Loss of Navajo Generating Station could cost state billions - Ahwatukee Foothills News: Money

default avatar
Welcome to the site! Login or Signup below.
Logout|My Dashboard

Loss of Navajo Generating Station could cost state billions

Font Size:
Default font size
Larger font size

Posted: Wednesday, March 7, 2012 7:00 pm

Arizona stands to lose approximately $18 billion in gross state product between 2017 and 2044 — including up to 3,400 jobs each year — unless agreements can be reached to keep the Navajo Generating Station (NGS) in northern Arizona operating beyond 2019, according to a study prepared for Salt River Project and the Navajo Nation by the L William Seidman Research Institute at the W.P. Carey School of Business at Arizona State University.

Located on the Navajo Nation, near Page, NGS is one of the largest suppliers of electricity in the Southwest. Despite its economic importance, a number of significant challenges threaten the future viability of NGS.

The plant’s lease and various rights of way with the Navajo Nation are set to expire around 2019 and the NGS owners are currently negotiating extensions. In addition, the plant’s owners are also renegotiating the coal supply contract with Peabody Energy. Potential additional and costly environmental rules from the U.S. Environmental Protection Agency could also force the plant to shut down prematurely.

According to the ASU report, Navajo Generating Station and Kayenta Mine: An Economic Impact Study, the closure of NGS — combined with the potential impact on nearby Kayenta Mine, the plant’s coal supplier — could result in an annual loss of nearly 3,400 jobs and more than $602 million in adjusted state tax revenues for a period measured from 2017 to 2044.

The ASU report examined the economic impact of NGS and Kayenta Mine using the same REMI model employed by the state of Arizona to examine economic projections. The study concluded that NGS will provide more than $20 billion in economic contributions throughout the state for the period measured from 2011 to 2044. A full copy of the report is available at www.ngspower.com.

NGS is a coal-fired power plant that provides electricity to customers in Arizona, Nevada and California, and energy to pump water through the Central Arizona Project.

• Briefs compiled from staff and wire reports

More about

More about

More about

  • Discuss

Great Hearts student in Gilbert achieves perfect ACT score

Ruth Kaylyn Oliver, a 16-year-old senior at Great Hearts Arete Preparatory Academy in Gilbert, earned a perfect score of 36 on the ACT test — …

Published: October 27, 2016 - 3:10 pm @ http://www.bizjournals.com/phoenix/news/2016/10/27…

APS scam spreading in Arizona

SEDONA, Ariz. - A scam aimed at APS customers is once again spreading throughout the state, with more than 90 incidents reported in the first …

Published: October 27, 2016 - 2:31 pm @ http://www.12news.com/money/business/consumer/aps-…

The Millennial's Dilemma: A Young Writer's Search for Our Nuclear Future in Chernobyl, Fukushima, and Phoenix

Miriam Wasser A A The Nuclear Question, Part One: Walking Around Chernobyl After a cold and drizzly morning this past May, the sun is finally …

Published: October 27, 2016 - 2:03 pm @ http://www.phoenixnewtimes.com/news/the-millennial…

Man makes quick stop at In-N-Out while being chased by the police

Sometimes, you just need a burger and some fries, Animal Style. A police chase in the Phoenix area took a strange turn Wednesday when a suspec…

Published: October 27, 2016 - 2:04 pm @ http://mashable.com/2016/10/27/in-n-out-police-chase/

"Football Life" Details Pat Tillman's Incredible Journey

The Cardinals shared a stadium with Arizona State in the mid-1990s, which allowed Michael Bidwill a closer-than-most view of a certain fiery, …

Published: October 27, 2016 - 1:53 pm @ http://www.azcardinals.com/news-and-events/article…

UberEats is going to feel a lot like Uber thanks to this new feature

UberEats now officially feels more like Uber than Grubhub.  The ride-sharing company's food delivery service will start incorporating surge pr…

Published: October 27, 2016 - 1:44 pm @ http://mashable.com/2016/10/27/ubereats-surge-pricing/

Highly decorated military doctor, Scottsdale resident joins Arizona physician group

Physician Group of Arizona, Inc., an organization comprised of primary and specialty care physicians, has announced the addition of Scottsdale…

Published: October 27, 2016 - 1:31 pm @ http://www.scottsdaleindependent.com/business/high…

Interview: Joan Baez on Bob Dylan's Nobel Prize and when she'll give up performing

Joan Baez is one of the '60s most memorable figures. The long, flowing hair; the warm, crystalline soprano; and the unabashed political activi…

Published: October 27, 2016 - 1:20 pm @ http://www.azcentral.com/story/entertainment/music…

Muslim 'Twoness': Fearful Of Some, Feared By Others

He leaned against the subway doors in a faded denim jacket, camo cargo pants, combat boots and, to top it off, a black ski mask. I wondered if…

Published: October 27, 2016 - 1:04 pm @ http://www.npr.org/sections/codeswitch/2016/10/27/…


ahwatukee.com on Facebook


ahwatukee.com on Twitter


Subscribe to ahwatukee.com via RSS

RSS Feeds


Most Popular

Online poll