Major Milestone at Plant Vogtle
A new reactor at the Plant Vogtle nuclear power plant in Georgia has achieved its maximum power output, marking a significant milestone on its path to commercial operation. The Unit 3 reactor reached a full output of 1,100 megawatts, enough to power an estimated 500,000 homes and businesses. Operators are conducting additional testing to ensure smooth operation in preparation for regular services.
Georgia Power’s Announcement
Georgia Power, a subsidiary of Southern Company and the majority owner of the Plant Vogtle facility, announced this development on Monday. CEO Kim Greene expressed enthusiasm, stating, “It tells us we’re close to finishing the unit safely and bringing it online to power Georgia homes and businesses with reliable, emissions-free energy for decades to come.”
Next Steps for Unit 3 and Unit 4
Operators will carry out further tests and evaluations to verify the reactor’s readiness for commercial operation. Meanwhile, the fourth reactor at Plant Vogtle has concluded a crucial testing phase and will soon begin loading radioactive fuel between July and October. They aim for this reactor to enter commercial operation sometime between December 2023 and March 2024.
History of Plant Vogtle
The Plant Vogtle nuclear power plant currently operates two reactors that have provided electricity for many years. The Georgia Public Service Commission approved the construction of the third and fourth reactors in 2009, but significant delays pushed the timeline for the third reactor, which was originally expected to begin in 2016.
Rising Costs of Construction
Initially, the cost of constructing the third and fourth reactors was projected at $14 billion, but the total anticipated cost has now soared to $31 billion. This figure excludes the $3.7 billion in compensation Georgia Power received from the bankrupt contractor, Westinghouse, bringing the overall expenditure on the project to nearly $35 billion.
Financial Impact on Georgia Customers
The Vogtle project will affect nearly every electric customer in Georgia. Georgia Power holds the largest stake in the reactors at 45.7%, while Oglethorpe Power Corp., the Municipal Electric Authority of Georgia, and the city of Dalton own smaller shares. Oglethorpe Power and the Municipal Electric Authority plan to sell power to cooperatives and municipal utilities across Georgia and certain regions in Florida and Alabama.
As a result of the project’s escalating costs, Georgia Power’s 2.7 million customers have begun to shoulder part of the financing burden. Public service commissioners approved a monthly rate increase of $3.78 for residential customers, effective when the third unit begins generating power. This increase follows a $16-a-month rise to cover higher fuel costs expected in July, along with a 2.5% rate hike in January as part of a separate three-year rate plan. They also plan further increases of 4.5% for 2024 and 2025.
Future Financial Considerations
The remaining costs associated with the Vogtle project, including those for the fourth reactor, are still under review. Commissioners will decide who is responsible for covering these expenses at a later date.
