Exelon to acquire Entergy’s James A. Fitzpatrick Nuclear Power Plant in Upstate New York
Exelon Generation has agreed to assume ownership and management of operations of Entergy Corporation’s 838 MW James A. FitzPatrick Nuclear Power Plant in the Town of Scriba, near Oswego, New York.
In recent months, Entergy and Exelon began discussing a path forward that would allow the plant to continue operating beyond January 2017.
Under the agreement totaling US$110 million, Entergy would transfer FitzPatrick’s operating license to Exelon. The New York Power Authority has agreed to transfer the decommissioning trust fund and liability for FitzPatrick to Entergy, and if regulatory approvals are obtained and the transaction closes, Entergy would then transfer the fund and associated liability to Exelon.
The 838-megawatt James A. FitzPatrick Nuclear Power Plant has been a source of electricity for New York since 1975. The nuclear power plant has one General Electric boiling water reactor.
Exelon operates two other nuclear energy facilities in upstate New York: R.E. Ginna and Nine Mile Point, the latter of which is adjacent to FitzPatrick. Together, Exelon’s two upstate plants provide carbon-free electricity to more than 2.5 million homes and businesses while employing more than 1,500 full-time staff.
Exelon President and Chief Executive Officer Chris Crane said,
“We are pleased to have reached an agreement for the continued operation of FitzPatrick. We look forward to bringing FitzPatrick’s highly-skilled team of professionals into the Exelon Generation nuclear program, and to continue delivering to New York the environmental, economic and grid reliability benefits of this important energy asset.”
Entergy Chairman and Chief Executive Officer Leo Denault stated,
“I would like specifically to thank our employees who have continued to operate this plant safely and reliably, despite the uncertainty they have faced about a potential shutdown. The pending sale of FitzPatrick is in the best interests of all of our stakeholders: employees, owners, customers and communities, including New Yorkers who will benefit from the plant’s continued clean, safe and reliable energy production. We would like to thank New York Governor Andrew Cuomo and his administration for being progressive in placing a value on the carbon-free attribute that nuclear power plants provide."
Mr.Crane added:
“We thank Governor Cuomo and his administration for their part in facilitating an agreement to save FitzPatrick. His leadership on the CES and preserving zero-emissions assets has truly positioned New York as the nation’s leader in clean energy.”
Transaction closure is dependent upon regulatory review and approval by state and federal agencies, including the US Department of Justice, the Nuclear Regulatory Commission, the Federal Energy Regulatory Commission and the New York State Public Service Commission. The transaction is expected to close in the second quarter of 2017.
