Turkey Point Units 6 & 7 Project

Steven ScroggsSenior DirectorFlorida Power & Light Company

May 2013

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$34.5 B market capitalization(1)

41,068 MW in operation$64 B in total assets

NextEra Energy is a premier U.S. power company comprised of two great businesses

Successful wholesale generatorU.S. leader in renewable generationAssets in 24 states and Canada17,771 MW in operation

One of the largest U.S. electric utilitiesVertically integrated, retail rate-regulated4.6 million customer accounts23,297 MW in operation

A growing, diversified and financially strong company

1) Market capitalization as of May 1, 2013; 2) All other data as of March 31, 2013

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NextEra Energy Resources - in 24 states and Canada

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FPL provides customers with the lowest electric bill in the state, highly reliable and clean

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FPL’s Turkey Point 6&7 project is in the licensing phase

Turkey Point Units 6 & 7 would be the largest industrial project in the history of Florida

• Energy Policy – Why is nuclear generation important to Florida?

• Economic and Environmental Benefits

• Regulatory reviews and relative time frames

• Turkey Point 6 & 7 Project Features

• Location and Technology

• Water Related Infrastructure

• Roadway Improvements

• Transmission Lines

• Recent US Construction Experience

Discussion Topics

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• Florida Energy Policy focuses on specific needs

– Low and stable costs– Fuel Diversity & Supply

Reliability

– Environmental objectives

• Nuclear technology uniquely addresses the needs of Floridians

– Provides low cost electricity

– Provides cost stability in fuel portion of customer bills

– No CO2 emissions, does not contribute to climate change

Over-reliance on any single fuel can expose customers to supply reliability and cost risk

FPL’s Existing Power Generation Fuels

Source: FPL 2011

Gas68.6%

Nuclear19.1%

Coal9.9%

Nuclear Provides Fuel Diversity

New nuclear provides low cost electricity that avoids carbon emissions and diversifies the overall fuel mix

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FPL’s nuclear investments are paying off for customers today and creating future opportunity

The state energy policy is succeeding by creating jobs, generating fuel savings and reducing emissions

Upgrades at Turkey Point and St. Lucie (532 MW)– Thousands of new jobs, regional stimulus of $10 million/month– $3.8 billion in customer fuel savings over lifetime– Full results delivered within 8 years of enacting legislation

New Nuclear at Turkey Point (2200 MW)– 3,600 direct jobs, over $6 billion during construction– 800 direct jobs, over $100 million/year in tax revenues during

operation– $78 billion in customer fuel savings and zero CO2 emissions– Will recycle 60 million gallons per day of reclaimed water

Near Term and Long Term Investments

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A nuclear project in Florida undergoes many regulatory reviews

• Nuclear Regulatory Commission Combined License process– Safety and Environmental reviews

• Army Corps Wetland (404b) permits

• US Fish & Wildlife Consultation

• Federally delegated programs (Air, Underground Injection)

• State Site Certification– Umbrella program for power plants coordinated by FDEP

• Public Service Commission Need Determination

• County Zoning and Land Use determination

• CDMP Amendments, Governmental agreements, etc.

• Enabling federal and state legislation

• Annual Public Service Commission review

Regulatory Approvals

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Turkey Point Plant

• Turkey Point Plant site is approximately 25 miles south of Miami

• Five generating units on the Turkey Point Plant site - including two nuclear units

• 9,400 acre power plant site, including cooling canal system

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Turkey Point Units 6 & 7

Turkey Point Units 6 & 7 will be located south of the current operating plants, within the cooling canal system

• Two Westinghouse AP1000 units – approximately 1100 MW each

– Passive Safety Design

• New support facilities (e.g. administration, training buildings, substation, etc.)

• Water treatment and delivery infrastructure

• Roadway improvements

• Transmission improvements

The choice of the Turkey Point site leverages existing infrastructure and avoids greenfield impacts

Turkey Point Units 6 & 7 Project Rendering

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Turkey Point Units 6 & 7 – By the Numbers

• Labor Hours 30,325,000 hours

• Fill Material 11,258,000 cubic yards

• Concrete 784,000 cubic yards

• Steel 74,000 tons

• Cable and Wire 800 miles

• Roads & Paving 240 miles

• Pre-Engineered Buildings 371,000 square feet

The two AP1000 reactors and associated facilities require significant materials and labor

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Layered Passive Design features

• Passive core cooling system internal to containment

• Passive cooling for containment as a whole

• In vessel retention in event of meltdown

Location, analyses and civil design

• Low seismic hazard

• Fully investigated tsunami scenarios

• Elevated above maximum surge and flood +10%

AP1000 Design Enhancements

The AP1000 design is a significant evolution in design over the current generation of plants

