ML16340A310

Notice of Issuance of Amend 1 to Constr Permit CPPR-39 & Amend 4 to Permit CPPR-69.W/encl Eval of Amend by LWR 1

ML16340A310
Person / Time
Site:	Diablo Canyon
Issue date:	12/06/1978
From:	Stolz J Office of Nuclear Reactor Regulation
To:
Shared Package
ML16340A309	List: ML16340A308 ML16340A310 ML19289C151 ML19289C153
References
NUDOCS 7812140283
Download: ML16340A310 (20)

Text

PACIFIC GAS AND ELECTRIC COfPANY (DIABLO CANYON NUCLEAR POk!ER PLANT, UNIT 2)

DOCKET NO. 50-323 AfZNDtiZNT TO PROYISIONAL CONSTRUCTION PERMIT Amendment No. 4 Construction Permit No. CPPR-69 A.

The f(uclear Regulatory Comission

{NRC) having found that:

1.

The amendment to. Construction Permit No. CPPR-69, for the purpose of including in the Construction Permit the antitrust commitments stated in PGAE's letter of April 30, 1976 to the Department of

Justice, complies with the -standards and requirements of the Atomic Energy Act of 1954, as

amended, and the Corrmission' regulations set forth in 10 CFR Chapter 1;

2.

The issuance of this amendment is in accordance'viith 10 CFR Part Gl; 3.

The issuance of this amendment Mill not be inimical to the common defense and security or to the health and safety of the public; and 4.

Prior public notice of this amendment is not required since the amendment does not involve a si.gnificant hazards consideration.

I B.

Accordingly, Construction Permit No. CPPR-69 is hereby amended by

. adding a nevi paragraph 2.D. >>hich reads as folio>>s:

2.D.

This'onstruction Permit is subject to the following antitrust conditions:

(1)

Definitions (l){a)

"Applicant" means Pacific Gas and Electric Company, any successor corporation, or any assignee of this license.

(1)(b)

"Service Area" means'that area vii'thin the exterior geographic boundaries of the several areas electrically served at retail, nor< or in the future, by Applicant, and those areas in Northern and Central California adjacent thereto..

(1) (c)

ANeighboring Entity-" means a financially responsible private or public entity.or lawful association thereof owning, contractually. controlling or operating, or in qual./"

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(1)(d)

(I) (e) which meets each of the following criteria:

(I) its existing or proposed facil'ities are or will be techni-cally feasible of direct interconnection with those of Applicant; (2) all. or part of its existing or proposed facilities are or i.-iII 'be located within the Service Area; (3) its primary purpose for owning, contractually con-trolling, or operating generation facilities is to sell in the Service Area the power generated; and (4) it is, or upon'commencement of operations will be, a public utility regulated under applicable state law or the Federal Power Act, or exempted from regulation by virtue of the fact that it is a federal, state, municipal or other public entity.

".t~eighboring Distribution System" means a financially responsible private or public entity which engages, or in good faith proposes to engage, in the distribution of electric power at retail and which meets each of the criteria numbered (I), (2), and (4) in subparagraph (c) above.

"Costs" means all capital expenditures, administrative,

general, operation and mainte~ance

expenses, taxes, depreciation and costs of capital including a fair and reasonable return on Applicant's investment, which are properly allocable to the particular service or transaction as determined by the regulatory authority having jurisdiction over the particular service or transaction.

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(1)(f)

"Good Utility Practice" means those practices, methods and equipment, including levels of reserves and provisions for contingencies, as modified from time to t'ime, that are commonly used in the Service Area to operate, reliably and safely, electric power facilities to serve a utility' own customers dependably and economically, with due regard for the conservation of natural resources and the protection of the environment of the Service Area, provided such practices, methods and equipment are not unreasonably restrictive.

(I) (g)

"Firm Power" means that power which is intended to be available to the customer at all times and f'r which, in order to achieve that degree of availability, adequate installed and spinning reserves and sufficient transmission to move such power and reserves to the I oad center are pr'ovided.

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I (2)

.(2) (a)

(2) (b)

(2)(

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(2)(d)

(2)( )

Interconnection I

Interconnection agreements negotiated pursuant to these license conditions shall be subject to the following paragraphs (a) through (g):

Applicant shall not unreasonably refuse to interconnect and operate normally fh parallel with any Neighboring Entity, or to interconnect. with any Neighboring Distri-bution System. 'uch interconne'ctions shall be consistent

.with Good Utility Practice.'nterconnection shall be at one point unless otherwise agreed by the parties to an interconnection agreement.

