Tag Archives: rate increase

Ga. Power takes heat on nuke study costs

GranthamRussellby Russell Grantham
ATLANTA 6/8/16 — Georgia Power officials were grilled by state utility regulators at a hearing Wednesday on why they think customers should pay for a preliminary study for a possible new nuclear plant near Columbus.

The Atlanta-based utility has asked the Public Service Commission to approve $175 million for the study of a Stewart County site as part of its updated 20-year power generation plan.

Those costs, which could ultimately grow to $300 million because of the way they are stretched out, would eventually be paid by Georgia Power’s customers, whether or not the company decided to build the new nuclear plant.

Read the whole article: Atlanta Journal-Constitution

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Unofficial Business: Ga. Power scopes out new nuke, at our expense

022215-nuke-price-bs11by Matt Kempner
ATLANTA 6/7/16 — Some really great deals are only great if someone else pays for them.

The state’s largest power company has just such a deal for us.

Georgia Power insists it’s really important and prudent to spend nearly $175 million so the company can investigate building a nuclear plant on land it owns south of Columbus in Stewart County. Executives testified that the investment is “in the best interest of its customers.”

But that certainty magically evaporates if Georgia Power has to pay for the exploration itself.

The company – a government-regulated monopoly — said last week that it would pull the plug on its review if state regulators don’t allow it to charge Georgia Power customers for the entire cost of the exploration. Customers should pay even if a plant is never built on the site, according to the company. Those costs would be incorporated in monthly power bills eventually.

Read the whole article: Atlanta Journal & Constitution

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Unofficial Business: Georgia Power aims to dump its overruns on you

022215-nuke-price-bs18by Matt Kempner
ATLANTA 4/13/16 — What do you call overruns on a project that’s more than three years delayed and at least $1.7 billion over budget?

Reasonable and prudent. At least if you are Georgia Power and you want customers to swallow every penny of the mistakes that would otherwise be the utility monopoly’s responsibility for its adventures in nuclear expansion.

“Every dollar, and every day, that has been invested has been necessary to complete these new units safely and correctly,” Georgia Power CEO Paul Bowers asserted in a recent filing to state regulators.

The company uses the words “prudent” and “reasonable” a lot in the filing because that’s the legal measure of whether the extra costs can be pushed onto customers’ monthly power bills for the company’s troubled Plant Vogtle expansion.

Read the whole article: Atlanta Journal-Constitution

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Georgia Power eyes site for possible new nuclear plant

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by Russell Grantham
3/18/15 — Georgia Power has chosen a site south of Columbus where it may build a new nuclear plant sometime after 2030, according to documents filed with state regulators.

The company said it has not decided yet to build more nuclear plants in Georgia, but confirmed that it has begun preliminary studies for a possible plant on 7,000 acres that it owns next to the Chattahoochee River in northern Stewart County.

The rural county is just below Fort Benning and Columbus in west Georgia.

Read the whole article: Atlanta Journal-Constitution

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Lawsuit seeks return of $2 billion charged to FPL, Duke customers for nuclear projects

700x394-1by Ron Hurtibise
MIAMI 2/24/16 — Florida’s two largest utility companies are the target of a lawsuit claiming a state law that authorized collection of $2 billion for construction of nuclear power facilities is unconstitutional.

The suit was filed Monday in the U.S. District Court for the Southern District of Florida by Hagens Berman, which describes itself as a “national class action and complex litigation law firm.”

The suit accuses Florida Power & Light, headquartered in Juno, and Duke Energy Florida, a subsidiary of North Carolina-based Duke Energy Corp., of overcharging its ratepayers.

Relying on a 2006 state law that authorized the Nuclear Cost Recovery System, the utilities turned 6.4 million ratepayers into “involuntary investors in nuclear projects, charges them interest on their own money and never returns their ‘investment,” the suit contends. “When the projects are abandoned, the utilities keep the money and collect even more.”

Read the whole article: Sun Sentinel

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Duke Energy, FPL Class Action Lawsuit Claims Unlawful Nuclear Power Charges

14562468553982/23/16 — A law firm filed a class action lawsuit against utilities Duke Energy Florida (NYSE: DUK) and Florida Power & Light (FPL) alleging unlawful charges to fund nuclear power plant construction.

