Plug Power breaks ground on $290 million project as STAMP’s first tenant

Gov. Hochul joins in announcing construction start of largest green hydrogen plant in North America

Photos by Mike Groll/Office of Governor Kathy Hochul: Governor Kathy Hochul makes a green jobs announcement today at the STAMP site off Route 63 in Alabama, NY.

Press Release, Gov. Kathy Hochul’s Office

ALABAMA – Governor Kathy Hochul today announced that leading alternative energy technology provider Plug Power has begun construction on a $290 million electricity substation and state-of-the-art green hydrogen fuel production facility at the Western New York Science, Technology and Advanced Manufacturing Park located in the Town of Alabama, Genesee County.

Plug Power, the first tenant at the new manufacturing park, is also funding the construction of a 450-megawatt electricity substation that will support its hydrogen projection facility and future growth opportunities at STAMP.

As North America’s largest green hydrogen production facility, the plant will produce 45 metric tons of green liquid hydrogen daily servicing the Northeast region. When fully built, the facility will offer the company’s transportation fuel customers pricing competitive to diesel, leading the way to decarbonizing freight-transportation and logistics supporting New York’s path to achieving carbon-neutrality by 2050. Additionally, the company has committed to creating up to 68 new jobs.

“This groundbreaking is incredibly significant for the economies of the Finger Lakes and Western New York, providing new jobs and establishing the region as a prime destination for large manufacturers moving forward,” Governor Hochul said. “Plug Power’s new facility will be the largest plant in North America producing green hydrogen, advancing our ambitious green energy goals as we work toward a cleaner future.”

The siting of the manufacturing park, and Plug Power’s decision to locate there, was largely driven by access to low-cost hydropower from the New York Power Authority’s Niagara Power Project less than 30 miles away. The Power Authority is supporting the Plug Power project with the following incentives:

• A 10-megawatt allocation of low-cost hydropower from the Niagara Power Project.
• $1.5 million from the Western New York Power Proceeds program.
• 143 MW of High-Load Factor power that NYPA will procure for Plug Power on the energy market, drastically lowering electric bills through a reduction in electricity delivery chargers.

Plug Power CEO Andy Marsh said, “Plug Power is proud to be the leaders building the green hydrogen economy, creating jobs right here in our home state of New York. By 2025, our cross-continental green hydrogen network aims to supply 500 tons per day, and 1,000 tons per day globally by 2028. We thank our elected officials and partners for their leadership.”

Empire State Development is also supporting the project with up to $2 million in Excelsior Tax Credits in exchange for job creation commitments. Genesee County is also providing assistance for the transformative project.

Governor Kathy Hochul joins company officials, including Plug Power CEO Andy Marsh, in the ceremonial ground-breaking.

STAMP is a 1,250-acre mega site located at the center of upstate New York’s largest population, research, and workforce training hubs. Connected with New York’s high-tech corridor by New York State Thruway, STAMP has completed all site-level design and engineering, and all-site level environmental and zoning approvals to locate projects, including semiconductor manufacturing, renewables manufacturing, biopharma manufacturing, and other high-capacity industries.

The mega site is strategically located in NYPA’s low-cost hydropower zone and will be serviced by high-capacity, renewable, reliable power sources. STAMP has been validated as a regional priority project by the Finger Lakes Regional Economic Development Council and has been supported by local, regional, and state governments, as well as business, university, and utility partners.

Steve Hyde, Genesee County Economic Development Center President & CEO, said, “Bringing Plug Power to STAMP demonstrates that our 1,250-acre campus can be a destination for advanced large-scale manufacturing companies such as semi-conductor and renewables manufacturing facilities with continued infrastructure investment from New York State. We are confident that Governor Hochul recognizes the importance of this investment approach in her efforts. Her vision for a sustainable green energy economy for Upstate to provide family sustaining jobs are key to revitalizing our communities now and in the future.”

The Plug Power expansion is part of its focused strategy to construct up to seven hydrogen production facilities across North America by 2022. In January, Plug Power announced that it would be establishing a $125 million Innovation Center in Monroe County, creating 377 new jobs. That facility will manufacture hydrogen fuel cell stacks for its ProGen hydrogen fuel cell engines used to power a variety of electric vehicles, including material handling equipment, on-road commercial fleet vehicles, and drones. The company also operates a facility in Rochester’s Eastman Business Park and maintains its headquarters in the Capital Region.

Low-cost Niagara hydropower is available for companies within a 30-mile radius of NYPA’s Niagara Power Project or businesses in Chautauqua County. Niagara hydropower is linked to tens of thousands of existing jobs in the region. The NYPA funding award is made possible through net earnings resulting from the sale of unused hydropower generated at NYPA’s Niagara power plant.

Senator Charles Schumer said, “As the first tenant at the STAMP Campus, Plug Power will be instrumental in establishing Genesee County as the next global hub for the clean energy industry. Plug Power is at the forefront of green hydrogen innovation and their work is vital to the success of both New York’s economy, and to the future of clean energy. I’ve worked hard to support both Plug Power and STAMP every step of the way as they worked towards this monumental day, and I’m proud to celebrate them today as they bring jobs, clean energy, and substantial economic development to the Finger Lakes and Western New York regions.”

Assemblyman Steve Hawley said, “Finally seeing ground break for such an ambitious and innovative project at STAMP, and one that will provide at least 68 jobs to residents, should fill us all with pride and hope for the future of industry in New York. The clean energy production this facility aims to achieve could certainly be leveraged to springboard and inspire even more high-tech startups at STAMP to plant their roots here in Western New York.”

Genesee County Legislature Chairwoman Chair Rochelle M. Stein said, “We will continue to see the benefits from investments made here in Genesee County and STAMP. Companies hire from our own backyard, people are moving to and staying in our area, and our economy has a direct impact from companies such as Plug Power coming into our community. I am excited to see Genesee County thrive for years to come. This would not be possible without Governor Hochul’s leadership, Plug Power’s innovation, STAMP’s qualities, and Genesee County’s people for creating an ideal scenario to advance this project and jobs for our kids. Thank you all for your hard work.”

Alabama Town Supervisor Robert Crossen said, “We have worked very hard to bring forward a site suitable for a project of this scale and we look forward to achieving the important steps to develop and advance this project in our community. This milestone advances the development of the STAMP site, and thanks to Plug Power, Governor Hochul, and Genesee County for making this plan come to fruition. Our town is proud to have worked with our partners to make this project a success and we look forward to more activity at STAMP.”