73ºF

JEA still on the hook for $3 billion in Plant Vogtle project

Attorneys say settlement agreement will end lawsuits over Georgia nuclear plant

JACKSONVILLE, Fla. – JEA remains on the hook for nearly $3 billion as part of the Plant Vogtle project, which has seen its costs balloon as construction has fallen behind schedule.

During JEA’s monthly meeting on Tuesday, members went into a shade meeting. That’s when the board, staff and attorneys can legally meet in private to discuss legal issues.

Afterward, the board voted to let staff try and come up with a settlement on current litigation. JEA staff members say that besides the cost of the nuclear power plant project, court costs are skyrocketing.

Records show legal expenses are over $9 million.

On Thursday, News4Jax learned that the attorneys had reached an agreement to end the lawsuits the parties had filed against each other.

It was in 2008 when JEA entered into the agreement with the Municipal Electrical Authority of Georgia. JEA promised to pay 41% of the cost of two of the nuclear reactors now being built near Waynesboro, Georgia.

Originally the price tag was running $1.4 billion. In exchange, JEA would get a deal on electricity rates for 20 years.

Now, because of major construction problems that have delayed the project for years, plus the bankruptcy of other company involved, JEA costs have jumped to over $3 billion.

There have been lawsuits and countersuits. In June, a judge ruled JEA is still bound to the deal.


About the Author: