New York Power Authority’s New Hydropower Allocations to Create $145 Million in Capital Investments, 102 Jobs in WNY

Governor Andrew M. Cuomo today announced the New York Power Authority’s Board of Trustees has approved three low-cost hydropower allocations that will create 102 jobs across Western New York and spur $145 million in private capital investments. The approved awards of 3,580 kilowatts of hydropower from the Power Authority’s Niagara Power Project in Lewiston are to Americold Real Estate in Chautauqua County, SGS Recovery in Niagara County and Sumitomo Rubber USA in Erie County.

“Protecting our environment and supporting our economy aren’t mutually exclusive, and the Niagara Power Project provides clean, renewable energy that directly supports economic development throughout Western New York,” Governor Cuomo said. “These three power allocations will create more than 100 jobs and spur investment in the region while assisting New York in its transition to a clean energy economy. Our state is committed to a renewable energy future that benefits all New Yorkers, and these awards are an important part of our strategy to foster new investment and job creation while using renewable sources of energy.”

“As we focus on our economic recovery, we’re working to make sure businesses have the resources they need to grow and succeed in New York State,” said Lieutenant Governor Kathy Hochul. “These hydropower allocations create good-paying jobs, boosts private investment and will further unleash the full potential of Western New York as an economic powerhouse for the post-pandemic future.”  

Americold Real Estate L.P.—which is based in Georgia and owns and operates 238 temperature-controlled warehouses across the globe for the storage of perishable goods—was awarded 830 kilowatts of hydropower to establish a new cold storage facility in Dunkirk that will create 60 jobs. The new facility will provide storage for Wells Enterprises, a major ice cream manufacturer and current NYPA power customer. Construction on the more than $40 million facility is slated to begin later this year.

SGS Recovery LLC in Niagara Falls, a sustainable waste management and recycling company, was awarded a 750-kW hydropower allocation for its planned lease of a new 30,000 square-foot building in Niagara Falls for the conversion of recycled materials into process engineered fuel, which is used as a substitute for fossil and petroleum-based fuels in the cement industry. The nearly $5 million project, slated to begin later this year, will result in the addition of 12 new positions.

SGS was approved for a power allocation by the NYPA board under the new green jobs criteria announced by Governor Cuomo in December 2020. The new criteria allow for NYPA economic development applicants to be evaluated on their support of green jobs and manufacturing in New York State, helping to advance the growing clean energy economy throughout the state under Governor Cuomo and the Climate Leadership and Community Protection Act.

Sumitomo Rubber USA LLC in Tonawanda, a manufacturer of automotive tires for trucks, cars, buses, and motorcycles, was awarded 2,000 kW of hydropower for a significant planned expansion to double its daily tire production. The $122 million expansion, scheduled to start later this year, was announced in March by Governor Cuomo and will create 30 jobs. Sumitomo is a longtime NYPA power customer and already receives more than 13,500 kW of low-cost hydropower in support of its more than 1,300 jobs at the Tonawanda facility. Empire State Development is also supporting the expansion with $3.3 million through the Excelsior Jobs Tax Credit Program in exchange for the job creation commitments.