Licensing delays for the new AP1000 reactor design and missed construction milestones threaten the April 2016 deadline for the first of two new reactors planned at Georgia's Vogtle nuclear plant, a consultant has told state regulators.
The Associated Press reported Friday that it acquired the report by William Jacobs Jr., a project watchdog hired by state utility regulators. Although Southern Co. immediately responded that project partners can make up the two-month construction delay and contain project costs, AP quoted Jacobs' report as saying "the company faces significant challenges in maintaining the project budget forecast at or below the certified amount."
He cited The Nuclear Regulatory Commission's lengthy review process for the new Westinghouse reactor design. Its approval was scheduled for this year but may be delayed until 2012. The report also cites unspecified project milestones that a consortium of companies building the plant did not meet on time. Additionally, it makes note of added costs from project change orders and concerns about the Shaw Modular Solutions components plant in Lake Charles, La., that's also under evaluation by the NRC.
The report, drawn from Jacob's unique access to the construction site, project personnel and internal financial information, comes as state regulators consider a rule that would send more of the plant's revenue to the state if costs exceed $6.4 billion.
In 2008 Georgia Power applied for a combined NRC license to build and operate the two reactors, which represent the first project of its kind in the U.S. in three decades. Georgia Power has budgeted $6.1 billion for its share of construction, which has started at the site. The Obama administration has approved $8 billion in federal loan guarantees for the reactors.