This form provides that when Operator, in good faith, believes or determines that the actual costs for any Drilling, Reworking, Sidetracking, Deepening, or Plugging Back operation conducted under this Agreement will exceed a designated of the costs estimated for the operation on the approved AFE, the Operator will give prompt notice by telephone to the other Parties participating in the operation, as well as delivering a supplemental AFE estimating the costs necessary to complete the operation. Each Party receiving the supplemental AFE shall have forty-eight from receipt of the notice to elect to approve Operators recommendation or propose an alternative operation.
Georgia Cost Overruns for Non-Operator's Non-Consent Option
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FAQ
Nuclear cost recovery is a cost-saving financing method that enables utility companies to increase the output of existing plants and create the opportunity to build new nuclear facilities to meet future energy demand in a clean, safe and reliable way.
ATLANTA ? Georgia Power has agreed to spare the utility's customers $2.6 billion of the $10.2 billion it's costing the company to build two additional nuclear reactors at Plant Vogtle.
Construction and financing costs for Vogtle surpassed $34 billion earlier this year, as Georgia Power and Southern Co. pushed to have one reactor completed by summer and the other one in early 2024.
Thus, the average cost overrun for these 75 nuclear units was 207 percent. In other words, the actual average cost of the plants was about triple their estimated costs.
The agreement, filed August 29, advises capping the recovery from ratepayers of all capital and construction costs for the new Vogtle units at $7.562 billion?a reduction of $2.626 billion from the $10.188 billion that Georgia Power says it expects to have incurred by the time Unit 4 enters commercial operation, which ...
Projected Nuclear Power Plant Construction Costs Are Soaring Companies that are planning new nuclear units are currently indicating that the total costs (including escalation and financing costs) will be in the range of $5,500/kW to $8,100/kW or between $6 billion and $9 billion for each 1,100 MW plant.
