Senate subcommittee advances joint natural‑gas plant authorization amid questions on nuclear, efficiency and oversight

The Senate Judiciary subcommittee on energy voted to advance S.3309, the bill that would authorize a joint-build natural gas combined‑cycle plant at the Kennedy site and make other electricity‑sector policy changes, after members approved an amendment and reported the bill favorably by voice vote.

The amendment returned the measure to the version the Senate judiciary panel approved last year, removing explanatory “whereas” language inserted by the House and preserving several procedural protections. Supporters told the panel the measure is needed so utilities can get into production queues for combustion turbines and secure additional natural‑gas supply; opponents warned the package raises consumer‑protection questions, and several witnesses urged caution on any provisions that could allow ratepayers to carry speculative costs for unproven technologies.

Why it matters

Committee members and witnesses framed the matter as a near‑term infrastructure decision with long lead times: witnesses said major combustion‑turbine manufacturers have multi‑year backlogs, that delivery for some units could be in the latter part of this decade, and that the Kennedy proposal would bring large megawatts of dispatchable capacity to the region. Proponents said a combined project — with Santee Cooper and other utilities sharing construction — could lower costs by spreading procurement and project risk.

What supporters told the committee

Tim Pearson, president of Duke Energy South Carolina, told the subcommittee that utilities have federal reliability obligations for transmission and balancing and that policy changes in S.3309 are intended to help meet growth in demand and keep generation capacity aligned with load. He also thanked the committee for earlier securitization legislation that Duke has said will reduce costs for customers in post‑storm financing.

Representatives appearing for investor and public utilities described work already under way to secure gas supplies and equipment and said they had reached preliminary agreements and were ready to proceed if legislative authorizations are available.

Concerns raised at the hearing

Several witnesses urged stricter limits before ratepayer money could be used for speculative projects. Tom Clements of SRS Watch and others said small modular reactors (SMRs) remain largely unproven and not yet licensed by the Nuclear Regulatory Commission, and cautioned against authorizing pilot nuclear projects that could shift cancellation or development risk to customers. Pamela Greenlaw and other consumer advocates told the panel that demand‑side management and low‑income energy programs need measurable performance standards and independent review before more cost recovery mechanisms are added.

Bernard McNamee, a former FERC commissioner, told the subcommittee that federal reliability and balancing obligations remain in force regardless of state restructuring and that transmission providers and balancing authorities must keep supply and demand in instantaneous balance — a constraint the committee should keep in mind when considering options for retail choice or ways customers can procure generation.

Votes and committee action

The committee adopted an amendment that returned the bill to the version previously passed by the Senate judiciary subcommittee and then gave S.3309 a favorable report to the full committee. Both actions were taken by voice vote; the transcript records only “ayes” and no opposition and does not record a roll‑call tally.

What remains open

Witnesses pressed for clearer guardrails around any provisions that would allow costs for unbuilt or experimental plants to be collected outside a full contested rate case or without explicit prudency review after construction. Several speakers also urged that Office of Regulatory Staff (ORS) monitoring, third‑party construction monitors, and explicit intervenor access be spelled out so the commission can act quickly if projects do not proceed as planned.

Next step

The committee chairman said he intends to bring the bill to the full senate committee soon so senators can offer additional amendments. The committee recorded the amendment adoption and favorable report by voice vote at the conclusion of the hearing.