The San Onofre Nuclear Generating Station’s (SONGS) situation was seemingly a nonfactor in Edison International’s first-quarter balance sheet for 2018.
In a Tuesday conference call on the California-based utility’s latest earnings, the retired nuclear power plant barely came up as analysts and Edison International executives discussed wildfire recovery costs and an ongoing rate case.
“With respect to SONGS, we announced a revised settlement in late January that was the result of multiple mediation sessions with a diverse set of parties,” Edison International President and CEO Pedro Pizarro said during the call. “We continue to work with the other parties to complete the steps in this proceeding and are hoping for a swift commission decision approving the revised settlement, especially since all the parties actively involved in the mediation joined the settlement.”
The California Public Utilities Commission today will hold a public meeting on the revised settlement proposed to cover costs for SONGS’ premature, permanent closure in 2013. The new proposal would cut $775 million from the $3.3 billion ratepayers would have had to pay under a prior deal approved and later invalidated by the commission.
Edison’s net income dropped from $362 million ($1.11 per share) in first-quarter 2017 to $218 million ($0.67 per share) this year. First-quarter 2018 loss from continuing operations increased by $81 million from first-quarter 2017 losses of $37 million.
First-quarter 2018 earnings for Edison subsidiary Southern California Edison, majority owner of SONGS, dropped by $63 million ($0.19 per share) on a year-over-year basis. “The decrease in earnings resulted from the impact of the July 2017 cost of capital decision on the GRC revenue, higher operation and maintenance expenses and higher net financing costs,” according to an Edison press release.
SONGS’ minimal effect on Edison International’s first-quarter bottom line is a major contrast to the plant being the biggest factor causing most of fourth-quarter 2017 net loss of $545 million.
