In 2016, Governor Andrew Cuomo is planning to shut down the Indian Point nuclear power plant station rather than renew its expiring license. To keep up with demand, Con Ed is significantly increasing its energy savings incentives to help offset about 20 percent of NYC’s power supply that will likely be lost. The utility company is more than doubling the cash incentives offered to major landlords who cut their electricity usage during peak summer hours. Landlords can now earn around $307,000 per megawatt, an increase of 60 percent from the $190,000 in incentives offered last year.
Image © Ole-Gunnar Rasmussen
“These incentives that are being offered by Con Ed are unprecedented and are focused on the fact that Indian Point might be coming offline in the future,” said Sky Filippi, an analyst at Con Edison Solutions.
The increased energy efficiency incentives are being offered via Con Ed’s Commercial System Relief Program and the Distributed Load Relief Program and they are in addition to incentives that other energy services companies are offering landlords. The state is aiming to cut 100 megawatts from NYC office buildings this summer as an experiment to see if the energy savings initiatives can make up for the power loss from a potential Indian Point closing. The controversial Indian Point nuclear power plant station is located 40 miles north of Manhattan on the Hudson River and over the years has faced scrutiny of its safety and environmental record along with its potential as a target for terrorism, earthquake damage and other concerns.
In addition to the increased incentives for cutting energy consumption, Con Ed will increase by four times the amount of money given to landlords who invest in energy-efficient building systems to $800 for every kilowatt the energy-efficient building system saves.
Via The Real Deal
Lead image via Mitch Waxman