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Judge Dismisses Attempt to Stop Power Plant Subsidies

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By Editors of Power Engineering

An attempt to stop the New York government from giving billions of dollars to nuclear plants in the state was struck down by a federal judge, Reuters reported.

U.S. District Judge Valerie Caproni was not swayed by the argument from energy companies and trade groups that federal law prevented the New York Public Service Commission from offering credits to nuclear power plants to reduce carbon emissions and reliance on coal and gas-fired plants, and said the program was “plainly related to a matter of legitimate state concern.”

"The New York program is constitutional," Caproni wrote. "Fatal to plaintiffs' argument is their failure to offer any cogent explanation why ZECs are preempted but other state incentives to generate clean energy - such as tax exemptions, land grants, or direct financial subsidies - are not."

Plaintiffs included the Coalition for Competitive Electricity, Dynegy and NRG Energy.

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