NYPA Board Approves Low-Cost
Niagara Allocations for 64 New Jobs at Two Western New York Companies
May 24, 2005
FOR IMMEDIATE RELEASE
WHITE PLAINS—Low-cost hydropower will help create a
total of 64 new jobs at two companies investing nearly $15 million on
major expansions in Western New York.
The New York Power Authority (NYPA) Trustees
Tuesday approved allocations from NYPA’s Niagara Power Project to Delaco
Kasle Steel in Buffalo and Transcedar Industries in Niagara Falls. The
power will come from a block of 250,000 kilowatts (kw) known as
expansion power, which helps support more than 43,000 jobs at over 100
companies in the region together with a second, larger block of Niagara
Power called replacement power.
“Once again, we’re demonstrating the enormous
value of the Niagara Power Project for economic development in Western
New York,” said Louis P. Ciminelli, NYPA chairman. “The considerable
savings from the project’s allocations give area businesses an important
leg up in their ability to hold down their production costs and stay
Ciminelli, who lives in Buffalo, noted that the
Western New York Advisory Group, consisting of NYPA, Niagara Mohawk, the
Empire State Development Corp., and the Buffalo Niagara Enterprise,
recommends the new allocations of hydropower. In late 2003, the members
of the group signed a Memorandum of Understanding for allocations of
available Niagara power on a continuous basis.
Since the agreement, the Power Authority has made
allocations to a total of 31 Western New York companies, including the
two approved Tuesday at NYPA’s May trustees’ meeting at its White Plains
The latest allocations leave a total of 106,000 kw
of Niagara power remaining for assignment to Western New York businesses
agreeing to create and protect jobs.
Delaco Steel, which is building a
150,000-square-foot facility, will receive 750 kw, in return for
creating 54 new jobs.
The Michigan-based steel-processing company is
investing $14.1 million for starting up the manufacturing operation in
Buffalo. The new facility will process steel blanks used for various
auto body parts. Steel coils are cut into various shaped pieces, or
blanks, for fenders, hoods and other exterior auto parts.
Transcedar Industries is undertaking a
15,000-square-foot expansion of its Niagara Falls facility, which
manufactures automotive thermostats and oil caps.
The company will receive 100 kw of expansion power,
in return for doubling its work force of 10.
The 2,400,000-kw Niagara Project, in Lewiston,
about five miles downstream from Niagara Falls, is one of the largest
generating plants in the country. It provides some of New York State’s
lowest cost power, along with a second NYPA hydroelectric project, the
St. Lawrence-Franklin D. Roosevelt Project in Massena.