Nuclear Power Plant Approval/Construction Process

Many important technical, environmental and economic issues must be evaluated before FPL could commit to constructing a new nuclear facility. If we don’t begin now, however, FPL may not be able to provide new nuclear generation in the future when it is most needed.

Reviews and Approvals to Date – As part of the process, FPL filed a Determination of Need with the Florida Public Service Commission (PSC) on Oct. 16, 2007, proposing to expand its nuclear fleet by building two new nuclear units at the existing Turkey Point generating complex. FPL gained Miami-Dade County zoning approvals for this project on Dec. 20, 2007. On April 11, 2008, the Florida PSC issued the final order approving Turkey Point Nuclear Units 6 and 7.

On May 1 we filed with the PSC for the costs incurred to date for these projects, as well as cost estimates for the remainder of 2008 and projections for 2009, as required by the rule under Florida statutes and the PSC's Nuclear Cost Recovery Rule. The approval and construction process is lengthy; this yearly filing allows the PSC to conduct a prudence review of cost incurred and a reasonableness review of cost projected to be recovered through the rule. If at some point it is determined that the project is not in the best interest of customers, it can be terminated, modified or postponed. Only the project costs up to that time would be subject to recovery by the company.

Next Review and Approval Steps – FPL is now preparing for the next steps required to build a nuclear plant, which include filing a State Certifiication Application (SCA) and a federal  Combined Construction and Operation License Application (COLA) with the Nuclear Regulatory Commission (NRC). The development of the application and the subsequent detailed review and approval process may take until 2012 or beyond.