Fate of Vogtle Nuclear Expansion Hinges on Minority Owners
Nonetheless, Georgia Power is not the only company on the hook for cost increases; there are three other co-owners of the project. Georgia Power holds a 45.7% stake in the Plant Vogtle expansion, while Oglethorpe Power Corp. (OPC, 30%), MEAG Power (22.7%), and Dalton Utilities (1.6%) hold the remaining shares.
According to The Bond Buyer website, both OPC and MEAG could face bond rating downgrades due to the increased cost estimate for Vogtle. In an August 13 post, Bond Buyer reported, “Fitch Ratings placed its A and A-minus ratings on MEAG’s bonds on Rating Watch Negative Friday, affecting $5.17 billion of outstanding debt. Oglethorpe’s A-minus rating on $3.9 billion of outstanding obligations was also placed on Rating Watch Negative.”
Judge expected to strike down controversial nuclear law that raised SCE&G’s rates
The 2007 law, written in part by an SCE&G attorney, enabled the utility to charge customers billions of dollars while the project was being built and even after it failed. Since work on the project started nearly a decade ago, SCE&G electric customers have paid more than $2 billion — $27 a month on the average residential customer’s bill — for two unfinished nuclear reactors that were abandoned without ever producing any power. SCE&G has fought to continue charging customers for the unfinished reactors, citing the 2007 Base Load Review Act.
I didn't realize that situation was unique to the state laws SCG&E was operating under. I wonder what other states might have similar laws on the books that could get struck down if ratepayers get mad after a project fails.
South Carolina utility gives up on plan for nuclear reactors
The project to build two additional nuclear reactors in South Carolina is officially dead. The State newspaper reports that Santee Cooper's board agreed Monday to give up the federal license to build the reactors at the V.C. Summer plant north of Columbia. The state-owned utility's private partner, South Carolina Electric & Gas, told the federal government a year ago it wanted to give up its permission to build the plant. Santee Cooper asked for more time in a longshot effort to try and find another partner. The utility's board unanimously voted Monday to give up the license after being told there would be significant expense to keep it. About $9 billion was spent on the plants, which never produced any power. Work stopped in the summer of 2017.
Georgia PSC Backs Additional Costs for Vogtle Nuclear Project
Georgia regulators on February 19 approved another $526.4 million in expenditures by Georgia Power related to the long-delayed Vogtle nuclear power plant expansion near Waynesboro, Georgia. Georgia Public Service Commission (PSC) members voted 4-1 to approve a settlement agreement for the 19th Vogtle Construction Monitoring (VCM) Report, which covers the first six months of 2018.