ML19340D381
| ML19340D381 | |
| Person / Time | |
|---|---|
| Site: | Comanche Peak, South Texas  |
| Issue date: | 12/24/1980 |
| From: | Mark Miller Atomic Safety and Licensing Board Panel |
| To: | HOUSTON LIGHTING & POWER CO., JUSTICE, DEPT. OF, TEXAS UTILITIES CO. |
| References | |
| ISSUANCES-A, NUDOCS 8012300469 | |
| Download: ML19340D381 (17) | |
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UNITED STATES OF AMERICA
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-4 NUCLEAR REGULATORY C010iISSION
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J ATOMIC SAFETY A'iD LICENSING BOARD Before Ad=inistrative Judges:
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- I Id Marshall E. Miller, Chair =an Qj'.
Sheldon J. Wolfe f
Michael L. Glaser To D ~c,
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c91,u In the Matter of
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HOUSTON LIGFZING & POWER COMPAh"f, et al.
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Docket Nos. 50-498A
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50-499A (South Texas Proj ect,
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Units 1 and 2)
)
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TEXAS UTILITIES GENERATING COMPA'?Y, et al. )
Docke: Nos. 50-445A
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50-446A-(Comanche Peak F:eam Electric Staticn,
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Units 1 and 2)
)
)
December 24, 1980 ORDER (Granting Leave to File Conformed Se::lement License Conditions)
A cocion for leave to file a conforned set of proposed license conditions was filed on December 22, 1980, by the following parties:
NRC Staff, Department of Justice, Texas Utilities Cocoany, Houston Lighting & Power Company, Central Power & Light Company, City Public Service Board of San Antonio, City of Austin, and Tex-La Electric Cooperative of Texas, Inc.
The following corrections were also made by these parties to the proposed settlemen: license conditions submitted on Septe=ber 15, 1980:
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. A.
Errata in Comanche Peak Conditions 1.
Page 1,2"/ Parazraph D. (1)(c), line 3 :
after " owning" delete the "or" and inser: a comma:
2.
Page 1, Paragraph D. (1) (c), line 4:
after "own" delete the "or" and insert a comma; 3.
Page 6, Paragraph D. (2) (1) (b), lines 3-4:
"an exemption from jurisdiction" should read "a non-jurisdictional status";
4 Page 6, Paragraph D. (2) (1)(c),,11ne 3 :
"their exemption fro jurisdiction" should read "their non-jurisdictional status";
5.
Page 7, Paragraph D. (2)(1)(c), lines 5-6:
"their exemption from jurisdictior" should read "their nonjurisdictional status";
6.
Page 7, Paragraph D. (2) (m), line 3:
" paragraph" should read " paragraphs".
B.
Errata in South Texas Conditions 1.
Page 1, Paragraph I. A. (3). line 4:
af ter " cooperative,"
the possibly illegible word is "or";
2.
Page 1, Paragraph I.A.(3), line 6:
a:er " controlling" insert a coc=a; 3.
Page 6, Paragraph I.B. (6) (a), line 15:
" reasons",
should read " reason";
4 Page 7, Paragraph I.B. (6) (a), line 10:
"denited" should read " denied";
5.
Page 7, Paragraph I.B. (6) (b), line 2 :
"another Entity" should read "any other Entity (ies)";
6.
Page 7, Paragraph I.B. (6) (b), line 3 ;
"any other" should read "another";
7.
Page 7, Paragraph I.B. (6) (b), line 5 :
"an exemption from jurisdiction" should read "a nonjurisdictional status";
~/ age numbers refer to those pages in the settlement conditions 1P already submitted to the Board on September 15, 1980.
5.
Page 7, Paragraph I.3. (6) (c), line 4:
"its exe=ption fren jurisdictien" should read "its non-jurisdictional status";
9.
Page 5, Paragraph I.3. (6) (c), line 2 -
"'/" should read "2/", with corresponding change in footnote at be::c= of page 5; 10.
Page 8, Paragraph I.3. (6) (c), line 10:
" reasons" should read " reason";
11.
Page 8, Paragraph I.3. (6) (c), line 11:
"its exe=ption frc= jurisdiction" should read "its non-jurisdictional status.".
ORDER Good cause having been shown Oc =ake the foregoing corrections and to file the conferned se: of proposed license condizions, and based upon a consideration of the entire record in this matter, it is, this 24th day of Dece=ber 1980, ORDERED Tha: the =ction of the parties to file the attached conformed se: of proposed license condi:icns is gran:cd, and the corrections Oc :ne Septe=mer 3.0, iroO Yroc.osec cense condic,cns are adoo.:ed.
