Georgia Power and Southern Nuclear Operating Company announced today the companies are pursuing the Westinghouse AP1000 as the nuclear reactor technology for potential new nuclear units at the Alvin W. Vogtle Electric Generating Plant. The companies said the Plant Vogtle Early Site Permit (ESP) and Combined Construction and Operating License (COL) applications will be based on the AP1000 design.

Plant Vogtle, located near Waynesboro, Ga., is owned by Georgia Power, Oglethorpe Power Corporation, the Municipal Electric Authority of Georgia and the City of Dalton Board of Water, Light, and Sinking Fund Commissioners (Dalton Utilities). The plant is operated for the co-owners by Southern Nuclear. Both Georgia Power and Southern Nuclear are wholly-owned subsidiaries of Southern Company.

“We are in discussions with Westinghouse that could lead to an eventual purchase,” said Jeff Wallace, vice president of Planning and Utility Relations for Georgia Power. “We expect to need additional generation to meet our customers’ needs in 2015 and beyond. Nuclear power is becoming more and more attractive as an option to meet these needs economically, reliably and with low environmental impact.”

Pursuing a specific reactor technology does not mean that the co-owners have made a final decision to build new units. It does signify another step in the process necessary to obtain permits should the co-owners decide that expanding the nuclear fleet is the best option for meeting electricity needs.

“We believe the Westinghouse AP1000 is the best nuclear technology option available at this time,” said Louis Long, vice president of Technical Support for Southern Nuclear. “Our decision comes after researching the next generation of available nuclear reactors.”

Long said the company prefers the Westinghouse AP1000 for numerous reasons. “It is firmly grounded in proven Pressurized Water Reactor (PWR) technology, and has been reviewed extensively by industry operators of current Westinghouse PWRs,” he said. “The AP1000 has dramatic improvements in design achieved through simplified safety systems, and it sets a new standard in safety. Westinghouse has received final Design Certification for the AP1000 from the Nuclear Regulatory Commission (NRC), which allows plant developers to proceed now with regulatory steps toward an ESP and a COL.

“In addition, the estimated capital cost for the AP1000 is expected to be competitive,” said Long. “Southern Nuclear has a lot of confidence in Westinghouse technology, technical expertise and customer service. We have used Westinghouse PWR technology to operate our nuclear units safely and reliably for more than 25 years.”

Both units at Plant Vogtle and both units at the Joseph M. Farley Nuclear Plant use Westinghouse PWRs. Plant Farley, located near Dothan, Ala., is owned by Southern Company subsidiary Alabama Power.

Southern Nuclear plans to file an application with the NRC for an ESP for Plant Vogtle sometime this summer and file an application for a COL in 2008. The streamlined licensing process for new nuclear units allows utilities to seek regulatory approval at various stages. These are Design Certification, the early approval of standard designs, which is obtained by reactor vendors such as Westinghouse; and the ESP and the COL, which are obtained by the owner-operators of the units. The ESP means that site approval is obtained before the company decides to build, and the COL provides regulatory approval for one license for building and operating the plant.

In addition to these and other permits, Georgia Power would need certification approval of the Georgia Public Service Commission for any new generation resource.

“With the increasing volatility in the gas and coal markets, it makes good sense to consider nuclear power as an option to expand our generating fleet,” said Wallace.

“The steps we are taking to evaluate potential new nuclear options are prudent, sound and responsible,” said Wallace. “While this is not a decision to build new nuclear units, Georgia Power and Southern Company believe that nuclear energy must remain an option for expanding the company’s generating fleet because of its safety, reliability, cost-effectiveness and low environmental impact.”

Georgia Power, headquartered in Atlanta, is the largest subsidiary of Southern Company, one of the nation’s largest generators of electricity. Georgia Power is an investor-owned, tax-paying utility, serving customers in 57,000 of the state’s 59,000 square miles. Georgia Power’s rates are below the national average, and its 2 million customers are in all but six of Georgia’s 159 counties.

Southern Nuclear, headquartered in Birmingham, Ala., is a wholly owned subsidiary of Southern Company. Southern Nuclear operates all of Southern Company’s nuclear units, including Plant Farley, Plant Vogtle and the Edwin I. Hatch Nuclear Plant located near Baxley, Ga. Hatch also is jointly owned by Georgia Power, Oglethorpe Power Corporation, the Municipal Electric Authority of Georgia and Dalton Utilities.

With more than 4 million customers and nearly 39,000 megawatts of generating capacity, Atlanta-based Southern Company (NYSE: SO) is the premier super-regional energy company in the Southeast and a leading U.S. producer of electricity. Southern Company has more than 500,000 shareholders, making its common stock one of the most widely held in the United States. Visit the Southern Company Web site at www.southerncompany.com.