Independent analysis reveals JEA customers could pay up to $2.5 billion more for electricity unless other, less risky alternatives are considered.

For more information, contact:

Jocelyn Mahone, The CLEO Institute, jmahone@cleoinstitute.org
Leah Komos, RMI, lkomos@rmi.org

Florida — A new report by RMI – founded as the Rocky Mountain Institute – reveals that Jacksonville Electric Authority’s (JEA) plan to build a 675 MW methane gas plant would drive utility costs even higher for customers.

On August 26, JEA’s board approved plans for a $1.57 billion gas plant—a cost that is 139% above the utility’s original estimates due to supply chain issues and project delays.

“As affordability becomes more important, utilities must regularly update their analyses, since rapidly changing, volatile gas prices can significantly alter project costs,” said Joe Daniel, principal at RMI’s Carbon Free Electricity team.

JEA’s proposed gas plant is already delayed by at least two years (from 2029 to 2031) due to gas turbine supply shortages, which have more than doubled capital costs. RMI estimates this plant could cost up to $2.5 billion more than cleaner, less volatile alternatives.

“Gas plants now cost over $2,300 per kilowatt. In nearly every scenario, clean energy portfolios are more cost-effective—especially when accounting for reliability and efficiency improvements,” said Christian Fong, senior associate at RMI and project manager for the report.

In an October 10 statement, JEA said it disagreed with RMI’s findings but did not challenge the report’s technical analysis. The RMI report demonstrates that an alternative, clean-energy resource plan could deliver substantial cost savings and health benefits for Jacksonville, especially in light of recent market changes since JEA’s 2023 Integrated Resource Plan.

Dr. Todd Sack, a Jacksonville gastroenterologist and former Environmental Protection Board member, criticized JEA for “making another bad decision … that’s going to hurt” the health and finances of his patients.

According to The CLEO Institute, the report findings show that JEA should revisit its plans and ensure Jacksonville’s electricity needs are met by the lowest-risk, lowest-cost options — avoiding the costly mistake that customers are still paying for today. As of October 1, JEA customers face higher bills due to a $3.5 billion debt from Plant Vogtle—double the original cost, caused by repeated construction delays.

RMI’s report recommendations would accomplish each of the goals JEA trumpeted in its statement:

• Carbon emissions – RMI’s alternative clean energy portfolio solutions would produce no CO2 emissions while supporting Jacksonville’s energy needs

• Clean energy mix – RMI’s analyzed portfolios would serve Jacksonville’s emerging needs with 100% clean energy

• Energy efficiency – The portfolios that RMI analyzed include a starring role for energy efficiency in Jacksonville’s homes and businesses, helping reduce overall demand for electricity while also lowering bills for JEA’s customers

• Economic Value – The portfolios that RMI analyzed have equivalent capacity accreditation as the proposed gas-fired power plant, meaning they can provide a similar level of reliability support for JEA’s system. RMI also analyzed broader economic benefits associated with the proposed alternative portfolios and found $429-757M in regional economic benefits

• Future proofing – The portfolios analyzed by RMI are already “future proofed” in that they are composed exclusively of resources that are adaptable and flexible with respect to future system needs

Media who register will receive a recorded press conference with RMI staff, along with Dr. Todd Sack commenting on the health impacts of JEA’s proposed gas plant. Susan Glickman from the CLEO Institute moderated the discussion. According to Glickman: “Jacksonville families can’t afford another Plant Vogtle.”

Where: Click Here to view the recorded briefing and materials.