ML18095A876

Forwards Public Svc Enterprise Group,Inc Annual Rept for 1990, Philadelphia Electric Co Annual Rept for 1990, Delmarva Power 1990 Annual Rept & Atlantic Energy Annual Rept 1990

ML18095A876
Person / Time
Site:	Salem, Hope Creek
Issue date:	04/15/1991
From:	Miltenberger S Public Service Enterprise Group
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
Shared Package
ML18095A877	List: ML18095A876 ML18095A878 ML18095A879 ML18095A880 ML18095A881
References
NLR-N91062, NUDOCS 9104190183
Download: ML18095A876 (9)

Text

Public Service Electric and Gas Company Steven E. Miltenberger Public Service Electric and Gas Company P.O. Box 236, Hancocks Bridge, NJ 08038 609-339-1100 Vice President and Chief Nuclear Officer NLR-N91062 APR 1 ;j 1W1 United States Nuclear Regulatory Commission Document Control Desk Washington, DC 20555 Gentlemen:

GUARANTEED RETROSPECTIVE PREMIUMS FOLLOWING NUCLEAR ACCIDENT SALEM AND HOPE CREEK GENERATING STATIONS DOCKET NOS. 50-272, 50-311 AND 50-354 FACILITY OPERATING LICENSE NOS. DPR-70, 75 AND NPF-57 Pursuant to the 1975 Amendments to the Price-Anderson Act (Public Law 94-197), the owners of Salem Generating Station, Units Nos. 1 and 2, and Hope Creek Generating Station, Unit No. 1, submit the following statements and supporting documents to satisfy guarantee requirements as provided under Alternative No. 5:

1.

1990 Stockholders' Annual Report of each owner.

2.

Summary of Owners' 1991 Projected Internal Cash Flow Statements supported by individual certified Internal Cash Flow Statements s_howing 1990 Actual and 1991 Projected with Explanation of Significant Variations.

Similar documents will be filed by Philadelphia Electric Company for the owners of the Peach Bottom Atomic Power Station, Unit Nos. 2 and 3.

Enclosures

- *~ 1 C:>4f'?()1 :=:::::" -9104 J. 5*- ---- -

PDR ADOCK 05000272 I

PDR Sincerely, MOOLf-

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Document Control Desk NLR-N91062 c

Mr. J. c. Stone 2

Licensing Project Manager - Salem Mr. Stephen Dembek Project Manager -

Hope Creek Mr. T. Johnson Senior Resident Inspector Mr. T. Martin, Administrator Region I Mr. Kent Tosch, Chief New Jersey Department-of Environmental Protection Division of Environmental Quality Bureau of Nuclear Engineering CN 415 Trenton, NJ 08625 Mr. R. Wood, Financial Analyst Off ice of State Programs PSE&G Co-Owners

Net Income Less Dividends Paid Retained in Business Adjustments:

JOINT OWNERSHIP OF NUCLEAR GENERATING STATIONS (SALEM AND HOPE CREEK)

Projected Internal Cash Flow Statement For the Year 1991 (Thousands of Dollars)

Public Service Philadelphia Atlantic City Electric and Electric Electric Gas Company Company Company

$505,491

$469,772

$ 97,022 500.262 327,852 83,464 5.229 141. 920 13, 558 Unrecovered Purchased Power Costs (12,938)

Deferred Revenue 123,791 Levelized Energy Clause - Net 1,388 Depreciation 477'126 386,738 68,934 Early Retirement Plan (36,000)

Amortization and Other 75,453 (1,829)

(21,125)

Deferred Income Taxes and Investment Tax Credits 49,966 102,181 9,927 SFAS 92 Effect (7,055)

SFAS 90 Effect (6,788)

Nuclear Fuel-Limerick 74,998 Allowance for Funds Used During Construction (36,658)

(7,739)

(5,735)

Total Adjustments

$559,099

$635,085

$ 40,451 Internal Cash Flow

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~ZZZ_J_222.

