Thank you for your enquiry into how to document the lack of profits for Entergy from Indian Point.
Entergy has been quite clear in their closing statements to the stock market, their shareholders and in public remarks that they are leaving because they cannot make enough profit in this market. They are closing out all of Entergy Northeast and retreating to their comfortable Southern markets where they call all the shots. Occasionally one of their spokes people still mentions the myth that 25% of their electricity goes to NYC and Westchester. I went to primary sources for the fact that Entergy no longer sells electricity in the NYC/Westchester Market. That would be Con Ed and New York Power Authority.
All of the electricity sold in our region moves through one of these transmission companies. NYPA in particular deals in long term contracts and on January 1, 2013 they did not renew their contract with Entergy. They found better deals at better prices with other vendors. NYPA supplies all the electricity to schools, town buildings, street lights, Broadway – the list goes on. All of which continued to function. after that date. Few people even noticed because, in fact, there was no difference to the consumer. In May of this year Con Ed did not renew its contract with Entergy. That means that none of the electricity that goes to homes and small businesses in our area get any electricity from Entergy. Again, it made no difference to the consumer. Con Ed is not transporting electricity purchased from Entergy, they are buying from other vendors. For confirmation I suggest that you call the PR division of both Con Ed and NYPA. Be prepared to be persistent for clarification!
The New York State Independent Operator, guardians of our grid, did authorize a capacity market in Central Hudson Valley which reaches from Putnam To Albany. Entergy was able to bid in 1,500 MW of their electricity into this market. In the capacity market the company agrees to make a certain amount of MW’s available on demand to the NYISO at any point in time. It is part of the way NYISO manages the grid and prepares for sudden outages. Prices for the capacity market are not as high as selling through contract or auction. There were newspaper reports that Entergy sold their remaining 500 MW’s to the New England ISO during the winter months.
Indian Point does not need to “be replaced” It has already been replaced. All of this talk about the State not moving fast enough, the lights going out and building new gas plants is being promulgated by people who have not done their homework and those who are outright lying for potential profit. It is the industry taking advantage of citizens. It is an argument that seemingly makes sense, you take away something then you must replace it, so it has really caught on in the public imagination. Especially if it looks like rateables coming to town. Please do take a look at the tax breaks the company is demanding to come into the Danskammer region.There has to be a money trail somewhere. Companies have been known to leave town as soon as their tax breaks expire and not many employees are need at a gas plant. Why would any company want to build a plant that will only be used 50% of the time at best? Gas prices are predicted to stay low for the next decade and then rise somewhat as electric cars kick in. NYISO puts out two influential book every year, The Gold Book, and Power Trends. The 2018 version shows the energy use is still declining and that more renewables are expected on line. It also shows that if what is scheduled to come on line does in fact materialize no further generation is needed. If these plants do not come on line only 200 additional MW will needed by 2025.
You should also know that NY State started planning for the improvement of the grid and the possible retirement of Indian Point in 2012. Under the direction of the Governor and the PSC, NYISO developed a plan that resulted in the construction of of over 5,000 MW’s of additional electricity. They also made clear that the generation from Indian Point does not have to be replaced with other additional generation. Conservation, demand response, efficiency, all count. Unfortunately, two gas plants were part of the mix . Their contribution to the States greenhouse gas quota was figured in at the time in the NYS Energy Plan. I will included what was built under the 2012 plan as an attachment and several other websites that you might find useful in a separate email..
What is needed is a new way of thinking. Bringing down the peak and moving to distributed generation without gas is the goal many of us share. 100% renewables by 2050 at the very latest, some studies say it could be done by 2030. The integration of wind and solar into the grid has gone well. While they are intermittent, they are predictable so it is matter of shifting to another vendor as necessary. Something that is part of routine management and that NYISO is very good at. We need distributed generation that does not include gas and it is doable goal, especially if these redundant gas plants can be stopped. I think that you are working on a very essential project and wish you success for the benefit of us all.
Forgive me if I have belabored points with which you are already familiar. I hope that all of this helps.
Marilyn Elie
Indian Point Safe Energy Coalition
