Nuclear Plant Settlement Ensures that SCE Customers Do Not Pay for Mitsubishi’s Faulty Steam Generators
July 07 2016 - 4:41PM
Business Wire
The settlement of the San Onofre nuclear plant closure
appropriately requires that Southern California Edison customers do
not pay for failed equipment provided by Mitsubishi that prompted
the closure, SCE said in a filing today with the California Public
Utilities Commission.
SCE’s submittal responds to a May 9 ruling to reopen the record
of the San Onofre settlement reached in 2014 by SCE, San Diego Gas
& Electric Co. and consumer, environmental and labor
advocates.
“We believe this public process will allow interested parties to
review the settlement and confirm for themselves that it should
stand,” said Ron Nichols, president of SCE. “This process also
gives SCE an opportunity to demonstrate our continued commitment to
openness and transparency.”
“Our shareholders, and not customers, are appropriately paying
for the faulty steam generators from the day they were no longer
providing power,” Nichols said. He noted that the settlement
reduced the amount customers pay in their monthly bills for past
investments to build and maintain San Onofre.
“The portion of customers’ bills attributable to San Onofre is
not related to the faulty steam generators, but to pay for other
reasonable investments in a plant that provided safe, reliable,
low-cost power for nearly 30 years,” Nichols added.
The settlement reduces the amount SCE can recover for its
investments in San Onofre. SCE residential customers currently pay
about $2 per month, or 2 percent of the average customer bill, for
past investments in the nuclear plant.
The settlement also recognizes that SCE is aggressively pursuing
arbitration to maximize recovery from Mitsubishi and requires that
50 percent of any proceeds from legal action (minus legal fees) be
returned to customers. Already, $293 million has been credited to
SCE customers from action taken by SCE to secure payment from its
insurance carrier, as required by the settlement.
SCE retired San Onofre in June 2013 and is focused on safely
decommissioning the nuclear plant, guided by core principles of
safety, stewardship and engagement. SCE has established a Community
Engagement Panel to support those principles. For more information,
visit songscommunity.com.
About Southern California Edison
An Edison International (NYSE:EIX) company, Southern California
Edison is one of the nation’s largest electric utilities, serving a
population of nearly 14 million via 5 million customer accounts in
a 50,000-square-mile service area within Central, Coastal and
Southern California.
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Southern California EdisonMedia Contact:Maureen Brown, (626)
302-2255
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