ML17216A393

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Raises Concerns Re 1985 Decision to Postpone Safety Shutdown of Facility for Refurbishing After 10 Yrs of Operation & NRC Waiver of 1986 Shutdown.News Article Re Concerns Expressed in 851205 Ltr Encl
ML17216A393
Person / Time
Site: Saint Lucie  NextEra Energy icon.png
Issue date: 12/09/1985
From: BARRY D M
AFFILIATION NOT ASSIGNED
To: PALLADINO N J
NRC COMMISSION (OCM)
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ML17216A394 List:
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NUDOCS 8601090488
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MARSHALL'BARRY,PH.D.ECONOMICCONSULTANT 74ELIOTAVENUEWESTNEWTON.MASSACHUSETTS 02165AREACODE617-332-1382NunzioJ.Palladino, DirectorU.S.NuclearRegulatory Commission Washington, D.C.20555December9,1985

DearMr.Palladino:

IhaveattachedacopyofaBostonGlobenewsarticlewhichaddresses directlytheconcernIexpressed inmyllP',lettertoyoudated,December5,1985.Thedecisionin1985byFPSLandtheNRCtoinitially postponethesafety.shutdownforrefurbishing after10yearsHofon-lineoperations attheHutchinson Islandnuclearpowerhouse andthesubsequent waiverbytheNRCofthesafetyshutdownin1986directlyimpactonthefinancial condition oftheFloridaPowerandLightCompany.Needlesstosay,thepostponement andsubsequent waiverofasafetyrequirement whichwouldentailan18to24monthshutdownofthenuclearpowerhouse forrepairsandrefurbishing willdramatically reducethecostsand,asaresult,increaseFP8L'sprofitsfromitsoperations inFlorida.TheStateofFlorida's PublicServiceCommission hasbeenapproving ratesuchashutdownatthisplant.Yourwaiverhasresultedinthreedeleterious impactsontheconsumerofelectrical power:1.Theratestructure chargedoverthelast10yearshasbeeninflatedtoanunjustifiable levelsincethecostsoftheshutdownareficticious.

2.Thesafetyofconsumers hasbeenignoredinfavorofstrictlyeconomicconsiderations ofashortrunnature.3.Thepolitical viability ofnuclearpowerasanalter-nativesourceofenergyhasbeenthreatened duetothissanctioned, unsafeoperating condition.

AnotherThreeMileIslandincident, orworse,wouldbemorethanthepublicwouldaccept.IfactionistakenbytheNRCtoenforceallsafety8601090488 860>0+~~PDRADOC)C0@000>>S,)PDR

~a12/9/85,page2requirements forallnuclearoperations, therewouldbetwosignificant accomplishments:

1~Theerodingpublicconfidence intheNRCasaprotector ofthe"publicinterest" wouldberestored, atleastinpart.TheacceptedviewthattheNRCservesasmerelyanindustryrepresentative andapologist wouldbereversed'

~Thehiatusinpublicregulation ofnuclearpowerwhichcurrently existswouldbefilled'sing Floridaasanexample,theState'sPublicServiceCommission onlyregulates theprovision andpricingofelectrical powertoconsumers withinthestate~Itisunderstaffed andstrainedtofillthisrolegivenitslimitedresources.

Itmustoperateundertheassumption that.theNRCisensuringthesafetyofnuclearpowerplants inboththeconstruction andoperations phases.Itapprovesutilityratesbasedondatasubmitted byprivateutilities asjustification forrateincreases.

ThesedataincludethecostsofNRCsafetyrequirements'our waiverofthismajorsafetyrequirement hasexposedFloridatoneedlessrisksaswellasinflatedcostsforelectricserviceFinally,pleasesendmeacopyoftheNRCstaffmemoranda mentioned intheGlobearticle.Thankyouinadvanceforyourpromptactiontoreverseyourwa'iver,'and to'emovetheresultin'g'afety hazard.hIIlSincerely, CC:DEMarshallBarry,Ph.DESenatorEdwardM.KennedySenatorJohnKerryRepresentative BarneyFrankRepresentative EdwardJ~MarkeyRepresentative MichaelBilirakis JohnREMarks,IIIChairman, PublicServiceCommission StateofFloridaD.MARSHALLBARRY.PH.D.ECONOMICCONSULTANT Qe THEBOSTONGtOBEShTURDhYDECEMBER7!985USWorldV~~oqI!,statiesirms'narnces, antsaetByJohnRobinson....

