NYPA Extends Low-cost
Hydro Power Allocations to Two Western New York Companies Protecting
September 27, 2004
FOR IMMEDIATE RELEASE
WHITE PLAINS—The New York Power Authority (NYPA)
Trustees Monday approved contract extensions for low-cost
hydropower with two Western New York companies—Westwood Squibb of
Buffalo and Viking Lockport—that will help protect a total of 428
jobs for the region.
The actions will ensure the companies continue
to receive electricity from the Power Authority’s Niagara Power
Project in Lewiston, the source of some of the least-cost
electricity in New York State.
“The contract extensions with Westwood Squibb
and Viking Lockport underscore Governor George E. Pataki’s
commitment to enhance the competitiveness of businesses in Western
New York with various measures, including allocations of low-cost
Niagara power,” said Louis P. Ciminelli, NYPA chairman. “The
hydroelectric project, which is linked to more than 43,000 jobs in
the region, significantly lowers the energy costs of area
businesses, helping them to stabilize and grow their work forces.”
The electricity for the two extended contracts
is from a block of 250,000 kilowatts (kw) known as expansion
power—one of two blocks of Niagara power for businesses and
industries in Niagara, Erie and Chautauqua Counties, within a
30-mile radius of the project’s switchyard. (The other block—445,000
kw—is called replacement power.)
The typical business customer pays under 2 cents
per kilowatt-hour for Niagara hydropower.
Westwood Squibb (a division of Bristol
Myers-Squibb, New York) manufactures anti-inflammatory and
dermatological products at its Buffalo facility, where it will
continue to receive an allocation of 750 kw to help protect 265
Viking (formerly Avon Injected Rubber and
Plastics) has committed to protect 163 positions at its
manufacturing facility in the Town of Lockport in return for its
continued allocation of 300 kw. The company produces light
assemblies for the automotive industry.
The Niagara project, with a capacity of
2,400,000 kw, is the single largest source of electricity in the
state, first producing power in 1961.