TICONDEROGA — International Paper will spend $100 million on capital improvements at its Ticonderoga mill, and ReCharge NY is allocating the company 7.8 megawatts of low-cost power to offset the investment.
State officials were at the Ticonderoga paper mill Wednesday to make the announcement as part of Earth Month.
“This is a signature economic-development initiative,” New York Power Authority President Gil Quiniones said at the media event. “The low-cost power provided by the program is a significant way International Paper has been able to cut costs.”
He said IP has the only paper mill in the world within a state park, the Adirondack Park.
The mill employs 620 people with a $51.1 million annual payroll and supports an additional 600 to 700 independent loggers and truckers in New York and Vermont.
ReCharge NY was launched by Gov. Andrew M. Cuomo in 2011 to help businesses and other enterprises lower their operating costs, enabling them to reinvest savings in their businesses, protect and create jobs and spur economic development.
The Power Authority administers the program.
It offers up to seven-year contracts for lower-cost power and reserves of at least 350 megawatts for upstate businesses and institutions, 200 MWs for business attraction and expansion and up to 100 MWs for nonprofit organizations.
Getting the power allocation from ReCharge NY is a fantastic benefit for IP, Mill Manager Chris Mallon said from the podium.
“This is an exciting time in the history of the Ticonderoga mill,” he said. “We take pride in our location and in sustaining our environment.
“We’re very, very appreciative of your (the state’s) efforts on our behalf.”
The Ticonderoga mill makes a premium paper product, IP Vice President for Commercial Printing Papers John Sims said.
“That’s because of our fiber source (in Adirondack forests). We have to produce a competitive, high-quality product, and ReCharge NY helps us achieve those goals.”