ML20214G794
| ML20214G794 | |
| Person / Time | |
|---|---|
| Site: | Midland |
| Issue date: | 11/24/1986 |
| From: | Williams F CONSUMERS ENERGY CO. (FORMERLY CONSUMERS POWER CO.), ISHAM, LINCOLN & BEALE |
| To: | Atomic Safety and Licensing Board Panel |
| References | |
| CON-#486-1633 OL, OM, NUDOCS 8611260189 | |
| Download: ML20214G794 (7) | |
Text
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'b D%MEiEO vSNPc UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION g g, BEFORE THE ATOMIC SAFETY AND LICENSING BOARD OFFICt.
00ChLiiin. [
MA N J
- M In the Matter of
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Docket Nos. 50-329-OM CONSUMERS POWER COMPANY
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50-330-OM
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50-329-OL (Midland Plant, Units 1
)
50-330-OL
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and 2)
)
MOTION TO EXPEDITE COMPLETION OF WITHDRAWAL PROCEEDINGS By motion dated July 11, 1986, Consumers Power Company
(" Licensee") requested the Atomic Safety and Licensing Board ("ASLB") to authorize withdrawal of the Licensee's operating license application for Midland Units 1 and 2 and to terminate the pending operating license and construction permit modification proceedings.
The ASLB, in a Memorandum and Order dated September 26, 1986, terminated the construction permit modification portion of the proceedings and deferred action on Licensee's motion seeking authorization to withdraw the operating license application pending preparation by the NRC Staff and consideration by the ASLB of an environmental assessment.
On November 17, 1986, the Staff issued its environmental assessment, concluding that the Midland site is in an environmentally stable condition, that Units 1 and 2 cannot be operated as nuclear power plants in their present condition, and that termination of the 8611260189 861124 PDR ADOCK 05000 29 0
02
9 6
constructi6n permits for the Units will not have a significant effect on the quality of the human environment.
In its Memorandum and Order of September 26, 1986, the ASLB stated that the parties could file comments within 30 days.of.servide of the Staff's environmental assessment, i.e.,
December 17, 1986.
The Licensee now requests that the ASLB shorten the comment period by six days, so that comments are due by the close of business on Thursday, December 11, 1986, or hy such earlier date as the parties may stipulate.
The Licensee further requests that the ASLB convene a conference call lof the parties on Wednesday, December 3, to discuss the requested shortening and to ascertain the likely extent of t
filings, if any, in response to the Staff's November-17 filing.'
Finally, the Licensee requests that the ASLB issue its decision in this proceeding on or before December 18,
.1986.
'The reason for this requested acceleration is to permit the L1censee to timely conclude binding agreements regarding the proposed conversion of the Midland Energy Center to a gas-fired combined cycle cogeneration facility in partnership with The Dow Chemical Company ("Dow").
As the ASLB and the parties are avndne, the Licensee and Dow have been in trial for over two years in a lawsuit concerning the former nuclear cogeneration facility.
On September 17, 1986, the f
Licensee and Dow announced that they had reached an agreement in principle for a joint venture to convert portions of the e
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2 Midland facility to a combined cycle gas-fired cogeneration plant.
At that time the litigation was recessed to permit the parties to develop a final settlement agreement.
Settlement of the litigation is contingent upon reaching firm and binding agreements regarding the conversion project.
The deadline for concluding such agreements was set at December 1, 1986 in the agreement in principle.
The agreement has since been amended to establish December 19, 1986 as the deadline.
The new venture is to be structured as a limited partnership.
As presently envisioned, wholly-owned subsidiaries of the Licensee will be general partners and a wholly-owned subsidiary of Dow will be one of several limited partners.
The agreement in principle calls for the Licensee to contribute property to the venture 1/ and for Dow to contribute cash and property.
Final agreements are to be executed at a closing that is to take place on or before December 19, 1986.
The agreement in principle, by its terms,
-1/
The Licensee will contribute to the venture the non-abandoned portions of the existing facility, including the turbine generator building and equipment, the diesel generator building, the service water pump structure, and certain other portions of the facility which were classified as nuclear safety related.
The land underlying such facilities would be leased to the venture.
Those portions of the facility which are being abandoned, and will not be conveyed to the venture, include the reactor buildings, portions of the auxiliary as building exclucive of the control tower and electrical penetration areas, the radwaste building, the cooling towers and portions of the wiring and piping.
I.
automatically terminates on December 20, 1986, whether or not the closing takes place as scheduled.