FOR TdE ATOMIC SAFETY A'iD LICENSING BOARD b.
a Administrative Judge 1
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r CONFORMED December 1980 i
L: CENSE C0tCITIONS FOR COMANCHE PEAK STEA': ELECTR:C STATION UNITS 1 AiC 2 D.
(1) Ine following definitions apply to paragraph 3.D.(2):
(a)
" Applicants" means severally and jointly Texas Utilities Generating Company, Dallas Power & Light Company, Texas Electric Service Company, Texas Power & Lign: Ccmpany, Texas Utilities Company and each other subsidiary, affiliate or successor company now or herea'ter engaged in the generation, transmission and/or the distribution cf electric power in the State of Texas.
(b)
" North Texas Area" means the following Texas counties:
Ancerson, Andrews, Angelina, Arcner, Eastroo, Saylor, Bell, Borcon, Bosoue, Brown, Surnet, Cherokee, Clay, Coke, Collin, Comanche, Cooke, Coryell, Crane, Culberson, Dallas, Dawson, I
DeMa, Denton, Eastlanc. Ector, Ellis, Erath, Falls, Fannin, Fisher, Freestone, Gaines, Glasscock, Grayson Hencersen, Hill, Hood, hopkins, Houston, Howa rd, Hunt, Jack, Johnson, Kaufman, Kent, Lamar, Lampasas, Leon, Limestone, Loving, Lynn, Martin, McLennan, Midland, Milam, Mitenell, Montague, Nacogdoches, Navarro, Nolan, Palo Pinto, Parker, Pecos, Rains, Reagan, Red River, Reeves, Rockwall, Rusk, Scurry, Schackelfore, Smith, somervell, Stephens, Sterling, Tarrant, Terry, Tom Green, Travis, Uoton, Van Zandt, Ward, Wichita, Wilbarger, Williamson, Winkler, Wise, Wood, and Young.
(c)
" Entity" means ar. electric utility which is a person, a private or public corporation, a governmental agency or authority, a municipality, a cocoerative, or an association owning, operatir.g or contractually controlling, or proposing in good faith to own, operate or contractually control, '
l facilities for generation of electric power and energy; provided, however, that as usec in paragraphs 3.0 (2)(a),
3.D.(2)(b),3.D.(2)(g),3.D.(2)(i),3.D.(2)(j)(a)and(b),
3.0.(2)(k), 3.0.(2)(1) and 3.D.(2)(m), " Entity" means an electric utility which is a person, a private or public i
l corporation, a governmental agency or authority, a munici-pality, a cooperative, or an association owning or operating, or proposinc in good faith to own or operate, facilities for I
generation, transmission and/or distribution of electric power and energy.
(d)
" Entity in the North Texas Area" means an Entity which owns or operates facilities for the generation, transmission and/or distribution of electric power in any area within the North Texas Area.
(e)
" Sulk Power" reans the electric power and/or electric energy supplied or made available at transmission or subtransmission voltages.
(f)
"Cests" means all appre;riate operating and maintenance expenses and all ownership c sts where applicable.
(g) ine ten s " connection" and " interconnection" are used inter-cnangeaoly.
(2) ine Ap:litants defined in Paragraph 3.D.(1)(a) are subject to the fclie ing antitrust conditions:
(a) The Applicants shall afford an opportunity:to participate in the Comanche Peak Steam Electric Station, Units 1 and 2, for the terr cf the instant license, or any extension or renewal thereof, to any Entity (ies) in the North Texas Area making a timely repuest therefor, through a reasonable ownership interest in such unit (s) on reasonable terms and conditions and on a basis that will fully compensate Applicants for their costs.
It is understood that any request received prior to December 1,1973, shall be deemed te be timely.
In connection witn such participation, the Applicants aise will interconnect with and offer transmission service as may be required for delivery of such power to such Entity (ies) at a point or points on the Applicants' system on a basis that will fully compensate the Applicants for their costs including a reasonable return on investment.
Notwithstanding the December 1,1973 date appearing hereinabove, the A:plicants' offer of participation in Co anche Peak, Units 1 and 2, to Tex-La Electric Cooperative of Texas, Inc. shall not obfigate the Applicants, by virtue of such offer, to offer an opper-tunity to participate in Comanche Peak, Units 1 and 2, to any other Entity.
(b) as they are members of the Texas The Applicants, as long(TIS), shall support reasonable requests Interconnected Systems by Entities in the North Texas Area having generating capacity for membership in TIS. Tne Applicants shall also propose and actively support, as long as they are members thereof, the creation of one or more additional classifications of TIS nembership based on non-discriminatory criteria to afford acess to data, studies and recommendations to all Entities in the North Texas area who desire membership.
The Aeolicants shall also support requests by qualified Entities in the North Texas Area for membership in any other electric utility planning or operating organization or of which the Applicants are members (other than one involving only the Applicants).
