Groups seek to block Ga. nuke plant rate hike law
ATLANTA (The
> Associated Press) - Jul 14 - By GREG BLUESTEIN Associated Press Writer
>
> Critics of a new state law allowing Georgia Power Co. to charge
> ratepayers ahead of time for the costs of building two nuclear
> reactors have turned to the courts in their latest bid to block the
> measure.
>
> Georgia Power said Tuesday it has asked a judge to dismiss two
> separate lawsuits filed by an environmental group and a conservative
> taxpayers foundation. The suits contend it is unconstitutional to make
> ratepayers finance the Plant Vogtle reactors six years before they go
> online.
>
> The legal challenges target one of the most contentious pieces of
> legislation adopted by lawmakers this year. After hours of heated
> debate - and weeks of heavy lobbying - the measure narrowly passed
> both legislative chambers and was signed into law in April.
>
> The law's supporters said customers would have to pick up the tab
> for the new reactors either way and that the financing scheme would
> save money in the long run by shaving roughly $300 million off the
> expansion's $14 billion price tag.
>
> The lawsuits filed in Fulton County Superior Court by the
> Southern Alliance for Clean Energy and the Fulton County Taxpayers
> Foundation each target the Public Service Commission, which approved
> the plant expansion by a 4-1 vote in March, and Gov. Sonny Perdue, who
> signed the bill into law a month later.
>
> Perdue spokesman Bert Brantley has said the governor signed the
> measure because he believes it will be a long-term benefit to Georgia
> Power customers. And commission spokesman Bill Edge, who said he
> wouldn't comment on the litigation, said the panel acted properly.
>
> "The members feel like their order is a proper order," said Edge.
>
> Georgia Power, a subsidiary of Atlanta-based utility giant
> Southern Co., on Tuesday pointed to a response it filed last week to
> the lawsuits, in which it denied the claims and urged a judge to
> dismiss the lawsuit.
>
> The new law allows the energy company to begin collecting $1.6
> billion in financing and shareholder equity costs early. The east
> Georgia project is scheduled to be completed in 2017. It could be the
> first new nuclear project to break ground in the country in three
> decades.
>
> Ratepayers will see their electric bills rise by an average of
> $1.30 a month in 2011 under the new law. Those increases will
> gradually rise to an additional $9.10 a month in 2017.
>
> The Southern Alliance for Clean Energy's lawsuit, filed June 15,
> claims that the state commission failed to consider all the costs of
> the proposed expansion. It also contends that the panel jumped the gun
> when it approved the expansion before Perdue approved the accompanying
> legislation.
>
> "Ratepayers are frustrated that they could be paying for new
> reactors before any electricity is even produced, if the reactors are
> even built," said Sara Barczak, the alliance's policy director.
> "And environmental advocates are very concerned about the impacts
> these new reactors could have on the Savannah River basin."
>
> The taxpayer's foundation, for its part, said it launched the
> legal challenge in late April because it is concerned about the
> financial burden imposed by the new law.
>
> "It's a taxpayer issue. This is a tariff. And that's a tax
> imposed for services that have not yet been rendered and imposed on
> people who may receive the service," said John Woodham, the
> foundation's attorney.
>
> Case in point, said Woodham, is his lawsuit's main plaintiff:
> John Sherman, the foundation's 83-year-old president.
>
> "He may not be able to enjoy the fruits of what he's paying for
> right now," said Woodham.
> Associated Press) - Jul 14 - By GREG BLUESTEIN Associated Press Writer
>
> Critics of a new state law allowing Georgia Power Co. to charge
> ratepayers ahead of time for the costs of building two nuclear
> reactors have turned to the courts in their latest bid to block the
> measure.
>
> Georgia Power said Tuesday it has asked a judge to dismiss two
> separate lawsuits filed by an environmental group and a conservative
> taxpayers foundation. The suits contend it is unconstitutional to make
> ratepayers finance the Plant Vogtle reactors six years before they go
> online.
>
> The legal challenges target one of the most contentious pieces of
> legislation adopted by lawmakers this year. After hours of heated
> debate - and weeks of heavy lobbying - the measure narrowly passed
> both legislative chambers and was signed into law in April.
>
> The law's supporters said customers would have to pick up the tab
> for the new reactors either way and that the financing scheme would
> save money in the long run by shaving roughly $300 million off the
> expansion's $14 billion price tag.
>
> The lawsuits filed in Fulton County Superior Court by the
> Southern Alliance for Clean Energy and the Fulton County Taxpayers
> Foundation each target the Public Service Commission, which approved
> the plant expansion by a 4-1 vote in March, and Gov. Sonny Perdue, who
> signed the bill into law a month later.
>
> Perdue spokesman Bert Brantley has said the governor signed the
> measure because he believes it will be a long-term benefit to Georgia
> Power customers. And commission spokesman Bill Edge, who said he
> wouldn't comment on the litigation, said the panel acted properly.
>
> "The members feel like their order is a proper order," said Edge.
>
> Georgia Power, a subsidiary of Atlanta-based utility giant
> Southern Co., on Tuesday pointed to a response it filed last week to
> the lawsuits, in which it denied the claims and urged a judge to
> dismiss the lawsuit.
>
> The new law allows the energy company to begin collecting $1.6
> billion in financing and shareholder equity costs early. The east
> Georgia project is scheduled to be completed in 2017. It could be the
> first new nuclear project to break ground in the country in three
> decades.
>
> Ratepayers will see their electric bills rise by an average of
> $1.30 a month in 2011 under the new law. Those increases will
> gradually rise to an additional $9.10 a month in 2017.
>
> The Southern Alliance for Clean Energy's lawsuit, filed June 15,
> claims that the state commission failed to consider all the costs of
> the proposed expansion. It also contends that the panel jumped the gun
> when it approved the expansion before Perdue approved the accompanying
> legislation.
>
> "Ratepayers are frustrated that they could be paying for new
> reactors before any electricity is even produced, if the reactors are
> even built," said Sara Barczak, the alliance's policy director.
> "And environmental advocates are very concerned about the impacts
> these new reactors could have on the Savannah River basin."
>
> The taxpayer's foundation, for its part, said it launched the
> legal challenge in late April because it is concerned about the
> financial burden imposed by the new law.
>
> "It's a taxpayer issue. This is a tariff. And that's a tax
> imposed for services that have not yet been rendered and imposed on
> people who may receive the service," said John Woodham, the
> foundation's attorney.
>
> Case in point, said Woodham, is his lawsuit's main plaintiff:
> John Sherman, the foundation's 83-year-old president.
>
> "He may not be able to enjoy the fruits of what he's paying for
> right now," said Woodham.