Entergy Discussing Possible Sale Of James A. FitzPatrick Nuclear Power Plant To Exelon

Entergy Corporation ETR disclosed Wednesday that it has been holding discussions with Exelon Corporation EXC for the possible divestment of the James A. FitzPatrick Nuclear Power Plant in Scriba, New York.

Entergy said that the discussions with Exelon were in line with its commitment to consider any worthwhile option, which would enable FitzPatrick to remain in operation. The company pointed out that in November last year it planned to shut down and decommission the FitzPatrick plant. Later, it set the timing to cease operations as late January 2017.

The company's Wholesale Commodities President, Bill Mohl, said, "In keeping with our corporate strategy to move away from merchant power and toward a pure-play utility, we are working with Exelon to come to commercial terms on a sale transaction that depends largely on the final terms and timeliness of the New York State Clean Energy Standard. We thank New York Governor Andrew Cuomo for his leadership in promoting the Clean Energy Standard, which provides incentives for financially strapped nuclear power plants."

Entergy said that apart from the Clean Energy Standard, the transaction, if any, would be subject to completion of definitive commercial agreements. That included conditions, and regulatory approvals.

The company was categorical in its view saying that it would cease operations of its FitzPatrick followed by decomiissioning if both Entergy and Exelon failed to reach agreement on the sale and transfer.