"While the RFP is not a commitment to build an SMR at North Anna, it is an important first step in evaluating the technology and the North Anna site to support Dominion Energy customers' future energy needs consistent with the company's most recent Integrated Resource Plan (IRP)," Dominion said.
In its 2023 IRP, the company said it plans to continue evaluating the feasibility, operating parameters, and costs of SMRs and will update modeling assumptions related to SMRs in future filings.
"Potential cost reductions relative to the assumptions reflected in the 2023 Plan may be realised as the design of SMRs matures and as anticipated construction schedules are established. Based on updated capital, operating and maintenance costs, continued progress of licensing timelines, and new policy initiatives or legislative changes, it is conceivable that the deployment of SMRs could be further accelerated by the company, with the first SMR being placed in service within a decade," it said.
The issuance of the RFP was announced at an event on 10 July at the North Anna site. Company leaders were joined at the event by Virginia Governor Glenn Youngkin, Virginia Lieutenant Governor Winsome Earle-Sears, Virginia State Senator Dave Marsden, Virginia State Senator Mark Peake and Louisa County Board of Supervisors Chair Duane Adams, among other local and state leaders.
Dominion also announced that it intends to seek "rider recovery" of SMR development costs in a filing with the Virginia State Corporation Commission expected later this year. This was enabled by bipartisan legislation passed by the Virginia General Assembly earlier this year. Governor Youngkin ceremonially signed the legislation at the event at North Anna.
The legislation contains cost caps limiting current SMR development cost recovery to no more than USD1.40 per month for a typical residential customer. Dominion anticipates that its initial request will be substantially below that limit.
"For over 50 years nuclear power has been the most reliable workhorse of Virginia's electric fleet, generating 40% of our power and with zero carbon emissions," said Robert Blue, chair, president and CEO of Dominion Energy. "As Virginia's need for reliable and clean power grows, SMRs could play a pivotal role in an 'all-of-the-above' approach to our energy future. Along with offshore wind, solar and battery storage, SMRs have the potential to be an important part of Virginia's growing clean energy mix."
Governor Youngkin added: "The Commonwealth's potential to unleash and foster a rich energy economy is limitless. To meet the power demands of the future, it is imperative we continue to explore emerging technologies that will provide Virginians access to the reliable, affordable and clean energy they deserve. In alignment with our All-American, All-of-the-Above energy plan, small nuclear reactors will play a critical role in harnessing this potential and positioning Virginia to be a leading nuclear innovation hub."
The North Anna site is currently home to two 944 MWe pressurised water reactors, which began commercial operation in 1978 and 1980, respectively. Under their current licences, North Anna units 1 and 2 can continue to operate through 2038 and 2040, although Dominion has applied for 20-year extensions for both units.
