ML19317E822
| ML19317E822 | |
| Person / Time | |
|---|---|
| Site: | Oconee  |
| Issue date: | 05/22/1967 |
| From: | Chittenden S US ATOMIC ENERGY COMMISSION (AEC) |
| To: | Lovejoy C US ATOMIC ENERGY COMMISSION (AEC) |
| References | |
| NUDOCS 7912190985 | |
| Download: ML19317E822 (2) | |
Text
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Chas. A. Lovejoy May 22, 1967 Accounting Procedures Branch Office of the Controller S. D. Chittenden, Chief
'ngtnaering Branch Division of Construction APPLICATICN OCCNEE STATION UNITS $1, f2, A3D f3 - IXDCE POWER CCMPA3Y, DOCET 308 50-269, 50-270, A3D 50-287 CCESE:GE Reference is made to :nemonnda concerning subject applications, from R. S. Boyd, dated December 21, 1966, and from Charles G.
Iong, dated.% 7 15, 1967 Amendw nt No. 3, dated April 29, 1967, adds Unit /3 to the earlier application for Units /1 and f2.
These three identical pressurized water units have a total ultimate capacity of 2622 MWE nat, and are estimated by the applicant to be constructed for $263,64,c00, broken down as follows:
Site Acquisition............. $ 1,C68,000 Direct cost of plant..
225,926,000 Subtotal $226,994,000 En6ineering, seneral 0. H. and Contingencies.............
13,113,000 Licensi=g and special nrMMstrative burdens................
500,000 500,000 Operator tra4ning - capital portion Interest during construction.
22,537,C00 Total without step-up Substation
$263,63,000 The appzczinate unit cost of $100 per KN of installed capacity is considered to be a low price which, in part, is attributable i
to fawrabia site conditions including:
(a) Icv construction cost index for on-site work; (b) Favorabia seismic l u ing; (c) Favorable condensor cooling water resermir; (d) Favorable geology; (e) Fawrable climate for " outdoor
- type of plant design; (f) Favorable schedule for construction sequence of the three identical units. Repetitive design vill reduce design costs per unit vben ec:::;;mM to the more usual single plant design costs.
91fdISO N [
+
C. A. Io wjoy May 22, 1967 We note that concurrent with this themal pour pmject, Duke Power is constructing the Keovee-Toxanny hydroelectric facility under FPC license (PmJcct p2503), dated september,1966. The meervoir of this develop-nent vill supply the condensor cooling water for subject themal plants.
Thus, the subject themal installation benefits substantially fzca the hydmelectric development.
The A:nsndrwnt f3 cost estinate does not indicate the finness or natum of contzsetual arrarpts with either B&W or Bechtel.
Becauco Duke is perfoming the construction (pace 1-35, Vol. I) it :nust be concluded that no assurance as to cost of field construction can be assunsd. In this connection, the esti:nate indicates an amunt
$13,113,000 to co w r "encineering, gene ml overheads, and cont 1=sencies",
or about $ of direct ecsts. We consider this amount inadequate in light of the present trends of construction and ever.aering costs.
We, therefore, conclude that a reasonable construction cost estinate for this pro *ect should anount to about $260,000,000, Isther than the
$263,63,000 abovn (excluatr g substation vort and initial cores).
I cc: R. S. Doyd, DRL i
e O
i m.
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