The AP1000 incorporates design improvements in reactor operations from the current safe designs

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South District WWTP

Turkey Point

• A creative and synergistic approach to meeting large scale water needs in South Florida

• Will assist County meeting reuse and ocean outfall regulatory requirements

• FPL will construct and County will own/operate a 9 mile reclaimed water pipeline

• Backup supply only needed when reclaimed deliveries are not sufficient

– FPL has agreed to a condition limiting the use to 60 days in a 12 month period

Region Specific Water Plan

Turkey Point 6&7 will use reclaimed water as its primary source of cooling water, the largest user in the state

Reclaimed water used by Turkey Point Units 6 & 7 will not compete with reclaimed water reserved for Everglades restoration

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• Design eliminates entrapment and entrainment of fish and other species

• Groundwater modeling has demonstrated no adverse impact to drinking water supplies or the environment

• Caisson construction in upland areas

• Laterals constructed from within caisson – no dredge and fill activities in Biscayne Bay

• FPL has proposed use restrictions to limit the amount the backup supply would be used

Radial Collector Wells

Radial wells have been in use for over 60 years and offer and minimize environmental impacts

A backup supply is commonly provided when power plants must rely on municipal waste water production for cooling

* RCW location and lateral orientation illustrative

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Pumping Activities At Equilibrium

Not to scale

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Road improvements provide a second site access and increase capacity during the construction period

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Existing Paved Roadways

Two access points are needed to meet project needs

Additional culverts will be added as needed to increase wetland flow

SW 328th St.

SW 344th St.

SW 359th St.

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Significant agency, local government consultation and community outreach was used to develop the corridors• Integration requires new lines

– All lines remain within Miami-Dade

– Extensive outreach to residents was incorporated into siting study

– Utilizes existing rights of way where practicable

• Five new power lines are being proposed – Approximately 70% within existing

rights-of-way

– Connect site substations

– Eastern corridor (blue) – One 230 kV line– Suburban and urban areas

– Western corridor (green)– One 230 kV line, Two 500 kV lines– Preferred corridor requires land

exchange in area of ENP

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Local Government and Public Outreach efforts are an integral part of the Transmission siting process

• Input from the public and local governments was solicited up front in the route selection process and considered in the selection– Agency workshops,

– Open houses,

– Meetings with business, civic and homeowner groups,

– E-surveys for customer input

• FPL encouraged other parties to file alternate transmission line corridors for consideration in the process– Local governments, groups or

individuals can submit alternates

Extensive Outreach

Open House at Elks Club, South Miami

2020

The choice to allow alternate corridors will ensure all credible alternates are reviewed on an equal footing

• FPL encouraged other parties to file alternate transmission line corridors for consideration in the process– Local governments, groups or

individuals can submit alternates

• Five alternate corridors have been filed and accepted in the PPSA review process– Village of Pinecrest/City of Coral

Gables provided an eastern alternate

– National Parks Conservation Association provided a western alternate completely out of ENP

– Miami-Dade Limestone Producers Association offered several western alternates

Alternate Corridors

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Backup Slides

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Undergrounding Basics

• Cost range: $13.3-$18.5 MM/mile, versus $2 MM/mile for overhead

• Factors affecting cost include:

– Surface and sub-surface conditions

– Available easements

– Transmission conductor and vault design

• Funding mechanisms include:– Special assessment, collected by local

government or via local tariff on electric bill

– Chapter 170 and 190, Florida Statutes

– Dedication of property tax revenues

Undergrounding, while an option, is a local decision and investment

Installing underground duct bank system

Trench construction

Underground line construction is possible, but intensive and costly

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Unprecedented job creation and resulting economic impact on the regional economy

• Creation of approximately 4,000 direct onsite jobs and 4,000 indirect jobs at peak construction

• Annual total wages will average $230 million during construction*

• $8 billion to $11 billion in total economic output over the construction period

Turkey Point 6 & 7 Regional Economic Benefits

The investment will pay dividends in the near term and for generations to come

*Direct & Indirect Impacts Included

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Use of Turkey Point plant property minimizes impacts and builds on current environmental benefits

• Land • Minimizes impact by locating within the

existing Industrial Waste Water Facility

• Threatened and Endangered Species• Protects significant habitat for wildlife and

wetlands

• Respectful of Water Resources• Recycles reclaimed waste water supporting

County obligations

• Significant Reduction in Emissions• Avoids 7 million tons of CO2 per year

• Regional Mitigation Projects• Projects restore natural environments in

vicinity of Biscayne National Park

Turkey Point Units 6 & 7 Project continues FPL’s longstanding record in environmental stewardship

Regional Environmental Benefits