Santee Cooper announced that its board of directors has authorized an option that will fix costs associated with completing two units at the V.C. Summer Nuclear Station.
The Moncks Corner, South Carolina-based company owns a 45 percent stake in the expansion of the nuclear plant alongside the South Carolina Electric & Gas Co. (SCE&G), which owns the remaining 55 percent.
The fixed price option has been added to an amended Engineering, Procurement and Construction (EPC) Agreement, which gives greater cost and schedule certainty to customers of Santee Cooper and SCE&G.
The company has also approved the sale of $831 million in revenue obligation bonds for the project.
“Today’s board actions further enable Santee Cooper to minimize costs for customers as we strengthen and diversify our generation fleet by adding more reliable, carbon-free resources,” President and CEO Lonnie Carter said. “The excellent response by investors shows continued Wall Street support for our strong financial management and execution of this plan. These new nuclear units will significantly tip Santee Cooper’s generation away from coal, and nuclear power features low fuel and operating costs along with impressive reliability.”
The company’s budget for the project will increase by approximately 20 percent, making it $6.2 billion in total. The company states that while this is the case, this will allow customers to save an undisclosed amount in the hundreds of millions of dollars.