$3.7M Earmarked To Move Alcoa Transmission Line

Tools

Governor Andrew Cuomo announced Tuesday that $3.7 million has been earmarked to move a transmission line to help modernize the Alcoa plant in Massena.

Alcoa's Massena East smelter modernization project will be kicked-off next month with the relocation of a transmission line.

The line is needed for a new substation as well as aluminum production equipment.

On Tuesday, the New York Power Authority (NYPA) Board of Trustees, which operates the transmission line, approved spending more than $3.7 million to move the line.

Alcoa committed to invest at least $600 million to modernize its Massena operations and retain a minimum of 900 jobs at the company's Massena East and Massena West smelters in return for 478 megawatts of low-cost hydropower from the NYPA St. Lawrence-Franklin D. Roosevelt Hydroelectric Plant.

This amounts to approximately 60 percent of the plant's generating output.

In March, the Alcoa Board of Directors announced that the company was prepared to proceed with the next phase of the modernization project.

It plans to invest $42 million for site preparation at Massena East and to provide $10 million toward a North Country Economic Development Fund.

The establishment of the fund is provided for under a long-term power agreement with NYPA that commences on Jan. 1, 2014.

The power will be provided to Alcoa over a 30-year contract that includes a 10-year option to extend service beyond 2045.

The new 115-kilovolt (kV) substation that Alcoa will install at the Massena East site will provide power to the new potline, which keeps aluminum in liquid form, as well as other equipment. The new substation, which will replace a more than half-century-old facility, will be located in an area now occupied by the three 115-kV transmission lines, which are being relocated.

Nearly one-mile long sections of each power line will be moved, with the work scheduled to begin early next month for completion in November. The power-line relocation is provided for under a 2011 agreement in which Alcoa will reimburse NYPA for the engineering, procurement and construction costs.

Alcoa has been a customer of the Power Authority's since St. Lawrence-FDR was first placed into commercial operation in 1958.

Friday, November 21, 2014
, Watertown, NY

On Demand

This content requires the latest Adobe Flash Player and a browser with JavaScript enabled. Click here for a free download of the latest Adobe Flash Player.

On Wall Street

What's On TonightFull Schedule