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New York Regulators Extend Nuclear Subsidies Through 2049 After 6-0 Vote

Regulators cite reliability needs tied to the reactors’ outsized share of carbon-free generation.

Overview

  • Public Service Commission staff estimate the subsidy extension could cost up to $33 billion over 20 years, adding about $2.80 to a typical monthly electric bill.
  • The decision covers Nine Mile Point units 1 and 2, James A. FitzPatrick, and R.E. Ginna, which produce roughly 21% of New York’s electricity and nearly half of its non‑carbon power.
  • Zero Emission Credit payments will adjust with wholesale prices and face periodic reviews, with a mechanism to cut subsidies if other financial support becomes available.
  • A new federal production tax credit will reduce near‑term costs, including about $162 million for 2024 that Constellation agreed to use to lower ZEC charges.
  • Constellation intends to seek 20‑year license renewals for the oldest reactors, as the Hochul administration backs the plan for reliability and jobs and New York City officials oppose the ratepayer burden.