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November 4, 2009

PSC to hold hearing to review nuclear power construction costs

Submitted by the Public Service Commission

ATLANTA — The Georgia Public Service Commission will hold the first hearing to review proposed revisions and verification of expenditures for the Georgia Power Company Vogtle Units 3 and 4 nuclear construction project. The hearing begins at 10 a.m. on Tuesday, Nov. 10, and will take place in Room 110 at 244 Washington Street, S.W., Atlanta. (Dalton Utilities is a co-owner of the Vogtle plant.)

The Commission on March 17, 2009 approved the Company’s request to certify the construction of the new nuclear power units at its Plant Vogtle Nuclear Power Plant near Waynesboro, Georgia. Under the agreement the Company must file semi-annual monitoring and monthly status reports with the Commission. The monitoring report includes any proposed revisions to the cost estimate, construction schedule, or project configuration, as well as a report on actual costs incurred during the period covered by the report and an updated comparison of the economics of the certified project. At this time, according to the Company, the project is on schedule and within budget.

A Certificate is issued by the Commission upon a finding that there is a need for the proposed capacity and that the resource provides an economical and reliable supply of electric power in accordance with the current Integrated Resource Plan (IRP). The 2007 IRP stated that the utility would need an additional 2,200 Megawatts of new baseload electric power generation in the 2016 and 2017 timeframe to meet its growing energy needs. Under the IRP statute, new power generation cannot be added to the system without a Certificate of Public Convenience and Necessity issued by this Commission.

Georgia Power issued a request for proposal (RFP) in late 2006, seeking baseload generation from both self build generation and third party bids. The bid deadline was extended until May 1, 2008 seeking additional bids. The only bid received was the Company’s self-build for nuclear power generation. Georgia Power filed for certification of the Vogtle facilities on August 1, 2008.

More information on this issue can be found on the Commission Web site, www.psc.state.ga.us under Docket Numbers 27800 and 29849. An audio Web cast of the hearing is available by going to the Commission Web site, www.psc.state.ga.us, and clicking on the Audio Broadcast link.

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