Interconnection shall not be limited to lower voltages when higher voltages 'are preferable from the standpoint of'ood UtilityPractice and are available'from Applicant.,

Applicant may include in any interconnection agreement

- provisions that a Neighboring Entity. or Neighboring Distribution System maintain the power factor associated with its load at a comparable level to that maintained by Applfcant fn the same'geographic area and use comparable.

control methods to achieve this objective.

Interconnection agreements shall not provide for more extensive facilities or control equipment at the point of interconnection than are required by Good Utility Practice unless the parties mutually agree that particular circumstances warrant special facilities or equipment.

The'Costs of addition'al facilities required to provide service at the point of interconnection shall be allocated

. on the basfs of the projected economic benefits for each party from the'interconnection afte'r consideration of the various transactions for which the interconnection facflftfes are to be used, unless othe'r'wise agreed by the parties.

An interconnection agreement shall not impose limitations upon the use or resale of capacity and energy sold or exchanged'under the agreement except as may be required by Good-Uti'lfty Practice.

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(2).(f)

An interconnection agreement shall not prohibit any

arty from entering into other interconnection agreements, but may provide that (1) Applicant receive adequate

, notice of any additional interconnection arrangement with

others, (2.) the parties jointly consider.and agree upon

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additional contractual provisions,'easures, or equipment, which may be required by Good Utility Practice as a result of the-new arrangement, and (3) Applfcant may terminate the interconnection agreement if the reliability of its

.system or service to its customers would be adversely affected by such additional interconnection arrangement.

(2)(g)

Applfcant may include provisions in an interconnection agreement requiring-a Neighboring Entity or, Neighboring Distribution System to develop with Applicant a coordi-nated program for underfrequency load shedding and tie separation.

Under such programs the parties shall equitably share the interruption'or curtailment of customer load.

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(3)

(3)(a)

Res'erve Coordfnation Interconnection agreements negotiated pursuant to these license conditions shall be subject to the following -:-

paragraphs (a) through (e) regarding r eserve coordination:

Applicant and any Neighboring Entity with vrhfch it inter-'onnects shall jointly establish and separately maintain the mfnfmum reserves to be installed or otherwise provided Cinder an interconnection agreement..

Unless otherwise mutually agreed upon, reserves shall be expressed as a

=-percentage of estimated firm peak load and the minimum reserve percentage shal'l be at. least equal to Applicant's',',

planned reserve. percentage without the interconnection.

A Neighboring Entity shal'1 not be required to provide reserves 'for that portion of its l,oad which it meets through purchases of Firm Power.

While different reserve

'g percentages may be specified in variou's interconnection agreements, no party to an'interconnection agreement shall be required to provide a greater reserve percentage than Applicant's planned reserve percentage, except that.

waif the total reserves Applicant raust provfde to maintain system reliability equal to that existing without a given interconnection arrangement are increased by reason of the new arrangement, then the other party or parties may be required to )nsta11 or provide additional reserves'.

in the full amo'unt of such increase.

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(3) {b)

(3) (c)

(3)(d)

(3)(e)

Applicant and Neighboring Entities Mith >>hich it inter-connects shall jointly estab'1ish and separately maintain the minimum spi.nning reserves to be provided under an interconnection agreement.

Unless otherwise mutually agreed upon, spinning reserves shall be ex'pressed as a pei centage of peak load and the minimum spinning reserve percentage shall be at -least equal to Applicant's spinning

,reserve percentage without the interconnection.

A Neighboring Entity shall not be required to provide spinning reserves for that portion of its load which it meets through purchases of Fi rm Power.

While different spinning reserve percentages may be specified in various interconnection agreements, no party to an interconnection agreement.

shall be required to provide a greater spinning reserve, percentage than that which Applicant provides, except that if the total spinning reserves Applicant must provide to maintain system reliability equal to that existing without a given interconnection arrangement are increased by reason of the new arrangement, then the other party or parties may be required to provide additional spinning reserves in the full amount of such increase.

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Applicant shall offer to sell, on reasonable terms and conditions, including a specified period, capacity to a Neighboring Entity for use as reserves if such capacity. is neither needed for Applicant's own system nor contractually coomitted to others and if the Neighboring Entity will offer to sell, on reasonable terms and conditions, its own such capacity to Applicant.

Applicant may include in any interconnection agreement I

provisions requiring a Neighboring Entity to compensate Applicant for any reserves Applicant makes available as the result of the failure of such Neighboring Entity to maintain all or any part of the reserves it has agreed to provide in said interconnection agreement.

