Exelon Nuclear estimates it will lose more than 100 million dollars on its Clinton and Quad Cities Nuclear Power plants in 2017 unless it can get money to preserve those reactors. Exelon and Commonwealth Edison have announced legislation offering incentives to those plants and to solar and wind producers.
Exelon Vice President Joe Dominguez told reporters on a conference call that the new measure is based on New York legislation to preserve nuclear plants because they are not carbon generators.
"There's an expert examination of each facility's costs and then there is a determination of whether the available market revenues are able to cover those costs and risks," said Dominguez
A different bill failed last year partly because Exelon Nuclear as a whole is profitable and lawmakers balked at subsidizing newer reactors.
Dominguez said this measure would offer incentives only for the amount of generating capacity at Clinton and the Quad Cities and only if state regulators determine there would be an operating loss. Dominguez says Exelon would open its books to state regulators to decide on the subsidy.
"And if market revenues are sufficient to cover the operating costs and risks of the plant, the plants will receive nothing," said Dominguez.
The measure includes 140 million dollars in money for solar power and a new rebate to encourage solar installation. Other non carbon power generators would also benefit.
Com Ed said it estimates the measure would increase customer bills an average of 25 cents per month.
Exelon said it consulted with the Clean Jobs Coalition, Citizens Utility Board and other stakeholders in drafting the new bill.
The company has said its current shutdown date for Clinton is in May of next year if nothing changes.
