The South Carolina Public Service Commission (SCPSC) recently approved the petition of South Carolina Electric & Gas Co. (SCE&G) to update the construction milestone schedule and the capital cost schedule for two nuclear units being erected in Jenkinsville, South Carolina.
Under the terms of the construction schedule, Units 2 and 3 will be completed in June 2019 and June 2020, respectively. The schedule was developed using information from Westinghouse Electric Co. and Chicago Bridge & Iron.
The capital cost schedule includes incremental capital costs of $698 million, $539 million of which is related to schedule delays and contested costs. The total estimated capital cost of the project now stands at $5.2 billion, or $6.8 billion with escalation and allowance for funds used for construction.
The return on equity for the project has been reduced from 11 percent to 10.5 percent. The revised amount will be applied to revise rates sought under the Base Load Review Act after Jan. 1 until the new nuclear units are completed.
The SCPSC has urged SCE&G officials to continue negotiations with Westinghouse and Chicago Bridge & Iron, and to take other measures to decrease delay-related costs to benefit SCE&G customers.
Columbia, SC 29202