ML19224C743

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Answers to Skagitonians Concerned About Nuclear Power 790524 & 30 Discovery Requests,Submitted by Wa Water Power Co. Responds to Questions Re Cash Flow Forecast & Proposed coal-fired Plants
ML19224C743
Person / Time
Site: Skagit
Issue date: 06/13/1979
From: Okelly A, Thomsen F
PAINE, LOWE, COFFIN, HERMAN & O'KELLY, PERKINS, COIE (FORMERLY PERKINS, COIE, STONE, OLSEN
To:
References
NUDOCS 7907060125
Download: ML19224C743 (10)


Text

{{#Wiki_filter:.' . gn 4 we f' JUN221973 > [2 NRO PUBLIC DOCUMEW MM y, a y 3 y Wh. os  ? UNITED STATES OF AMERICA NUCT. EAR REGULATORY COMMISSION BEFORE THE ATOMIC SAFETY AND LICENSING BOARD In the Matter of )

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PUGET SOUND POWER & LIGHT ) DOCKET NOS. 50-522 COMPANY, et al. ) 50-523

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(Skagit Nuclear Power ) June 13, 1979 Project, Units 1 and 2) ) THE WASHINGTON WATER POWER COMPANY'S RESFONSE TO INTERVENOR SCANP'S DISCOVERY REQUESTS OF MAY 24 AND MAY 30, 1979 The Washington Water Power Company responds to Inter-venor Scanp's Discovery Requests of May 24 and May 29, 1979 as follows: TO WASHINGTON WATER POWER REQUESTS OF MAY 29, 1979 INTERROGATgRY NO. 1: Please describe specifically all computations, reports, studies, estimates, calculations and other records and documents of any kind which pertain to the following: (a) The cost of construction for your proposed Lincoln County Coal-generating Plant. (b) The cost of operation for your proposed Lincoln County Coal-generating Plant including cost of fuel, transportation and transmission lines. ry (' ^^ 7907060113.

(c) The estimated cost of power to be produced by your proposed Lincoln County generating facility. ANSWER: Attached hereto is memorandum from R. E. Henriques to D. L. Olson dated January 15, 1979 - Subject Creston-Capital Cash Flow Forecast, to which is attached a document entitled Creston Project - Summary Sheet Capital Cash Flow Forecast $ x 1,000 and additional sheet labeled Creston Forecast Explanatory Notes. These sheets were prepared for the use of the Finance Department of the Washington Water Power Company (WWP) in projecting, on the most conservative basis, Capital Require-ments for the future. Estimates were made based on general literature on the subject including an Electric Power Re-search Institute publication entitled " Coal-Fired Power Plant Capital Cost Estimates EPRI AF-342 Project SOA 76-329, Final Report January 1977, Power Engineering - May 1978, letter from Westmoreland Resource dated July 21, 1977, letter from Burlington Northern dated January 25, 1977, Reynolds Aluminum Economic Analysis-Aluminum vs. Steel Coal Cars dated February 23, 1978, and information from Portland General Electric Company related to cost of coal delivered to Boardman. The resulting figures are not intended to be precise but only order of magnitude figures. The dates used are also only for comparative purposes and do not reflect any decisions relating to the construction period. on 2

WWP has made no estimate of the cost of operation or of the cost of power to be produced. REQUEST FOR PRODUCTION NO. 1: Please produce for inspection and copying the office of Intervenor's c 'unsel on the 21st day after the date of service hereof upon you, at 9:30 a.m. or at such other date and time as counsel may mutually agree, all documents described in your answer to the foregoing interrogatories. RESPONSE: A copy of the Electric Power Research In-stitute document and the Reynolds Alt.minum analysis will be made available for inspection and copying at the offices of applicant's attorney at any mutually convenient time between now and July 10, 1979. Copies of the relevant portions of other documents are enclosed to SCANP under separate cover. TO APPLICANTS REQUEST OF MAY 24, 1979 INTERROGATORY NO. 8: With respect to the proposed WWP Cocl-fired Plants in Eastern Washington: (a) What sources for coal have been considered? (b) Describe all information WWP has regarding availability, supply, price and transportation cost for such coal. c, ~ l J 3

(c) Who will (1) design, (2) build and (3) oper-ate the plant? (d) When did design work begin? (e) Have any purchases been made to date relating to such a plant and if so, when, by whom, from whom, of what, and in what amount? (f) Is such plant yet reflected in any formal or informal, inhouse, or public forecast of resources? (g) When is construction to begin? ANSWER: (a) Coal from sources in Eastern Montana, Eastern and Southwestern Wyoming and Canada have been con-sidered. (b) Much of this material has been previously supplied in response to Intervenor's interrogatories dated March 29, 1977. In addition the studies and materials outlined in answers to the Requests of May 29, 1979, have been considered. WWP also receives a constant flow of publications that are available to all members of the public, including SCANP. (c) It is expected that the Washington Water Power Co. will operate the plant. No decision has been made as to who will design or build it. 4