.Applicant shall offer to coordinate maintenance sched01es with Neighboring Entities interconnected with Applicant and to exchange or sell maintenance capacity and energy when sue) capacity and energy are available and it is reasonable to do so in accordance with Good Utility Practice.

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(4)

Emergency Power Nw j Applicant shall sell emergency power to any interconnected Neighboring Entity which maintains the level of minimum reserve agreed upon with Applicant, agrees to use due diligence to-correct,,the emergency, and agrees to sell emergency power'to Applicant.

Applicant shall engage in such transactions if and when capacity and energy for such transactions are available from other sources, but only to,the.-extent that ft can do so without impairing service,te:-Appl-fcan+.'

retail or wholesale power customers or impair)ng ityIability to discharge prior commitments.

lj-(5)

Other Power Excpdngvs I

Should 'ppplfgor1t have on file, or hereafter file, with the Federal,Pone'r Co(mission, agreemlents or rate schedules providing,for the sale and purchase of short-term capacity and ener'gp, limited-term capacity and energy, long-term.

capacftP and energy or economy= energy, Applicant shall, on a fair and')equitable basis~ enter into like or similar agreements

'with any, Nfghborfry Entity, when such forms of~capacity And energy arl. available, recognizing that

/. py4t exp(Hence, different economic conditions and Good Utility Pradtice 1I',ay justify different rates, terms and conditionN.

RpplicaInt shall= respond promptly to inquiries of Neighboring Ent'ities concerning the availability of such forms of capacity anti energy from its system..

(6)

'l!holesale Power Sale~s, Upon request, Applicant shall offer to sell firm, full or partial requirements power for a specified period to an interconnected Heighborfng Entity or t/eighboring Distri-bution System under a contract with reasonable terms and conditions fncludfng provisions which permit Applicant to recover its Costs.

Such wholesale power sales must be consistent with Good Utility Practice.

Applicant shall not, be required to sell Firm Power at wholesale ff it does not have available sufficient generation'or transmission to supply the requested service or if the sal,e would impair service to its retail customers or its ability to discharge prior commitments.

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Transmission Services a)

Appl,.icant shall; tfansmit power pursuant to interconnection agre'ements, with provisions which are appropriate to,the requested tryrSactf'on and which are consistent with these l,fc'ense congitions.

Except as listed below, such service shall be pfovIided

( 1) between two or among more than two Neighbori'ng Entities or sections of a Neighboring Entity's system <<hfch are geographfcally separated, with which, now or in the future, Applicant is interconnected, (2) between a Neighboring 'Entity with which, now or in the future, it is interconnected-and one or more Neighboring Distribution Systems with which, now or in the future,

.it is connected and (3) between any Neighboring Entity or Neighboring Distrfbution System(s) and the Applicant's point of-direct.interconnection with any other electric system engaging in bulk power supply outside the area then electrically served at retail by Applicant.

Applicant shall not be required by this Section to transmit power (1) from a hydroelectric,facility the ownershfp of which has been involuntarily transferred from Applicant or (2) from a Nefghboring Entity for sale to any electric system located outside the exterior geographic boundaries of the several areas then electrically served at retail by Applicant if any other Neighboring Entity, Neighboring Distribution System, or Applicant wishes to purchase such power at an equivalent price for use within safd areas.

Any Neighboring Entity or

'eighboring Distribution, System(s) requesting transmission service shall give reasonable advance notice to Applicant of fts schedule and requirements.

Applicant shill not be

, required by this Section to provide transmission service if the. proposed transaction would be inconsistent with Good Utlity Practfce or if the necessary transmission Vacflities are comnftted at the time of the request to be fully-loaded during the period for which service is requested, or have been previously reserved by Applicant for emergency

purposes, loop flow, or other uses consistent with Good Utility Practice; provided, that with respect to the Pacific Northwest-Southwest Intertie, Applicant shall not be requfred by this Section to provide the requested transmission service if it would impair Applicant's own use of this facility.

consistent with,the Bonneville Project Act, (50 Stat.

731, August 20, 1937), Pacific Northwest Power Marketing Act (78 Stat.

756, August 31, 1964) and the Public Works Appropriations Act, 1965 (78 Stat.

682, August 30, 1964).

