydropower generated at the Niagara Power Project and stems from power proceeds legislation signed into law in 2012.
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.
