SC Senate looking for better offer for SCE&G customers from SCANA, Dominion?

The S.C. Senate on Thursday pushed back a vote on cutting SCE&G’s power bills by 13 percent, a delay, Senate leaders hinted, that gives the utility and its would-be buyer, Virginia-based Dominion Energy, a chance to offer a better deal to S.C. power customers.

Senate Majority Leader Shane Massey, R-Edgefield, and Minority Leader Nikki Setzler, D-Lexington, say the rate-cutting proposal — aimed at lowering power bills that were increased by $27 a month to bankroll SCE&G’s failed V.C. Summer nuclear project — has enough votes to pass when the Senate reconvenes April 10.

But Massey said any attempt to vote Thursday would have been filibustered by state Sen. Brad Hutto, D-Orangeburg. Hutto contends the plan to lower SCE&G’s electric rates is unconstitutional and would lead to higher power bills in the long run.

Hutto confirmed he would have tried to hold up the bill Thursday.

“Certainly, I would have done that today," he said. "I don’t think it deserves a half-day’s attention with only two senators getting a chance to speak.”

Putting off the Senate vote until next month gives SCE&G's corporate parent, Cayce-based SCANA, and Dominion time to “do the right thing,” Massey said Thursday, adding he is willing to listen if the utilities can put together a better offer for SCE&G's electric customers.

“If they don’t, I think you’ll see movement when we come back,” said Massey, who co-chaired the special Senate committee that investigated the failed Summer expansion.

Virginia-based Dominion Energy, which has announced plans to buy SCANA in a stock-swap deal that includes a $1,000 refund and $10-a-month rate cuts for some SCE&G customers, gave no indication Thursday it was inclined to sweeten its buyout offer.

"We believe our proposal is the best path forward to help resolve South Carolina’s energy and economic crisis resulting from the failed VC Summer project," Dominion spokesman Chet Wade said in an emailed statement. "It provides a permanent and sure solution with cash payments, rate reductions and debt elimination. No other option does that.”

The state Senate was expected to take a final vote on the rate-cut proposal Thursday after a spirited, five-hour debate Wednesday that ended with a majority of senators agreeing to knock about $19 a month off the average SCE&G customer's bill.

That debate ended after 9 p.m. Wednesday, and senators weren't eager to kick off another lengthy debate on the Thursday before Good Friday, Setzler said.

“There’s a number of amendments on the desk. I don’t remember how many exactly," Setzler said. "There’s an indication that there may be some very lengthy discussion."

About 18 percent – or $27 – of the typical SCE&G customer’s power bill now goes toward paying off two useless, unfinished Summer reactors, which SCE&G and Santee Cooper abandoned last July after spending $9 billion over nearly a decade of construction.

The Senate proposal would wipe out most of that nuclear surcharge — leaving about $8 a month. The S.C. House has passed a proposal that goes farther, eliminating the entire $27-a-month charge.

The Senate's proposal faces opposition from more than SCE&G and Dominion.

House leaders said Thursday the lower chamber likely won’t accept any proposal that allows SCE&G to continue charging its customers for the project, echoing Gov. Henry McMaster’s veto threat.

The House would be willing to take the Senate proposal to a conference committee of House and Senate negotiators to reach an agreement to lower bills even more, House Majority Leader Gary Simrill said.

“The governor and the House are solidly aligned at (lowering the nuclear surcharge to) zero,” the York Republican said. “There is no reason the ratepayers of South Carolina should have to pay anything more for V.C. Summer.”

Meanwhile, Dominion Energy said Wednesday it will withdraw its $14.6 billion buyout of SCANA if lawmakers order SCE&G to cut its electric rates.

This story was originally published March 29, 2018 at 2:19 PM with the headline "SC Senate looking for better offer for SCE&G customers from SCANA, Dominion?."