Florida approved a nuclear plant for the first time in more than three decades. The plant would be built in Levy County.
TALLAHASSEE -- Over the objections of some residents, elected officials and environmental groups, the governor and the Cabinet on Tuesday embraced Progress Energy's controversial proposal to build a nuclear plant in Levy County -- the first such plant approved in Florida in 33 years.
The vote by Gov. Charlie Crist, Attorney General Bill McCollum and Chief Financial Officer Alex Sink is not the final hurdle for Progress' plant, which still needs to secure federal approval. But the unanimous Cabinet endorsement -- with Agriculture Commissioner Charles Bronson absent -- helps cement what is likely to be a new era of nuclear plant construction, with Florida Power & Light also planning to build a new nuclear plant, at Turkey Point in Miami-Dade County.
While the state has given approval to construct two nuclear power plants nearby in Levy County, some local officials did not have any safety concerns about having a nuclear power plant so close.
In fact, the only concern raised about building the plants centered on the financial impact they would have.
"You don't really hear of any accidents involving nuclear reactors on Navy ships," Alachua City Commissioner Jean Calderwood said. "Looking back on the history of nuclear power plants, I would say we are standing on pretty solid ground."
High Springs Mayor Jim Gabriel, who said he doesn't have much background knowledge of the proposed Levy plants, said he is generally in favor of a nuclear power plant.
Progress Energy's plans for its new Levy County nuclear plant hit another potential roadblock Wednesday when an arm of the Nuclear Regulatory Commission ruled that the Green Party of Florida and two other groups can challenge the plant's federal permit.
In a 112-page ruling, the NRC's Atomic Licensing Board found that the Green Party and its allies had successfully raised "certain major issues" about the plant's environmental impact that deserve a full-fledged legal hearing with oral arguments.
One issue: The utility has yet to figure out where it will send the new plant's radioactive waste, and thus may have to store it on site longer than expected.
Opposition to Progress Energy's proposed rate increases continued bubbling up this week amid public hearings across the state. Among the latest opponents: Mark Cooper, an economist and author on the financing of nuclear power reactors. Cooper told the Florida Public Service Commission that it is "not prudent" to proceed with plans for building new Progress Energy nuclear reactors in Levy County and a similar Florida Power & Light project near Miami. Cooper estimated it would cost $1.9 trillion to $4.1 trillion more over the life of 100 new nuclear reactors than it would to generate the same electricity from a combination of more energy efficiency and renewables. Separately, the business-affiliated group Associated Industries of Florida intervened for the first time on a rate case, backing Florida Power and Light's base rate increase. Associated Industries did not take a stance "at this time" on Progress Energy's filings. Progress is seeking to raise its base rates 30 percent and wants to add roughly $3 to the average monthly bill to help pay for its planned nuclear plant. On Thursday, community hearings were held in St. Petersburg and Clearwater. Hearings continue Friday in Inverness and Ocala and wrap up next week before the issue heads to the PSC.
Progress Energy's road to building its proposed nuclear power plant in Levy County northwest of Dunnellon is becoming anything but smooth.
On Wednesday, the Atomic Safety and Licensing Board - an arm of the federal Nuclear Regulatory Commission - ruled that the Green Party of Florida and two other environmental groups could challenge the utility company's plan for two new nuclear reactors and had successfully raised major concerns about the plant's potential environmental impact.
That means Progress Energy will have to argue its case about those environmental issues during a legal hearing, including in oral arguments, or change some of its construction plans.
The federal Atomic Safety and Licensing Board on Wednesday granted standing to three petitioners who challenged the proposed Progress Energy Florida nuclear power plant in Levy County and will hear arguments on three of their legal arguments on why the plant shouldn't be built.
The Green Party of Florida, the Ecology Party of Florida and the Nuclear Information and Resource Service argue::
*Progress Energy's environmental report inappropriately characterized as small certain impacts in building and operating the facility, including impacts to wetlands, the underlying Floridan aquifer system and the Withlacoochee and Waccasassa rivers, among other issues.
*The environmental report assumes certain radioactive waste will be promptly shipped offsite and fails to address the environmental impacts if waste must be managed for a longer period.
*The safety analysis report makes the same assumption about shipping and handling radioactive waste.
Progress Energy's plans to build a $17 billion nuclear plant in rural Levy County will do more than just add advance charges to its customers' utility bills.
The utility's plans also calls for wiping out about 765 acres of wetlands, according to a public notice posted recently by the agency that issues federal wetland permits, the Army Corps of Engineers.
Yet Progress Energy plans to do little to replace their beneficial effect on the underground aquifer - even as the new power plant slurps up more than 1 million gallons of water a day from that source. At its peak, the plant could use more than 5 million gallons a day.
Progress Energy Florida today announced plans to shift the construction schedule for its planned Levy County nuclear project. In addition, the company filed its 2010 nuclear cost-recovery estimates with the Florida Public Service Commission (PSC), as required. The company's proposal will decrease customer nuclear costs to about half of the amount the company is eligible to recover in 2010 under current law.
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The company is adjusting the Levy County nuclear project schedule to reflect the Nuclear Regulatory Commission's (NRC) determination that the excavation and foundation preparation work - originally scheduled to be completed at the same time the company was seeking a combined operating license (COL) for the plant - will not be authorized until the NRC issues the COL. The company's shift in schedule will move the commercial operation dates for the two Levy units from the 2016-2018 time period by a minimum of 20 months. The COL grants a utility permission to build and operate a new nuclear power plant. The company expects to receive the COL in late 2011 or early 2012.
"Three Nuclear Regulatory Commissioners have upheld the July 2009 ruling by a panel of the Atomic Safety and Licensing Board (ASLB) that is hearing a challenge to two new Progress Energy Florida (PEF) nuclear reactors in Levy County, Florida. Three organizations, the Ecology Party of Florida, Nuclear Information and Resource Service (NIRS) and the Green Party of Florida are representing the interests of members living within a 50 mile radius of the proposed new nuclear site, located in the Florida Nature Coast less than 10 miles from the existing PEF Crystal River Nuclear Power Station. The Levy County reactors are projected to cost $17 billion.
The landmark ruling, handed down on Thursday, January 7 in response to an appeal by PEF, affirms that the ASLB will hear very broad concerns raised by the Intervening groups, including impacts of a new nuclear plant on ground and surface waters, endangered species, and environmental and safety issues of generating so-called "low-level" radioactive waste that currently has no off-site disposal option. "
"Levy to cost $17.2 billion to $22.5 billion
* First Levy unit to enter service in 2021
* Delay will postpone customer rate hikes
NEW YORK, May 6 (Reuters) - Progress Energy Inc (PGN.N) boosted the estimated cost of its proposed Levy nuclear power plant in Florida and delayed its start-up to 2021 due to a delay in licensing the reactors, a spokeswoman for the company said on Thursday.
The company estimates the project to build two 1,100 megawatts reactors at Levy about 130 miles (209 km) northwest of Orlando, would cost $17.2 billion to $22.5 billion -- up from its previous estimate of $17.2 billion."
"Just over 1,240 days ago, in December 2006, Progress Energy Florida chief Jeff Lyash first visited the St. Petersburg Times to unveil plans for a nuclear power plant in Levy County and to utter these words:
"It's important to have a new nuclear plant in Florida."
Lyash, since promoted, said those words when the plant's original price tag stood at about $6 billion, and when the Levy plant was to begin operating in 2016.
Since then, the price tag on the Levy facility has steadily ballooned. Last week in regulatory filings, Progress Energy said the nuke plant may cost as much as $22.5 billion and be delayed until 2021."