New Orleans-based Entergy Corp. has found a buyer for its Indian Point nuclear power plant in New York state as part of facility’s decommissioning process once it’s closed.
Entergy and Holtec International announced the deal to sell the subsidiaries which own Indian Point units 1-3 to a Holtec subsidiary. Entergy announced in 2017 it would close Unit 2 by April 2020 and Unit 3 by April 2021, and the sale will be effective after Unit 3 had been shut down and permanently defueled, according to the release.
Holtec will initiate decommissioning sooner than if Entergy was in charge of the units at that point, the two parties said.
“The sale of Indian Point to Holtec is expected to result in the completion of decommissioning decades sooner than if the site were to remain under Entergy’s ownership,” said Entergy Chairman and CEO Leo Denault. “With its deep experience and technological innovations, Holtec’s ability to decommission Indian Point will benefit stakeholders in the surrounding community.”
Holtec will submit its post-shutdown decommissioning reports to the U.S. Nuclear Regulatory Commission (NRC), likely in the fourth quarter of 2019. The transaction closing is targeted for the third quarter of 2021.
“Holtec will execute the decommissioning of Indian Point with the same culture of excellence that has undergirded our company’s ascent to a first-tier nuclear technology firm,” said Kris Singh, President & CEO of Holtec International. “Our industry-leading expertise and deep experience permit us to complete decommissioning at Indian Point decades sooner than if Entergy remained the owner and performed decommissioning itself. The potential for the site to be released decades sooner for redevelopment could deliver significant benefits to local community stakeholders and the local economy.”
Entergy agreed to close the plants in a deal with New York Gov. Andrew Cuomo’s office nearly two years ago. The governor even mentioned the plant in his 2017 State of the State address, calling it a “ticking time bomb” only 30 minutes from midtown New York.
Indian Point’s origins date back to the 1950s when construction began. Units 1-3 commenced commercial operation in a 14-year period from 1962 to 1974, and Unit 1 was shut down in the last year as Unit 3 was beginning its power generation.
Entergy has now sold all of its nuclear capacity in the U.S. competitive markets. It still owns and operates several reactor units in Louisiana and Arkansas.
New Jersey-based Holtec has handled or is working on decommissioning more than 150 nuclear plants worldwide.