ML19260E050
| ML19260E050 | |
| Person / Time | |
|---|---|
| Site: | Perry, Davis Besse  |
| Issue date: | 01/29/1980 |
| From: | Reynolds W SHAW, PITTMAN, POTTS & TROWBRIDGE |
| To: | Chilk S NRC OFFICE OF THE SECRETARY (SECY) |
| References | |
| NUDOCS 8002130205 | |
| Download: ML19260E050 (7) | |
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c canuary 29, 1980 c.... e.
Mr. Samuel J. Chilk Secretary U.S.
Nuclear Regulatory Commission Washington, D.
C.
20555 Re:
The Toledo Edison Company and The Cleveland Electric Illuminating Company (Davis-Besse Nuclear Power Station, Unit 1)
NRC Docket No. 50-346A; The Cleveland Electric Illuminating Company, et al.
(Perry Nuclear Power Plant, Units 1 and 2)
NRC Docket Nos. 50-440A and 50-441A; The Toledo Edison Company, et al.
(Davis-Besse Powei Station, Units 2 and 3)
NRC Docket Nos. 50-500A and 50-501A
Dear Mr. Chilk:
Enclosed for your information are copies of the news releases issued on January 23, 1980, by The Toledo Edison Company and by Ohio Edison Company announcing their respective decisions, as co-owners of the Davis-Besse Nuclear Power Station, Units 2 and 3, and of the Erie Nuclear Plant, Units 1 and 2, to terminate plans for those units.
Very truly yours, Y
A Wm. Bradfor eynolds Counsel for the Applicants WBR:ats Enclosures cc: Chairman John F. Ahearne r'
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Conmissioner Joseph M.
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Cornissioner Victor Gilinskv
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Commissioner Richard T. Kennedy) w/encls.
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Wednesday, O
Date:
January 23, 19 p
tr tot C3 TOLEDC EDISON TEFMINATES PLANS FOR CAVIS-EESSI UNITS
- TOLEDO, O., January 23 - 7c,ledo Edison said tcday that proposed second and third units at Davis-Besse" Nuclear Power Station ar'; ancng four generating units which have been terminated by the Central Area Pcwer Coordinating Group (CAPCO).
Stre:ched out schedules,were announced for three units under construction in.which Toledo Edison has a 20 per cent ownership.
John P. Williamson, Toledo Edison chairman and chief executive of ficer, said the two nuclear units were to be built and operated by Tcledo Edison.
The Company would have cwned about 20 per cent of the units as well as the same percentage of two units Ohio Edison Company was to build and operate in Erie County near Berlin Heights which were also terminated.
"We remain cenvinced that nuclear power is a safe, clean and efficient fc:n of energy," he said.
"However, we were cern itted to a very, heavy nuclear program--one of the heaviest in the country.
In view cf reduced lead growth projections, financial constraints and
- cday's clima:e cf ever-regulation, we de nc: believe s feasible
- .::ceed s:.:n future units at this cir.e.'
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i Toledo Idison remains cec =itted to nuclear pcwer, he said, through its investment in about half of the Davis-5 esse Unit Cne plus about 20 per cent cwnership in capacity of the three CAPCO nuclear units under construction, two at North Perry, Chic and another at Shippingport, Pennsylvania.
"When the committed nuclear capacity is available to us by late 1980's we will have a favorable generation mix of 50 per cent ccal, 45 per cent nuclear and 5 per cent in oil," he said.
"For these next few years, as the country's energy situation continues unresolved, custcmers will be asked to develop = ore of a censervation ethic than they have evidenced in previous years.
Careful and wise use of energy has always been a 'gccc idea.
Good control of electricity use during peak hours will help us postpone adding new capacity.
Perhaps this period will be long enough that the political and regulatory climate can change in ways that will recognize the really extreme difficulties imposed on the only viable fuel rescources available on a large scale through 2,000--coal and nuclear," he said.
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The estimated original cost of the Davis-3 esse units was about S1 billion each.
By 1979, increased regulation and the impact of inflatien had increased those estimates to about S3.4 billion ecmbined cost.
"Even with the terminatien of the four units, Toledo Idison's installed reserve capacity should be adecuate thrcugh the 1980's to dee: the currently forecasted loac grcwth," M.r.
Willaa=sen said.
"The first addational capacity will ccce later th:s year when the third unit a: the Bruce Mansfield ccal-fired s:2:icn en the Ohio F.iver s put in : cperaticn.
Tcled: Edisen has accu: a 20 per cen cwnershi;
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. Toledo Edison 1-23-80 Plans for the Davis-Besse units were anncunced in 1973 with the original in-service date set for the early 19 50 's.
Since then there have ':een four announced delays amouncing to about seven years.
The last delay was announced in November 1973, when the four units were delay.ed three years. -
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January 23, 1980 OHIO EDISCN CCMPANY m
76 South Main Street a
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Wednesday a.m.
