New Nukes

[JustinWilkerson]

For the first time in more than 30 years, the formal process of applying for licenses to build and operate new nuclear power plants in the U.S. has begun.



NuStart Energy announced today that it will seek combined Construction and Operating Licenses for new units at the TVA’s Bellefonte site in Alabama and Entergy’s Grand Gulf station in Mississippi. The applications will be based on standard reactor designs, already approved by the Nuclear Regulatory Commission, for Westinghouse AP 1000 units at Bellefonte and a General Electric ESBWR at Grand Gulf.



"This is very exciting news for all of us.” Ed Halpin says, “There has been a great deal of talk about building new nuclear power plants. The application for construction and operating licenses in the United States shows the commitment and support of our industry in generating safe, clean and reliable power.”



“We must continue to do our part by operating safely and reliably as we work to bolster public support for nuclear power,” Halpin emphasizes. “The growth of our business is essential to our communities and the continued prosperity of this nation. Today’s announcement will no doubt have a positive effect on the nuclear power generation industry."



The license applications will be prepared by Enercon Services, Inc., a Tulsa-based company. Its New Plant Services Division will have overall project management and licensing responsibilities. The license applications are scheduled to be submitted to the NRC for review in October 2007 for the Bellefonte plants, and in February 2008 for the Grand Gulf plant.

NuStart Energy is a consortium composed of Constellation Energy, Duke Energy, EDF International North America, Entergy Nuclear, Exelon Generation, Florida Power & Light Company, Progress Energy, the Southern Company, the Tennessee Valley Authority, GE Energy and Westinghouse Electric Company.

This was put out by South Texas Project.

[johndrush]

GE'S ADVANCED ESBWR NUCLEAR REACTOR CHOSEN FOR TWO PROPOSED PROJECTS
NuStart, Entergy License Applications Would Be Among the First In Three Decades



WILMINGTON, N.C. -September 26, 2005 : -- The U.S. utility industry has announced plans to prepare license applications to build a new generation of nuclear reactors at three sites in Mississippi, Alabama and Louisiana, with two projects featuring GE Energy's advanced reactor design, the Economic Simplified Boiling Water Reactor (ESBWR).
On September 22, U.S. utility consortium NuStart Energy Development, LLC announced it would develop a federal construction and operating license (COL) application at a site adjacent to member utility Entergy's Grand Gulf Nuclear Station in Port Gibson, Miss. GE's ESBWR is NuStart's preferred reactor technology for this project.
Separate from its NuStart project, New Orleans, La.-based Entergy said it also will simultaneously develop a COL application to potentially build and operate a second ESBWR, this one adjacent to the utility's River Bend nuclear power plant near St. Francisville, La.
The COLs could be among the first such license requests in three decades. Utilities must obtain a COL from the U.S. Nuclear Regulatory Commission (NRC) to have the option of building a new reactor.
"We look forward to working closely with NuStart and Entergy to begin more detailed, site-specific engineering work required to complete the construction and operating license (COL) applications for the ESBWR projects," said Andy White, president and CEO of GE Energy's nuclear business.
The ESBWR is a new reactor design of the "Generation III+" cl***, designed to be safer and more cost-effective to operate due to "p***ive" safety systems, simplified design and a smaller footprint - thus reducing its construction schedule and costs.
NuStart's selection of Grand Gulf
Grand Gulf was a natural choice of NuStart for a 1,500-megawatt ESBWR. The plant's owner, Entergy, is the nation's second largest operator and a leader for the next generation of nuclear energy in the United States.
In addition, Grand Gulf has received strong state and local community support, and Entergy is on track to receive an early site permit from the NRC by early 2007, the first under the federal agency's new licensing process.
Grand Gulf is one of two sites that NuStart announced would potentially host new advanced reactors. NuStart has also selected the Tennessee Valley Authority's (TVA) unfinished Bellefonte plant in Scottsboro, Ala. for a potential Westinghouse AP1000 reactor.
"With NuStart's announcement of the two sites, a U.S. nuclear renaissance is clearly within reach," noted GE's White.
"Today's announcement means we will be taking the necessary steps to have the option to build new nuclear capacity - especially if nuclear energy continues to be the lowest cost, best option for its power customers in the future," said Dan Keuter, Entergy's vice president of nuclear business development. "Our customers want a stable, low-cost electricity source that also does not contribute to climate change. Advanced reactors like the ESBWR can provide both."
NuStart will prepare separate COL applications on behalf of Entergy and the TVA. The industry group plans to submit the COLs to the NRC for review in late 2007 and early 2008.
After a two-to-three year review process, the NRC could issue the two COLs in 2010. At that time, any NuStart member company, or alliance of companies, could take over one or both of NuStart's COLs and proceed with construction at the site identified in the given license.
If Entergy decides to proceed with building an ESBWR at Grand Gulf, construction is expected to take up to four years, with commercial operation beginning as soon as 2015.
Entergy's River Bend project
Entergy's River Bend site in Louisiana was on NuStart's list of six semifinalist sites. NuStart praised the strong showing of state and local community support for the River Bend proposal. In its September 22 announcement, NuStart stated River Bend and the other five sites are "excellent locations for an advanced nuclear unit from a financial and technical standpoint."
In late 2007 or early 2008, Entergy will decide whether to submit its COL applications for Grand Gulf and River Bend to the NRC.
About GE Energy
GE Energy (www.gepower.com) is one of the world's leading suppliers of power generation and energy delivery technology, with 2004 revenues of $17.3 billion. Based in Atlanta, Georgia, GE Energy provides equipment, service and management solutions across the power generation, distributed power and energy rental industries.
GE Energy's nuclear business, headquartered in Wilmington, N.C., develops advanced light water reactors and provides a wide array of technology-based products and services to help owners of both boiling and pressurized water reactors safely operate their facilities with greater efficiency and output.
For more information, contact:
Dennis Murphy
GE Energy
+1 678 844 6948
dennis.murphy@ps.ge.com