dumdatedJuly~IQSSthat"Ananctat strain"ontheresources ofhrkansasPowerd!LightCo.c!addpotentially havepowerlaiscanbedl!ectl!ehtedttootheanImPactonthesafetyofthecomPany's flnandalhealthoftheirparentcompan.lcs,according toInternalstaffmemoran-.,,

lnasubsequent memo'DlrksraiseddaoftbeNuclearRegulatory Commis-.!concernsaboutstateregulationsthat "lnsion.!.theInterestofshort-term economtcs,

'pressures maycauseutilities tohurryA'rsttl~OncethNRCsto~mvlcw'ork.takeshortcutsordelayactionInnanclalviability isrehtcdIssueshave..Dtrkssaidtheregulations.

knownascausedofAclalconcern<<Ithlntheregula-performance Incentives.

"mayaffectthi:toryagency.OneNRCstalferpointedtobahncebetweenaspectscondudvetothePublicServlpeCo.ofNewHampshire, safetyandaspectsthatcouMerodesafe-anditsSeabrooknuclearptantasanex-..ty."'amPOfaPqkPtJhat.raSm~tt'Pn.'heissueoffinancial vlab0ltyandcefAs.A-.~!~,.-isafetyhasbce'namatteroflitigation be-WIIIIsmJ.Dirks.NRCexecutive dt~'tweennuclearpowercompanlcs andanti.forforoperations.

wroteInamemo!an-nuclearenvlronmentallsts, whocontendthatutilities cannotgetsuffldent fundsthroughtheratesettingprocesstoensuresafemalntanence andoperation oftheirnuclearfacilities.

TheNRC.slnci.eliminating ItsAnan-ctalreviewprocess.believestheretsnoconnection bet<<certreviewsandsafety.ButPeterBradford.

'aformerNRCcommissioner'who votedagainstdrop-pingthereviewlute.saidyesterday.

an'xamination oftheTh!ecMlleIslandnu-clearplantacddcntdemonstrated thatA-~nandalconsMerattons "mightforceautilitytotakestepsthatwouldbeIncon-sistentwithsafeoperations."

hNRCstaffmemberwhoaskednottobeIdentlAed byname,saidthegrowingconcernInsidetheagencywasthatutili-ties,especially relatively smalloneslikePublicServiceofNewHampshire, wouldcutbackonexperienced stiffandncccs-sarymalntalnence whenfacedwithfl.nandalchoices."Scab!ook represented averytargeIn-crease.adoubling.

ofPublicServiceofHSwHampshire's capitalassets.Itbe-.cameclearastheywentalongtheycouldnotaffordtherapidgrowth.Thedanger'sacompanylikethatwillsay.'Let's cutback.'nfortunately, withanuclearpowerplant.Itallboltsdowntosafety."Inaletterreleasedyesterday toNRCchairmanNunztoJ.Palladlno, Rcp.Ed-wardJ.Markeywrote."IArmlybelieve..thatautility's Ananctaisituation shoutdnotbepermitted toJustifyorexcuseanythreattopublichealthandsafety."Markey.chairmanoftheHousesub-committee onenergyconservation andpower.askedthatthecommission pro.~vide"speclAcprocessandcriteria" forpublicassessment ofanuclearlicensee's

~'inancial qualiAcatlons.

ahmNMOPhLLhDINO

""..:~terfromIglrrF~ch,

~"SECYNUMBER:85-1071COSPONOENCE CONTROLTICKETOFFICE.OFTHESECRETARY D.MarshallBarry~~LOGGINGDATE12/13/85ACTIONOFFICE:AUTHOR:AFFILIATION:

LETTERDATE:ADDRESSEE:

SUBJECT:

ACTION:DISTRIBUTION:

SPECIALHANDLING:

SIGNATURE DATE:EDOD.MarshallBarryWestNewton,Mass12/5/85FILECODENonefORTHECOMMISSION Pal1adinoTenyearsafetyrequirement forFP8LDirectReply...Suspense:

Dec24Roc'dOffBOOnato...).~-..'.>~>>.

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