The New York Public Service Commission has approved new power lines as part of its Indian Point contingency plan.
On October 17, 2013, the New York State Public Service Commission (PSC) approved three transmission projects to maintain grid reliability if Indian Point Energy Center (IPEC) closes due to license expiration in 2015. IPEC’s nuclear reactors, located approximately 30 miles from Manhattan, have a power generation capacity of 2,040 MW.
The projects, expected to become operational by mid-2016, are capable of reducing capacity needs by more than 600 MW. They will facilitate extension of existing programs and creation of new programs to reduce downstate electricity use by 180 MW through energy efficiency and demand response. The transmission projects would enable customers to receive estimated net benefits of approximately $260 million over the first 15 years and provide additional benefits over the life of the assets. The approved projects can fill part of the total supply gap resulting from the possible IPEC closure. The remainder would be met by several proposals submitted to Consolidated Edison (Con Edison) and New York Power Authority (NYPA).
In late 2012, PSC directed Con Edison and NYPA to develop a contingency plan to address reliability concerns in the event of IPEC shutdown. In addition to the new transmission facilities, PSC is moving forward with energy efficiency and demand response measures that would provide net benefits even if IPEC continues operating beyond its current license term.
According to PSC, its energy efficiency and demand response programs will target large customers within Con Edison’s service area. Con Edison will work with NYPA and the New York State Energy Research and Development Authority (NYSERDA) to implement plans for energy efficiency, demand reduction, and combined heat and power. The programs are estimated to provide net savings of approximately $182 million over a 15-year period.
October 18, 2013 via Energy Solutions Forum
Energy Solutions Forum is an energy policy research and data company based in New York City. Follow @EnergySolForum for policy research and stay plugged in with ESF Calendar, the industry’s go-to resource for energy business events in and around NYC.
