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Senators Griffo, Ritchie pledge to keep Alcoa's unused power in the North Country; express feelings of 'shock and disappointment'

Posted 11/3/15

North Country Sen. Joseph Griffo, R-Rome, pledged to keep Alcoa’s unused power in the North Country and that he would support and assist employees who are losing their jobs following an …

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Senators Griffo, Ritchie pledge to keep Alcoa's unused power in the North Country; express feelings of 'shock and disappointment'

Posted

North Country Sen. Joseph Griffo, R-Rome, pledged to keep Alcoa’s unused power in the North Country and that he would support and assist employees who are losing their jobs following an announcement from Alcoa Monday.

Alcoa said it will idle the Massena West smelter and will not modernize its closed east plant. The casthouses, forgings and extrusions facilities at Massena's west plant will remain open, according to the company.

“I am disappointed by today’s news regarding the future of Alcoa, especially the significant impact it will have on the company’s hardworking and dedicated employees, their families and the North Country region,” Griffo said in a prepared statement.

The plant employs hundreds of people.

“I have previously spoken with representatives of the company and their employees about the concerns they have faced, and the state has provided Alcoa economic incentives in the past – particularly low-cost energy – to try to help them during these challenging times,” he said.

Alcoa had struck a deal with the state to get cut-rate New York Power Authority electricity in exchange for maintaining jobs in Massena.

“I also want to ensure that any unused power already allocated by the state to the Massena West plant will remain available to benefit the people of Massena and its surrounding area, instead of being redirected to another region,” he said.

According to a March 2014 news release from the governor's office, the company will maintain 750 jobs at the west plant and provide training for the east plant's future workforce, once the modernized Alcoa East pot line in installed. The existing pot line will be decommissioned and torn down.

In summer 2013, Gov. Andrew Cuomo was quoted as saying 1,000 jobs would be guaranteed.

“We are extremely disappointed that Alcoa has decided to curtail its smelting operations in Massena,” Gil C. Quiniones, president and CEO of the New York Power Authority said. “NYPA has worked extensively with Alcoa for years to address its competitive challenges. That included the provision of large amounts of the lowest-cost hydropower in the nation, which saved the company millions of dollars annually. In return, Alcoa had agreed to maintain its jobs and workforce in Massena. Sadly, it has reneged on that commitment. We will work with the company and local leaders in St. Lawrence County to mitigate the impact of this announcement, though we realize that is a small consolation for the hundreds of employees slated to lose their jobs."

North Country Sen. Patty Ritchie also expressed her feelings of concern over the plant closing.

“I am shocked and disappointed by Alcoa’s decision to cancel its long-term plans to modernize the Massena East smelter and to idle the Massena West smelter,” Sen. Patty Ritchie R-Heuvelton, said. “Almost 500 families are being affected by this decision to shift smelting operations off shore.”

The New York Power Authority will reduce the amount of power they supply to Alcoa and waive two utility charges on Alcoa's monthly bills until the new line is operational, Alcoa’s release said.

Once the curtailment announced Monday is complete, it will mean they have eliminated 45 percent of their total smelting capacity since 2007.

“Moving forward, we will do our best to support and assist Alcoa’s employees, who have proven to be an outstanding workforce on behalf of the company and their communities,” Griffo said.

"In its aluminum business, Alcoa will idle the Intalco and Wenatchee primary aluminum smelters in Washington State, and the Massena West smelter in New York," Alcoa said in a prepared statement.

The company says it will not modernize the New York Massena East smelter and will permanently close the facility; potlines at Massena East have been closed since March 2014. The casthouses at Intalco and Massena West, which produce value-add shaped products, will continue to operate. The Alcoa Forgings and Extrusions facility in Massena is unaffected.

“While I am pleased that Alcoa will continue operating its casthouse, forgings and extrusion operations in Massena, I will be working with local, state and federal officials to review the company’s obligations under the 2007 hydropower contract and develop a strategy to convince Alcoa that its best hope for a successful future is to invest in the people and the community that helped make it a global company,” Ritchie said.

The reductions, which Alcoa says are aimed at maintaining competitiveness.

“While we’re dismayed by Alcoa’s decision, we are equally determined and firm in our resolve to work hard and collectively as a team to reinvigorate the North Country economy,” Griffo said.