By Editors of Power Engineering
A North Carolina judge ruled that Westinghouse Electric Corp. is not owed $352 million from Duke Energy over development costs on a cancelled contract for a proposed nuclear plant.
Judge Max Cogburn of the U.S. District Court for the Western District of North Carolina indicated Westinghouse was unable to link the claimed $352 million in development expenses for its AP1000 nuclear reactor to allowable termination costs under the contract for the proposed plant in Levy County, the Charlotte Business Journal reported.
The AP1000 reactor remains part of Duke’s plans for expansions at the Votgle and V.C. Summer plants.
The reactor’s development was undertaken by a consortium of utilities including Progress Energy, which was bought by Duke in 2012. It subsequently pulled out of the consortium in 2012 and Duke terminated its contract with Westinghouse for the Levy County plant.
Westinghouse originally filed suit for $500 million, plus a $30 million termination fee. Cogburn’s ruling maintains Duke still owes Westinghouse the full amount of the termination fee, plus interest.
Cogburn also dismissed Duke’s $51 million counterclaim against Westinghouse.