Santee Cooper customers should expect a double cost hike in 2025 after years of frozen power rates
Residential customers of South Carolina's state-owned utility will likely see their monthly bills go up twice this year — an average of $11 in April and $5 more in July for the typical customer.
This second round of rate hikes come as Santee Cooper and its customers reach a legal settlement related to the failed expansion of the V.C. Summer nuclear plant in Fairfield County.
Power customers sued the Moncks Corner-based utility after cost overruns and mismanagement led to the 2017 abandonment of the nuclear project — after Santee Cooper and its former partner, South Carolina Electric & Gas, spent $9 billion.
Santee Cooper's share of the debt was $3.6 billion.
Here's how much SC power customers are still paying for a failed nuclear project
That lawsuit led to a rate freeze in 2020, which expired at the end of last year. While the utility was barred from raising electricity rates during that time, it was allowed to run up a tab for what the agreement called 'just and reasonable' expenses — such as costs related to natural disasters and other unplanned events.
That bill is now coming due for the more than 200,000 customers Santee Cooper serves directly in Berkeley, Georgetown and Horry counties, as well as customers of South Carolina's power cooperatives that buy power from Santee Cooper.
Santee Cooper's governing board signed off this week on an agreement deciding how much of those charges it would pass on to customers. Central Electric Power Cooperative, which buys power from Santee Cooper and other sources to supply the 19 power cooperatives around the state, signed off last week.
The agreement still needs the approval of former state Supreme Court Chief Justice Jean Toal, the retired judge who has overseen the case, before it goes into effect.
In all, Santee Cooper can charge for $550 million worth of expenses. It will bill about 65% of that to the cooperatives.
The utility will take the hit for about $155 million, writing that off in the company's financial statement, Ken Lott, its chief financial officer, told the board.
Santee Cooper will spread collections out over 14½ years starting in July, the utility's head attorney, Carmen Thomas, told the board.
Central Electric CEO Rob Hochstetler said his agency and others involved in the lawsuit did manage to get the bill knocked down on some costs Santee Cooper had sought to recover: A spike in natural gas prices the utility had to pay after Russia's invasion of Ukraine and a fire at an Illinois coal mine that Santee Cooper relied on for its supply.
Santee Cooper seeks potential buyers to restart failed SC nuclear expansion project
'In any kind of negotiation, no one gets everything they want, but we're better off than where we started,' he said.
Central Electric also has been preparing cooperatives and their members for this added expense, Hochstetler said, factoring the anticipated increase into the rates it charges the cooperatives it buys for.
In response, some cooperatives have held off on construction projects, instead saving the money so their customers wouldn't face as large a bill. Others have had to pass more of that cost on but have already started making adjustments so customers wouldn't feel the hit all at once.
Hochstetler said having the payment spread over more than 14 years also is a plus. As South Carolina's population continues to grow, the cooperatives expect to gain more members to help share in the cost over time.
'The cost per member gets lower and lower,' Hochstetler said. 'It's the same amount of dollars, but we're shrinking it. That, to me, is good for our state.'
This latest rate hike follows an earlier one approved by Santee Cooper's board in December.
Executives asked for that bump, which starts in April, to cover a $40 million revenue deficit projected for this year and to cover the costs of building out its system to serve a growing customer base.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
San Francisco Chronicle
an hour ago
- San Francisco Chronicle
Telecom Argentina: Q2 Earnings Snapshot
BUENOS AIRES, Argentina (AP) — BUENOS AIRES, Argentina (AP) — Telecom Argentina SA (TEO) on Tuesday reported a loss of $155.6 million in its second quarter. The Buenos Aires, Argentina-based company said it had a loss of 36 cents per share. The telecommunications company posted revenue of $1.67 billion in the period. _____
Miami Herald
an hour ago
- Miami Herald
Livingstone gets another $10 million, claims premier private HBCU in NC
SALISBURY, NC - Livingstone College has made waves in the HBCU world and by big contributions from an anonymous donor. Add another one to the total. For the third time in just over a year, Livingstone College has received a $10 million donation from a sole anonymous benefactor-further fueling its push to be recognized as the premier private HBCU in North Carolina. The Salisbury-based HBCU has now secured more than $60 million from the same donor, a level of philanthropic support unmatched by any other private HBCU in the state. President Dr. Anthony J. Davis calls the series of gifts part of the "Miracle on Monroe Street," a multi-phase campus transformation that has already modernized key facilities and is poised to expand even further. "Everyone can look and see that we've invested every dollar, every dime into renovating this campus," Davis said. "Now we are the premier private HBCU in North Carolina, creating an experience that is second to none for our students." Philanthropy Driving Growth The latest gift will help advance the next stages of campus revitalization, including planned upgrades to Goler Hall and Honors Hall. Combined with more than $40 million in private fundraising over the past two fiscal years, these investments have positioned Livingstone to grow faster than any other private HBCU in the state. Enrollment has surged from 221 freshmen just two years ago to an expected 500 this fall, with overall growth creating new housing and facilities needs. "We're one of the fastest-growing HBCUs in the country," Davis said. "It's a good problem to have, but it means we have to think creatively about how to house our students." Retention Through Student Experience Among the most visible recent upgrades is Aggrey Cafeteria, now transformed into the Luxe Life Café and operated by Thompson Hospitality. Davis frames the dining overhaul as a central piece of the college's retention strategy, alongside residential improvements. "It's part of our retention model-creating a student experience that is second to none," he said. "While we're enhancing the student experience, we take care of where they sleep and where they eat. They want to be here at Livingstone College." That approach is producing results. Livingstone boasts a 92 percent return rate for upperclassmen and a 78 percent freshman retention rate. Those figures compare favorably with top-tier institutions, public or private. Defining the Premier Private HBCU Making the claim to be the premier private HBCU in North Carolina is no small feat. That landscape that includes Johnson C. Smith, Bennett College, Shaw University and Saint Augustine's University. Livingstone's mix of bold fundraising, rapid enrollment growth, and student-focused upgrades is setting a new standard. As the "Miracle on Monroe Street" continues, Davis and his team are aiming to ensure the college's place at the forefront of North Carolina's private HBCUs for years to come. The post Livingstone gets another $10 million, claims premier private HBCU in NC appeared first on HBCU Gameday. Copyright HBCU Gameday 2012-2025
USA Today
an hour ago
- USA Today
Too many empty churches, not enough homes. Is it a match made in heaven?
