Nuclear power plant measure hits snag in Missouri Senate

JEFFERSON CITY, Mo. -- Missouri legislation to allow power companies to charge electric customers for some costs of developing a nuclear power plant hit a snag on the state Senate floor Tuesday.

The measure had been added to a separate utility bill, but the nuclear power plant portion was determined Tuesday to go beyond the purpose of that original bill. The decision forced debate to end.

Sen. Robin Wright-Jones, who inherited the nuclear legislation after it was added to a bill she sponsored, said she did not think anything else could be done with the issue before the end of the legislative session next month.

"I don't think we'll be able to bring it back and breathe life into it," said Wright-Jones, D-St. Louis.

However, she said there could be an attempt next year.

Missouri utilities this year have asked the Legislature to allow them to charge customers for the cost of an early site permit from the U.S. Nuclear Regulatory Commission. A state law approved by voters in 1976 bars utilities from charging customers for the costs of a new power plant before it starts producing electricity.

Power companies and other supporters of the legislation contend the early site permit is needed to move toward possibly expanding nuclear power in Missouri. But the measure has stalled amid concerns from consumers and industrial energy users about protections for electric ratepayers.

Senate supporters said the nuclear legislation was necessary to help develop a long-term energy plan for the state. They said building a power plant also could help boost economic development.

"We need to send the signal that Missouri is open for business," said Sen. Mike Kehoe, R-Jefferson City, who also has sponsored nuclear legislation. Kehoe expressed more optimism about the proposal's future this year, saying he thought "there's other conversations that are going to be had."

The nuclear plant legislation was to be a marquee issue this year. A House committee quickly endorsed its version, but the full chamber has not considered the bill because House leaders said they wanted to see how the Senate handled the bill.

A Senate committee considered several proposals for more than six hours last month in front of a crowd of spectators that spilled out of the committee room. But to get the measure to the full Senate, the nuclear plant bill was added to another measure by a different committee.

The legislative debate was trigged last fall when a group of utilities that included Ameren Missouri, Empire District Electric, Kansas City Power & Light, electric cooperatives and municipal utilities announced that they were considering seeking an early site permit for a second nuclear plant. The permit would not specify a plant design or authorize construction, and the group has said it has not decided whether to build a second plant.

Ameren Missouri has said it has spent $25 million toward obtaining an early site permit. The utility estimates an average residential customer would pay less than $2 per year if it were allowed to recover its permit costs.

Democratic Gov. Jay Nixon endorsed the utilities' proposal. He said allowing utilities to charge for the permit would start the process toward building a power plant in central Missouri and would create thousands of jobs. The state's only nuclear power plant is in Callaway County, about 25 miles northeast of the state Capitol.

The Senate legislation considered Tuesday would cap the costs that could be recovered at $45 million. If utilities received the permit but did not build the nuclear plant, state regulators would hold a hearing to determine if the decision was proper and could order the power companies to return money to customers if they determine it was not. Consumers would not be charged until after the early site permit was received and after review by state utility regulators.

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Nuclear plant is SB48

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Legislature: http://www.moga.mo.gov