ML19248D460
| ML19248D460 | |
| Person / Time | |
|---|---|
| Site: | Davis Besse, Perry  |
| Issue date: | 06/25/1979 |
| From: | Harold Denton Office of Nuclear Reactor Regulation |
| To: | |
| Shared Package | |
| ML19248D455 | List: |
| References | |
| NUDOCS 7908160264 | |
| Download: ML19248D460 (4) | |
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Appendix A '
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tiOTICE OF VIOLATION Cleveland Electric Illuminating Company Davis Gesse Unit 1,
. License fio. tiPF-3 Perry Units 1 and 2 CPPR-148, CPPR-149 As a result of (a) an investigation of a request for enforcemnt action by the City of Cleveland dated Februar; 28, 1978, (b) an ana. lysis of a transmission schedule filed by The Cleveland Electric Illuminatlag Company (CEI) on January 27, 1978 with the Federal Energy Regulatory Comission, and (c) a review of CEI's answers dated March 27, 1978 to the fluclear Regulatory Comission (f1RC) Staff's questionnaire dated February 21, 1978, it appears that CEI has not complied with antitrust license condition No. 3 of the subject license and construction permits as set forth below.
Antitrust l'icense Condition No. 3 reads as follows:
"(3) Applicants shall engage in wheeling for and at the request of other entities in the CCCT:
a) of electric energy from delivery points of Applicants to the entity (ies); and, b) of power generated by or available to the other entity, as a result of its ownership or entitlements*/ in generating facilities, to delivery points of Applicants designated by the other entity.
" Entitlement" includes but is not limited to power made available to an entity pursuant to an exchange agreement.
Appendix A A f L)
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"Such wheeling services shall be available with respect to any unused capacity on the transmission lines of Applicants, the use of which will not jeopardize Applicants' system.
In the event Applicants must reduce wheeling services to other entities due to lack of capacity, such reduction shall not be effected until reductions of at least 5 percent have been made in transmission capacity allocations to other Applicants in these proceedings and thereafter shall be made in proportion to reductions imposed upon other Applicants to thisproceeding.**/
" Applicants shall make reasonable provisions for disclosed
, transmission requirements of other entities in the CCCT in planning future transmission either individually or within the CAPC0 grouping.
By " disclosed" is meant the giving of reascnable advance notification of future requirements by entities utilizing wheeling services to be made available by App.licants."
5taff has concluded that the Cleveland Electric Illuminating Company (Licensee) has not reasonably complied with this condition since January 27, 1978 in that:
(1) although antitrust license condition No. 3 requires provision of wheeling services on a reasonable basis, the Licensee has proposed such services only until some unknown future date ("the date of the final decision of NRC" on the question of validity of condition No. 3).
Conditioning wheeling on such a basis is.. unreasonable and tantamount to a refusal to wheel.
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The objective of this requirement is to prevent the preemption of unused capacity on the lines of one Applicant by other Applicants or by entities the transmitting Applicant deems noncompetitive.
Competitive entities are to be allowed opportunity to develop bulk power services options even if this results in reallocation of CAPCO (Central Area Power Coordination Group) transmission channels.
This relief is required in order to avoid prolongation of the effects of Applicants' illegally sustained dominance.
Appendix A n-47E n ') ' '.
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(2)' although antitrust license condition No. 3 requires the availability of wheeling services if there is unused capac.ity the use of which will not jeopardize applicants' system, the Licensee has proposed such services only if it, the Licensee, would be the " sole judge" of whether the serv!ces are available.
Conditioning wheeling on such a basis is unr,eason-able and tantamount to a refusal to wh el.
(3) although antitrust ifcense condition No. 3 establishes procedures to prevent Licensee from preempting available transmission capacity over which the wheeling services are to be provided, the Licensee has propcsed such services upon a condition which would permit it to unreasonably preempt unused transnission capacity.
Conditioning wheeling on such a basis is unreasonable and tantamount to a refusal to wheel.
(4) although antitrust license condition No. 3 requires the provis, ion of wheeling services without limitation as to the minimum reasonable duration of a specific wheeling transaction, the Licensee has proposed such services only. if the minimum wheeling transaction lasts for periods of not less than 12 months.
Conditioning wheeling on such a basis is unreasonable and tantamount to a refusal to wheel.
(5) although antitrust license condition No. 3 requires provision of wheeling services "for and at the request of other entities in the Appendix A 9
4-CCCT" with the expectation that upon request such services shall be proviced in a timely manner, the Licensee has proposed such services only upon condition that the Licehsee file separate supplemental schedules for each transaction.
Conditioning wheeling on such a basis is unreasonable and tantamount to a refusal to wheel.
The five Licensee-proposed conditions to wheeling listed above, individually and in concert, constitute un' epsonable conditions tantamount to a r
refusal to wheel in violation of antitrust license condition No. 3.
This Notice of Violation is sent to Cleveland Electric Illuminating Company pursuant to the provisions of 2.201 of the NRC's " Rules of Practice," Part 2, Title 10, Code of Regulations. The Cleveland Electric Company is hereby required to submit to this Office, within twenty (20) days of its receipt of this notice, a written statement or explanation in reply, including for the above item of noncompliance; (1) admission or denial of the alleged item of noncompliance; (2) the reason for the item of noncompliance if admitted; (3) the corrective steps which have been taken and the results achieved; (4) the corrective steps which will be taken to avoid further noncompliance; and (5) the date when fJll compliance will be achieved.
Appendix A 9
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