SYRACUSE, N.Y. — Gov. Andrew Cuomo and the New York Public Service Commission have proposed almost $8 billion in ratepayer subsidies over 12 years to energy provider Exelon if it buys the FitzPatrick Nuclear Power Station and keeps its three other upstate nuclear reactors running.
Environmentalists said the state is offering billions of electric consumers' dollars in a last-ditch effort to keep unprofitable upstate nuclear power plants from closing. Exelon owns three nuclear reactors upstate and is considering buying the aging FitzPatrick facility. Alternatively, it may close two of its reactors unless the state steps in.
According to Jessica Azulay with the Alliance for a Green Economy, the New York Public Service Commission wants to offer subsidies to keep the plants open through 2029.
"This is essentially a proposal to lock New York ratepayers into an almost $8 billion subsidy for one company, for Exelon, for 12 years,” Azulay said.
Gov. Andrew Cuomo has been trying to keep the plants open to retain the jobs and county tax revenue in upstate New York.
Until recently, the state said it would only cost about $270 million to keep the plants running. But on July 8, the price tag shot up and a 10-day public comment period began. Azulay said when they asked for an extension, they were only given an additional four days.
“So they're really rushing to put this nuclear policy in place having just come out with this new proposal for how they want to do it,” she said, "which raised the price tag so dramatically."
The public comment period on the proposal expires on Friday.
According to Azulay, keeping those plants open is part of the state's Clean Energy Standard, which requires the state to get 50 percent of its power from renewable sources by 2030. But the state investment in renewable energy under the plan is only $3.3 billion.
"So basically for every dollar that ratepayers would be putting into this policy to support renewable energy,” she said, "they'd be throwing away $2 on nuclear plants."
Investing that same money in renewable energy would generate far more good-paying jobs than would be lost by closing the nuclear plants, Azulay said.
More information is available at allianceforagreeneconomy.org.
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The construction of more solar farms in the U.S. has been contentious but a new survey shows their size makes a difference in whether solar projects are favored by neighbors.
South Dakota's largest solar installation, the Wild Springs project in New Underwood, began operations in March and covers more than 1.5 square miles. The survey showed projects under 100 megawatts are generally favored by neighbors, while larger ones like Wild Springs are unpopular.
Kristi Pritzkau, finance officer for the City of New Underwood, said the construction traffic was tough on the town of just over 600 but the project's builder, National Grid Renewables, is giving back to the community.
"They had to use our well, so they paid for the water, and they paid for a new pump for it, too," Pritzkau pointed out. "They've been really great with the city."
Prtizkau noted the company donated to the town's pool and Lions Club and has created a school scholarship program, all part of the more than $500,000 of charitable giving it has promised in the project's first 20 years of operation. It is also expected to bring in $12 million of tax revenue to the county in the same time frame.
Sioux Falls-based Missouri River Energy Services has plans to build a new solar project near Brookings and build a transmission line from South Dakota into Minnesota.
Tim Blodgett, vice president of member services and communications for the company, said federal grant programs and tax credits provide incentives and South Dakota produces more energy than it can use.
"With the development of more wind, the development of solar, there's a lot planned right now to get these resources out of this area," Blodgett explained. "Into Minneapolis and other places where there's larger demand for the energy."
Currently, more than half the state's power generation comes from wind, followed by hydropower.
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Virginia officials support the Environmental Protection Agency's new emissions rule. The federal clean truck standards will reduce emissions by up to 60% in 2032 and prevent 1-billion metric tons of carbon pollution. Transportation is the largest source of greenhouse gas emissions in Virginia and nationwide.
Phillip Jones, Newport News Mayor, said the new rule helps end the city's environmental disparities.
"We have a very large multiple coal company in downtown Newport News in the southeast part of our community," he said. "That's going to lead to higher rates of asthma for that community. There's a lot of air-quality issues in downtown Newport News."
Jones noted the city has taken steps to reduce emissions. The city's school district has been using propane-powered buses and Newport News is purchasing alternate energy-powered vehicles. He added any opposition to this work centers on larger upfront costs, but the long-term benefits are worthwhile. The EPA's rule goes into effect in 2027.
Transportation agencies are also working to cut emissions. Hampton Roads Transit has been working to cut emissions with cleaner buses.
Sibyl Pappas, chief engineering and facilities officer with Hampton Roads Transit, said the agency's upcoming bus maintenance facility furthers its emissions-reduction goals.
"It's very near where Dominion Energy is bringing offshore wind onshore. So, we've talked with Dominion about buying wind power. So, potentially, those buses are zero emissions at the tailpipe and zero emissions at the generation point," Pappas said.
The facility will open in 2029 and be net zero-ready upon completion. While HRT had some hiccups with electric buses, Pappas feels the EPA rule encourages climate-smart initiatives for all economic sectors.
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As state budget negotiations continue, groups fighting climate change are asking California lawmakers to cut subsidies for oil and gas companies rather than slash programs designed to slow global warming.
Gov. Gavin Newsom's current proposal would cut oil and gas tax breaks by $22 million this year and $17 million the following year.
Barry Vesser, COO for The Climate Center, a nonprofit advocacy group, would like to see all subsidies eliminated.
"Oil and gas companies are one of the drivers of climate change, so we should not be making their profit margins bigger by providing public subsidies, and making it harder for renewables to compete against them," Vesser argued.
Gov. Newsom has also proposed to cut funding for climate-friendly programs helping lower-income families buy an electric vehicle or switch from gas to electric appliances.
Kevin Slagle, vice president of strategic communications for the Western States Petroleum Association, said in a statement, "California's already tough business climate is pushing companies to the brink. Removing incentives will drive California straight into the arms of more expensive foreign oil, ramping up costs for everyday Californians who can least afford it."
Vesser countered the threat of higher gas prices is a red herring.
"There's a lot that goes into calculating how much the cost of gas is, and this is not even pennies on the dollar," Vesser contended.
The state Senate's early action proposal estimated the budget deficit will be between $38 billion and $53 billion. The governor is expected to release new details on his budget priorities in mid-May. The Legislature must pass a balanced budget by June 15.
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