ML19340F161

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Responds to to President Carter Expressing Concern Re Effect of TMI-2 Accident on Electricity Costs.No Statutory Authority Provides for Direct Federal Aid for Cleanup & Recovery Costs.W/O Supporting Documentation
ML19340F161
Person / Time
Site: Crane 
Issue date: 01/07/1981
From: Harold Denton
Office of Nuclear Reactor Regulation
To: Hicks D
AFFILIATION NOT ASSIGNED
References
NUDOCS 8101210108
Download: ML19340F161 (3)


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JAN 7 1981 i

Mr. Durwood G. Hicks

-e 1420 N. 7th Street Lebanon, Pennsylvania 17042

Dear Mr. Hicks:

A; This is in reply to your letter of September 18, 1980, to Predident. Carter ajout the effect of the accident in March 1979 at Three Mile Island Unit 2'bn the cost of electricity to customers of Metropolitan Edison Co. and the need for federal assi stance.

Enclosed is a copy of a letter of July 3,1980, from the Assistant to the President for Donestic Affairs and Policy to the Chairman of the Pennsylvania Public Utility Commission. This states that there is no statutory authority for any form of direct federal finarcial aid to assist in clean-up and recovery costs associated with the accident at Th. ee Mile Island.

It does refer to proceedings at the Federal Energy Regulatory Commission (FERC) that would provide for a discount for Metropolitan Edison in purchasing power while the TMI plant is down. This was subsequently approved by FERC.

As you know, the accident at Three Mile Island Unit 2 also caused Unit 1 to be shut down until its safe operation can be assured and has necessitated the purchases of electric energy by Metropolitan Edison from other utilities. Enclosed is an item from a recent report of the U.S. Departm nt of Energy that discusses these purchases.

Special arrangements were made with utilties outside the PJM power pool to provide lower-cost power on an "as-available" basis. This is said to have saved the cus-tomers of the GPU System, of which Metropolitan Edison is a part, over $114 million from the date of the TMI accident through May 1980, compared to pre" ailing contrac-tual arrangements within the PJM power pool. However, at times during the strumer heat wave in 1980, these special arrangements were cancelled to enable the supplying utilities to meet their own high demands for electric power.

The resumption of operation of Three Mile Island Unit 1 is the subject of a hearing by an Atomic Safety and Licensing Board of the Nuclear Regulatory Commission. That hearing started on October 15, 1980. The Commission has detemined that satisfac-tory completion of certain short-term actions and resolution of various specified concerns are required to provide reasonable assurance that the facility can be operated without endangering the health and safety of the public. The Conmission has also detemined that certain long-term actions are required to be completed as P00R ORGNAl.

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Mr. Durwood G. Hicks promptly as practicable and that reasonable progress on the completion of such actions prior to restart is required in order to provide reasonable assurance that the facility can be operated safely over the long tem. The Commission's primary comitment is to a fair and thorough hearing and decision. Given this overriding imperative, it is the Comission's expectation that the Board will conduct the proceeding expeditiously. The decision on resumption of operation will be made by the Commission after the hearing is completed.

Sincerely, s.y 3,7. = ;l -

Harold R. Denton, Director Office of Nuclear Reactor Regulation

Enclosures:

1.

Ltr. of July 3, 1980 2.

Recent Report of the U.S. Department of Energy DISTRIBUTION Docket 50-370 NRC PDR LPDR Tera NSIC HRDenton EGCase DnnD IM fl PFine GZech/TJCarter l UUgg IUlstj L TMI R/F BSnyder NRR/TSB

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I an one of the majority who wants it to be known that I 2: f or castin; aside any more ielays in gettinz Thr.ee.2i.l..e Island's " nit ? elanned un and Unit 1 back in operation. There has been enough investi;ation from all interests and enough protests from the minority. Now is the time for the majority to be heard. Some type of federal aid should be given to ;!et-Zd to help ;et this job lone and some forn relief to the ratepayer.

?ie need nuclear power-without it this country is doo:..ed and the Carm :nist Natians know this.

They are not shutting down their nuclear plants!

The minority who feel this country can be run by wind, solar, and water power are pipedreaning.

It doesn't appear that our leaders want coal, so what is left! Cil? At the price of oil-forget it!

I feel that for the best interest of the good old ".

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the ;overnr.ent or overnin.;

body of this country should push to get " nit 2 cleaned up and Unit 1 back in cperaticn and to continue with safe nuclear power.

Jurwooi 1. Hicks 1123 N. 7th 5t.

Lebanon, Pa.

P00R ORIGINAL

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