Gov. Dannel Malloy says he opposes the proposed tax of the Millstone nuclear plant in Waterford, which forced the facilities owners to consider closing Connecticut’s largest producer of electricity.
The proposed electric generators tax in Senate Bill 1176 would have raised $340 million in taxes annually, with $332 million of that money coming only from Millstone. The proposal passed the Energy & Technology Committee in a 12-9 vote and was being considered as part of the larger tax package in the state budget.
Dominion, the owner of Millstone, said the tax would have been passed onto consumers in their electric bills and eventually would have forced the shutdown of the two nuclear reactors in Waterford. The plant employs more than 1,500 and generates half of the electricity produced in Connecticut.
“We are encouraged to hear that the governor does not support Senate Bill 1176,” Millstone spokesman Ken Holt said. “This massive tax will result in higher electricity rates and will send a terrible signal to businesses within the state and those considering moving here.”
Malloy still favors a tax on electricity generation, although much smaller and spread out over all the electricity generators in Connecticut, which includes natural gas, coal and oil plants as well. Malloy’s proposed tax would generate $60 million per year, with half coming from Millstone.
Dominion officials have expressed their concerns to Malloy about the smaller tax, as well, Holt said. Any tax will result in the costs being passed onto the consumer.