(d) Design work has not commenced. (e) No purchases have been made to date directly relating to the plant except for the real estate ac-quired and air monitoring systems installed. (f) The plant is not yet reflected in any formal or informal inhouse or public forecast of resources as stated above. For financial planning purposes, some assumptions have been made inhouse on an ultra conser-vative basis as described above. (g) Date that construction is to commence has not been determined. REQUEST FOR PRODUCTION NO. 10 Produce all notes, memoranda, correspondence, studies, reports and other documents of any kind relating in any way to the proposed WWP Coal-fired Plant in Eastern Washington, including all such materials in the hands of engineers and consultants. RESPONSE AND OBJECTION: WP objects to the request to produce all such documents. Ther= is no conceivable way that all such documents would relate to the matters in controversy in this case. As SCANP is well aware there have been extensive studies made relating to siting of this plant and the environmental aspects of the specific site that is

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being developed. The only conceivable issue relates to the cost of power from a coal-fired plant. WWP does not concede that this is an issue and specifically does not consider Creston an alterantive to Skagit. To comb the files of this company and all engineers and consultants in any way in-volved in this plant would constitute an t'due burden and expense. All information considered usable by the Company, relating to the above issue, has been supplied. DATED: June 13, 1979. PERKI.S, . IE, ST NE, CSEN & WILLIAMS Br/ ? ehtm / try?"/C w m F.' Theodore Thomsen ' 1900 Washington Building Seattle, Washington 98101 Attorneys for The Washington Water Power Company PAINE, LOWE, CCFFIN, HEPJ4AN & O ' KELLY By 7 Alan P. O' Kelly ) 1400 Washington Trust Fidancial Center Spokane, Washington 992D4 Attorneys for The Washington Water Power Company on- ,- 6 <

STATE OF WASHINGTON )

ss.

COUNTY OF SPOKANE ) D. L. OLSON, being first duly sworn on oath, deposes and says: That he is Vice President of The Washington Water Power Company; that he has read the foregoing RESPONSE TO INTERVENOR SCANP'S DISCOVERY REQUESTS OF MAY 24 AND MAY 30, 1979, and is informed and believes that the answers stated therein are true. x SUBSCRIBED AND SWORN to before me this 13th day of June, 1979. , 4 - Nota'ry Public in and fpr the State of Washington, resididg at Spokane.

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[ # [ 'I I I/ffY ff('t.WY __ M /// #f//// N' (b /// ff'$ INTEROFFICE MEMOR ANDUM TIEIC!!L GCJECTU ./ To D. L. Olson cATE J..nua r j 15, 1979 FRoM [{ . E, !{enrique<3 su a;cc T Creston -- C=pitul Cash Flow Forecast The '.ttnehed forec :st sumanry sheet tnLulates the totul costs for the three 50.:!d unita nt C re s ton . The explanitor;, .,otes define the considerations that ere used in prr.;:nring the forecost. This fore &st uns uaec 1: the preparation c2 the 1C yetir frrec.St suu..itted to the Fionnee 0_pnrt ent. !!owever, the ff.gures includeu in th- JO-yeer forecast represent 103 percent of the co" ::it; ent required through 3 9d3 e nci 50 peremit of tne co cite.ent required fro- 19 S-, throu'th 193d. This represents nn art:itrary diviaton of coats until tgreer.ents are reached with potertial partners in Creatau. IlE!I:u g Attechcant ./

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U CRESTOI! FORECAST v. r 7 tw. Lt .) e 1,0n,1 nOlco m , .. , . ,

1. Costa are total co mitmenta for Crecton 1, 2, and 3
2. Coato are 1976 dollara, with eccalation calculnted at 6$/yeur ec pou::ded.

3 Coctc for the encineerinc, de3icn, and construction we:e taced on 5703/:~-l for Crecton 1 r. . ,P.;d ]/11 for C.eator 2 a:.3 3 Th :; '1110,, D ace in for the con"no,.acilita. Ieqa :cd 101 the i j r::t unit ,

b. Tra' r.ircion lycter cocta are :.ot included .

5 Co:: :ercial o.: eration datec are 7-1-83, '/-1-89, e r d 7-1-93 fc: U :ita 1, ? , < ni 3 ret ; c t i 'cel;, .

6. Coata 0: coal inventcry s* purch' ce of ecol carc are inclwel.

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