SCRIBA, N.Y. (AP) — A week after New York regulators adopted a subsidy policy for nuclear plants, Exelon Generation says it will assume ownership of the FitzPatrick plant in upstate New York, saving it from closing.
The Entergy Corp. plant by Lake Ontario employs more than 600 people and produces enough electricity to power more than 800,000 homes.
Chicago-based Exelon, which runs the nearby Nine Mile Point reactors, will benefit from ratepayer subsidies that compensate nuclear reactors for clean emissions.
Subsidies are estimated at $965 million the first two years and could reach $7.6 billion over 12 years.
Entergy in November announced plans to close the 41-year-old plant, citing high operational costs, low natural gas prices and a "flawed" energy market.
The $110 million deal, subject to regulatory approval, is expected to close next year.