Summary
This 8-K filing from Southern Company (SO) reports on purchased power agreements entered into by its subsidiaries Georgia Power Company, Gulf Power Company, and Southern Power Company with Progress Energy Florida (PEF) on November 24, 2004. These agreements, effective from June 2010 to December 2015, involve the sale of power from Plant Scherer Unit 3 and Plant Franklin Unit 1. The primary terms include fixed capacity payments and variable energy payments, along with payments for firm gas transportation. Investors should note that these contracts are contingent on regulatory approval, specifically from the Florida Public Service Commission, and the ultimate outcome remains uncertain.
Key Highlights
- 1Southern Company's subsidiaries (Georgia Power, Gulf Power, Southern Power) entered into purchased power agreements with Progress Energy Florida (PEF).
- 2The agreements cover the period from June 2010 through December 2015.
- 3Georgia Power and Gulf Power will supply 74 megawatts annually from Plant Scherer Unit 3.
- 4Southern Power will supply 350 megawatts annually from Plant Franklin Unit 1.
- 5Contracts include fixed capacity payments and variable energy payments based on delivery.
- 6Progress Energy Florida will also make payments for firm gas transportation.
- 7The agreements are contingent upon approval from the Florida Public Service Commission.