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Gulf Power Still Seeks Rate Increase For North Escambia Power Plant
June 1, 2012
Gulf Power Company’s future plans still point toward a North Escambia generation facility, and the utility is still seeking a rate hike to to pay the costs associated with the purchase of thousands of acres near McDavid.
Wednesday afternoon, Gulf Power announced a $58.5 million rate decrease plan was being filed with Florida Public Service Commission. But a previously filed $2 million rate increase proposal is still pending before the PSC for the North Escambia facility.
Earlier this year, the Public Service Commission did not allow Gulf Power to pass along costs related to a potential nuclear-power plant site in North Escambia because the utility has not taken an initial step — known as getting a determination of need — for such a project.
Gulf Power has asked the PSC to allow $2 million in costs associated with the North Escambia land purchases. That would equate to about 20 cents per month for the average customer using 1,000 kilowatt hours per month. The 20 cents would be more than offset by about a $10 per month savings from the rate decrease announced this week.
“This was the first time that the PSC has not allowed costs for land held for future use to be included in the base rate,” Sandy Sims, Gulf Power manager of public affairs, said.
The $2 million, just a fraction of the costs of the land acquisitions, would pay interest on finance agreements and fund environmental assessments on the North Escambia property.
Gulf Power has not said what type of power plant it wants to construct in North Escambia, but PSC filings indicate that it could be natural gas, coal or nuclear.
Pictured top: One of many houses that now sit abandoned near McDavid where Gulf Power has purchased thousands of acres for a possible nuclear power plant. One of many Gulf Power “Posted” signs that line the roads in the area of the potential plant. NorthEscambia.com photos, click to enlarge.
Comments
9 Responses to “Gulf Power Still Seeks Rate Increase For North Escambia Power Plant”
Our local government should not allow Gulf Power to increase our rate. The economy is working too hard against families. We vote for them to represent the people. Huge power bills are 1 of the things killing our ability to prosper.
I wish they would hurry up and start this bc I need a job. A clean new job get away from that nasty papermill.
My question is could they be purchasing yet more property for the site, such as the south side of Roach Rd. I’d like to have the option of getting “far” away if they build nuclear! We offered to sell to them before they ever bought the first parcel, but they had no interest in property south of Roach rd. My 40 is for sale but the price has gone up should they change their minds!
I still think if they are planning a plant there they need to file permits for plans, etc. before they give them money. That is what every other business and private person has to do….why is Gulf Power different? And don’t say because they are a utility! Don’t get me wrong…they do a great job of keeping our power on during storms and getting it back on…I am not against them. I just think everyone should have to follow the same rules.
I take comfort in the finite as I know these blood suckers will not continue on for eternity.
To life and the necessary evils that make us ohhh so comfortable.
Jane, They want to get approval from the PSC for the extra charge toward the new plant. Once they get the approval, it is much easier to raise it up. It is a ploy of politicians, low ball going in, then sock it to them later.
Maybe I am missing something here…decrease rates then increase rates? i understand what they are doing but I don’t understand the logic.
>>Will EREC customers have to switch to Gulf Power?
No. This has nothing to do with EREC
Will EREC customers have to switch to Gulf Power?