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Avangrid Invests $41 Million to Upgrade Ithaca’s Electrical Grid

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Construction of substations and transmission lines for Ithaca's electrical grid upgrade

News Summary

Avangrid, Inc. is allocating $41 million to enhance Ithaca’s electrical grid, aiming to support over 42,000 NYSEG customers. The investment will fund five key projects, including new substations and transmission lines, to improve reliability and reduce outages. With plans for 150 new jobs, this initiative reflects a broader strategy to modernize energy infrastructure statewide. Avangrid’s commitment emphasizes resilience and sustainability as community energy demands grow.

Ithaca, New York – Avangrid, Inc. has committed to a significant investment of $41 million to upgrade and enhance the electrical grid infrastructure in Ithaca. This initiative aims to bolster the reliability and capacity of services provided to more than 42,000 New York State Electric & Gas (NYSEG) customers in the region.

The funds will support five major projects, including the construction of three new substations and the installation of 22 miles of transmission lines. These upgrades are expected to reduce the frequency and duration of power outages, thereby improving the overall resilience of the grid.

The initial phase of investment will target immediate regional reliability needs, with completion scheduled for the end of 2027. This investment is part of Avangrid’s broader strategy to modernize energy infrastructure across New York, which has totaled over $500 million for 265 projects since the introduction of the 2023 Reliable Energy Rate Plan.

Key Features of the Investment

Among the significant components of this investment are several critical upgrades:

  • A $300,000 transformer upgrade at the Coddington substation.
  • A substantial $28.4 million investment for two new transformers at the Fourth Street substation.
  • Installation of three capacitor banks at key substations, with costs as follows:
    • $4.2 million for Trumansburg.
    • $3.3 million for Cayuga Heights.
    • $4.9 million for West Hill.

These capacitor banks will play a vital role in stabilizing and maintaining voltage levels across the grid, ultimately enhancing grid efficiency.

Employment Opportunities and Broader Impact

The upgrade projects are set to create over 150 jobs within the Ithaca region, contributing positively to the local economy. Avangrid’s continuous investment in infrastructure reflects a growing need to address increasing energy demand across the United States and to ensure reliability as communities expand.

Company’s Commitment to Modernization

Avangrid’s CEO highlighted that this new investment is a critical stride toward modernizing the aging energy infrastructure of New York. The company’s overall engagement in energy infrastructure rehabilitation in the state has reached $582 million, benefiting 2.9 million customers throughout New York.

Furthermore, Avangrid has ambitious plans for the future, including a plan unveiled in March 2025 for a $20 billion investment in U.S. electrical grid infrastructure through 2030. The proactive investment strategy underlines the company’s commitment to enhancing net capacity, efficiency, and sustainability in energy delivery.

Currently, Avangrid serves 3.4 million customers across New York and New England and operates over 75 energy generation facilities across the United States. The company’s ongoing efforts are aligned with the increasing demands for reliable energy solutions as communities continue to grow.

This investment in Ithaca represents a significant step forward in strengthening the electrical grid and ensuring that NYSEG customers receive dependable energy services well into the future.

Deeper Dive: News & Info About This Topic

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