Hydroelectric power allotments announced by New York Governor Andrew Cuomo and the New York Power Authority (NYPA) will lead to the creation of almost 650 new jobs and US$206 million in capital investments.
The power allocation will be taken from NYPA's Niagara Hydroelectric Power Plant and will be distributed to the Ford Motor Company in Hamburg, Brunner International in Medina and Gracious Living USA in Buffalo.
"Today's low-cost hydropower allocations are a major win for western New York, helping to create more than 600 new jobs, while reducing business costs to support the manufacturing industry," Cuomo said. "As we grow the manufacturing sector in western New York, the state will continue to leverage these kinds of investments to strengthen the local economy."
Per the allocation:
- Ford Motor Company will receive 1,000 kW in support of its plan to invest $150 million into its 63-year old Hamburg stamping facility for equipment upgrades and 10 new assembly lines. The company will create 350 new jobs by the end of 2014.
- Brunner International will receive a 2,400 kW allocation to construct a 45,000-square-foot expansion to its forge operation. The expansion will cost $15 million and should employ an additional 43 people when completed in Fall 2014.
- Gracious Living USA will receive a 3,700 kW allocation to renovate and refurbish four abandoned buildings on 50 acres of property in Buffalo. The buildings will be used to open an injection molding manufacturing facility and warehouse that will create 250 jobs.
Eligibility for the program is reserved for companies within a 30-mile radius of the Niagara plant or for businesses in Chautauqua County and provided at a price that is currently more than 40% lower than wholesale market electricity in the region, the authority said. The hydropower is linked to tens of thousands of jobs at more than 100 businesses in the region with a combined payroll of more than $2 billion.
"These low-cost hydropower allocations will aid in the creation of new jobs and investment locally, strengthening our economy, enhancing our business climate, and putting more people to work," Erie County official Mark C. Poloncarz said. "I commend Governor Cuomo and NYPA for their wise use of this precious natural resource and for their vision in applying it for the economic benefit of our region."