Relief is on the way for Southern Company’s Plant Vogtle.
Mega company Toshiba said Friday that it would offer $3.6 billion in financial backing for the development of two nuclear reactors in East Georgia. The guarantee is part of a settlement agreement with the owners announced last week.
The Waynesboro, Ga plant expansion has been plagued with delays and financial problems for years. More recently, scheduling and cost overruns have stalled progress, leaving Georgia Power and its parent company Southern Company, looking for other financial solutions with the help of Oglethorpe Power, MEAG Power, and Dalton Utilities.
A morass of litigation between the project owners and Westinghouse, a subsidiary of Toshiba, which was hired as the primary contractor to build the reactors, has hung over the project for more than half a decade.
In March, Westinghouse’s bankruptcy threw yet another wrench into the gears. The financial guarantee from Toshiba, the parent company of Vogtle contractor Westinghouse, announced on Friday is the first sign of the possible return of sanity.
The settlement specifically calls for “additional protections for Georgia’s electric customers” despite Westinghouse’s bankruptcy.
The troubles at Plant Vogtle have trickled down and stalled progress at other plants around the country.