ML19326D703

Forwards Application for Amend to CPPR-116 Consisting of Addition of co-owners & co-applicants

ML19326D703
Person / Time
Site:	Catawba
Issue date:	07/01/1980
From:	Porter W DUKE POWER CO.
To:	Harold Denton Office of Nuclear Reactor Regulation
Shared Package
ML19326D704	List: ML19326D703 ML19326D706
References
NUDOCS 8007030185
Download: ML19326D703 (3)

Text

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,, s Dunm Pownn GOMPANY ,

LEGAL DEPARTMENT P. O. Box m 33189 GIIAHLOTTE, N. G. nas42 -

muau 64==v ,oann July 1, 1980 vo.> m ..n

.. c ... . .. .., c om . u Mr. Harold R. Denton, Director Office of Nuclear Reactor Regulation U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Re: Duke Power Company Catawba Nuclear Station Units 1 and 2 (Docket Nos. 50-413 and 50-414)

Dear Mr. Denton :

I Dtke Power Company (Duke) is presently the holder of NRC Construction Permits CPr'-ll6 for Unit 1 of the Catawba Nuclear Station (Catawba 1) and CPPR-ll7 for Unit 2 of the Catawba Nuclear Station (Catawba 2). On October 18, 1978, the NRC issued Amendment No. 1 to CPPR-ll7 to add North Carolina Municipal Power Agency Number 1 as a co-owner of Catawba 2 and co-applicant for the facility.

Duke has reached agreement in principal with two groups of electric cooperatives, the North Carolina Electric Member-ship Corporation (NCEMC) and the Saluda River Electric Cooperative, Inc. (Saluda River) to sell NCEMC a 56.25% undivided ownership interest in Catawba 1 and a 28.125% interest in the support facilities, and to sell to Saluda River an 18.75% undivided ownership interest in Catawba 1 and a 9.375% interest in the support facilities.

NCEMC is a cooperative non-profit membership corporation organized and existing under the laws of North Carclina. It was incorporated on January 20, 1949. Saluda River is an electric cooperative organized and e,.isting under the laws of South Carolina. It was incorporated in the State of South Carolina on November 21, 1958.

Title 10, Code of Federal Regulations, Section 50.90 requires that an application be made to the NRC for the amend-ment of a license or a construction permit. Accordingly, 8007030/8 6 [

,, s Mr. Harold R. Denton Page Two July 1, 1980 enclosed is an " Application for Amendment of Construction Permit No. CPPR-ll6 Adding Co-Owners and Co-Applicants." This Application seeks to have NCEMC and Saluda River included as co-owners and co-applicants for Catawba 1 consistent with the proposed agreements between Duke and NCEMC and between Duke and Saluda River. Twenty (20) conformed copies of the Application are enclosed with this letter. A signed original will be forwarded within two weeks.

Duke has previously advised the NRC of the negotiations and the developments.

There are three basic documents reflecting the details of the agreement between the Parties: (1) the Purchase, Construction and Ownership Agreement (the Sales Agreement) which provides for the terms of sale and covers the construction period through Commercial Operation; (2) the Interconnection Agreement which provides for the exchange of power between the Catawba Units and between the Catawba Dr.its and other nuclear units; and (3) the Operating and Fuel Agreement which provides for the operation and fueling of Catawba. These documents are described in more detail in the Application. At the present time, these documents have not been executed and are subject to_modif,ication by the Rural Electrification Administration (REA). By the filing of '

this Application, the Parties express their belief that the agreements reflect the basic intentions of the Parties and will be executed. Such execution is expected no later than September 1980. The NRC will be immediately advised of developments.

Closing is anticipated on or about December 31, 1980. This date is of the utmost importance and, therefore, expedited review of this Application is requested.

Title 10, Code of Federal Regulations, Part 50, Appendix L, requires that certain information required by the Attorney General for antitrust review be prepared and forwarded to the NRC. This information was prepared by Southern Engineering Company of Georgia for NCEMC and Saluda River. Twenty (20) copies of such information are enclosed with this letter. The Department t" Justice and NRC approval of this transaction is a necessary condition precedent to the Closing. A later Closing Date other than December 31., 1980 will be to the disadvantage of all Parties. Accordingly, we also request expedited considera-tion of this matter.

, , l ' o-

's Mr. Harold R. Denton Page Three July 1, 1980 The Parties have endeavored to submit full and complete information. If additional information is required or further discussion is necessary, please contact the undersigned in order that the December 31, 1980 Closing Date can be attained.

Very truly youfs, q

dS' .

ohter(

Willia bjh cc: North Caralina Electric Membership Corporation Saluda River Electric Cooperative, Inc.

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