Alliance for Clean Energy v. Graham

In 2008, the Florida Public Service Commission (PSC) granted the petitions for determination of need for new nuclear power plants proposed by Florida Power & Light company (FPL) and Progress Energy Florida (PEF). The PSC subsequently issued orders granting the utility companies' annual petitions for recovery of their associated preconstruction costs through customer rates. Southern Alliance for Clean Energy (SACE) opposed FPL and PEF's most recent cost recovery petitions, arguing that Fla. Stat. 366.93 unconstitutionally delegates legislative authority to the PSC and, alternatively, the PSC's order authorizing the utility companies to recover preconstruction costs was arbitrary and unsupported by competent, substantial evidence. The Supreme Court affirmed, holding that authorizing recovery of preconstruction costs through customer rates in order to promote utility company investment in new nuclear power plants, even though those plants might never be built, is a policy decision for the Legislature, not the Court. View "Alliance for Clean Energy v. Graham" on Justia Law