The Applicants shall share information with other Entities with respect to, and shall, with other such entities through any electric utility planning) organizations (other than one involving only the Applicants of which the Applicants are members, concuct and/or participate in joint studies and planning of future generation, transmission and related facilities; provided, however, this condition shall not obligate the Applicants to conduct or participate in such joint studies or joint planning unless (1) the studies or planning are requested and concutted in good faith and are based on reasonably realistic and reasonably complete data or projections, (2) the studies er planning are reasonably justified on the basis of sound engineering principles, (3) appropriate protection is accorded proprietary or other confidential business and financial infomation, and (4) the costs for such studies or planning are allocated on a fair and equitable basis.
(c) ine Applicants will connect with, coordinate rese-ves, and sell, purenase or exchange emergency and/or seneculed main-tenance bulk power witn any Entity (ies) in the horth Texas Area on tems that will provide for the Applicants' costs, including a reasonable return on investment, in connection therewith and allow such Entity (ies) full access to the benefits of such reserve coordination.
(d) Emergency service and/or scheduled maintenance service to be provided by each party shall be furnished to the fullest extent availaole from the supplying party and tiesired by the party in need.
If ret.ested, Applicants shall exchange maintenance schedules with any Entity in the North Texas Area.
The Applicants and each such Entity (ies) shall provide to the other emergency service and/or scheduled maintenance service if and when available to the extent they can d6 so without unreasonably impairing service to their customers including other electric systers to whom they have fim commitments. Any curtailment or refusal to provide such emergency and/or scheduled maintenance service shall be on a non-discriminatory basis.
(e) The Applicants and the other party (ies) to a reserve shartn; arrangement shall from time to time jointly establish the minimum resenes to be installed and/or provided under con-tractual arrangements as necessary to maintain in total a resene margin sufficient to provide adequate reliability of power supply to the interconnected systems of the parties in accordance with good industry practice as developed in the area. Unless otherwise agreed upon, minimur reserve require-ments shall be calculated as a percentage of each party's estimated net peak load demand (taking into account fim
4-sales and fir purchases). N party to the arrangement shall be repuired :: maintain greater reserves than the per:entage whi:n results frr the aferesaid calculation. Tne relia-tility of power delivered into TIS-ERCOT over D asyn hronous conne:tiens shall not be treated differently by the Applicants, fer puro:ses of spinning and installed reserve calculations an: re:uirements, than would be the case if such p: er origi-nated witnin TIS-ERCOT. Outages on DC asyn:hrcnous connections shall de treated by the Aeolicants the same as losses of generation within TIS-ERCOT. The Applicants agree to support the adop icn of prin:1ples invcivin; D: asyn:nreneus con-ne:tions contained in this paragraph within any TIS or ERCOT organi:ation.
(f) Tne parties to such a reserve sharin; arrangement shall provice su:h amounts of spinning reserves as may be ecuitable and adequate to avoid the inposition of unreasonable cemands on :ne otner party (ies) in meetin: the norcal contingen:ies of c:erating its (their) syste-(s). However, in no cir u -
stances shall su:h reserve requirement exceed the installed reserte require.ent.
(g)
Inter:cnne:tions with any Entity will not be limited te low voitages when nigher voltages are requested and are available from tne Appli: ants' installed facilities in the area wnere a connection is desired, when the proposed arrangement is found to be technically and e:onomically feasible.. Control and telemetering fa:111 ties shall be provided as re:uired for safe and prudent operation of :ne interconnected systems.
(h)
Interconnection and coordination agreements shall not embody any restrictive provisions per:aining to intersystem coocdina-tion. Good industry practice as developed in the area from time to time (if not unreasonably restrictive) will satisfy this prevision.
(i) The Applicants shall participate in and facilitate the exchange of bulk power by trans=f ssion over the Applicants' transmission fa:ilities between or among two or more Entities in the fiorth Texas Area with which the Applicants are connected, and between any such Entity (ies) and any Entity (ies) outside the fiertn Texas Area between whose facilities the Applicants' transmission lines and other transmission lines, in:1uding any dire:t current (asynchronous) transmission lines, fom a continuous electrical path; provided, that (i) pemission to utili:e such other transmission lines has been requested by the proponent of the arrangement, (ii) the arrangements reasonably can be accomodated frm a functional and te:hnical
. standpoint, and (iii) any Entity (ies) repuesting such trans-mission arrangements shall have given Applicants reasonable advance n:tice cf its (their) senedale and recuirements.
Such transmission shall be on tems that fully compensate the Applicants for their costs including a reasonable return on investment; proviced, however, that such transmission services and the rates to be chaged therefor shall be subject to any regulatory agency (f es) having jurisdiction thereof.
