ML19263B671

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Status Rept as of 781229 Re Puerto Rico Water Resources Authority'S Application.Internal Review of Generation Expansion Not Yet Completed.Westinghouse Contract Re Nuclear Steam Supply Sys Cancelled.W/Certificate of Svc
ML19263B671
Person / Time
Site: 05000376
Issue date: 12/29/1978
From: Axelrad M
LOWENSTEIN, NEWMAN, REIS, AXELRAD & TOLL
To:
Shared Package
ML19263B667 List:
References
NUDOCS 7901220352
Download: ML19263B671 (5)


Text

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9 UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION BEFORE THE ATOMIC SAFETY AND LICENSING BOARD In the Matter of )

)

PUERTO RICO WATER RESOURCES ) DOCKET NO. 50-376 AUTHORITY )

)

North Coast Nuclear Plant, )

(Unit 1) )

STATUS REPORT AS OF DECEMBER 29, 1978 The Authority's internal review of generation expansion is not yet completed. Recent events related to the future growth of the petrochemical industry in Puerto Rico moved the Authority to revise the load demand forecasts for the short and mid-term needs. The size, type and time of future gener-ating units is being reassessed.

The Office of Energy of the Commonwealth of Puerto Rico has initiated the study of the overall energy situation in Puerto Rico which will be an important contribution to the Authority's long-term planning of electric power generation.

The National Accdemy of Science was contracted to perform this study. Meetings were held in Puerto Rico during the week of December 11, 1978, with government officials, research institu-tions and private organizations which are directly or indirectly related to the energy situation. The NAS study 5.ill be com-pleted during 1979.

7901220352/

o e

The three-year suspended status of the Westinghouse contract for the nuclear steam supply system for NORCO-NP-1, ending on January 4, 1979, was not extended. On December 13, 1978, the Authority terminated the Westinghouse contract due to the f ac t that tha terms and conditions proposed by Westing-house for a contractual extension were not acceptable to the Authority.

The Authority's plan had been to do a complete evalua-tion of the NORCO-NP-1 project during the three-year suspension, as well as to obtain issuance of an NRC report on the suitability of the Islote site. Neither of these objectives had been accomplished by December, 1978. Under these circumstances, the Authority decided that it was prudent to cancel the Westinghouse contract.

This cancellation relates only to the specific commer-cial transaction between the Authority and Westinghouse and should in no way be interpreted as an abandonment of the nuclear option for Puerto Rico. On the contrary, the Authority will continue the generation expansion study considering nuclear power as a commercially available alternative for Puerto F.ico for its mid and long-term generation requirements. Accordingly, it is still important to the Authority that the NRC Staff complete and issue its site safety review, particularly with respect to seismicity and neology.

a In light of this situation, and until the final analysis is made as outlined herein, the Authority does not expect to file any motion in these proceedings that would require action by the Board in the near future.

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION BEFORE THE ATOMIC SAFETY AND LICENSING BOARD In the Matter of )

)

PUERTO RICO WATER RESOURCES } Docket No. 50-376 AUTHORITY )

)

North Coast Nuclear Plant, )

(Unit 1) )

CERTIFICATE OF SERVICE I hereby certify that copies of a letter signed by Maurice Axelrad dated December 29, 1978, and its attached

" Status Report as of December 29, 1978" have been served upon the following, in person or by deposit in the United States mail, first class or air mail, this 29th day of December, 1978:

Secretary of the Comniission U.S. Nuclear Regulatory Commission Washington, D. C. 20555 Attention: Docketing and Service Section James R. Yore, Esq.

Chairman Atomic Safety and Licensing Board Panel U.S. Nuclear Regulatory Commission Washington, D. C. 20555 Dr. Richard F. Cole Atomic Safety and Licensing Board Panel U.S. Nuclear Regulatory Commission Washington, D. C. 20555 Mr. Gustave A. Linenberger Atomic Safety and Licensing Board Panel U.S. Nuclear Regulatory Commission Washington, D. C. 20555

Henry J. McGurren, Esq.

Office of the Executive Legal Director U.S. Nuclear Regulatory Commission Washington, D.C. 20555 Gonzalo Fernos, Chairman Citizens for the Conservation of Natural Resources, Inc.

503 Barbe Street Santurce, Puerto Rico 00912 German A. Gonzalez Suite 501 Condominio Le Mans -

Avenida Munoz Rivera 602 Hato Rey, Puerto Rico 00919 Eng. Francisco Jimenez Box 1317 Mayguez, Puerto Rico 00708 g \;wv -_x ( wf LOWNESTEIN, NEWMAN, REIS, AXELRAD & TOLL 1025 Connecticut Avenue, NW Wa shinc, ton , D. C. 20036 Attorneys for Puerto Rico Water Resources Authority December 29, 1978