Nuclear Construction: Never On Time, Or Budget

on August 15, 2014 at 3:00 PM

Anniversary Of Nuclear Disaster At Three Mile Island Marked Near The Site

It seems to be a recurring trend 

After years where nobody was building any, 4 new reactors are under construction in the US, supported by all manner of support, subsidies, government loan guarantees and you name it. Much rests on how these 4 reactors will turn out in terms of getting built on schedule and on budget. But as often happens with complicated construction projects, they are falling behind, and by all indications, will cost more than originally estimated.

In late June 2014 staff of Georgia Public Service Commission (GPSC) announced that the in-service date for Southern Company’s 2 nuclear reactors at Vogtle Plant in Georgia have been delayed to December 2017 and December 2018, respectively, while the total project cost has crept upward by $650 million to $6.76 billion.

Business as usual for coal in Asia Pacific (below left) while nuclear is in decline (below right)

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Observers expect further delays because some components for the AP1000 units have never been built before. The reactors’ shield building, for example, is a first-of-a-kind design requiring fabrication and assembly that has not been done to date. Similarly, the fully digital control system is a first-of-a-kind that is custom designed and assembled from scratch for what will be one-of-a-kind reactor.fter years where nobody was building any, 4 new reactors are under construction in the US, supported by all manner of support, subsidies, government loan guarantees and you name it. Much rests on how these 4 reactors will turn out in terms of getting built on schedule and on budget. But as often happens with complicated construction projects, they are falling behind, and by all indications, will cost more than originally estimated.

Once construction is completed, startup testing is likely to take longer than presently planned, according to independent experts hired by the GPSC to monitor the plant’s progress. Southern Co., which gives its own monthly report to the Commission says that its “uncompromising focus continues to be on quality and safety of the project as decisions are made concerning schedule and cost.” Very reassuring indeed.

Fukushima’s legacy?

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Source: BP’s Energy Outlook 2035, Jan 2014

In late June 2014 staff of Georgia Public Service Commission (GPSC) announced that the in-service date for Southern Company’s 2 nuclear reactors at Vogtle Plant in Georgia have been delayed to December 2017 and December 2018, respectively, while the total project cost has crept upward by $650 million to $6.76 billion.fter years where nobody was building any, 4 new reactors are under construction in the US, supported by all manner of support, subsidies, government loan guarantees and you name it.

Much rests on how these 4 reactors will turn out in terms of getting built on schedule and on budget. But as often happens with complicated construction projects, they are falling behind, and by all indications, will cost more than originally estimated.

Construction of the 2 reactors, each about 1.1 GW, was approved by the GPSC in 2009. Southern Co. subsidiary Georgia Power, which owns 45.7% of the project with three other partners, received a combined construction and operating license from the US Nuclear Regulatory Commission (NRC) in February 2012. The other two are under construction in Carolina.

The project received $6.5 billion loan guarantee from the US Dept. of Energy (DOE) in February 2014 for two of Vogtle’s owners: Georgia Power and Oglethorpe Power Corp. The DOE is working on an additional $1.8 billion for the project’s third owner, Municipal Electric Authority of Georgia.

Additionally, GPSC allows the utilities to recover most of the costs during the project’s long construction period, an unusual bonus. A lot rides on Southern Company to pull this off. It may be among the last new nuclear plants ever built in the US, especially if the project runs over budget and/or is further delayed.

Published Originally in EEnergy Informer The International Energy Newsletter August 2014 Issue.