Continued existence of the Midland construction permits is an impediment to the property transfer contemplated by the agreement in principle, and uncertainty regarding the potential imposition of conditions on withdrawal of the operating license application is an impediment to reaching final agreements on or before December 19.
Arguably, under S 184 of the Atomic Energy Act of 1954, as amended, 42 U.S.C.
S 2234, transfer of all or part of the facility requires an amendment to the construction permits as long as they are in existence.
The NRC Staff will not allow the construction permits to lapse until the operating license application is withdrawn.
The Licensee and the Staff have explored other possible legal avenues to permit the property transfer, including amendment of the permits, and have concluded that expediting termination of this proceeding offers the best hope of meeting the Licensee's needs.
In light of the Staff's conclusions in its environmental assessment and its previously-issued inspection l
reports dated October 28, 1986 and November 14, 1986, and the l
fact that parties other than the Licensee and Staff have not
' t
O shown any interest in withdrawal conditions to date, the Licensee believes that no prejudice to any party will arise from the accelerated schedule requested by this motion.
Respectfully submitted, Frederick C. Williams Isham, Lincoln & Beale 1150 Connecticut Avenue, N.W.
Suite 1100 Washington, D.C.
20036 (202) 833-9730 One of the Attorneys for Consumers Power Company Dated:
November 24, 1986
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'JSNPC UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION
- E6 MN 24 P4 :36 BEFORE THE ATOMIC SAFETY AND LICENSING APPEAL,., BOARD!u.-
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80CKElihu A SF F v'!Cf.
BRANCH In the Matter of
)
)
CONSUMERS POWER COMPANY
)
)
50-330 OM & OL (Midland Plant, Units 1
)
and 2)
)
CERTIFICATE OF SERVICE I, Frederick C. Williams, one of the attorneys for Consumers Power Company, hereby certify that copies of the foregoing Motion To Expedite Completion Of Withdrawal Proceedings were served upon all persons shown in the attached service list by deposit in the United States mail, first class, postage prepaid (M), hand delivery (D), or Federal Express (FX) as indicated on the service list, this 24th day of November, 1986.
Frederick C.
Williams
A SERVICE LIST (FX) Frank J Kelley, Esq (M) Steve Gadler, Esq Attorney General of the 2120 Carter Avenue State of Michigan St Paul, Minnesota 55108 Carole Steinberg, Esq Assistant Attorney General (D) Atomic Safety & Licensing Environnantal Protection Div Appeal Panel 720 Law Building US Nuclear Regulatory Connaission Lansing HI 48913 Washington, DC 20555 (M) Myron M Cherry, Esq (D) Chief, Docketing & Services Cherry & Flynn US Nuclear. Regulatory Commission Suite 3700 Office of the Secretary Three first National Plaza Washington, DC 20555 Chicago, IL 60602 (FX)Ms Mary Sinclair 5711 Summerset Street (FX) Billie Pirner Garde, Esq.
Government Accountability Project -
Midland, MI 48640 Midwest Office 3424 Marcos Iane (D) Anne.Hodgdon pppleton, WI 54911 Joseph Rutberg, Esq.
Deputy Assistant General Counsel U.S. Nuclear Regulatory Conmission Washington, D.C.
20555 (M) Mr D W Montgomery Babcock & Wilcox PO Box 1260 (D) Atomic Safety & Licensing Lynchburg, VA 24505 Board Panel US Nuclear Regulatory Commission (FX) Judd Bacon, Esq.
Washington, DC 20555 Consumers Power Company 212 W Michigan Avenue (FX)Ms Barbara Stamiris Jackson, MI 49201 5795 North River Road, Route 3 Freeland, MI 48623 (M) Samuel A Haubold, Esq Kirkland & Ellis (D) Alan S Rosenthal, Chairman 200 East Randolph Drive Atomic Safety & Licensing Chicago, IL 60601 Appeal Panel E/W 532 (D) Thomas S Moore US Nuclear Regulatory Commission Atomic Safety & Licensing Washington, DC 20555 Appeal Panel E/W 532 (D) Mr Gustave A Linenberger, Jr US Nuclear Regulatory Commission Atomic Safety & Licensing Washington, DC 20555 Board Panel US Nuclear Regulatory Commission i
Washington, DC 20555 (D) Charles Bechhoefer, Esq (D) Dr Jerry Harbour Atomic Safety & Licensing Atomic Safety & Licensing US Nuclear Regulatory Commission Board Panel Washington, DC 20555 US Nuclear Regulatory Commission Washington, DC 20555 e,
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