WASHINGTON, June 8, 2015 (GLOBE NEWSWIRE) -- Entergy's Indian Point nuclear power plant in Westchester County annually contributes an estimated $1.6 billion to New York's economy and $2.5 billion to the nation as a whole, according to a Nuclear Energy Institute study released today.
The study is titled: "Economic Impacts of The Indian Point Energy Center."
The study found that in 2014, operation of Indian Point units 2 and 3—located in Buchanan, N.Y., north of New York City—generated $1.3 billion of annual economic output in the local counties and $1.6 billion statewide. One of the largest taxpayers in Westchester County, the facility contributed $30 million in state and local property taxes, with a total tax benefit of $340 million to local, state and federal governments.
The facility's nearly 1,000 employees benefit from an annual payroll of approximately $140 million, which stimulates nearly 4,400 additional jobs in other businesses in New York.
"Indian Point greatly strengthens the local, regional and state economies through job creation, tax payments, and direct and secondary spending," said Richard Myers, NEI's vice president for policy development and planning, who directed the study. "In many ways, Indian Point and its 1,000 employees provide outputs that are crucial for the well-being of the local communities and the state."
The power plant also provides more than economic benefits.
"Indian Point is a safe, proven source of reliable, affordable, carbon-free electricity that New Yorkers can count on," said Bill Mohl, president of Entergy Wholesale Commodities. "The facility prevents the release of 8.5 million metric tons of carbon dioxide annually—the same as taking 1.6 million cars off the road. It produces about 10 percent of New York State's total electricity, enough to power 2 million homes, and it does so very reliably. Over the past 10 years, the unit has operated at a capacity factor over 93 percent. This reliability is above the nuclear industry's average and well above any other source of electricity."
Key findings of NEI's study:
- Indian Point's annual spending creates a huge ripple effect in the state and nationwide: The facility's operation generates $1.3 billion of annual economic output in the local counties, $1.6 billion statewide and $2.5 billion across the United States. The study finds that for every dollar of output from Indian Point, the local economy produces $1.27, the state economy produces $1.55 and the U.S. economy produces $2.48.
- Entergy provides higher-than-average wages at Indian Point: Entergy directly employs approximately 1,000 people at Indian Point. Because they are technical in nature, these jobs typically are higher-paying. This direct employment leads to another 2,800 indirect jobs in surrounding counties and 1,600 in other industries in New York for a total 5,400 jobs in-state. There are an additional 5,300 indirect jobs outside the state for a total of 10,700 jobs throughout the United States.
- Indian Point is one of the largest taxpayers in Westchester County: Indian Point paid $30 million in state and local property and sales taxes in 2014. The total tax impact (direct and secondary) was nearly $340 million in tax revenue to the local, state and federal governments.
- Indian Point is a very reliable source of electricity: Over the past decade, Indian Point maintained a capacity factor (measure of performance reliability) of 93 percent or greater. This is consistently higher than the nuclear energy industry average and significantly higher than other forms of electric generation. This reliable production helps offset the potentially severe price volatility of other energy sources (e.g., natural gas) and the intermittency of renewable electricity sources.
- Indian Point is a critical part of New York's clean energy mix: Indian Point generates about 25 percent of the electricity used in New York City and Westchester annually, approximately 10 percent of the state's total electricity supply. Indian Point also produces about 24 percent of the state's carbon-free electricity, preventing the emission of more than 8.5 million tons of carbon dioxide annually, the equivalent of more than 1.6 million cars. This emissions-free energy aids the state in meeting its clean air objectives under the Regional Greenhouse Gas Initiative. Closing Indian Point would undo all the renewables investment made by New York over the past decade to comply with the initiative's requirements.
On an annual basis, Indian Point greatly contributes to the quality of life in the local communities: Entergy and Indian Point Energy Center have a tradition of generously contributing to non-profit organizations, schools, and universities in New York. Specific initiatives include: Hudson River Healthcare, Guiding Eyes for the Blind, Today's Students – Tomorrow's Teachers, Westchester Library System, Boys & Girls Club of Mt. Kisco, Friends of Westchester County Parks, Meals on Wheels of Rockland County and many others. Dedicated Indian Point employees contribute thousands of volunteer hours throughout the communities in the region. Employees have several long-standing traditions at Indian Point supporting community organizations, the longest running tradition being the employee-led Gifts for Rosary Hill, which has been an annual campaign dating back to 1961.
About Entergy's Indian Point Energy Center:
Indian Point Energy Center, in Buchanan, N.Y., is home to two operating nuclear power plants, unit 2 and unit 3, which generate approximately 2,000 megawatts of electricity and supply about 25 percent of power used annually by homes, business and public facilities in New York City and Westchester County. Entergy Corp. is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, including nearly 10,000 megawatts of nuclear power, making it one of the nation's leading nuclear generators.
NEI Study Methodology:
NEI conducted the analysis using a nationally recognized model to estimate the facility's economic impacts on the state and national economies. Regional Economic Models Inc. developed the Policy Insight Plus (PI+) economic impact modeling system, which is the methodology employed in this analysis.
###
The Nuclear Energy Institute is the nuclear energy industry's policy organization. This news release and additional information about nuclear energy are available at www.nei.org.