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Average Quarterly Cash Flow

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§._!~J.,202 Nuclear Generating Stations Percentage of Ownership Salem 1 42.59%

42.59%

7.41%

Salem 2 42.59%

42.59%

7.41%

Hope Creek 1 95.00%

5.00%

Maximum Contingent Liability (Severally and not Jointly)

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Delmarva Power & Light Company Total

$78,284

$1,150,569 85,397 996,975 (7, 113) 153,594 e (12,938) 123,791 1,388 86,304 1,019,102 (36,000) 2,436 54,935 4,251 166,325 (7,055)

(6,788) 74,998 (9,308)

(59,440)

$83,683

$1, 318 I 318 -

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7.41%

100%

7.41%

100%

100%

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Net Income Less Dividends Paid Retained in Business Adjustments:

Depreciation Amortization of Nuclear Fuel Deferred Income Taxes and Investment Tax Credits Statement of Financial Accounting Standards No. 90 - Regulated Enterprises - Accounting for Abandonments and Disallowance of Plant Costs (SFAS 90)

Allowance for Funds Used During Construction Total Adjustments Internal Cash Flow Average Quarterly Cash Flow PUBLIC SERVICE ELECTRIC AND GAS COMPANY (SALEM AND HOPE CREEK)

Projected Internal Cash Flow Statement For Year 1991 - Compared to 1990 Actual (Thousands of Dollars)

Actual-1990

$537 619 532 512 5 107

$474 431 89 031 54 483 (7 716)

(34 220)

$576 009

$581 116

~!~2=~Z2, Projected

$505 491 500 262 5 229

$477 126 75 453 49 966 (6 788)

(36 658)

$559 099

$564 328

~1~!=2~~

Explanation of Significant Variations Anticipated additional outages Primarily Deferred Taxes on Cost of Removal and Amortization of Rate Differential Accretion to Income of the discount related to Hope Creek and various abandonments Increased construction expenditures As indicated by this statement, the Average Quarterly Cash Flow covers the maximum contingent liability of Public Service Electric and Gas Company, as defined by the Nuclear Regulatory Commission, which amounts to $18,018,000 as shown on the ary Sheet "Projected Internal Cash Flow Statement".

The presentation of this statement is ith tat of prior years' filings.

ELECTR~ID )els COMPANY BY -----~-JJ-,;----r-1 d12e_

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Net Income Less Dividends Paid Retained in Business Adjustments:

Depreciation Amortization of Nuclear Fuel Deferred Income Taxes and Investment Tax Credits Statement of Financial Accounting Standards No. 90 - Regulated Enterprises - Accounting for Abandonments and Disallowance of Plant Costs (SFAS 90)

Allowance for Funds Used During Construction Total Adjustments Internal Cash Flow Average Quarterly Cash Flow PUBLIC SERVICE ELECTRIC AND GAS COMPANY (PEACH BOTTOM)

Projected Internal Cash Flow Statement For Year 1991 - Compared to 1990 Actual (Thousands of Dollars)

Actual-1990

$537 619 532 512 5 107

$474 431 89 031 54 483 (7 716)

(34 220)

$576 009

$581 116

~!~2,=~Z2 Projected

$505 491 500 262 5 229

$477 126 75 453 49 966 (6 788)

(36 658)

$559 099

$564 328

~!~!=2~~

Explanation of Significant Variations Anticipated additional outages Primarily Deferred Taxes on Cost of Removal and Amortization of Rate Differential Accretion to Income of the discount related to Hope Creek and various abandonments Increased construction expenditures As indicated by this statement, the Average Quarterly Cash Flow covers the maximum contingent liability of Public Service Electric and Gas Company, as defined by the Nuclear Regulatory Commission, which amounts to $8,498,000 as shown on the Summary Sheet "Projected Internal Cash Flow Statement".

The presentation of this statement is consistent w* h that of prior years' filings.

DATE ----'-I fi_, 1__,_/ Cl__,__ __

,,/,

PHILADELPHIA ELECTRIC COMPANY SYSTEM Projected Internal Cash Flow Statement For Year 1991 - Compared to 1990 Actual Net Income Less: Dividends Paid Retained in Business Adjustments:

Deferred Revenue Early Retirement Plan Cumulative Effect of Accounting Change Adjustment to Limerick Plant Costs Depreciation Deferred Income Taxes and Investment Tax Credits Allowance for Other Funds Used During Construction Nuclear Fuel - Limerick Statement of Financial Actual - 1990

$214,190 398.192

$(184.002)

$ 57,345 211,380

$(108,413) 263,860 341,529 (52,221) 23,086 99,450 Accounting Standards No. 92 (15,325)

Amortization and Other 44,603 Total Adjustments

$865,294 Internal Cash Flow

$681.292 Average Quarterly Cash Flow *

$170.323 (1) Significant variation equals $1 O million and 10%.

(Thousands of Dollars)

Projected - 1991 Explanation of Significant Variations(1)

$469,772 327,852

$141.920

$ 123,791 (36,000) 386,738 102,181 (7,739) 74,998 (7,055)

(1,829)

$635,085

$777.005

$194.251 Increase in cash associated with Limerick rate increase phase-in plans.

