Governor Kathy Hochul today announced that Niagara Power Transformer, a Buffalo manufacturer of transformers essential to the operation and modernization of the electric grid, has broken ground on a more than $71 million expansion that will increase its production capacity by 50 percent, support nearly 220 jobs, and strengthen the domestic supply of critical grid equipment. With an ever-aging grid, having these transformers produced in Western New York will support a resilient and energy-independent State. The project reinforces New York's energy supply chain at a moment of growing demand and continued economic momentum across the State.

"As New York advances its clean energy economy, strengthening our grid and expanding domestic transformer production are essential to meeting the state's growing energy needs," Governor Hochul said. "Niagara Power Transformer's expansion helps ease a critical supply-chain bottleneck, delivers good-paying jobs to Western New York and supports the industry that keeps the lights on for New Yorkers while ensuring we have enough power to help keep energy costs down."

Niagara Power Transformer President Chris Kraft said, "Niagara Power Transformer has been manufacturing transformers in Western New York for more than a century, and we are proud to continue being a pillar of this community with the support of Governor Hochul, New York Power Authority and our state and local partners. The Niagara Power 50 Initiative represents the largest investment in our company's history and will allow us to increase transformer production by 50 percent. As electricity demand continues to grow, driven by the resurgence of American manufacturing and electrification, the need for reliable power infrastructure has never been greater. This investment will help our customers modernize and expand the grid to meet that demand."

The firm manufactures large liquid-filled power and specialty transformers, which are devices used to change the voltage level of electricity as it moves through the grid. Demand for transformers has increased significantly as utilities modernize and harden the electric grid, connect new generation and expand infrastructure to serve growing electricity demand from economic anchors and job creators. At the same time, limited domestic manufacturing capacity and extended lead times have made transformers a critical supply chain constraint for grid investment.

Amid these trends, the firm's project - as part of its Niagara Power 50 Initiative - will expand its existing campus by 96,000 square feet, increasing its production capacity. The expansion will introduce specialized manufacturing equipment; expand material handling and storage capacities; and upgrade site utilities and incorporate new engineering and administrative spaces. The project will support the retention of 146 jobs and create 73 new full-time positions at the firm, including 57 IBEW union jobs.

Niagara Power Transformer received significant strategic support from New York State to advance the project, including $4.5 million from the New York Power Authority's Western New York Power Proceeds program. Empire State Development awarded the firm up to $3.4 million in performance-based Excelsior Jobs Program tax credits. The site is participating in the New York State Department of Environmental Conservation's successful Brownfield Cleanup Program and is eligible for $1.5 million in tax credits administered by the New York State Department of Taxation and Finance. Separately, the Erie County Industrial Development Agency also approved nearly $2.2 million in sales and property tax abatements.

Niagara Power Transformer, with roots dating to 1924, has grown into a century-old Western New York manufacturer known for continually advancing its technology and expanding its testing capabilities. Its recent acquisition by Quanta Services - a Fortune 200 infrastructure leader - underscores the company's long-term stability and ongoing investment in the region. The firm's expanded operations will support additional job growth throughout Western New York's manufacturing supply chain, where Niagara Power Transformer already relies on more than 160 New York suppliers across steel fabrication, machining, coatings, electrical equipment, transportation and industrial services. By expanding domestic production of critical grid equipment, the project will strengthen Western New York's manufacturing economy while supporting grid resiliency, clean energy deployment and continued economic growth across the state.

New York Power Authority President and CEO Justin E. Driscoll said, "Niagara Power Transformer's expansion project, supported by $4.5 million in NYPA funding, represents a significant investment in Western New York that will strengthen the domestic supply chain of critical grid infrastructure, support high-quality jobs, and help deliver the reliable, affordable and clean energy that New Yorkers depend on."

Empire State Development President, CEO & Commissioner Hope Knight said, "Niagara Power Transformer's century-long legacy in Western New York is entering an exciting new chapter. With Governor Hochul's support, this landmark expansion reinforces the region's vital role in accelerating New York's clean energy transition-all while keeping high-quality manufacturing jobs in Western New York and creating new, good-paying opportunities for local workers."

New York State Department of Environmental Conservation Commissioner Amanda Lefton said, "Major upgrades and modernization of the Niagara Power Transformer facility site illustrates how New York is meeting the demands of an expanding energy supply chain head on. Under Governor Hochul, DEC's successful Brownfield Cleanup Program continues to address environmental pollution, help protect public health and support economic development, especially in underserved communities most impacted by legacy industrial pollution."

Representative Tim Kennedy said, "Niagara Power Transformer's more than $71 million expansion is an investment in Western New York's manufacturing legacy and the workers who are carrying it forward. For more than a century, this company has helped power our communities and has built a reputation for manufacturing excellence right here in Cheektowaga. This expansion will increase production of critical grid equipment and create 73 good-paying jobs, including 57 IBEW union positions. As our nation works to modernize its electrical grid, strengthening domestic manufacturing and creating opportunities for skilled workers to build their futures close to home is essential. I'm proud to see Niagara Power Transformer continue to grow in Western New York, supporting working families, strengthening our local economy, and ensuring our region remains at the forefront of American manufacturing."

State Senator April N.M. Baskin said, "Congratulations to Niagara Power Transformer on this exciting expansion and the new jobs it will bring to our community. As we work to modernize our electric grid, investments in critical infrastructure and manufacturing are more important than ever. I'm proud that this important work will continue right here in Cheektowaga, supporting local workers and strengthening our regional economy as Niagara Power Transformer has done for more than a century. Thank you to Governor Hochul and our state partners for investing in Niagara Power Transformer and Western New York's future."

Erie County Executive Mark C. Poloncarz said, "Niagara Power Transformer's expansion is great news for Erie County and all of New York State. Investments in grid modernization equipment are essential to our expanding economy, providing good jobs and ensuring that our communities and businesses will have the power they need to grow and thrive. Erie County is proud to join our partners in building a clean energy economy for the future."

City of Buffalo Mayor Sean Ryan said, "This $71 million expansion is an investment in Western New York's workforce and manufacturing future. By creating dozens of new union jobs, including opportunities for workers with no experience, this project will open doors for workers across our region to build careers, support their families, and get ahead. Increasing transformer production by 50 percent will also help meet our nation's growing energy needs with critical equipment made right here in Western New York. I thank Governor Hochul and our state partners for supporting investments that strengthen our regional economy and create good-paying jobs for Western New Yorkers."

Cheektowaga Town Supervisor Brian Nowak said, "I'm excited to see this project in Cheektowaga, adding more than 70 new jobs and making use of property that has been an eyesore for years now. The work Niagara Power does is critical for our 21st century economy and it is wonderful that Cheektowaga can be home to the great things they are doing."

Business Manager of IBEW Local 41 Greg Inglut said, "This expansion is a big win for working families in Western New York. Niagara Power Transformer's investment means 57 new IBEW jobs on top of the 90 Local 41 members who already build transformers here. These are good-paying union manufacturing careers, with a path in for people just starting out. Our members take real pride in building the equipment that keeps the grid running, and we thank Niagara Power Transformer, Quanta Services, the New York Power Authority and all of the state and local partners who made this investment possible."