Georgia Power may finish its first nuclear reactor for Plant Vogtle two months ahead of schedule despite delays, possibly opening in April 2016, the company told state utility regulators Friday.
Regulatory delays had pushed back the reactor's start date to June 2016. Georgia Power had accounted for some schedule delays and considers moving the date up two months to April "achievable," said Pete Ivey, a vice president with Southern Nuclear, a sister company to Georgia Power.
Georgia Power is part of a group of utilities that have begun to build two reactors at Vogtle at a cost totaling $14 billion. Georgia Power’s responsibility for the project is $6.1 billion.
The project would have cost as much as $1 billion more without production tax credits, federal loan guarantees and other financial tools, said Jeff Burleson, a vice president with Atlanta-based Southern Co., Georgia Power’s parent. Those, along with the company's steps to reduce inflation and commodity risks, could cut capital costs. Customers paying for financing costs upfront, a controversial financing tool approved by the state legislature and the Public Service Commission, also will play into lowering the cost.
“Our confidence is high that when this project is completed, the project will have a more favorable impact on customers than at the time of certification,” Burleson said.
Customers could see some of those decreased costs in the form of lower bills but not right away.
Georgia Power made what Burleson said was a “conservative value” of the production tax credit, which would take effect when the reactors start producing power. Once that happens, Burleson said the utility could ask the PSC if it could pass savings on to customers.
Opponents to nuclear power say the reactors are costly and unsafe. Commissioner Lauren McDonald, who is a supporter of nuclear power, raised the safety issue with Georgia Power officials.
“Your phone doesn’t ring with people talking about the decommissioning of nuclear plants in Germany. Mine does,” McDonald said.
Ivey referred to a recent Nuclear Regulatory Commission report that said many of the issues that led to the meltdown at the Fukushima Daiichi plant have already been addressed at Vogtle.
"A lot of attention was placed around the world on the existing and new designs," Ivey said.
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