Holtec International, a company that makes components for power plants like nuclear fuel storage systems, has won a lucrative USD 260 million award from New Jersey’s Economic Development Authority (EDA).
The EDA on Thursday approved the company’s proposal to build a 600,000-square-foot manufacturing and design center in Camden.
This is third-largest tax incentive in the history of New Jersey in the past 10-year.
“It’s the agency’s policy not to give further details about incentive applications until the board’s meetings. Company officials did not immediately return a call,” EDA spokeswoman Virginia Pellerin said in a statement.
The EDA officials have estimated a total net benefit of USD 155,520 to the state over 35 years.
According to Holtec executives, the tax credit is ‘a material factor in the company’s decision on whether or not to locate the project in Camden.’
The capital investment totals USD 260 million.
Holtec already runs a corporate technology office in Marlton. The company also operates domestically in other locations including Florida, Pennsylvania and Ohio and overseas in India and Ukraine.
The company won the green signal after it told the state officials that the project would lead to the creation of 235 new jobs and the retention of 160 jobs.
” Holtec’s Marlton location will provide the 160 retained jobs, said EDA President Tim Lizura.
Lizura, however, remained silent on revealing the company’s future plans for that site.
The company has now started choosing ideal locations for setting up its new center in the state. According to EDA officials, the company is still inconclusive between the South Jersey city and “a lower-cost option” in South Carolina. According to the company insiders, if they go for New Jersey then they would require to enter a ground lease with the South Jersey Port Corp. in order to get a land on the South Camden waterfront.
According to the EDA memo, Holtec is the pioneer in the fields of nuclear, solar, geothermal and fossil energy. Besides, it is the largest provider of transport and storage systems for spent nuclear fuel in North America,
It also designs and supplies surface condensers, steam generators and other equipment for the global power industry.
Since 2009, Holtec also develops a small, modular nuclear reactor that will provide power to 1.75 million people globally, the memo said.
Its new state-of-the-art manufacturing facility and design center would help the reactor’s components and expansion of its current line of products.