An electric-rate hike for SCE&G customers was approved Wednesday by the S.C. Public Service Commission.
The rate increase will cost residential customers $4.17 extra for each 1,000 kilowatt hours of power they use. Residents using that amount would see an average monthly bill of $142.28, the Public Service Commission said.
The new rates go into effect Oct. 30.
The overall 2.87 percent increase of $67.2 million was granted to pay the capital financing costs for two new nuclear reactors under construction at the V.C. Summer Nuclear Station near Jenkinsville, the commission said. S.C. Electric & Gas is building the $10 billion reactors with state-owned utility Santee Cooper at the plant 25 miles north of Columbia in Fairfield County.
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The state’s Base Load Review Act allows the utility to annually adjust electrical rates during construction of such new plants to recover financing costs.
SCE&G says paying the financing costs of the units during construction lowers the overall construction costs of the two reactors by $1 billion and lowers costs that would be passed on to customers over the life of the reactors by $4 billion.
SCE&G had spent $2.1 billion on the new unit construction as of June 30, according to the commission.
The rate increase can be challenged by petitioning the commission for a review of the rate approval.
In May, when SCE&G initially requested the rate hike, the utility asked the commission for a 2.97 percent overall increase of $69.7 million.