Congress Extends Tax Credit For Reactor Projects

Nuclear power developers Georgia Power joined with the president and chief executive officer of the U.S. Nuclear Energy Institute this week in praising members of Congress for voting to approve new legislation that would extend the deadline for construction projects to receive a critical nuclear production tax credit.

Vogtle expansion July 2017Georgia Power's Chairman, President and CEO Paul Bowers said he was “grateful to Senator Isakson for his leadership on this issue, and to the entire Georgia delegation for recognizing the importance of new nuclear generation and demonstrating renewed federal support for the Vogtle project.”

Maria Korsnick of the U.S. Nuclear Energy Institute called the passage of the budget bill on Friday that was quickly signed into law by President Trump, “ a vote for continued American leadership in nuclear energy, environmental stewardship and thousands of jobs.” Within the budget bill is an extension of the dates in which new nuclear power plants are eligible for the tax credits. Prior to the legislative shift, nuclear power projects were required to be up and running by the end of 2020 to qualify, which would have excluded the Plant Vogtle expansion project and all other future reactors in development. The Bipartisan Budget Act of 2018, passed Friday, allows the benefit to go to plants put into service after 2020 and allows for the Department of Energy to grant credits for as much as 6000 MWE of new capacity in the nuclear sector if they go on line after 2020.

The original benefit was spelled out in the Energy Policy of 2005, was set at $23 per megawatt-hour available for eight-years, the World Nuclear Association said.

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