LIPA’s power purchase contract with National Grid for the Northport power plant expires in April 2028. The Northport plant consists of four separate steam units, each of which is an independently operated plant from the other three. The four units run less and less each year as they are 30% less fuel efficient than modern power plants. At the end of the contract, the units will range in age from 51 to 61-years-old. By comparison, 95% of steam units nationally have ceased operations by the age of 62 and those steam plants that have retired have significantly lower fixed costs than the Northport plant.  The high tax bill on the Northport plant threatens the ability to keep the units in service once they come off contract.

 
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