ML19210D901

Advises of Support of Munincipal Energy Agency of State of Ms Request for Proceedings.Util Should Be Required to Adhere to License Conditions of CPs

ML19210D901
Person / Time
Site:	Grand Gulf
Issue date:	11/21/1979
From:	Flexner D JUSTICE, DEPT. OF
To:	Harold Denton Office of Nuclear Reactor Regulation
References
NUDOCS 7911280386
Download: ML19210D901 (2)

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A* ' M k JS T [M 15'ON Mr. Harold Denton Director, Office of Nuclear Reactor Regulation Nuclear Regulatory Commission Washington, D.C. 20555 Re: Mississippi Power & Light Company, Grand Gulf Nuclear Station Units 1 and 2, NRC Dociet Nos. 50-416A, 50-417A

Dear Mr. Denton:

By letter dated May 29, 1979, the Municipal Energy Agency of Mississippi ("MEAM") requested that the Nuclear Regulatory Commission ("NRC") commence proceedings pur-suant to 10 C.F.R. S 2.202 to require the Mississippi Power

& Light Company ("MP&L") to comply iith the license con-ditions attached to the construction permits for the Grand Gulf Nuclear Station Units 1 and 2. The Department of Justice (" Department") hereby advises the NRC that it supports MEAM's request.

On May 24, 1973, Thomas A. Kauper, then Assistant Attorney General for the Antitrust Division, advised the Atomic Energy Commission by letter that on the basis of certain explicit representations made by MP&L to the Depart-ment, which were attached to Mr. Kauper's letter, and on the understanding that those representations would be embodied in the terms and conditions of the construction permits for the Grand Gulf Nuclear Units, the Department had concluded that an antitrust hearing would not be necessary with respect to the Grand Gulf Nuclear Units applications.

In September, 1974, the NRC issued construction permits for the Grand Gulf Nuclear Units. The terms and conditions which the NRC attached to those permits incorporated MP&L's representations to the Department.

In its May 29, 1979, letter MEAM alleges that MP&L has violated several license conditions which require, respec-tively, that MP&L interconnect with and coordinate reserves with other entities in the area (condition 2); offer access

/40/ M 79112 80.3 B's

to the Grand Gulf Nuclear Units to any entities in the western Mississippi area (condition 4); wheel power to or from entities in the western Mississippi area (condition 5);

and, sell power for resale to any entity in the western Mississippi area now engaging in or proposing to engage in retail distribution of electric power. These license con-ditions reflect representations made by MP&L to the Depart-ment which were attached to Mr. Kauper's letter. After reviewing MEAM's May 29, 1979, letter, and the attachments thereto, including letters to the Department by counsel for MP&L, the Department believes that MEAM's allegations raise genuine issues of fact as to whether MP&L has violated the above described license conditions, which should be resolved through an adjudicative hearing.

Accordingly, the Department of Justice supports MEAM's request that the NRC commence proceedings pur-to 10 C.F.R. S 2.202 to require MP&L to comply with the license conditions 2, 4 and 5.

Sincerely, Donald L. Flexner Deputy Assistant Attorney General Antitrust Division cc: Richard Perriman, Esquire Troy B. Conner, Jr., Esquire Robert McDiarmid, Esquire Fredric Chanania, Esquire jlff /}