The Applicants shall not refuse to provice such transmission service merely because the rates to be charged therefor are the subje:t of dispute with such Entity.
The Applicants shall not be required to enter into any arrangement which would unreasonably impair system reliability or ecergency transmission capacity, it being recognized that while so-e transmission may be o;:erated fully loaded, other transmission may be for emergen:y use and operate: either unloaded or partially loaded.
(The foregoing applies to any Entity (ies) to which the Ap:licants may be conne:ted ir the future as well as those to whicn they are non connected).
(j)
(a) The Applicants shall include in their planning and construction programs sufficient transmission capacity as required for the transactions referred to in para-graphs (i)and (k), provided any Entity (ies) in the North Texas area gives the Aoplicants sufficient advance notice as may be necessary to ac:ommodate its (tneir) requirements from a fun:tional and technical standpoint and that such Entity (ies) fully compensates the Appli-cants for their costs including a reasonable return on inve s tment. The Applicants shall not be require: to construct transmission facilities if construction of such facilities is infeasible, or if such would unreason-ably impair system reliability or emergency transmission capaci ty.
In connection with the perfomance of their obligations above, the Applicants shall not be fore-closed from requiring a reasonable contribution in aid of construction or from making arrangements for coor-dinated construction of future transmission lines such that each of the parties to the transaction would own an interest in or a segment of the transmission addition in proportion to its share of the cost of the addition.
Any such contribution made in aid of construction or ownership interest shall be properly credited in deter-mining any wheeling charges.
If the Applicants engage in joint ownership of transmission lines with any other Entity, they shall not refuse to engage in similar transa:tions in comparable circumstances with other Entities, subject to the provisions limiting the Appli-cants' obligations above.
6-(j)
(b) Applicants shall p* ovide other Entities with reasonable access to any future interstate interconnection facilities which Applicants may own, on tems and conditions comparable to the provisions of paragraph D.2(1) hereof, and subpara-graon (a) of this paragraph.
(k) Tne Applicants shall, upon reasonable advance notice, sell full and partial requirements bulk power to requesting Entities in the North Texas Area having, on the date of this license, non-aggregated generating capacity of less than 200 M'd (including no generating capacity) under reasonable tems and conditions which shall prwide for reewery of Applicants' costs, including a reasonable return on investment. The Applicants shall not be required to make any such sale if they do not have available sufficient bulk power or adequate transmission to provide the requested service or if the sale would impair their ability to render adequate and reliable service to their own customers or their ability to discharge crior commitments.
(1)
(a)
In connection with the perfomance of their obligations herein and subject to the provisions of this paragraph, the Applicants will not disconnect from or refuse to connect their then-existing or proposed facilities with the facilities of any Entity, used or proposed to be used for the transmission of electric energy in inter-state cccmerce by reason of the interstate character of such facilities, and tne Applicants will not prevent any Entity with which they maintain connection from establish-ing, maintaining, modifying, or utilizing a connection with facilities used or proposed to be used for the transmission of electric energy in interstate commerce by reason of the interstate character of such facili-ties, prwided that, anything in these license cond,itions to the contrary notwithstanding (but subject to paragraph l
l 1(b) and 1(d) below), any Entity seeking to establish, l
maintain, modify or utilize any connection which could l
affect the nonjurisdictional status of the Applicants under the Federal Power Act shall have filed an appli-cation with and used its best efforts to obtain an order frcr. the Federal Energy Regulatory Comission, applicable to the Applicants under Sections 210, 211, and 212 of such Act, requiring the establishment, maintenance, l
modification or utilization of such connection.
In tne event that an Entity files an Application pursuant to this subparagraph, the Applicants agree that they will l
not unreasonably oppose any such application.
In the event such application is denied by a valid order of the i
1 Feceral Energy Regulatcry Comission, any continuing l
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4 refusal by the Applicants to establish, maintain, modify or utili:e such conne: tion with su:h Entity sna11 be subje:t to review by the NRC in a::ordan:e with the Atoni: Energy A:t cf 199, as amended, and the rules and re;ulations thereunder, to detemine whether any such refusal would create or maintain a situation inconsistent witt ne antitrust laws er the policies thereunder in accorean:e with the stan: ares set fortn in Section 105 of su:h A:t; prwided that all fa:tual deteminations by the FER: on any cost or system reliability reason (s) for any such refusal shall not be subject to receter-mination by the NR;. The burden of proof will be on the Appli: ants in such NRC proceeding.
