Dominion Energy’s CEO Bob Blue acknowledged yesterday that the cost of the power company’s Coastal Virginia Offshore Wind project will cost $9.8 billion — $2 billion more than previously stated.
During an investor conference call, Blue blamed the 25% jump on “commodity and general cost pressures” as well as completion of design plans for transmitting electricity from the wind farm through populated areas in Virginia Beach to a substation where it can plug into the grid.
Blue said the impact on ratepayers — an extra $4 per month for an average residential customer — has not changed because the company is projecting that the wind farm will be more productive than originally thought, reports the Virginia Mercury.
Where have Virginians heard this before? Oh, I remember, this sounds reminiscent of the Silver Line extension of the Washington Metro to Dulles International Airport, which has encountered revised cost estimate after revised cost estimate. We can only hope that Dominion won’t encounter the same delays as the Northern Virginia commuter rail project, the second phase of which is now running about two years behind schedule. (more…)