September 20, 2022
New York, NY – Today, Champlain Hudson Power Express (CHPE) announced it has finalized contracts with three companies to oversee major construction operations on the approximately 339-mile fully-buried transmission line that will deliver 1,250 megawatts (MW) of clean, renewable hydropower from Hydro-Québec to New York City. The project developers selected NKT, Kiewit Power Constructors Co. (Kiewit), and Hitachi Energy to undertake various components of the construction and cable installation processes:
NKT, a leading cable and cable accessories supplier to the global energy sector, has been chosen as the CHPE cable supplier and submarine cable installer. NKT will complete the design, manufacturing and submarine installation of the project’s two five-inch diameter 400kV high voltage direct current (HVDC) cables which will deliver 1,250 MW of clean, renewable energy to New York City.
Kiewit has been selected to lead the on-land construction activity for the entirety of CHPE’s HVDC route including the converter station in Astoria, Queens, bringing its expertise as one of the largest and most experienced construction companies in North America to the project.
Hitachi Energy, a global technology leader that is advancing a sustainable energy future for all, will design, deliver and test the technology for the new converter station to be built at the Astoria Generating Complex in Queens, New York. Hitachi Energy’s pioneering technologies and solutions are enabling the energy transition and accelerating the deployment of the technology at scale.
“The extremely well-qualified contractors and construction companies we have chosen to build this game-changing energy infrastructure project will bring decades of experience to this complex work and we are thrilled to have them as part of our broader CHPE team,” said Transmission Developers CEO Donald Jessome. “We look forward to beginning construction activity later this year, helping NY State achieve its impressive climate mandates and to delivering clean, renewable energy to New York City.”
“NKT is excited to be a part of this important energy project and to use our extensive experience from large turn-key power cable projects to play a central part in the green transition of New York City. Power cables are the backbone of the shift to renewable energy, and we are keen to continue the close collaboration with CPHE to bring green hydropower to New York City,” said Alexander Kara, President and CEO of NKT.
“Kiewit will bring a wealth of expertise developing complex infrastructure and energy projects to its work on CHPE, overseeing on-land construction activity for some 146 miles of the transmission line’s route as well as the new converter station,” said Dave Flickinger, executive vice president, Kiewit Power Constructors Co. “We are excited to begin construction along with CHPE’s leadership and its partners later this year.”
“HVDC systems have tremendous potential for bringing large amounts of electricity directly into cities, which is essential for securing sustainable and affordable power today and in the future,” said Niklas Persson, Managing Director of Hitachi Energy’s Grid Integration business. “We are proud to play a crucial role in this very important investment in North America’s transition to renewable energy and carbon neutrality.”
Construction on the 339-mile transmission line is expected to begin in late 2022.
The project’s full operation date is anticipated to be Spring of 2026, shifting from the originally anticipated in-service date of late 2025 due to unforeseen events including market conditions following the execution of the project’s Tier 4 REC contract.
Once completed, CHPE will deliver 1,250 MW of clean energy – enough to power over one million New York homes – resulting in reduced exposure to harmful pollutants and bringing significant public health benefits, particularly to historically underserved communities.
About the Champlain Hudson Power Express
CHPE involves the construction of an underground and underwater transmission line spanning approximately 339 miles between the Canada–U.S. border and New York City.
CHPE will also provide competitively priced power that is expected to lower electricity generation costs throughout the state by $17 billion over the first 25 years of operation, all the while providing increased reliability and resiliency for the downstate grid. The project also provides a total of $3.5 billion in economic benefits to New Yorkers and creates approximately 1,400 family-sustaining jobs during construction, with a commitment to use union labor. CHPE will provide an economic boost to 73 municipalities and 59 school districts throughout New York State with an increase in incremental tax revenue of $1.4 billion in funding for local communities over the first 25 years of the project.
Hydro-Québec is the largest renewable energy producer in North America. For decades, the company has been a reliable energy partner for New York, providing clean power to the State in support of its clean energy and reliability needs. In order to source the CHPE, Hydro-Québec will expand its transmission grid in Québec, from the Hertel substation to the Québec-New York border.
About Transmission Developers
Transmission Developers Inc., a Blackstone portfolio company, has spent a decade meticulously developing with local stakeholders the N.Y. portion of the project and its approximately 339-mile route. The solid-state buried cable will travel a route through Lake Champlain, the Hudson and Harlem Rivers and terrestrially primarily on railroad rights of way and roads until it reaches a converter station in Astoria, Queens where its clean energy will be distributed into New York City.