(b)
Applicants shall not enter into or maintain any) agree-ment or unders tandit - eith any otner Entity (ies to re-fuse to deal with another Entity (ies) with the purpose of maintainin; a non-juristi:tional status under the Feceral power Act, an: in the event that Applicants refuse to make an interconne: tion with or choose to dis:ennect from any Entity (ies), such de:ision and/or action by the Appli: ants will be undertaken unilaterally, not jointly, and witnout consultation with any other Entity (ies), prwided, he. ever, that af ter Appli: ants de: ice to undertake su:n action, they may notify any affe:ted Entity.
(c)
In the event that an Entity files an application pursuant to subparagraph (a) of this paragraph solely by reason of Applicants' desire to maintain their non-jurisdictional status under the Federal power Act. Applicants agree l
to pay such Entity's reasonable expenses in connec-tion with such application and the ensuing proceedifig,Jf prwided, however, that Ap?li: ants shall not be required to pay for any expenses of such Entity if that Entity's application is denied by FERC for reasons advocated by Applicants at FERC, and provided further, that Applicants shall not be required to pay for any expenses of such Entity which that Entity would have incurred had it not filed an application solely by reason of Applicants' i
desire to maintain their non-jurisdictional status l
under the Federal Power Act.
I JJ Inis ocligation shall not apply to the expenses of the Central & South West Corporation or Houston Industries or any of their respective subsidiaries, including, but not limited to, the expenses of Central &
South West Corporation and any of its subsidiaries incurred in FERC Docket No. EL79-8.
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(d) Nothin; in these License Conditions shall impair the right of the Department of Justice er any other Entity, public or private, to file an antitrust action in any Feceral Court in the event any Applicant refuses to establish, maintain, modify or utilice any connection with any Entity (ies), provided, that nothing herein shall preclude any Applicant from raising any legal or ecuitatle defense that dif ti available to it.
(c) Applicants agree to use their best efforts to amend any agreements with all Entities te ensure that such agreements are not inconsistent with paragraphs 3.D.(2)(1)(a) and (b) above.
(n) ine Apolicants will, in accordance with applicable law, allow ownershio participation in future nuclear generating facilities which they may construct, own, and operate in the State of Texas en conditiens similar to these License Conditions.
(c) Applicants shall use their best efforts to modify the Offer of Kettlement filed in FER Docket No. EL79-8 to include each of tn+ undertakings set forth in the letter agreement among Applicants, Central & South West Corporation, Houston Lighting
& Power Company and the FER Staff dated September 11, 1980; Applicants shall thereafter use their best efforts to secure approval thereof by the FERC, and shall abide by any valid order (s) of the FERC issued pursuant to the Offer of Settlement.
Nothing herein shall preclude the Department of Justice from instituting or intervening in any proceeding at FERC, includin; FERC Docket No. EL79-8, and from presenting such arguments and evidence that it deems appropriate.
(p) The foregoing conditions shall be implemented i) in a minner j
consistent with applicable Federal, state and local statutes l
and regulations and 11) subject to any reculatory agency l
having jurisdiction.
Nothing herein shall preclude the Applicants from seeking an exemption or other relief to which they may be entitled under applicable law or shall be construed i
as a waiver of their right to contest the applicability of the license conditions with respect to any factual situation.
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CONFORME0 December 1950 LICENSE CONCITIONS FOP. SCL'T TET.AS PROJECT UNITS N05. 1 ANC 2 I.
A.
Tne following definitions acoly to caragrach I.B:
(1)
"Ac licants" means severally anc jeintly Housten Lightin; anc Poaer Com;any (HLP), Centra'. Poner anc Lign: Co :cany (CPL),
i City Public Service Board of San Antonio (CPSS), and the City cf Austin Electric Utility Cesart ent (COA) and any of their rescective successors, assignees, or subsidiaries engaged in the generation, transmission or tne distribution of electric I
power.
'a'here a license conditi0n is directed to a specific Applicant, that Acolicant is icentified.
(2) " South Texas Area" means (a) tnese counties;in which Appli-cant's serve electric custome-s at wholesale or retail, and i
(b) those other areas, i' any, surrounded by tne areas in (a) above.
(3) " Entity" means an electric utility which is a person, a private or public corporation, a governmental agency or authority, a municipality, a coccerative, or an association c' any C the foregoing c>rin;, ccerating, or contractually controlling, or proposing in g:cc faith to own, operate, or contractually control facilities for generation, transmission or distribution of electric 00ae-and energy for the purpose of provicing electric utility service.
(4) " Bulk Power" means the elect-ic cowe and/or electric energy supplied or made available at transmission or subtransmission voltages.
(5) "Coste means all appropriate c;erating and maintenance expenses and all ownership costs wnere applicable.
(6) The tems " connection" and " interconnection" are used inter-char;;eably.
B.
