(A) A base load review order shall constitute a final and binding determination that a plant is used and useful for utility purposes, and that its capital costs are prudent utility costs and expenses and are properly included in rates so long as the plant is constructed or is being constructed within the parameters of:

(1) the approved construction schedule including contingencies; and

Terms Used In South Carolina Code 58-33-275

  • Base load review order: means an order issued by the commission pursuant to § 58-33-270 establishing that if a plant is constructed in accordance with an approved construction schedule, approved capital costs estimates, and approved projections of in-service expenses, as defined herein, the plant is considered to be used and useful for utility purposes such that its capital costs are prudent utility costs and are properly included in rates. See South Carolina Code 58-33-220
  • commission: means Public Service Commission. See South Carolina Code 58-33-20
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • plant: means a new coal or nuclear fueled electrical generating unit or units or facility that is designed to be operated at a capacity factor exceeding seventy percent annually, has a gross initial generation capacity of three hundred fifty megawatts or more, and is intended in whole or in part to serve retail customers of a utility in South Carolina, and for a coal plant, includes Best Available Control Technology, as defined by the United States Environmental Protection Agency, for the control of air emissions. See South Carolina Code 58-33-220
  • Proceeding: means the proceeding to consider an application filed under this chapter. See South Carolina Code 58-33-220
  • Utility: means a person owning or operating equipment or facilities for generating, transmitting, or delivering electricity to South Carolina retail customers for compensation but it shall not include electric cooperatives, municipalities, the South Carolina Public Service Authority, or a person furnishing electricity only to himself, itself, its residents, employees, or tenants when the electricity is not resold or used by others. See South Carolina Code 58-33-220

(2) the approved capital costs estimates including specified contingencies.

(B) Determinations under § 58-33-275(A) may not be challenged or reopened in any subsequent proceeding, including proceedings under § 58-27-810 and other applicable provisions and § 58-33-280 and other applicable provisions of this article.

(C) So long as the plant is constructed or being constructed in accordance with the approved schedules, estimates, and projections set forth in § 58-33-270(B)(1) and 58-33-270(B)(2), as adjusted by the inflation indices set forth in § 58-33-270(B)(5), the utility must be allowed to recover its capital costs related to the plant through revised rate filings or general rate proceedings.

(D) Changes in fuel costs will not be considered in conducting any evaluation under this section.

(E) In cases where a party proves by a preponderance of the evidence that there has been a material and adverse deviation from the approved schedules, estimates, and projections set forth in § 58-33-270(B)(1) and 58-33-270(B)(2), as adjusted by the inflation indices set forth in § 58-33-270(B)(5), the commission may disallow the additional capital costs that result from the deviation, but only to the extent that the failure by the utility to anticipate or avoid the deviation, or to minimize the resulting expense, was imprudent considering the information available at the time that the utility could have acted to avoid the deviation or minimize its effect.