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(7) (b)

Applicant shall include in its planning and construction programs such increases in its transmission capacity or

.such additional transmission facilities.as may be required for the transactions referred to in paragraph (a) of this Section, provided any Neighboring Entity or Neighboring, Distribution System gjves Applicant sufficient advance notice as may be necessary to accommodate its requirements from a regulatory and technical standpoint and provided further that the entity requesting transmission services compensates Applicant for the Costs incurred as a result of the request.

Hhere transmission capacity will be increased or.additional-transmission facilities wflf be installed to provide or maintafn the requested service to a Neighbo'ring Entity or Neighboring Distribution System, Applicant may requfre, fn addition to a rate for use of other facilities, that payment of Costs associated with the increased capacity or additional facilities shall be m'ade by the parties in accor'dance with and in advance of their respective use of the new capacity or facilities.

I (7)(c)

Nothing herein shall require Applicant (1) to construct additional transmission facilities if the construction of such facilities is inconsistent with Good Utility.Practice or if such facilities could be constructed without duplicating any portion of Applicant',s transmission

system, (2) to provide transmission service to a retail customer or (3) to construct

. transmission outside the area then electrfcally served at, retail by Applica'nt.

P (7)(d)

Rate schedules and agreements for transmfssion services provided under this Section shall be filed by Applicant IIl(h, the regulatory agency having jurisdiction over such rates and agreements.

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(8)

Access to Nuclear Generation (8)(a) If a Neighboring Entity or Neighboring Distribution'ystem makes a timely request to Applicant for an owner-ship participation in the Stanfslaus Nuclear Project, Unit No.-

1 or any future nuclear generating unit for which Applicant,applies for a 'construction permit Purfng the 20-year period immediately following the date of the coi)structfon permft for Stanislaus Unit No. 1, Applicant shall offer the requesting party an opportunity to parti-cipate in such, units, up to an amount reasonable in light Ori ICIIW OUIINAMC~

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A (8) (b) of the relative loads of the partfcfpants.,>1ith respect to Stanislaus Unit No.

1 or any future nuclear generating

unit, a request for participation shall be deemed timely if received within 90 days after the mailing-by Applicant to Neighboring Entities and Neighboring Distribution Systems of an announcement of its inte'nt to construct the unit and a request for, an expression of interest in participation.

Participation shall be on a basis >>hich compensates Applicant for a reasonable share of all its Costs, incurred and to be incurred, fn planning, selecting a site for, constructing and operating the facility.

Any Neighboring Entity or any Neighboring Distribution

,System making a timely request for participation in a nuclear unit must enter into a legally binding and enforce-able agreement to assume financial responsibility for its share of the Costs associated >>ith participation in the unit and associated transmission facilities.

Unless otherwise agreed by Applicant, a Neighboring:Entity or Neighboring Distribution System desiring,participation.

must have signed such an agreement >>ithin one year after Applicant has provided to that Neighboring Entity or Neighboring Distribution'ystem pertinent financial and technical data bearing

-on the feasibility of the project

>>hfch are then available to Applicant.

Applicant shall provide additional pertinent data as they become available during the year.

The requesting party shall pay to Applicant forthwith the additional expenses incurred by Applicant fn making such financial and technical date availab'le.

In any participation agreement subject to this Section, Applicant may require provisions requiring payment by each participant of its share of 'all costs incurred up to the date of the agreement, requiring each participant thereafter to pay its pro rata share of funds as they are 'expended for the planning and construction of units and related facilities, and requiring each participant to make such -financial arrangements as may be-necessary to ensure the ability of the participant to continue to make such payments.

(9)

Implementation (9)(a)

All rates,

charges, terms and practices are and shall, be subject to the acceptance and approval of any regula-tory agencies or courts havfng jurisdiction over them.

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Ii (9)(b)

Nothing contained herein shall enlarge any rights of a Neighboring Entity or Neighboring Distribution System to provide services to retail 'customers of Applicant beyond the rights they have under state or federal law.

a (9)(c)

Nothing in these license conditions shall be construed as a viaiver by Applicant of its rights to contest the application of any commitment herein to a particular factual situation.

(9)(d)

These license conditions do not preclude Applicant from applying to any appropriate forum to seek such changes in these conditions as may at the time be appropriate in accordance i(ith the then-existing law and Good Utility Practice.

(9)(e)

These license conditions do not require Applicant to.

become a cordon carrier.

C.

This amendment is effective as of the date of issuance.

FOR THE NUCLEAR REGULATORY COtNISSION a

Original Signed bg 4

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I Roger S. Boyd, Director Division of Project management Office of Nuclear Reactor Regulation Date of Issuance:

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