Governor Kathy Hochul has announced a sweeping initiative to expand New York’s nuclear energy infrastructure, aiming to increase clean power generation by 3,000 megawatts by 2035. The plan includes upgrades to existing plants and the development of advanced reactor projects.
- Target: 3,000 megawatts of new nuclear capacity by 2035
- Includes 600 MW from two SMR units at former FitzPatrick site
- $2.1 billion in state funding, $3.4 billion in federal and private investment
- Expected to raise nuclear’s share of state electricity generation to 45%
- 12,000 construction jobs and 800 permanent positions projected
- PPAs to begin in 2028, full operations by 2033–2035
Governor Kathy Hochul has launched a comprehensive strategy to significantly expand New York’s nuclear energy output, targeting a tripling of current capacity by 2035. The initiative focuses on extending the operational life of the existing Indian Point Energy Center and advancing the construction of two new small modular reactor (SMR) units at the site of the former FitzPatrick Nuclear Power Plant in Scriba, New York. These new reactors are expected to generate a combined 600 megawatts of carbon-free electricity. The state will allocate $2.1 billion in public funding, with an additional $3.4 billion in federal incentives and private investment to support the project timeline. The expansion is part of a broader statewide energy transition aimed at achieving net-zero emissions by 2040. Nuclear power currently supplies about 30% of New York’s electricity, and under the new plan, that share is projected to rise to 45%. The state’s Energy Research and Development Authority will lead the project, working with companies including NuScale Power and Constellation Energy, which has already committed to deploying the first SMR units in the state. The program is also expected to create over 12,000 construction jobs and 800 permanent operational positions. Market analysts note that the expansion could strengthen New York’s position in the regional electricity market, particularly under the PJM Interconnection grid. The influx of baseload nuclear power is projected to reduce reliance on natural gas peaking plants and stabilize wholesale electricity prices, which have fluctuated by up to 40% in peak demand periods. The long-term contracts for power purchase agreements (PPAs) with utility providers are expected to begin in 2028, with full commercial operation targeted for 2033–2035. The move has drawn support from environmental groups focused on decarbonization and labor unions representing skilled construction workers. However, regulatory hurdles remain, including federal licensing approvals from the Nuclear Regulatory Commission and ongoing public engagement processes. The state has pledged to initiate a formal environmental review process by mid-2026.