ML17139A196
| ML17139A196 | |
| Person / Time | |
|---|---|
| Site: | Susquehanna  |
| Issue date: | 05/27/1980 |
| From: | Dewey L NRC |
| To: | NRC |
| Shared Package | |
| ML17139A192 | List: |
| References | |
| NUDOCS 8106030068 | |
| Download: ML17139A196 (4) | |
Text
May 27, 1980 EXHIBIT F MEMO TO:
File FROM:
L. S.
Oewey
SUBJECT:
SUS(UEHANNA OL REVIEM, PENNSYLVANIA PO'AER 5 LIGHT, OKT. 50-387 and 50-388
'/INELANO TELEPHONE INTERVIEM On May 22, 1980, I telephoned the electric department of he City of
- Yineland, New Jersey (609-691-3000) in connection uith the OL antitrust review for the Susquehanna nuclear project to determine uhether Vineland was being afforded fair access to the Susquehanna nuclear units.
As pointed out in my, memorandum of February 5, 1980, in its reports to the NRC of February
- 1979, Pennsylvania Power 3 Light (PPKL) had advised
.hat the City of Vineland had earlier expressed an interest in obtaining capacity and-energy from the Susquehanna nuclear project.
The 1979 peak load of the Vineland electric system is 73 iw.
The system has approximately 96 NM of generation.
'/ineland is interconnected with the Atlan.ic City Electric Company.
It is a satellite member of the PJM pool and participates in various types of coordinating activities by virtue of this membership.
Mr. Ray L wson is presently the manager o
the Vineland Electric System.
Hi 5 knowledge 0f the Susquehanna negotiations is 1 imited, however, s ince he has only held this managerial position for about a year.
He is expected to be re~laced by a
new manager in 'une, 1990.
Ouring 'he period that he has been involved in the Susquehanna negotiations, he believes that PPKL has treated '/inel and airly.
S ~0603 0O(n
According to Lawson, Vineland is presently contemplating obtaining 10 to 19 NMs of Susquehanna power from?PKL.
Vineland's consultant, Stone h
- Mebster, has done a study which recommends this purchase.
According to
- Lawson, PPGL has not tried to limit the megawatts being made available o
Vineland.
Lawson states that once the Vineland Electric System decides to participate in the Susquehanna
- project, then Vineland will begin formal negotiations with PPKL to work out all the details.
He believes that there will be wheeling charges over several
- systems, but he is not sure whether PPEL itsel f. will charge for wheeling.
8ecause Lawson's knowledge of the Susquehanna.
negotiations is rather limited, on thi s same date I also telephoned the former manager of the Yineland system, i<<r.
Ray Smith (203-265-1593).
Nr. Smith is presently the manager of the Mallingford Electric Utility in Mallingford, Conn.
Smith reports that he was involved at the outset in the negotiations with PPEL.
These negotiations, which began several years ago, were commenced as part of a power supply s udy done by Stone and Mebster or the City o> '/ineland.
Ouring this study Stone and Mebster had contacted a large number of utilities in the area to ascertain the power supply opportunities that might be avail-able to Yineland.
PP8L originally offered '/ineland about 40 i~iMs from Susquehanna and an interes fn one of its oil fired units.
'/ineland was mainly inzereszed in nuclear oower and originally was "hl <ing of acquiring up to 30,'1Ms
-,rom Susquehanna, but cut bac'< on the amount of oower they wanted because of the>>il incident.
obtain about 20 NMs.
Smith personally recommended that '/ineland AIthough Smi th bel ieves tha PPAL reated '/ineland,airly in most respects, ne complains chat PPBL was only making uni: power availaole from Susquehanna
and then only for a ten year period.
Apparently PP3L had excess power avail-able from the units for the next ten years, but thereafter it wanted to reserve all the power itself.
Secause of its cheaper cost of financing as a municipal utility, Vineland wanted an ownership interest in Susquehanna.
PPSL refused and gave as its reason the fact that utilities such as Vineland were "Johnny-Come-Latelys" who had not been in the project from i:s inception and had not shared all the risks.
Even though Vineland has been limited to unit power from Susquehanna for a period of only ten years, apparently Vineland thinks this offer is better than nothing and chances are good that it will accept.
Smith reports that there are several other power supply alternatives which may be available to Vineland from other utilities for the long term.
Nr.
Ray Smith appears to be one of the most knowledgeable parties concerning the Uineland participation in the Susquehanna project.
8oth he and Ray Lawson have agreed to answer any further questions that we may have.
Respectfully submitted,
0 0