Nuclear

Vogtle Unit 3 in-service date is delayed again, Unit 4 commissioning could be impacted

During start-up and pre-operational testing work for Unit 3, Southern Nuclear identified and began working to repair equipment and component issues that led to vibrations in cooling system piping.
Vogtle Unit 3 in-service date is delayed again, Unit 4 commissioning could be impacted
Vogtle Unit 4 (left) and Unit 3 (right). Credit: Georgia Power

Georgia Power has again pushed back the in-service date for Unit 3 of the Vogtle nuclear station. The utility now says the 1,100 MW unit could be online in May or June.

In early 2023 during start-up and pre-operational testing work for Unit 3, Southern Nuclear identified and began working to repair equipment and component issues that led to vibrations in cooling system piping. At the time, it said the unit could enter service in April. 

The utility said in a mid-February filing with U.S. securities regulators that the unit’s schedule “primarily depends on the progression of final component and pre-operational testing” and start-up. It warned that the in-service date could be delayed by further equipment, component, and other operational challenges. 

In January, the utility said that extending the in-service date beyond the first quarter could result in additional base capital costs of up to $15 million pre-tax per month, as well as related allowance for funds used during construction and any additional related construction, support resources, or testing costs.

In its mid-February filing, the utility said that after considering the timeframe and duration of hot functional and other testing and recent experience with Unit 3, the 1,100 MW Unit 4 facility is now projected to enter service during the late fourth quarter of 2023 or the first quarter of 2024. 

That unit’s schedule depends on potential impacts arising from Unit 4 testing activities that overlap with Unit 3 start-up and commissioning, the utility said. The schedule also hinges on maintaining overall construction productivity and production levels, particularly in subcontractor scopes of work, and maintaining appropriate levels of craft laborers.

“Any further delays could result in later in-service dates and cost increases,” it said.

During 2022, cost overruns totaling $307 million were added to the number power construction project’s base capital cost forecast. Those added costs were largely tied to schedule extensions, construction productivity, the pace of system turnovers, additional craft and support resources, procurement for Units 3 and 4, and equipment and component issues identified during Unit 3 start-up and pre-operational testing. 

Georgia Power also increased its total project capital cost forecast by $125 million to replenish construction contingency and $9 million for construction monitoring costs. 

Georgia Power said a “significant level of uncertainty” exists over the future recoverability of these costs from ratepayers. As a result, it recorded pre-tax charges to income in the second, third and fourth quarters of 2022 equal to $36 million ($27 million after tax), $32 million ($24 million after tax), and $148 million ($110 million after tax) for the increases in the total project capital cost forecast.

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