Concerns fly over Georgia Power fee bill

Republicans are showing some unease about Georgia Power’s nuclear fee bill, as the bill heads to the House.

And the 2010 Republican gubernatorial candidates are a good gauge of that.

As passed by the Senate this week, the bill would permit the utility to begin passing on financing costs for two new nuclear reactors in 2011, although the extra generating capacity wouldn’t be available until 2017.

Although he said little publicly about the measure, Lt. Gov. Casey Cagle was one of the forces pushing Senate Bill 31 through the Senate.

But three other GOP candidates for governor —- the ones who hold public office —- have yet to gather behind it.

Secretary of State Karen Handel remains cautiously neutral.

State Rep. Austin Scott (R-Tifton) says the timing is wrong.

And state Insurance Commissioner John Oxendine said the whole deal “stinks.”

Spokesman Matt Carrothers said, “Secretary Handel is a strong proponent of nuclear energy, but also has some questions about the bill she hopes will be addressed by the legislative process.

“She plans to have talks with both opponents and proponents of the legislation,” he said.

Scott, the only gubernatorial candidate who will have to cast a vote on the bill, says he won’t support it.

“It’s not that I’m opposed to the concept as much as it is I’m opposed to the timing,” he said. “The American household, certainly the Georgia household, has less disposable income today than it has had in a long time.

“The idea of voting to raise people’s power bills in this economic time is just —- I’m not voting for it.”

Scott also pointed out that higher power bills would also apply to school systems and local governments that are already stretched.

In a better economic time, Scott said he might support the advance payment concept, “as long as there’s absolute transparency in the handling of the money. It should not in any way, shape or form increase their margin.”

Then there’s Oxendine, the most vociferous opponent of SB 31, who said the bill would strip authority from utility regulators.

“I’ve got two concerns,” he said. “One issue is the legislative involvement. And that bothers me. We have the mechanism under the [state] Constitution of where there are people with expertise that are elected by the citizens to review issues like this.

“You don’t change the rules —- it almost smells like you’re making special rules because you want to be able to guarantee what the outcome is. It really smells of Georgia Power saying, ‘I want a specific outcome.’

“That is just wrong. That’s what’s wrong with government. That process on its own stinks. I’m not disputing the Legislature’s right to intervene, but I am strongly disputing the appropriateness. And I’m saying it smells of politics.”

As for the concept of advance payment for reactors, Oxendine said he could support the approach “if there were no other way to come up with the financing. My understanding is that it was not necessary.”

Oxendine said he couldn’t imagine granting an insurance company a rate hike to pay for a computer upgrade in advance. “I would probably throw an insurance executive out of my office if he said that,” he said.

SB 31 will have its first hearing in the House beginning 2 p.m. Wednesday.