ML19317G488
| ML19317G488 | |
| Person / Time | |
|---|---|
| Site: | Crystal River  |
| Issue date: | 05/18/1972 |
| From: | Braitman A US ATOMIC ENERGY COMMISSION (AEC) |
| To: | Rodgers J FLORIDA POWER CORP. |
| References | |
| NUDOCS 8003180770 | |
| Download: ML19317G488 (3) | |
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. Floridei Power Corporation
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- JAtta: Mr.DJ.;T..Rodgers.
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^ 'As'sistant Yice President ~
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8entlemen:
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, by letter dated February 11,.1972 the Attorney General rendered anti-trust advice to'the Counission pursuant to 5105c of the Atomic Energy 4
L Act of 1954, as emended. : The' Attorney General's advice included a
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reconnendation that an antitrust hearing would not be required if the policy comitments contained in Florida Power Corporation's letter to
'the Department of Justice dated December 6,1971 are included as conditions in the operating license for Crystal River Unit 3.
In.
order te' clarify the' intent of the copositments, additional statements were developed during-discusstons with representatives of your Company.
These additlanal clarifying statements, as well as the. policy comit-
' monts. included'in~
11etter of December 6, b, *1971 'ere shown in the
-enclossre to this' etter;
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.y Please advise'us as.soon a.s possible whether the lan.,guage'shown on the enclosure accuratelyLclarifies the commitments made by Florida Power
. Corporation ~ to the Department of. Justice.
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- $1ncerely,
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. Abraham Brait=an, Chief m
Office of Antitrust and Indemnity
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cc:. Bernhard G. Bechhoefer, Es,q.
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Fone AEC-Sls (Rev. 9 53) AECM 0240
- U $ GovtRWN NWG CMCE 1 m.416 46 9 8003180990
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May, 1972
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1.
. ' Applicant.will-interconnect with and coordinate reserves by means of the' sale and: exchange of emergency bulk power with.any entity or entities' in its service area. engaging in or proposing to engage in electric bulk power supply on terms that wi11' provide for applicant's costs. (including a reasonable return) in connectun therewith and allow the other participant (s) full access to'the benefits of reserve coordi-nation.
-Explanatory Notes:
(a)
Intsrconnections will not be limited to low voltages when. higher voltages are available from Applicant's installed facilities in the area where interconnection is desired, when the proposed arrangement is found to be technically and economically feasible.
(b)- Emergency service agreements will not be limited to a fixed amount, but emergency service provided under such agreements will be furnished to the fullest extent available and desired where such supply does not impair service to the supplier's customers.
(c) The installed reserve responsibility of the other
. participants is not to be tied to the size of their largest generating unit.
>(rl).Interconnectionandcoordinationagreementswill satisfy this condition if they do not embody restrictive povisions pertaining to inter-system coordination.
hdustry practice as developed in this area from. time to time will satisfy this condition if it is non-restrictive.
2.
Applicant will-purchase from or sell " bulk oower" to any other entity or entities in the aforesaid area engaging in or proposing to engage in the generation of electric power in bulk, at its costs (in-cluding a reasonable return)~when such transactions would serve to reduce.the overall costs of new bulk power supply for itself or the.other participant.or participants to-the transaction. This refers specifically to the opportunity to coordinate in the p1;.nning of new generation, trans-mission and associated facilities.
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Explanatory Notes:
-(a)
It is not to be considered that this' condition requires applicant'to purchase power if:it finds such purchase un-feasible or~ its costs in connection with such purchese
-would exceed its. benefits therefrom.
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.2 (b); :If applicant engages in coordinated development
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d-of;its bulk,powerJsupply: system with that of any.
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Lother bulk power! supply. system by~ selling' power at s
the cost of new~ power s'upplies to any electric power s
' supplier ;or engages in joint ventures with the same
. result, applicant:shall not refuse to engage in the isame kind of coordinated development on a comparable basis with'any entity 11n its service area engaging in
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or.: proposing to engage in bulk power supply.
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mission.Applica.nt will facilitate the exchange of bulk power by trans-over its systemLbetween or among two~or more entities with L~
~ which it is< interconnected'on. terms which will fully compensate it
.for.thesuse of its system to the' extent.that subject' arrangements-
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reasonably can be accommodated from a-functional and technical stand-g point.
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EEplana_toryNotes:
-(a) -- This condition applies to entities with.which.
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applicant may be interconnected in the future'as x-well-as those to which it is now interconnected.
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-(b)LApplicantisobligatedunderthiscondition 0
-to-. transmit-bulk power for other entities on the terms stated above; and-to include in its planning e
and construction programs' sufficient transmission capacity:as required therefor,: provided that such other. entities give applicant sufficient advance notice as.may be; required to accommodate the arrange-j'
' ment from a functional.and technical standpoint and that1the'other entities will be obligated to compensate applicant fully for the use of. its system.-
- 4.
- Applicant will sell: power in bulk: to any entity in the aforesaid w
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. area 'now. engaging-in or proposing;to engage in the retail distribution of electric power.1 5.:
.JIt is recognized that the foregoing conditions are to be imple-mented in aimanner consistent with the provisions of.the Federal _ Power 1
,; Act'and.alli ratesi charges _ or. practices ~ in connection therewith are to R
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- bel subject:to thefaporoval of. regulatory agencies having jurisdiction Loverithem.
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