The Acplicants defined in Paragraoh I. A.(1) are subject to the following at.titrust conditions:
(1)
(a) CPL shall afford to the Public Utilities Board of the City of Brownsville an epocrtunity to participate in the South Texas Project, Units I and 2, on reasonable tems and conditions and' in acc -dance with the South Texas Project Participation Agreerent and on a basis that will fully compensate CPL for its actual costs, provided that
e s Bronsville must enter into a fim co citment to acquire the ownersnip interest mace available to it by the tems of this paragraph no later tnen January 1,1953.
Tne owne-shi interest whien CPL snall make available to Brwnsville snall be crp.:ted by multiplying CPL's Gene ra tica. Entitlement Share in STP Units 1 and 2 by the ratio of Erownsville's peak cemand for 1980 to CPL's peak demanc for 1950.
In the event Brownsville obtains an wnershi; interest fro. eny Applicant other than CPL, the ownersnt; interest wht:n CPL must make available to Brownsville hereunder shall be reduced by one megawatt for each megaaatt in excess of 12 megawatts that Browns-ville acquires fro other Acoli:ents. Ap:licants shall not exer:ise any rights of first refusal over Brownsville's efforts to carticipate in the South Texas Project to tne extent of tne first 50 L' of such oanership share.
(b) CPL shall afford Brownsvil, reasonable transmission services te ena::le it to o::ain celivery of power from the STP, provice: tnat CPL is fully compensated for its costs of such transmission services plus a reasonable reta n on investment, and p"ovided further tnat in the event transmission capa:ity is not available to provice such transmission sent:es, the previsions of Paragraph I.5.(4) herecf define the extent of the obligation which CPL has witn respe:: to the construction of additional transmission fa:ilities ne:essary to provide such trans-mission se mice.
(c) CPL will also afford all reasonable coordination seni:es (in:luding but not limited to reserve sharina, ba:kup power, maintenance power an: emergency power) neces'sary for Brownsville to have effective access to power from STP obtained frce CPL, prwided that CPL is fully com-pensated for its costs of providing such coordination semices plus a reasonable return on investment.
(d) Each Applicant shall fa:ilitate where necessary Browns-l I
ville's obtaining the participation interests and senices j
spe:ified in paragraphs 1(a),1(b) and 1(c) above.
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(2) The Applicants, as long as they are members of the Texas l
Inter:onnected Systems (TIS) or any other organization which l
considers the planning for or operations of ERCOT-TIS elec-l tric utilities, shall support reasonable requests by Entities i
in the South Texas Area havin; generation capacity for member-ship in TIS or such other organi:ations. The Applicants shall also propose and actively support, as long as they are members thereof, the creation of one or more additional l
3 classifications of TIS membership, based on non-discriminatory criteria to afford access to cata, stedies and reco cendations to all Entities in the South Texas Area who desirs membership.
The Applicants shall share information with other Entities 4 in other such Entities with respect to, and shall conduct w through any electric utility planning organizations of which tne A;;1icants are recters, jcint studies and plannin; cf future generatien, transmissien and related facilitia:
provided, ho ever, that this condition shall not obute te the Apolicants to conduct sxh jaint studies or joint planning unless (1) the studies or plinning afe recuested and carried out in good faith and based on reasonably realistic and reasonably cor:lete data or pr0jections, (2) the studies or plannin; are reasonably justifici or the basis of sound engineering principles, (3) ap:rwiate protection is accorded proprietary cr other ConiWntici.bJsiness and financial infomation, and (4) the costs for such studies or planning are allocated on a fair and eccitable basis.
(3) Each Applicant shall participate in and facilitate the exchange of bulk pc.er by transmission over its own transmission f acilities bet een or among tw: or more Entities in the South Texas Area with which the Applicant is connected; and between any such Entity (ies) and aay Entity (ies) outside the South Texas Area between wncse facilities tne Applicant's trans-mission lines and other transmission lines, including direct current (asynchronous) transmission lines, fom a continuous electrical path; provided, tnet (i) pemission to utili:e sucn other transmission lines has been re::uested by the pro-ponent of the arrangement, (ii) the arrangements reasonably can be acco=odated from a functional and technical stand-peint, and (iii) any Entity (ies) recuesting such transmission arrangements shall have given reasonable advance notice' of its (their) schedule and recuirrents.
Such transmission shall be on terms that fully compensate an Applicant for its costs including a reasonable return on investment; provided, however, that such transmission services and the rates to be charged therefor shall be subject to the jurisdiction of the appropriate regulatory agency (ies). Where the rates to be charged are subject to the jurisdiction of an appropriate l
regulatory authority, the Applicants shall not refuse to provide such transmission services cerely because the rate (s) to be charged therefor are the subject of dispute with such Entity (ies). An Applicant shall not be required to enter into any arrangement which would unreasonably impair system J
reliability or emergency transmission capacity, it being recognized that while some transmission may be operated fully loaded other transmissien may be for emergency use and operated either unloaded or partially loaded.
