2 half-built nuclear plants scrapped
COLUMBIA, S.C. — Scana Corp. has halted construction of two nuclear reactors in South Carolina that were plagued by years of delays and billions in cost overruns after carrying out an analysis of how much would be needed to finish the project after the bankruptcy of Westinghouse Electric Co.
Scana, an energy firm that takes its name from the letters in South Carolina, will file a petition with the Public Service Commission of South Carolina seeking approval of its abandonment plan, according to a statement on Monday. Uncertainty over the availability of production tax credits and the amount of payments guaranteed from Westinghouse parent Toshiba Corp. were also factors behind the decision.
Scana shares slumped the most in more than two years at the end of last week after the utility said the two reactors being built as part of the V.C. Summer plant expansion faced “significant challenges” in getting completed. Monday’s decision also came after Santee Cooper, the state power authority with a 45 percent stake in the project, concluded it wouldn’t be in the best interests of its customers to continue.
In the immediate aftermath of Westinghouse’s bankruptcy at the end of March, Scana Chief Executive Officer Kevin Marsh had said that scrapping the project would be the “least preferred option.”