ML20203J396

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Informs That Motions Panel of DC Circuit Issued 2 Page Order Vacating & Remanding NRC Orders That Facilitated Merger Between Two Corporations,Gulf States Utils & Entergy
ML20203J396
Person / Time
Issue date: 03/20/1995
From: Cordes J
NRC OFFICE OF THE GENERAL COUNSEL (OGC)
To: Faircloth L
SENATE, ENVIRONMENT & PUBLIC WORKS
Shared Package
ML20203J328 List:
References
FOIA-97-384 NUDOCS 9712190200
Download: ML20203J396 (1)


Text

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- UfJrfeC STATES' 1 NUCLEAR REGULATORY COMMISSION

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Marchi 20,'- 1995.

OFFCE oF THE .]i oENEMAL COUNSEL _

l Honorable Lauch Faircloth,' Chairman-  !

bcommittee on Clean-Air, Wetlands, Private j Property and Nuclear Safety  ;

Committee on Environment and Public Wot ks' United States Senate Washington, DC 20510 l RE: Caiun Electric Power Cooperative Inc. v. NRC, Nos. 94-1113 & 94-1114 (D.C. Cir., Mar. 14,1995)-  :

Dear Mr. Chairman:

j A motions' panel of the D.C. Circuit (Edwards, C.J., Silberman & Buckley, JJ.)

has issued a 2-page order vacating and remanding NRC orders (actually license amendments) that facilitated a merger between two corporations, Gulf States- '

~ Utilities and Entergy. Prior to the merger. GSU was the principal owner and operator of the River Bend power reactor in Louisiana. In allowin the new ,

-ownership arrangement, the NRC staff (relying in part on a prior F RC t- decision) found.no "significant changes" since the time of initial licensing li that would warrant a fresh antitrust review of the P.iver Bend license. ,

A part-owner of River Bend, Cajun Electric Power Cooperative brought this '

lawsuit att:cking the NRC's approval of the merger. In separate lawsuits Cajun also challenged orders issued by FERC and the SEC approving the mercer.

Last summer, the 0.C. Circuit found FERC's antitrust ruling " seriously flawed" and ordered FERC to reconsider it. Caiun Electric Power Cooperative v. FERC,

.28 F.3d 173 (D.C. Cir.-1994). Later, the court remanded the SEC's approval of l-i the merger for reconsideration in light of Caiun Electric. :Now the court has

! remanded the NRC case "for further proceedings in light of Ca1un Electric,"

l !and on its "own motion" vacated the NRC orders. The court had not vacated the FERC and SEC decisions..

As the court did not have the benefit of briefs or oral arguments in this case. -we may ask-the court to reconsider its " vacating" remedy. We are consulting with the NRC-staff on that remedy's practical irpact. We have 45

. days to seek rehearing.

Sincerely, N

  • . F. Cordes, Jr.

Solicitor r

cc: Senator Bob Graham L

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