Ahren, OH hh308
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s C. G. Carter p
- : mctor, Public Infor=atien g
(216) 384-5810
- e The Ccepanies in the Central Area Pcwer Cocrdinating Group (CAPCO) talay announced the ter=ination of plans to build four additional nuclea-units presently in the design stage.
The esti=ated ccst to build those t=its vas $7.3 billica.
Mcvever, ccustruction vill centinue under an extended schedule on two nuclear units near Ncrth Ferry, Ohio, and another at ShippD:gpert, Pennsylvania.
"We r-M n convinced aft.er censiderin6 all of the options, that nuclesr power is a safe, ecencedcal and envirc= mentally superior method of generating electricity" said the state =ent issued by {tobert M. Ginn, President of the Cleveland Electric I11u=inati=6 Company, Justin T. EcBers, President of Ohio Ediscn, John P. W1111a= son, Chai.m of Toledo Ediscn, and Jchs M. Arthur, Chai=an of Duquesne Light Cecpany.
"Accez-M*,
we are cocpleting three nuclear units already well along in constructicn."
Acccrding to the CAICO chief executives, the esti=ated dates for gleting the three CAPCO nuclear units now under constructica lave been extended between 12 and 36 =cnths.
Unit 1 at the Perry Nuclear Power Plant near Ncrth Perry, Chio has been rescheduled frcct May 1963 to May 19FA; Unit 2 at the Beaver Valley Pcver Statien at Shippir%W, Pennsylvania fr:m May 1984 to May 1986; and Unit 2 at the Perry Plant frco May 1985 to May 1988.
Ccestruction of these units range frem 32 to 52 percent cecplete.
The new target dates reflect a =cre realistic time frame fcr the constructicn and licensing cf nuclear plants.
The ccupanies explained, "The political and regulatcry uncertainties affecting the future constructicn of nuclear plants has intensified follcwing the accident at Three Mile Island.
Nuclear constructica scheduled further in the future carries greater uncertainty of eventual cest.
In spite of cur cenvicticns regarding nuclear pcver, this uncertainty has cc=pelled the CAPCO Ccx::panies to te=inate those nuclear units not yet under actual cen-struction in order to reduce the future ecsts to cur custccers and share-cwners," they said.
"nese decisiens are not without risk," the joint statement said.
"Decisiens =ade today vill affect adequacy of electrical supply in the future.
me cecpanies are cencerned about the reliability of electric service to their custcmers in the =1d-1980's - particularly by we 1990's.
These con-cerns are being cent 4ma13y addressed as each ccc:pany monitors the grcuth in custcmer de-and in relation to capacity," the executives centinued.
The CAPCO Cc=panies' plans for ()C6 MW each of the Unita 2 sad 3 at the Davis-Besse Nuclear Pcwer Station near Pcrt Clinten, and the 2260 MW each cf the Erie Nuclear Plant Units 1 and 2 at a site north of Berlin Heights, all presently in the design stage, were te=inated.
The CAPCO Cepenies--Cleveland Electric Illu=inating, Duquesne Light, chio Edison, pennsylvania Power, and Toledo Edison-serve some 2.5 millica custccers in an industrial crescent in acrthern and central Ohio and vestern Pennsylvania.
The revised projected rate cf greuth in custccer de.and for electricity fc the CAPCO Cecpanies in the 1980's is in the range of two to fcur percent each y' ear.
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The statement also announced another decisien reached by ne=bers of the CAICO Grcup.
The Cleveland Electric Illu=inating Cccpany (CEI) vin increase its cwnership share in the Pe:: / Plant, new ven alcng in construc-tien. CEI, which vill build a=d operate the plant, vin increase its ownership of Perry 1 and 2 Irf 80 negawatts per unit.
Chio Idisen cwnership of each unit vill be reduced by 80 negavatts.
CEI will increase its cwnership in each of the two 1205 W Perry Units fren 295 W (24.47%) to 375 W (31.n$), chio Idisen (ani Penn Power)
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vin reduce their cwnership rrca 505 W (41.88%) to 425 W (35.24%).
There vin be no change in the Duquesne Lisht ownership of 165 W (13.74%), cr in Toledo Edisen evnership of 240 W (19 91%) in each unit.
'The percentages of cwnership in the 833 W Beaver Vaney Nuclear Unit 2, under ccnstruction at Shippin6 port, Pennsylvania, is as fonews:
CEI, 24.47%, Duquesne Li6ht 13.74%, Chio Edison 41.88%, and Toledo Ediscn 1991%.
The ccustruction schedule and percenta6es of cwnership of the 825 MW 2: vee Mansfield Unit 3, also at Shippinsport, Pennsylvania, a coal-fired CAFCO unit to be ecc:pleted later this year, are unchanged.
.