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    Op-Ed
    Thursday, April 25, 2024

    Expect higher rates if Millstone bill passes

    In this Sunday, June 1, 2014 photo, the Millstone Power Station nuclear power complex in Waterford, Conn., is seen from the shore in East Lyme, Conn. Federal regulators began inspecting the plant on Monday, June 2, 2014, more than a week after a power failure forced both units to shut down and water was found to be slightly radioactive. (AP Photo/Dave Collins)

    Keeping energy jobs in southeastern Connecticut is a critical issue for me. As the manager of NRG’s Montville Station, I know firsthand the role that energy facilities play in paying taxes that support local schools and services, and the role companies like mine play in creating well-paying and stable jobs.

    But legislation pending in Hartford to give the Millstone nuclear plant new subsidies will actually cost jobs and hurt the state’s economic base.

    Connecticut is facing a state budget deficit of $1.5 billion this year. We can almost certainly expect spending for schools, health care and seniors to get cut once again. This is the worst time to be asking Connecticut residents and businesses to dig deeper into their pockets to pay more. But that’s exactly what Millstone Power Station in Waterford is asking for.

    Although Millstone claims to be in financial distress, it refuses to provide any evidence and so does its owner Dominion Resources, a Virginia-based company that earned $2.1 billion last year alone, demonstrated that the plant is at risk of closing. Millstone is already making a fortune from Connecticut ratepayers through annual capacity payments — $79 million per year now, increasing by another $98 million per year in June, and an additional $64 million in 2018. All in all, Millstone makes hundreds of millions of dollars in profit every year. Does this sound like a company that needs an extra payout?

    The worst part is that giving Millstone this windfall will increase utility bills for Connecticut ratepayers. Our state already pays the highest electric rates in the continental United States. More employers seem to be leaving the state every day because of the high cost of doing business here. Nuclear subsidies will only raise costs higher.

    Every time I hear Millstone representatives say the plant “just wants to compete,” I have to scratch my head. Millstone already competes against my plant and every other in New England every day. Millstone competes right now, without taking hundreds of millions of dollars more of ratepayers’ money — your money— and gaining a massive, unfair advantage in the market.

    My plant workers and our community have a big stake here. If Millstone gets an unfair subsidy, all the other power generators will be at a competitive disadvantage. For plants like NRG’s Montville Station — which is one of the largest employers and taxpayers in town — jobs, families, and local tax revenue will be threatened.

    All we’re asking for is to keep the playing field level – and not give out unnecessary subsidies, especially if Millstone won’t actually prove it is struggling. Stopping the Millstone payout won’t solve all of our problems, but it will help ensure that local jobs, families and ratepayers are protected.

    Nick Volturno is the manager of the NRG Montville Station.

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