When Cristiana Perez and Nick Porter began house-hunting in New York State in 2021, they were open-minded about their prospects. Perez has a background in historic preservation, and both expected to be able to work from home. 'But at every turn we were just getting priced out,' explained Perez, the director of social media for CIRCA Old Houses, the media company affiliated with Cheap Old Houses, which is a popular newsletter and HGTV show, among other things. Finally, they had an epiphany. 'Well, if we're taking the 'handcuffs off' geographically speaking, if I'm going to live in the middle of nowhere, I want it to be my dream house,' Perez said. 'And I'd always dreamed of living in a non-traditional something, whether it used to be a schoolhouse or a general store or a fire station or a church. So I was like, if we're gonna really go for it, I'm all in.' Four years later, the couple are the proud owners of 'Welsh Hall,' a former church that dates back to the 1790s and which had been vacant for a few decades. It's been a 'learning curve,' Perez told USA TODAY, and an expensive one – but the beauty of the building and its historical significance have been worth it. As church attendance declines and the housing market gets tighter, Perez and Porter's path may seem increasingly promising. There are plenty of vacant houses of worship around the country, but there's also a lot to consider before taking the leap (of faith). A 'tipping point' for vacant churches As recently as 1999, 70% of Americans responding to a Gallup poll said they belonged to a church, synagogue, or mosque. But by 2020, that number had fallen to just 47%. One estimate suggests that as many as 100,000 houses of worship could be closed over the next several years. Stephen Ferrandi is the founder and broker of PraiseBuildings, a Maryland-based religious building brokerage. '20 years ago when we first started, I said there's going to be a tipping point and you're going to see a lot of churches hit the market, but I didn't know what it was going to be,' Ferrandi said in an interview. 'Turns out it was COVID.' The majority of the houses of worship PraiseBuildings brokers are sold by one congregation to another, primarily newer immigrant groups. Ferrandi describes what may be a long path before congregations get to that point: 'It's just not sustainable," he said. "Honestly, they probably should have closed 30 years ago when they first started having the problems. The problem that everybody ran into was nobody wanted to make the decision to close the church.' Despite the opportunity these vacant churches represent, there are plenty of potential pitfalls, as anyone familiar with fixer-uppers may expect. 'All the pieces have to come together,' said Bill Skubik, founder of Michigan-based Religious Real Estate. Can churches and other religious buildings be residences? Most older churches for sale have one extremely wide-open space and exceptionally tall ceilings. In many cases, houses of worship have few bathrooms – and perhaps none of them full – and either a small, rudimentary kitchen, or a giant commercial-scale one. There can be some charm in that: Glen Jackson, who owns two churches in the metropolitan Pittsburgh area, likens the blank slate of a historic church to the industrial loft buildings made into cool residences a few decades ago. And as Elizabeth Finkelstein, co-founder of CIRCA Old Houses, puts it, 'you will have the coolest house in town.' Still, many of them may require drastic overhauls to make them feel more like homes, and many will need expensive updates to plumbing, heating and electrical work, and perhaps a new roof. Financing a church renovation No matter the specific circumstances, buying a church that needs to be renovated to serve as a home will likely require nontraditional financing, according to people who spoke to USA TODAY. Perez and Porter got a traditional mortgage for the purchase of the church, and are taking out construction loans for renovations as they go. Churches can often be bought for far less than houses: Jackson is currently selling one of his for only $60,000. So other owners have paid cash for the building, as it can be challenging to take out small mortgages, and then borrowed funds for the rehab work. In many cases, church buildings may have a separate building on the grounds, such as a minister's home, which can be occupied while the construction work is ongoing, and may also be rented for income later on, once the main building is habitable. Notably, sources caution that it may take work to get appraisals and homeowners insurance because of the lack of comparable properties. Skubik offers another consideration: if the church is in an area of lower property values, you may want to consider how much work you put into the renovations so the completed property doesn't have a drastically higher value that's completely out of place in its neighborhood. Finally, if you're counting on financial assistance from the community or a nonprofit or the government, make sure you have it nailed down – a lesson Glen Jackson, who believed local government officials had the same goals he did, learned the hard way. Buying a home with spirit In some suburban or rural areas, churches may sit on land that's surrounded by cemeteries. Consider how you'll feel if people come to visit, but more importantly make sure you have a plan for construction projects or infrastructure that has to enter the building through that land. On a more positive note, you may find that your neighbors and others in the community can share stories about the history of your home. It may even be an anchor of the community. "You kind of become a local hero because you've preserved an anchor of the town," Finkelstein said. "A building like that, really (is) kind of the centerpiece of the community.' Embrace the challenge of converting a church Perhaps the best advice comes from Perez, who says anyone buying a 'non-traditional building' for a home should embrace its essence. 'I get it that changes need to happen to make it livable,' she said. 'But the way that we're making our mark is as minimal as possible, so that hopefully it will forever be the thing that attracted us to it in the first place. So I would encourage people, if they're going to look for a church, be prepared to keep it churchy.'
