ML17303A493
| ML17303A493 | |
| Person / Time | |
|---|---|
| Site: | Palo Verde  |
| Issue date: | 07/06/1987 |
| From: | Murley T Office of Nuclear Reactor Regulation |
| To: | |
| Shared Package | |
| ML17303A491 | List: |
| References | |
| A, NUDOCS 8707220598 | |
| Download: ML17303A493 (8) | |
Text
PALO VERDE NUCLEAR GENERATING STATIONs UNIT 3 OPERATING LICENSE ANTITRUST REVIEW FINDING OF NO SIGNIFICANT CHANGE Section 105c(2) of the Atomic Energy Act of 1954, as
- amended, provides for an antitrust review of an application for an operating license if the Commission determines that significant changes in the licensee's activities or proposed activities have occurred subsequent to the previous construction permit review.
The Commission has delegated the authority to make the "significant change" determination to the Director, Office of Nuclear Reactor Regulation.
Based upon an examination of the events since the issuance of the Palo Verde construction permits to Arizona Public Service Company, et al., the staffs of the Policy Development and Technical Support Branch, Office of Nuclear Reactor Regulation and the Office of the General
- Counsel, hereafter referred to as "staff", have jointly concluded, after consultation with the Department of
- Justice, that the changes that have occurred since the construction permit review are not of the nature to require a second antitrust review, at the operating license stage of the application.
In reaching this conclusion, the staff considered the structure of the electric utility industry in the Southwest, the events relevant to the Palo Verde construction permit and operating license reviews, and the events that have occurred subsequent to these reviews.
The conclusion of the staff's analysis is as follows:
"Staff has identified several groups of changes in the licensees 'ctivities since the previous antitrust review associated with the Palo Verde Nuclear Generating Station.
These changes have been largely procompetitive or competition neutral.
"In the process of, conducting its antitrust operating license review of Palo Verde Unit 3, staff was apprised of a dispute between one of the co-licensees and a competing power supplier pursuant to transmission access in the desert Southwest.
After extensive negotiations, the parties in the dispute entered into a binding Settlement Agreement on June 5, 1987 which provided for both transmission planning and ownership of new transmission capacity for the power system that had allegedly been denied these power supply, options.
Mith the recent signing of this Agreement, coupled with evidence that procompetitive market transactions have become increasingly more prevalent in the Southwestern bulk power services market, staff believes that the competitive process is at play in the desert Southwest and recommends that the Director of the Office of Nuclear Reactor Regulation make a finding of no significant change pursuant to the Palo Verde Nuclear Generating Station, Unit 3 antitrust operating license review."
8707220598 870702 PDR ADOCg 05000530 N
Based upon the staff's analysis, it is my finding that there have been no "significant changes" in the licensees'ctivities or proposed activities since the completion of the previous antitrust review in connection with the construction permit.
Cz'i'gi'nal signed by
'Thomas E. Murley Thomas E. Murley, Director Office of Nuclear Reactor Regulation DISTRIBUTION
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OFFICIAL RECORD COPY
0
PALO VERDE NUCLEAR GENERATING STATION, UNIT 3 OPERATING LICENSE ANTITRUST REVIEW FINDING OF NO SIGNIFICANT CHANGE Section 105c(2) of the Atomic Energy Act of 1954, as
- amended, provides for an antitrust review of an application for an operating license if the Commission determines that significant changes in the licensee's activities or proposed activities have occurred subsequent to the previous construction permit review.
The Commission has delegated the authority to make the "significant change" determination to the Director, Office of Nuclear Reactor Regulation.
Based upon an examination of the events since the issuance of the Palo Verde construction permits to Arizona Public Service 'Company, et al., the staffs of the Policy Development and Technical Support Branch, Office of Nuclear Reactor Regulation and the Office of the General
- Counsel, hereafter referred to as "staff", have jointly concluded, after consultation with the Department of Justice, that the changes that have occurred since the construction permit review are not of the nature to require a second antitrust review at the operating license stage of the application.
In reaching this conclusion, the staff considered the structure of the electric utility industry in the Southwest, the events relevant to the Palo Verde construction permit and operating license reviews, and the events that have occurred subsequent to these reviews.
The conclusion of the staff's analysis is as follows:
"Staff has identified several groups of changes in the licensees'ctivities since the previous antitrust review associated with the Palo Verde Nuclear Generating Station.
These changes have been largely procompetitive or competition neutral.
"In the process of conducting its antitrust operating license review of Palo Verde Unit 3, staff was apprised of a dispute between one of the co-licensees and a competing power supplier pursuant to transmission access in the desert Southwest.
After extensive negotiations, the parties in the dispute entered into a binding Settlement Agreement on June 5, 1987 which provided for both transmission planning and ownership of new transmission capacity for the power system that had allegedly been denied these power supply options.
With the recent signing of this Agreement, coupled with evidence that procompetitive market transactions have become increasingly more prevalent in the Southwestern bulk power services market, staff 'believes that the competitive process is at play in the deser t Southwest and recommends that the Director of the Office of Nuclear Reactor Regulation make a finding of no significant change pursuant to the Palo Verde Nuclear Generating Station, Unit 3 antitrust operating license review."
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'gi Based upon the staff's analysis, it is my finding that there have been no "significant changes" in the licensees'ctivities or proposed activities since the completion of the previous antitrust review in connection, with the construction permit.
Original signed b7
'Thames E. Murley Thomas E. Murley, Director Office of Nuclear Reactor Regulation DISTRIBUTION tR ly JSniezek JFunches DNash BLambe
- BVogler, OGC
- MDavis, PM LFPES R/F 8I S/F LPDR
~NRCPDR
~- Docket -File.50-530A griv F
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NAME :MLambe:srg DATE :6/
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