ML18025A516

Letter Regarding DOJ Antitrust Advice Concerning Allegheny Electric Cooperative Inc.'S Acquisition of an Ownership Interest in Susquehanna Station

ML18025A516
Person / Time
Site:	Susquehanna
Issue date:	07/28/1977
From:	Shenefield J US Dept of Justice, Antitrust Div
To:	Shapar H Office of Nuclear Reactor Regulation
References
Download: ML18025A516 (6)

Text

NRC FORM 195 (2-78) / U.S. NUCLEAR REGULATORY COM 'ION

> ss NRC DISTRIBUTION FoR PART 50 DOCKET MATERIAL 'g~P~us s FROM: DATE OF DOCUMENT TO:

Dept. of Justice 7/28/77 Mr. Howard K. Shapar Washington, D. G. DATE RECEIVED John H Shenefield 8/5/77 QNOTORIZEO PROP INPUT FORM NUMBER OF COPIES RECEIVED RIGINAL JUNC LASS IF I E D COPY C DESCRIPTION ENCLOSURE Cons is ts of r eques ted addi tiona 1 antitrust advice pursuant to Section 105 of the Atomic Energy Act, as amended AQ ~l'g+l~+Gg)

PLANT NAME: Susquehanna Units 1 & 2 DO NOT B,i>> iKO~

R JL 8/5/77 FOR ACTION/INFORMATION ENVIRHNMENTAL ASSIGNED AD: Ve MOORE LTR BRANCH CHIEF.

E T iiNAGER: PROJECT MANAGER:

EN ING ASSISTANT: LICENSING ASSISTANT:

B HARLESS INTERNAL DISTRIBUTION 7FMS SAFETY PLANT SYSTEMS SITE SAFETY 8c HEINEMAN TEDESCO ENVIRON ANALYSIS EDE BENAROYA DENTON 8c MULLER ENGINEERING IPPOLITO ENVIRO TECH ERNST OPERATING REACTORS BALLARD GB BAER B ER GAMMILL 2 GRIME CHECK SITE ANALYSIS VOLLEY R BUNCH

<A TZF~ J ~ COLLINS E G EXTERNAL DISTRIBUTION CONTROL NUMBER TIC SIC REG TV J HANCHETT 772170207 16 CYS ACRS SENT CAT GO Y NRC FORM 195 IZ 76)

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Howard K. Shapar, Esquire 4s, Executive Legal Director ~~I'~~

Nuclear 'Regulatory Commission Ae(~

Washington,,D.C.;. 20555 Re:. Pennsylvania Power:.6 Light Company Susquehanna Station,. Units. 1 and 2 NRC,Docket Nos.: 50-387A and 50-,388A De artment of Justice File No. 60-.415-50 .

Dear Nr. Shapar:

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You have requested additional antitrust 'advice pursuant

, to Section 105 of the Atomic Energy Act,;, as amended, in re-gard to the above-cited nuclear generating, station.

The initi'al application, relating to'usquehanna Station,

. Units 1 and 2, was reviewed in 1972.. The Department 'advised your predecessor. commission that, so long as Pennsylvania Power and Light .(PPGL) acted to amend certain provisions -in,its; whole-sale power contracts,, an antitiust hearing would not be nec-essary. Those contracts.,have since. been satisfactorily amended.

PPGL has now agreed to, sell, .and Allegheny Electric Cooperative, Inc. has agreed to purchase a 10 .per cent undi-vided ownership interest,(105 NW) in each of the Susquehanna

., Units.. You have asked the. Department to render, antitrust .

advice..concerning Allegheny's acquisition of an ownership interest .in Susquehanna Station.

Allegheny Electric Cooperative, Xnc. is an association consisting of rural electric cooperatives in Pennsylvania.

Allegheny supplies the demand and energy requirements of its member. cooperatives only. Its: 1976 annual peak demand was 368.44- NW.'llegheny does not own any existing generati'on or transmission. (As part. of its agreement, will purchase approximately 47 'miles of'trans- with'PGL',,'llegheny-mission line from that .company. The line will be owned and 772170207

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paid for by. Alleghe'ny, but:constructed and operated by PPaL.)

In 1976, its power was supplied. by the 'following sources:

VJ Power. Authority. of the State: of New..York . (134.,45 MW),.

Pennsylvania Electric Company (163.48 MW)

Metropolitan Edison Company ( '.21. 43 'MW)

West Pennsylvania 'Power, Company ( .31.22 MW)

Jersey CentralPower. 6 'Light. Company ( '.17-.'86 MW)

On the. basis of our review of the .information submitted" by. Allegheny, as well as other relevant .information,,we con-clude that no antitrust hearing will be nece'ssary. with .respect to, Allegheny's. acquisition of an ownership interest in Susquehanna Station.

Sincerely yours, hn H. Shenefiel Acting A sistant Attorney. General titrust. Division

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