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.a.
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(*) Ea:n *:;11: ant snall in:lu:e in its :lanning anc ::nstruction programs suffi: ten: transmission capacity as re:uire: for tne transa::icts referre: :: in paragra:h 1.E.(3) (and 1.5.(5) for Cr.), or:vice: any Entity (ies) in the Soutn Texas Area gives an A;;licant suf fi:1ent advance n:: ice as may be ne:es-sary :0 act:- date its (their) re:uirerents frc a fun:tional an: te:nnical stan:: int an: tna; such Entity (ies) fully com ensates an Applicant for its costs in:luding a reasonable return on invest. ent.1/ An Acolicant shall not be recuired l
to constru:t transmission facilities if construction of su:h f a:ilities is infeasible, er if such would unreasonably insair syster reliability or emergen:y transmission capacity.
In :Onnection with the :erfor an:e of the obligations above, an Ac;11can: snall not ce fo-e:losed f rem re uiring a reason-able :cntribution in at: O' constructi:n or fror making arrangements f0* coordinate: :enstru:: ion of future trans-rissi:n lines suen that ea:r c' the :arties te the trans-a::ict w:ul: car ar. interes: in or a segrent of :ne trans-mission at:ition in pr:;;rtion te its snare of the cost of the aceition.
Any suen contripution made in aic of constru:-
tion or c*nershic interest snall also be properly crecited in cetermining any wheeling enarges.
If an Applicant engages in joint ownersnip of tran-issien lines witn any other Entity (ies),
it snell ne: re#use :: engage in similar transa:: ions in coccarable :f r uestances wit: Otner Entities, subje:t to the provisions limiting an Applicant's obligations above.
(5) CFL snall, u;on reasonable advan:e notice, enter into arrange-ments for the sale of full and partial recuirements bulk power pursuant to a filed tariff to any re uesting Entity having a non-aggregate: generating capacity of 200 megawatts or less under reasonable ter s anc conditions which snalk include a provision for CPL to recover its costs of providing such service plus a reasonable return on investment.
Suen tariff shall not require C L to enter into any arrangenent for such sale (s) if (a) it oces not have available sufficient bulk power or adeouate transmission to provice the reouested service; or (b) the sale would impair CPL's ability to render adeouate and reliable service to its own customers or its ability to discharge orier Ocemitments.
It is expressly recognized, and such tariff may reflect, tnat the detereination whether suffi-cient bulk power or ade uate transmission is available tc acco -
mocate a re uest for full or partial re:uire' ents bulk power will consider and recogni:e that (1) CPL will be engaging in
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ho:ning in :nis para;raph shall re:vire CPSB or C0A to uncertake any action (s) which may be contrary to any state constitutional provision.
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. centralize econo-ic dispatch with its affiliates in accord-an:e with, and pursuant to the re uire ents of, the Public Utility Holding Comoany Act of 1935, (2) pursuant to such recuirerents CFL may first utilize its generating and trans-mission capacity to accocplish such centralized economic dispatch before its generating and transrission capacity is ma:e availaole for full or partial recairements bulk power sales uncer the tariff, and (3) if other CSW system capacity becoces available by reason of CFL's pa-ticipation in su:h centrali:e: economic dispatch, then such other CSK syste-capacity will, at the option of CSW, be mace available in lieu of CPL's obligation te provice such capacity. Any curtailment of CPL's full or pa-tial re:uire-ents sales shall be on a reasonable and non-discriminatory (where possible) basis.
(6)
(a) In conne: tion with the perfomance of its oblications herein and subject to the ?-;visicns of this pare raoh, ML: shall not disconne:: from or refuse to connect its then-existing or prop 0 sed f acilities with the facilities of any Entity used or proposed to be used for the trans-mission of electric energy in interstate commerce by reason of the interstate character of such facilities, an: HLP will not prevent any Entity with which it main-tains connections froc estaoiishing, maintaining, modi-fying or utilizing a conne: tion with f acilities used or proposed to be used for the transmission of electric energy in interstate commerce by reason of the inter-state character of such f a:ilities, provided that, anything in these license conditions to the contrary n:twithstanding (but subje:t to subparagraphs -6(b) and 5(d) below) any Entity seeking to establish, maintain, modify or utilize any connection which could affec't the nonjurisdictional status of HLP under the Federal Power Act shall have filed an ap lication with and used its l
best efforts to obtain an order from the FERC, applicable to HLP under Sections 210, 211 and 212 of such Act, requiring the establishment, maintenance, modification or utilization of such connection.
