Southern Co.’s Costs Attract Scrutiny – WSJ.com

1
Aug

Southern Co.’s Costs Attract Scrutiny – WSJ.com

Problems with cost controls in Mississippi are focusing attention on an even larger project in Georgia, where Southern subsidiary Georgia Power Co. is building two nuclear reactors at its existing Vogtle power site.

The subsidiary recently asked the Georgia Public Service Commission for permission to collect an extra $381 million from customers to help cover the rising costs of the Vogtle nuclear project, bringing the total amount it was seeking from Georgia ratepayers to about $6.5 billion. It also added that costs likely would go higher. On Wednesday, it said it would withdraw that request and file a new request early next year that also would include costs for 2013.

Georgia regulators in turn said they are studying an approach being taken in Mississippi that involves sharing the extra costs between utility customers and shareholders.

“It’s understandable why we would want to explore something similar,” said Stan Wise, a member of the Georgia Public Service Commission. He added: “I don’t know anybody who’s not concerned” about rising costs for the two new reactors, whose combined cost now exceeds $13 billion.

via Southern Co.’s Costs Attract Scrutiny – WSJ.com.

Comments ( 0 )