FERC Resolves Outstanding Issues in Power Authority’s New License

Jack Murphy


June 9, 2004


WHITE PLAINS – New York Power Authority officials Tuesday praised the Federal Energy Regulatory Commission’s actions that resolved nearly all outstanding issues that had been raised in response to the issuance of a new 50-year license for the St. Lawrence-Franklin D. Roosevelt Power Project in Massena.

“We’re obviously pleased with FERC’s decisions,” said Eugene W. Zeltmann, president and chief executive officer of the Power Authority. “Our staff worked long and hard with many people having a stake in the outcome of the licensing process, and with the FERC staff during the proceedings. These rulings by FERC validate all the time and effort that went into achieving the license and putting to rest the other concerns.”

FERC issued its rehearing order in the relicensing of the St. Lawrence-FDR Project last Friday.

In a significant ruling on power allocations, FERC reversed its earlier decision to require an allocation of 4,800 kilowatts (kw) to Massachusetts. It also accepted NYPA's argument that there is no evidence of Congressional intent that St. Lawrence-FDR Project power be allocated to neighboring states.  FERC, however, did not alter the article which incorporated settlement terms with the other six out-of-state customers. Those agreements, reached prior to submitting the license application, cover 34,500 kw of power. These allocations expire in 2017.

In another allocation issue, FERC rejected arguments raised by the Niagara Power Coalition (NPC).  Specifically, FERC rejected the power coalition’s request for an allocation of St. Lawrence-FDR power and its request that FERC include a license provision to modify the allocation during the 50-year license term.

FERC’s ruling also confirmed the location of the new project boundary it had approved  in an order dated Dec. 23, 2003. In general, the new boundary eliminates all of the Town of Lisbon and the portion of Waddington upstream from the Iroquois Dam from the St. Lawrence-FDR project.  In areas still within the project boundary, provisions to return property to the local towns and to adjacent property owners are also confirmed.

FERC also ruled that the Power Authority’s environmental impact statement adequately addressed all the issues raised by the stakeholders.