BESICORP-EMPIRE PROJECT
August 2002 Projects Update Newsletter

Besicorp-Empire Power Project and Newsprint Project Deemed Complete

On May 28, 2002, the Besicorp-Empire joint Article X/DEIS application was deemed complete in compliance with state regulations after review by the New York State Department of Public Service (DPS) Board on Electric Generating Siting and the Environment (Siting Board), the Department of Environmental Conservation (DEC) and the Department of Health (DOH). This determination of completeness marks the beginning of the State's formal review process on both the 505 MW power project and the 100% recycled newsprint manufacturing facility project proposed to be constructed on the existing BASF site in the City of Rensselaer. The application, combined with the Supplemental filing on May 9, 2002, address all of the pertinent environmental and siting issues of both projects including air, water, transportation, visual, location and economic impacts.

These projects will result in the effective reuse of an existing brownfield site where production ceased in December 2000. Each project brings substantial economic benefits to the region and together will create over 1,000 construction jobs and up to 275 full time positions. The power project facility will respond to the state's need for additional generating capacity to continue the process of retiring older facilities in New York with modern, clean and efficient generation and the newsprint project will provide additional recycling capability for New York.

The Article X/DEIS application, including the Supplemental filing, for the Besicorp-Empire Project is available to the public at the following local libraries, and an abstract is on the company's website at www.besicorp.com.

Rensselaer Public Library
810 Broadway, Rensselaer, NY

Albany Public Library
161 Washington Ave., Albany, NY

North Greenbush Public Library
138 Main Avenue, Wynantskill, NY

Troy Public Library
100 Second Street, Troy, NY

East Greenbush Community Library
225 Columbia Turnpike, Rensselaer, NY


A copy of the application may also be inspected during normal business hours at the office of the New York State Public Service Commission, Three Empire Plaza, 14th Floor, Albany, NY 12223.

Upcoming Public Acitivities
August 26, 2002 - Besicorp - Empire Open house from 3:00PM to 7:00PM at Leonardo DeVinci Lodge, 320 Broadway, Rensselaer, NY. This open house will allow community members to learn more about these projects and company representatives will be available to answer questions.

August 27 & 28, 2002 - NYSDPS and NYSDEC Technical Conference and August 29th continuation of Issues Conference (times and locations to be announced). The Technical Conference will have the technical representatives of active parties posing questions on specific issues to technical representatives of the applicant.

Availability Sessions; a company representative will be available at Rensselaer City Hall to take questions and provide information at the following times starting in September.

9:00 - 11:00 AM - Second Thursday of each month
5:00 - 7:00 PM - Fourth Thursday of each month

Site Activities
Remediation - Currently ongoing by BASF.
Estimated start of construction - 2nd quarter 2003
Estimated start of operations - Late 2004

Recent Project Changes
Added controls to reduce VOC emissions
Added covers to parts of the wastewater treatment area
Added stacks/vents to the newsprint recycling facility

Citizen's Advisory Board Information

How to reach us:

Phone: (518) 465-6751 or (845) 335-7700
Web: www.besicorp.com

Mail: Besicorp-Empire Development Company, LLC
1151 Flatbush Road, Kingston, NY 12401

11 Second Avenue, Rensselaer, NY 12144
(Attention Kelly Ballard)

For detailed information regarding the upcoming State Agency activities or
to view their official notices visit:

NYSDPS website at www.dps.state.ny.us/besicorp.htm

NYSDEC website at www.dec.state.ny.us/website/ohms/notices/index.htm#4