Progress Wins Rate Increase for $17B Nuclear Plant

October 14, 2008

Progress Energy won a rate increase Tuesday morning to pay for its $17-billion nuclear project.

Customers will be charged $11.42 for 1,000 kilowatt hours starting in January to pay for the Levy County nuclear project, which won't start producing power until 2016. The Public Service Commission unanimously approved the charge Tuesday morning.

The nuclear charge is in addition to Progress Energy's request to raise fuel rates. The utility Monday back-tracked on its planned fuel rate increase, but the fuel rate increase will still total an additional $14.09 for 1,000 kilowatt hours.

If the fuel increases are approved in early November, Progress Energy customers will see a 25 percent increase in their bills starting in January. The cost of 1,000 kilowatt hours will increase to $137.88, from $110.59 today. The average household uses about 1,200 kilowatt hours a month.

-- Asjylyn Loder, Times staff writer