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Nuclear Energy Institute
FOR IMMEDIATE RELEASE: April 20, 2004
Contact: media@nei.org, 202.739.8000 or 703.644.8805 (after hours and weekends)

Indian Point’s Economic Impact on New York Economy Tops $800 Million, Study Shows

RYE, NY—Indian Point Energy Center’s annual economic impact in Westchester, Orange, Rockland, Putnam and Dutchess counties exceeds $760 million, according to a Nuclear Energy Institute (NEI) study released today. The nuclear power plant’s total impact on the New York state economy is $811 million, and more than $1.5 billon for the U.S. economy.

The plant’s total economic impact includes direct effects, which comprise the value of electricity generated at the plant, as well as indirect and induced effects, which are secondary effects resulting from plant operations.

NEI conducted the study for Indian Point owner Entergy Corp., and is conducting similar studies for other companies. The reports update information on the economic and other benefits that nuclear power plants provide for their communities.

“Indian Point has been a vital local economic driver for 30 years,” said NEI’s executive vice president, Angelina S. Howard, at a briefing for local business leaders today in Rye. “It is the sixth largest employer in the Westchester county area and generates approximately 11 percent of New York’s power, enough for 1.5 million New York households.”

The electricity from Indian Point is used for essential public services, such as the New York City subway system. Indian Point also provides a low-cost, clean and reliable supply of electricity to support the state’s manufacturing and business economy.

Entergy Nuclear Northeast President Mike Kansler agreed. “Area residents hear a lot about the significant improvements Entergy has made at Indian Point in the areas of safety and security. NEI’s study clearly illustrates the yet untold part of the Indian Point story – the vital role we play in the local, state and regional economy."

Indian Point’s economic impacts are spread over every sector of the economy. In addition to jobs, benefits to the area come through taxes, economic output, labor income, contributions to the local community and other areas. Employees of Indian Point and Entergy also contribute to the social services, education, community organizations, environmental protection and economic development of the area, Howard said.

In 2002—the year used as the basis for data—the Indian Point Energy Center employed 1,683 people. These are high-quality jobs that pay salaries on par with the high average salaries in Westchester County and higher than average salaries of the five-county study area.

The economic activity created by Indian Point directly accounted for $126 million in labor income in the surrounding five counties and an additional $19 million in other areas of the state. Together, the direct and indirect labor income from the plant accounts for more than $171 million in labor income in the five counties and an additional $40 million in other areas of New York state, Howard said.

Indian Point plays a vital role in helping surrounding counties comply with state and federal air-quality standards. Last week, the Environmental Protection Agency identified areas of the U.S. that have not attained air-quality standards established under the Clean Air Act. All five counties included in the study are in non-attainment.

“The Environmental Protection Agency’s listing of counties and metropolitan areas still plagued by smog proves how vital Indian Point is to New York in helping to meet its clean air goals,” Howard said. “Without nuclear power plants and the large amounts of electricity that they cleanly supply, the air quality in the five-county area would be significantly worse.”

Nuclear power plants operating in 31 states provide electricity to one of every five U.S. homes and businesses, and nuclear energy is the largest emission-free source of electricity in the nation. The six nuclear power plants operating in New York provide nearly 25 percent of electricity production in the state and are emission-free.

The report is available on NEI’s web site, www.nei.org.
 

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The Nuclear Energy Institute is the nuclear energy industry’s policy organization. This news release and additional information about nuclear energy are available on NEI’s Internet site at http://www.nei.org.



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