Entergy asks OK for nuclear plans
Entergy Corp. asked state regulators Tuesday for approval to continue early development of a new nuclear power generator in St. Francisville.
Renae Conley, the president and chief executive officer of the two Louisiana Entergy subsidiaries, said in a prepared statement that the requested certification from the Louisiana Public Service Commission would preserve the companies’ option to construct a new nuclear unit, which would be called River Bend 3.
“Although no decision has been made to build a new nuclear plant, we are taking the necessary steps to ensure we can provide economic generation resources for customers in the future,” Conley said in the statement.
“Continuing the present development efforts will provide the companies with the needed information to properly evaluate all generation alternatives that can meet customer needs and position the companies to take action when it is appropriate.”
Entergy Gulf States Louisiana LLC, which services much of the Baton Rouge area, and Entergy Louisiana LLC, which covers suburban New Orleans and north Louisiana, have about 1 million customers in Louisiana.
If approved by the PSC and if the companies decide to build a nuclear reactor, the new plant would become operable between 2024 and 2030, according to Entergy’s news release.
Entergy has spent $50.5 million in development costs related to the project. Customers, who generally have to pay these costs as part of their monthly electric bills, will not be charged for the time being, according to Entergy’s press release.
President Barack Obama announced in February federal government loan guarantees of about $8 billion for new nuclear reactors. The loan guarantees would build two new plants that use nuclear fuel.
Entergy’s news release stated that the current federal funding level of $18.5 billion would cover two to three plants and an additional $36 billion in funding has been proposed.
Electricity is made by generators that operate with natural gas, oil, coal and other fuels. To make electricity in January, Entergy Gulf States paid for natural gas $6.70 per one million British thermal unit, a measurement that compares different fuels, while nuclear fuel cost 71 cents per MMBtu, according to a March 4 filing with the PSC.
