RG&E RECEIVES $2.8 MILLION FROM FEDERAL GRANT PROGRAM FOR IMPROVEMENTS AT HYDROELECTRIC GENERATING STATION

Rochester, NY – RG&E, a subsidiary of Iberdrola USA, has been awarded $2.8 million by the U.S. Department of the Treasury for improvements at the company’s Station 2 hydroelectric generating plant on the Genesee River. Funding for the grant is provided through the 2009 American Recovery and Reinvestment Act’s provision for partial reimbursement for eligible improvements to hydroelectric projects. The entire value of the grant will be used to benefit RG&E customers.

“NYSEG and RG&E have operated hydroelectric generating plants for more than 100 years,” said Mark S. Lynch, president and CEO of NYSEG and RG&E. “Our ongoing investment in RG&E’s hydroelectric plants in Rochester and NYSEG’s plants in the Capital Region and northern New York will keep the facilities operating efficiently for years to come. Further, this investment in clean, renewable electricity sources is evidence of our commitment to environmental stewardship.”

"I support efforts to promote energy efficiency because I know they create jobs in the short term, make energy cheaper in the long term and it’s good for the environment," said Congresswoman Louise Slaughter. "I am pleased to have supported RG&E's application for this grant because we must continue to produce clean energy right here in Rochester."

RG&E has invested more than $12 million in Station 2 over the last four years to boost the plant’s generating capacity from 6.5 megawatts to 8.5 megawatts and to make the plant more efficient. The work resulted in approximately 310 temporary construction jobs and relied on equipment and materials from hundreds of suppliers in the region.

Under typical water flow conditions, the plant is now expected to generate approximately 53 million kilowatt-hours of electricity each year, enough to power approximately 7,400 homes.

Last year, RG&E and NYSEG hydroelectric plants generated 401 million kilowatt-hours of electricity.

Lynch said the focus on the NYSEG and RG&E hydroelectric plants is a reflection of the values of the companies’ parent, Iberdrola S.A., which recently completed modernizing 45 of its 92 small hydroelectric plants in Spain.

Location and Capacity of NYSEG and RG&E Hydroelectric Generating Stations
NYSEG Plant                 Location                                                   Generator Nameplate Capacity
Upper Mechanicville    Hudson River, north of Albany              18.5 megawatts
High Falls                     Saranac River, northern New York        15 megawatts
Kents Falls                   Saranac River, northern New York        13.7 megawatts
Cadyville                       Saranac River, northern New York         5.5 megawatts
Mill C                             Saranac River, northern New York         6.1 megawatts
Rainbow Falls             Ausable River, northern New York         2.6 megawatts

RG&E Plant                  Location                                                   Generator Nameplate Capacity
Station 5                      Genesee River, Rochester                   46 megawatts
Station 2                      Genesee River, Rochester                   8.5 megawatts
Station 26                   Genesee River, Rochester                    3 megawatts