UPDATE | Plant Vogtle agreement approved by Department of Energy

Published: Jul. 24, 2017 at 5:29 PM EDT
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Friday, July 28, 2017

ATLANTA – July 28, 2017 – The United States Department of Energy has approved Plant Vogtle's new service agreement.

Georgia Power has finalized a new service agreement with Westinghouse for the Vogtle nuclear expansion, which is the first new nuclear units to be built in the United States in more than 30 years.

Previously, Westinghouse, the developer of the AP1000 nuclear technology being used by the new units, served as the primary contractor with oversight and responsibility for all construction activities.

Under the new service agreement, approved by the U.S. Department of Energy on July 27, Southern Nuclear, the Southern Company subsidiary which operates the existing units at Plant Vogtle, will oversee construction activities at the site.

Executive Vice President Mark Rauckhorst for the Vogtle 3 and 4 project said it was a smooth transition.

“We are already in the midst of a seamless transition for the thousands of workers across the site, allowing us to sustain the progress we are making every day on both units,” Rauckhorst said. “We remain focused on safety and quality as we complete this transition.”

The scope of the service agreement includes engineering, procurement and licensing support from Westinghouse, as well as access to Westinghouse intellectual property needed for the project. With the new structure, hundreds of Georgia Power and Southern Nuclear employees, many who are already aligned with the project, will assume clearly defined project management roles.

And, Georgia Power also continues work with the project’s Co-owners (Oglethorpe Power, MEAG Power and Dalton Utilities) to complete a full-scale schedule and cost-to-complete analysis of the project. Once complete, Georgia Power will work with the Georgia Public Service Commission to determine the best path forward for customers.

Following the Westinghouse bankruptcy filing on March 29, construction momentum has continued very smoothly and uninterrupted. Over the last 30 days alone, progress includes new concrete placement within the Unit 3 shield building and nuclear island, placement of structural steel for the Unit 4 annex building and the first of four 85,000 pound accumulator tanks for the new units within the Unit 3 containment vessel. View the latest photos of progress at the construction site

Monday, July 24, 2017

ATLANTA, Ga. (WRDW/WAGT) -- The bankruptcy court overseeing Westinghouse’s bankruptcy approved the service agreement on Thursday, but it has not gone into effect.

The approval will allow Georgia Power and Southern Nuclear to assume project management from Westinghouse; however, the agreement will take effect when it is approved by the U.S. Department of Energy (DOE).

Approval by the DOE will then trigger rejection of the current engineering, procurement and construction contract for the Vogtle project by Westinghouse. And, the scope of the service agreement includes licensing support from Westinghouse engineering, procurement and access to Westinghouse intellectual property needed for the project.

Although the Georgia Power and Southern Nuclear have rigorously prepared to begin the transition of management responsibilities immediately under the new service agreement, the actual agreement, though, has not yet gone into effect, and, the organization has not yet assumed control of the site. That will, however, occur once the DOE approves the agreement.

Those organizing and piecing the project together will continue to work to minimize the impact of the project for customers. Any increases have to go through an established process with the Georgia PSC. This year there was no increase for what customers are paying for the Vogtle project.​

Plant Vogtle 3 & 4 Online Photo Gallery


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