Today the Public Service Commission reversed its December 21, 2018, Order and has found that SCE&G executives did act imprudently starting on March 12, 2015.
Numerous intervening parties, including myself, filed petitions to the PSC before the end of last year calling the PSC failure to find imprudence by SCE&G a serious error that must be corrected. Our argument was that without a finding of imprudence, SCE&G must be able to recover all the $5 billion in construction costs for the abandoned nuclear project from ratepayers, not just the $2.3 billion approved by the PSC.
This legal error had significant implications that could impact future electric rates for SCE&G customers as well as for the rule of law.
Unfortunately, the PSC did not reverse itself on other matters of concern to intervening parties.
The intervening parties that did file follow-up petitions with the PSC still have the opportunity to take their complaints to the SC Supreme Court.
Below is the PSC ruling today regarding the finding of SCE&G imprudence.
“(T)he Company acted imprudently by not disclosing material, and even potentially decisive, information to ORS and the Commission. Due to the lack of transparency –the lack of forthrightness –with regard to reports and studies available to the Company, this Commission was effectively denied the opportunity to fully consider the prudency of continuing to expend resources on the project with all information available at the time. Under any definition of the term prudence, the Company was imprudent in its actions in this case with regard to costs incurred after March 12, 2015. We agree with ORS that it is essential to restore public trust for this Commission to acknowledge that the regulatory compact between the utility and the regulators was broken by SCE&G.” – SC Public Service Commission, January 14, 2019