Georgia Power to pay more than $400M to settle Plant Vogtle costs dispute | Georgia

(The Center Square) — Georgia Power has agreed to pay Oglethorpe Power more or less $413 million as a part of an settlement to unravel a dispute over Plant Vogtle costs.

On Thursday, Georgia Power mentioned it reached a handle Oglethorpe Power, which sued Georgia Power in June 2022, to settle interpretations of the “cost-sharing and tender provisions of the joint ownership agreements” for Plant Vogtle Units 3 and four, the “first newly constructed nuclear units” constructed within the nation in more than 3 many years.

Under the settlement defined in an 8-K filing, Georgia Power will pay Oglethorpe Power $308 million for a portion of incurred building costs and more or less $105 million for additional building costs. Georgia Power may also quilt 66% of Oglethorpe Power’s building costs above projected capital costs.

Georgia Power owns just about part (45.7%) of Plant Vogtle. Oglethorpe Power, which serves 38 electrical club companies throughout Georgia, owns 30%, whilst the Municipal Electric Authority of Georgia owns 22.7%, and Dalton Utilities owns 1.6%.

According to the submitting, Georgia Power expects a “charge to income” of more or less $152 million — $114 million after taxes. The agreement does no longer unravel a lawsuit the town of Dalton filed in September 2022, which Georgia Power mentioned may just lead to $17 million of extra “pre-tax charges to income.”

Georgia Power reached a agreement with the Municipal Electric Authority of Georgia in September 2022.

According to Georgia Power, Unit 3 entered industrial operation on July 31, whilst loading gas into the Unit 4 reactor began on Aug. 17. Unit 4 may just input provider via both the top of the yr or early subsequent yr.

In August, Georgia Power and the state’s Public Service Commission’s Public Interest Advocacy body of workers reached a deal over restoration costs for the gadgets.

The deal caps restoration costs at more than $7.5 billion. According to Georgia Power, “average retail rates” would building up via more or less 5%, and “a typical resident customer using 1,000 kWh per month” may just see their per 30 days invoice building up via $8.95.

PSC commissioners should approve the deal.