State Inspector: Early Mismanagement at Nuclear Site May Cost Georgia Power Customers

Georgia Power’s nuclear expansion project at Plant Vogtle is at least a year behind schedule, partly due to mismanagement and poor execution, according to the state’s project inspector.

It could mean higher bills down the line for Georgia Power ratepayers.

The scheduling issues are due to a delay in federal licensing and an early mistake preparing the nuclear site’s foundation.

As a result, the original long-term schedule for the $14 billion project has been thrown out. Since late last year, the project has been managed based on 60-90 day mini-schedules.

Speaking at a semiannual update before the Public Service Commission, William Jacobs, the inspector of construction for the two new reactors, says the lack of long-term planning is unsustainable for a project of this magnitude.

“It really impacts the ability to manage the project because without a schedule you don’t know what activities are ahead of schedule, which ones are behind, which ones you need to add additional resources to to pull them back. It’s a short term fix but it’s certainly not a good situation.”

The original plan was to have the first reactor complete by April 2016 and the second by April 2017. Jacobs says disputes between Georgia Power and its contractors will lead to at least a year in delays.

The two sides are currently negotiating who’s going to cover the costs associated with those delays.

If Georgia Power is deemed responsible, Jacobs says the costs could be passed down to ratepayers.