In the event that an I
Entity files an application pursuant to this subparagraph, l
l HLP agrees that it will not unreasonably oppose any such application.
In the event such application is denied by a valid order of the PERC, any continuing refusal by HLP to establish, maintain, mcdify or utilize such connection with such Entity shall be subject to review by the NRC in accordance with the Atomic Energy Act of 1954, as amended, and the rules and regulations thereunder, to detbrmine whether any such refusal would create or, maintain a situation inconsistent with the antitrust l
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e
. laas er tne policies tne-euncer ir a::crdance with the stance-:s set fortn ir Se: tion 10E of such Act; proviced nat all factual detectinations.by tne FERC on any cost or syste reliability reasen(s) for any such refusal snall n:t be subject t0 redeternination by tne NRC. Tne Durcer. C' pro 0f will ce on the HL in su:n NRC proceecing.
(b) HLP snali not enter into or maintain any agreement or uncerstancing with any otner Entity (ies) or Applicant to refuse tc caal witn ar.:tner Entity (ies) or Applicant (s) witn the purpose of maintaining a non-jurisdictional status under the Federal Power Act, and in the event that HL refuses t0 make an interconnection with or chooses to disconne : fror any Entity'ies), sucn ce:ision and/or action by HL: will be uncertaken unilaterally, not jointly, and witnout consultatior, with any otner Enti ty'ies', proviced, however, that afte-MLF de ices to uncertake such actier., it may notify any affecte:
Entity of its decision.
(c) In the event that an Entity files an application pursuant to subparagraph (a) of this paragraph solely by reason of HLP's cesire to maintain its non-jurisdictional status uncer ne Federal Power Act, HLP acrees to pay sucr.
Entity's reasonable exoenses in connection witn such application and the ensuing croceeding,2/ provided, however, that HLP shall not be recuired to pay for any expenses of such Entity if tnat Entity's acclication is cenied by FERC for reasons acvocated by MLP at FERC, and provided. further, that HLP shall not be recuired to pay for any costs or expenses of such Entity which that Entity would have incurre: had it not filed an appfica-tion solely by reason of ML 's cesire to maintain its non-jurisdictional status under the Federal Power Act.
(d) Nothing in these License Conditions shall imoair the right of the Department of Justice or any other Entity, public or private, tc file an antitrust action in any Federal Court in the event any Apolicant refuses to establish, maintain, modify or utili:e any connection with any Entity (ies), provided that nothing herein shall precluce any Applicant fror raising any legal or ecuttable defense that may be available to it.
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inis oblication shall not apply to :he ex:enses of Central and South Wes Corporation or Texas Utilities Com:any or any of their respective sub-
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sidiaries, including but not limited to tne expenses of CSW and any of its subsidiaries incurred in FERC Docket No. EL79-8.
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-7 (7) HLP agrees to use its best efforts to amend any agreements witn all Entities to ensure that such acree ents are not inconsistent with oaragraphs (6)(a) an:' (5)(c) hereof.
(S)
If Applicants participate in any future nu: lear units other than those which are now under construction or for which an application for a constru: tion permit has been filed, they will afford similar participation to Entities in the Scutn Texas Area on a reasonable basis.
(9) A:plicants agree that tne relia:ility of power delivered into TIS-ER00T over D asyn:hronous :ennections snall not be treated differently by the A plicants, for purposes of soinning and installed reserve calculations and recuirements, tnan w:ulc be the case if such p we-originated witnin TIS-ER:07.
Outages on DC asyn:hronous connections shall be treated by the A: licants in the same way as losses of generation witnir T!S-ERCCT.
Applicants agree t: sue: ort the acoction Of principles involving 0; asynchronous connections contained in this paragraph within any TIS or ER:07 organization.
(10) HLP and CPL shall use their best efforts to modify the Offer of Settlement filed in FERC Docket No.
EL79-2 to in:lude each of the undertakings set forth in the letter agreement among hLP, Central and South West Corporation, Texas Utilities Company and the FER: staff, date: Septembe r 11, 1930. HLP and CPL shall thereafter use their best efforts to secure approval therecf by the FERO., and shall abide by any valid order (s) of the FERC issued pursuant to the Offer of Settle-ment. Nothing herein shall pre:lude the Depart:ent of Justice from instituting or intervening in any proceeding at FERC, including Docket No. EL79-3, and from presenting such argu-ments and evidence that it dee s appropriate.
(11) The foregoing conditions shall be implemented (1) in a manner consistent with applicable Federal, state and local statutes and regulations, and (2) subject to any regulatory agency having jurisdiction. Nothing herein shall preclude the Applicants from seeking an exemption or other relief to which they may be entitled under applicable law or shall be construed as a waiver of their right to contest the applicability of the license conditions with resce:: to any factual situation.
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