Costs (net of cash payments) reflected in 1990.

Estimated cash payments in 1991.

Reflects adoption of unbilled revenue.

Write-off resulting from Penn. Public Utility Comm. disallowances in Limerick No. 2 rate case.

Full year of Limerick No. 2 in service.

Decrease in 1990 primarily due to aforementioned write-offs. Increase in 1991 due to additional phase-in revenue and elimination of 1990 write-offs.

Construction completed on Limerick No. 2.

Limerick No. 2 in service.

Change in Deferred Fuel Expense.

The Company has sufficient cash flow to ensure that its respective premiums would be vailable for payment.

Certified by:

/?

T. P. Hill, Jr.

resident and Controlle

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ATLANTIC CITY ELECTRIC COMPANY Net Income Less Dividends Retained in Busine~s Major Adjustments:

Depreciation and Amortization Levelized Energy Clause - Net e

Deferred Income Taxes and Investment Tax Credits Un~ecovered Purchased Power Costs Allowance for Funds Used During Construction Other "

Total Adjustments Average Quarterly Cash Flow N~ear Generating Station Percentage Ownership Salem Unit #1 Salem:unit 112 Hope Creek Ill Maximum Contingent Liability (Severally and not Jointly)

Actual 1990

$ 80,176 77,884 2,292 62,141 20, 136 4,360 (21,840)

(3,953) 11,822 72, 666 74,958 18,740 PROJECTED INTERNAL CASH FLOW STATEMENT FOR YEAR 1991 - COMPARED TO 1990 ACTUAL (Thousands of Dollars)

Projected 1991

$ 97,022 83,464 13,.558 68,934 1,388 9,927 (12,938)

(5,735)

(21,125) 40,451

$ 54,009

$ 13,502 7.41%

7.41%

5.00%

1,982 Explanation of Significant Varlatlon.s Projected includes an increase in KWH sales offset in part by an increase in net energy and other purchased power costs.

Projected reflects effects of a new issuance of preferred stock.

Projected reversal of previously accrued overrecovered fuel costs.

Change associated with reversal of overrecovered fuel costs.

Projected is lower due to turnaround of costs previously deferred. *

.l Primarily net changes in working capital items.

.. i As indicated by this statement, the Average Quarterly Cash Flow fully covers the maximum contingent liability of Atlantic City Electric Company which amounts to $1,982,000 as shown above.

By L. E COMPANY Date

,2- - J.-,S-- 9 /

- Contro

DELMARVA POWER & LIGHT COMPANY PROJECTED INTERNAL CASH FLOW STATEMENT FOR YEAR 1991 COMPARED TO 1990 ACTUAL

($000's)

Actual - 1990 Projected - 1991 Explanation of Significant Variations Net Income Less Dividends Paid Retained in Business Adjustments:

Write-off of Joint Venture Investments Equity in Net Loss of Joint Ventures Depreciation Amortization and Other Deferred Income Taxes and Investment Tax Credits Allowance for Funds Used During Construction Total Adjustments Internal Cash Flow Average Quarterly Cash Flow

$ 37,311 81.905 (44.594}

62,534 12' 772 82,439 322 (3,327)

(5,844) 148.896

$104.302

$ 26,076

$ 78,284 85,397 (7.113}

0 0

86,304 2,436 4,251 (9,308}

83,683

$ 76,570

$ 19,143 The Company has sufficient cash flow to insure that its respective premiums would be available for payment.

Date February 25. 1990 Note 1 Note 2 Note 3 Note 4

Note 1 Delmarva Power & Light Com~y Variance Explanations 1990 net income was reduced by $42.5 million due to a write-off of subsidiary joint venture investments. After excluding the effect of this write-off, net income is expected to decrease due to higher expected operation, maintenance, and depreciation expenses.

Note 2 During 1991, additional common shares are projected to be issued through a public offering and the Company's dividend reinvestment and common stock purchase plan.

Note 3 1990 deferred taxes were reduced by $20.0 million due to the write-off of subsidiary joint venture investments.

Excluding the effect of the* 1990 subsidiary write-off, deferred taxes and ITC are expected to decrease due to lower tax closings, higher deferred fuel expense, and lower tax depreciation from subsidiary operations in 1991.

Note 4 AFUDC is expected to increase from 1990 to 1991 due to higher construction work-in-progress balances.