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Press Releases

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02/01/2018

DEEP and PURA Release Final Resource Assessment, Appraisal, and Determination of Millstone Report

Connecticut’s Department of Energy and Environmental Protection (DEEP) and the Public Utilities Regulatory Authority (PURA) today released the final Resource Assessment, Appraisal, and Determination of Millstone Report regarding the current and projected future viability of the Millstone nuclear generating facilities, the role of such facilities as well as others in meeting Connecticut’s carbon and other emission targets, and mechanisms to achieve those targets. The resource assessment, was conducted jointly by DEEP and PURA, as required under Governor Dannel P. Malloy’s Executive Order No. 59 of July 25, 2017 and June Special Session Public Act 17-3.
Using the best available public information, this report concludes that the Millstone units are profitable through 2035 under multiple scenarios. However, a few key cost inputs significantly impact this result and further verified, audited financial documents from Dominion could demonstrate that the Millstone units are at risk. Moreover, the Millstone units are critical to both Connecticut and the New England region, in terms of fuel security and meeting statutory greenhouse gas reduction targets. In the absence of actionable regional mechanisms, DEEP and PURA conclude that a procurement under June Special Session Public Act 17-3 should go forward, with certain conditions to ensure that the state’s ratepayers are protected from paying above-market costs for resources that are not verified to be at risk of retirement.
“Dominion has not yet released verifiable data related to the fiscal health of Millstone,” said DEEP Commissioner Robert Klee. “But Connecticut and the region continue to need Millstone for its critical contributions to fuel security, as demonstrated in the recent ISO New England fuel security study, as well as to meeting our greenhouse gas reduction goals. We believe this procurement path holds the potential to meet those needs.”
The report recommends an additional step to the procurement process that would allow eligible, existing zero-carbon resources to demonstrate that they are at-risk of retirement if they wish to be evaluated on attributes other than price.
PURA Chair Katie Dykes noted that “It is critical to ensure that the state’s ratepayers are protected from paying above-market costs for resources that are not verified to be at risk of retirement.”
The finalized report is now sent to the Connecticut General Assembly for their review and possible action by March 1, 2018.