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The future of the Cayuga Power Plant dovetails with that of Lansing taxpayers.  That future is being determined by the New York State Public Service Commission (PSC) as it is currently evaluating four proposals for updating the local plant and a NYSEG recommendation that the plant be shut down.  Plant Manager Jerry Goodenough discussed the plant's proposals to convert the coal-powered plant to natural gas Thursday at a meeting of the Tompkins County Environmental Management Council.

"We are starting to import more and more electricity into New York," Goodenough said.  "600 megawatts are being imported into the state from Pennsylvania.  We feel that generation within New York is a better alternative to that."

Last year the plant operated at an all time low capacity of 25%.  In the first quarter of this year that came up to 59% with one unit currently operating.  Goodenough explained that while the Lansing plant is efficient and among the cleanest coal-powered plants, the low cost of gas makes it impossible for the plant to compete.  He said that whether the plant is converted or NYSEG updates the power transmission grid that ratepayers will pay for improvements.

He said that the NYSEG recommendation to shut down the plant and upgrade the transmission system does not take local impact into consideration, something he says the PSC mandated.  He says the plant's recommendations will contribute to the local tax base and retain and create local job while it supports clean energy, enables the expansion of renewable energy, and strengthens the 'energy highway'.


"It's very clear in the energy highway document and the PSC order that when the PSC evaluates this project they are to look at effects to rate payers, effects to the local economy, and  spending in the local from the plant and the transmission lines, the effect on property taxes, the effect on jobs," Goodenough said.  In our proposal we laid out exactly the effects of keeping the plant running: high tech permanent jobs in the community, 563 construction jobs and up to 90 permanent jobs.  There is the tax base it pays.  And we've spent over $4 million dollars in the local community just in the first five months this year."

Lansing taxpayers know that the decline of the value of the coal-powered plant was one of two key factors that resulted in a significant loss of revenue, especially to the Lansing Central School District.  Last year 3% of the 4.5% rise in the tax rate was attributed to loss of revenue from the power plant.  Lansing School Board members Julie Boles and Christine Iacobucci attended the presentation after a grueling year of trying to close a $3 million school budget gap.  Cayuga Power Plant represents 10.5% of the school district tax base, 6.9% of the Town of Lansing's base, and 1.3% of Tompkins County's tax base.

A 2 megawatt solar array would augment gas unit produced electricityCayuga power Plant officials have proposed four options for making the plant competitive.  All four include a 2 megawatt solar array that would be constructed on six acres of land adjoining the power plant.  Goodenough says that an advantage to a gas powered plant is that it can come online in 15 minutes versus 13 hours for coal.  That would mean that if a sunny day turns cloudy the power would continue to be generated continuously as the plant switches from solar to gas-fired units.  He explained that is a start toward a long term possibility of converting more of the plant to renewable energy, but that it would not be possible to provide a fully renewable energy plant that could meet the 300 megawatt need in the time frame the PSC requires..

Options submitted by the plant are 1) to repower the two existing coal-fired boilers with natural gas, 2) to construct three new gas-fired units in a simple cycle configuration, 3) to construct one new gas-fired unit and repower one of the existing coal-fired boilers with gas, and 4) construct three new gas-fired units in a combined cycle configuration.  Part of the conversion would be an 18 mile extension of a gas pipeline from the Freeville area to the northwest Lansing plant location.

Goodenough says there is an urgent need for 300 megawatts, and upgrading the plant will achieve that.  He also noted that as improvements to solar technology are made panels in the proposed solar array could be upgraded to produce more power.

The purpose of Thursday's meeting was to get this information to the Environmental Management Council which will eventually forward its recommendation to the Tompkins County Legislature. 

The PSC is expected to rule on whether to update or close the plant by the end of this year.  Goodenough says that if the plant is to be kept open it will be up and running by 2017.

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