NYPA Allocates Additional
Low-Cost Power to Lewiston
August 30, 2007
FOR IMMEDIATE RELEASE
LEWISTON—The New York Power Authority (NYPA) will
provide the Town of Lewiston with an additional three megawatts (mw)
of low-cost power from the Niagara Power Project as part of an
agreement concerning the project’s relicensing.
The allocation is in addition to the 3.5 mw
previously assigned to Lewiston under the agreement with the Host
Communities in the Niagara project area. Lewiston officials intend
to use the town’s full 6.5-mw allocation to help lower residential
Power from the Niagara project will begin flowing
to Lewiston and the other Host Communities on Saturday (Sept. 1),
when the project’s new 50-year federal license takes effect.
“We are pleased to be able to nearly double
Lewiston’s power allocation,” NYPA President and Chief Executive
Officer Roger B. Kelley said. “The additional allocation is the
maximum amount the town could have received under our relicensing
agreement and is in keeping with our longstanding efforts to be a
good neighbor in Lewiston, the home of the Niagara project
"This allocation of an additional three megawatts
from NYPA confirms that we will be able to reduce residential
electrical rates in our town," Lewiston Town Supervisor Fred Newlin
said. "These three additional megawatts were achieved by direct and
cooperative negotiations between myself and the Power Authority, and
the result for Lewiston is more electricity than any other town or
city in New York State will be receiving as a result of relicensing.”
“My goal from day one was to pass the savings on
directly to our taxpayers. A lot of people said it couldn't be done,
but today marks the culmination of very exhaustive negotiations that
I was honored to lead over the last 3 1/2 years. Lewiston's
residents will at long last be able see a tangible benefit from
being the host community of the power project."
The additional allocation to Lewiston stems from a
provision in the agreement calling for the Power Authority to make
annual payments of at least $5 million to the Host Communities.
These payments will be funded through NYPA sales of
Niagara power into the New York State wholesale market.
Although it was anticipated in June 2005, when the
agreement was signed, that sale of 24 mw would be needed to obtain
the $5 million, the Power Authority has determined that under
current market prices it will be required to sell only 20 mw for
this purpose. The agreement provided for Lewiston to receive up to
3 mw of any power not needed to fund the payments to the
In addition to the annual payments, the Host
Communities will receive a total of 25 mw of Niagara hydropower,
including Lewiston’s earlier 3.5-mw allocation. Under separate
relicensing agreements, NYPA will provide a total of 4 mw of Niagara
power to Niagara University and the Tuscarora Nation.
The Host Communities, in addition to the Town of
Lewiston, are Niagara County, the City of Niagara Falls, the Town of
Niagara and the Niagara Falls, Lewiston-Porter and Niagara
Wheatfield school districts.
■ NYPA uses no tax money or
state credit. It finances its operations through the sale of
bonds and revenues earned in large part through sales of
electricity. ■ NYPA is a leader in promoting
energy-efficiency, new energy technologies and electric
transportation initiatives. ■ It is the
nation’s largest state-owned electric utility, with 18 generating
facilities in various parts of the state and more than 1,400
circuit-miles of transmission lines.
Return to Press Center