The suit, filed in the U.S. District Court for the Southern District of Florida, alleges Duke and FPL of overcharging customers $2 billion since 2008 through electricity price hikes to fund the costs to build nuclear power plants in the state, though some of the projects have been abandoned. The suit seeks relief for customers of both utilities, including reimbursement from the companies for costs passed on to consumers to fund the projects, a declaration binding on the utilities that the state’s Nuclear Cost Recovery System and all nuclear cost recovery orders issued under it are unconstitutional and void, and an order ordering defendants from further charges.

Read the lawsuit here.

Read the whole article: Power Engineering

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Lawsuit challenges Florida utilities’ $2B nuclear cost fees

nuclearplantgraphicenergyby Curt Anderson
MIAMI (AP) 2/23/16— A federal lawsuit has been filed challenging $2 billion in fees charged by Florida’s two largest electric utilities for nuclear plant projects, some of which were never completed.

The proposed class-action lawsuit filed Monday seeks to stop the fees and recover unspecified damages for about 6.4 million customers of Florida Power & Light and Duke Energy. The fees were imposed on ratepayers under a law passed in 2006 by the Legislature and implemented by the state Public Service Commission.

The suit contends that the law violates the U.S. Constitution’s commerce clause by discriminating against other out-of-state energy producers and that it is pre-empted by federal energy and nuclear laws. It also claims Florida customers are improperly charged for nuclear projects that can be subject to huge cost overruns or that are never built.

Read the whole article: CNBC

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Lawsuit targets Duke Energy Florida, FPL over higher rates for nuclear power projects

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by Robert Trigaux
TAMPA 2/23/16 — A class action lawsuit was filed against Duke Energy Florida and Florida Power & Light alleging the monopoly electricity providers force millions of Florida customers to pay unlawful charges in connection with their electricity rates to fund the companies’ nuclear power plant projects, some of which have been abandoned.

The suit was brought Monday by the law firm Hagens Berman in the U.S. District Court for the Southern District of Florida. It accuses Duke Energy Florida and FPL of overcharging through unconstitutional price hikes that increase customers’ electricity bills in order to fund nuclear construction costs.

The issue ranks among the most controversial in recent Florida history, forcing customers of monopoly utilities to take on the financial risk of building nuclear power plants, projects prone to extreme cost overruns. Such utility projects historically have been financed by banks and Wall Street, with the risks borne by Duke and FPL shareholders, not by ratepayers.

Read the whole article: Tampa Bay Times

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Florida Consumers Sue Duke Energy Florida and Florida Power and Light Alleging Unlawful Charges

Lmoneyreactors-300x300awsuit states millions of Florida consumers have been wrongfully overcharged
MIAMI 2/22/16—Today two Florida utility companies – Duke Energy Florida and Florida Power and Light (FP&L) – were hit with a class-action lawsuit from Florida ratepayers alleging that the energy suppliers force millions of Florida customers to pay unlawful charges in connection with their electricity rates to fund the companies’ nuclear power plant projects, some of which have been abandoned, according to consumer-rights law firm Hagens Berman.

The suit filed Feb. 22, 2016 in the U.S. District Court for the Southern District of Florida accuses Duke Energy and FP&L of overcharging through unconstitutional price hikes that increase customers’ electricity bills to fund nuclear construction costs, and according to public information, the two utilities have been authorized to collect hundreds of millions in nuclear project costs through rate hikes.

Read the whole article: Business Wire

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HB 931 seeks end to ratepayer subsidy of nuclear construction in Georgia

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by Gloria Tatum
(APN) ATLANTA 2/17/16 — A pro-consumer bill, HB 931, co-sponsored by State Rep. Karla Drenner (D-Avondale), calls for an end to the Nuclear Construction Cost Recovery (NCCR) surcharge on Georgia Power electric bills after March 2017.

NCCR is a statewide surcharge that all Georgia Power residential and small business electricity customers pay every month.

It is about eight percent of one’s total bill with additional periodic rate increases.

Georgia Power’s two new nuclear reactors, Vogtle 3 and 4, originally were scheduled for completion in 2017, and at that time the surcharge was to expire.

However, Georgia Power is over three years behind schedule, and almost three billion dollars over-budget, with only 26 percent of the construction complete.

Read the whole article: Atlanta Progressive News

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