Thomson Reuters has turned down an allocation of low-cost electricity from New York State for its Hauppauge data center that would have reduced electricity costs, officials said.
The global news and information provider “decided that this was not the most attractive opportunity for us to run our business operations most efficiently,” said company spokesman John P. Russell.
He wouldn’t say whether Thomson Reuters intends to move forward with $5 million in improvements to its building at 88 Parkway Dr. South, which the state Power Authority had agreed to support with 1,366 kilowatts per hour of cheap electricity over seven years. A thousand kilowatts are capable of powering 800 to 1,000 homes.See alsoCompanies getting power from the state
Thomson Reuters, in its October 2014 request for state help, had said it wanted to upgrade cooling systems and generators at the Hauppauge location. The company also promised to maintain a workforce of 125 in return for the aid, according to authority spokesman Paul DeMichele.
Russell, the company spokesman, said last week that Thomson Reuters has about 100 employees in Hauppauge. In 2003, 550 people worked there.
The Power Authority’s board of trustees approved the company’s application for low-cost power under the ReCharge NY program last month, and the decision was publicly announced by Gov. Andrew M. Cuomo’s office on Dec. 17. Thomson Reuters then told the authority that it wouldn’t be accepting the incentive.
The notification was confirmed recently by the authority, which put the Thomson Reuters allocation back into the pool of power available to Recharge NY applicants.
Businesses seek power allocations because, in some cases, they amount to savings of millions of dollars over the allocation period of seven years.
Begun in 2011, ReCharge has assisted 152 companies, hospitals and nonprofits on Long Island as of Dec. 17. Together, they have pledged to maintain and create 60,425 jobs and invest more than $3 billion.