[johndrush]

Progress Energy Carolinas Announces Site for Potential New Nuclear Plant in North Carolina Harris Nuclear Plant site near New Hill, N.C., selected for possible expansion

RALEIGH, N.C., Jan. 23 /PRNewswire-FirstCall/ -- Progress Energy (NYSE: PGN) announced today that its Progress Energy Carolinas subsidiary has selected its Harris Nuclear Plant site near New Hill, N.C. (located approximately 20 miles southwest of Raleigh in western Wake County), to evaluate for possible future nuclear generation expansion.

The company also announced it has selected Westinghouse Electric Company to supply the reactors for the potential future expansion of Progress Energy's nuclear generation in the Carolinas. These announcements are important next steps in the process as the company continues to evaluate options to meet the demands of its rapidly growing customer base.

"Since Progress Energy last added baseload generation in the mid-1980s in North Carolina, we have grown by about 500,000 total customers. In North Carolina and South Carolina, we have added about 29,000 new customers just in the last year -- that's more than 550 new customers every week. And we expect to add more than 300,000 new customers over the next 10 years," said Bob McGehee, chairman and CEO, Progress Energy.

"A renewed emphasis on conservation and energy efficiency is an important factor in planning for the future," McGehee said. "However, even with more conservation and energy-efficiency programs, energy use will continue to grow as more people move to this region. To meet that growing demand for electricity, we'll need to add significant new power generation.

"Our customers expect reliable service and that's a responsibility we take seriously," McGehee said. "That's why we're putting our expertise and experience to work now, planning the power plants and other facilities necessary to continue to provide the same level of reliability tomorrow that our customers enjoy today."

Application and licensing process

The company informed the Nuclear Regulatory Commission (NRC) in August 2005 of its plans to submit a combined operating license (COL) application for a nuclear power plant. It updated those plans Nov. 1, 2005, to include a second COL, one for Florida and one for the Carolinas. Each COL covers up to two reactors at each site.

This step is necessary to obtain a license should the company decide that a new nuclear unit is the best option for meeting the need for additional generation. The application for the COL could be filed in late 2007 or early 2008. If approved by the NRC -- and if the decision to build is made -- construction could begin as early as 2010, and a new plant could be online around 2016.

The licensing process, once completed, gives the permit holder the option to construct and operate units on a specific site; it does not obligate the company to build.

A final decision to build another nuclear plant is still several years away. It will be based on many factors, including public and political support, regulatory approval and forecasts for energy demand and economic conditions later this decade. In order to provide the most reliable, safe and efficient mix of energy resources for its customers, Progress Energy is taking steps now to keep the option for nuclear open and viable in the future.

"We are carefully evaluating our options to meet our region's growing electricity needs. The company's long-term energy strategy focuses on generating power from a combination of plant technologies that rely on different fuels," McGehee said. "Balancing the types of plants we build using different fuels helps us provide affordable and reliable electricity to customers. Selecting a site for possible nuclear generation expansion, first in North Carolina and later in Florida, is part of our planning process to ensure we have the energy our customers need in the future.

"An important part of that planning process is community engagement," McGehee said. "We are committed to keeping our communities involved and informed every step of the way."

Site selection

Progress Energy chose the Harris site, after evaluating several sites in the Carolinas, based on its available transmission lines and proximity to cooling water and to Progress Energy Carolinas' largest area of customer concentration.

The Harris Plant site was originally planned for four nuclear reactors, but due to changing economic conditions in the 1970s and 1980s, only one reactor was built. The Harris site offers a large amount of available land -- approximately 35 square miles -- and has an ample water supply. Water is one of the most important factors in determining the suitability for a plant. The Cape Fear River and Harris Lake provide a reliable and sustainable water supply.

The Harris site also has transmission capacity that can accommodate the additional electricity generated. This capability reduces the need to build more transmission lines for a single new unit and would ultimately reduce the overall project costs.

"We evaluated multiple sites for this initial application, including all three existing Carolinas reactor sites and several new sites," said McGehee. "We are very grateful to the communities that were extremely supportive throughout the process. At the end of the initial evaluation process, we determined that the Harris site offered a unique combination of transmission infrastructure, water and proximity to a high-demand area that makes it the best location for further consideration for a new nuclear unit."

Benefits of nuclear power

"Progress Energy believes strongly that nuclear power must be an integral part of our nation's energy future," said McGehee. "Nuclear power is clean energy that produces no greenhouse gas emissions and has the lowest fuel cost of any large-scale electricity option we have today. While we still need to determine exactly where nuclear expansion fits in our plans to meet our region's growing energy needs, there is no question the country needs to move forward with new nuclear generation to address fuel price volatility and concerns about global warming."

Additional nuclear generation also helps the company comply with stringent rules to protect the environment, including the Clean Smokestacks Act in North Carolina and the federal Clean Air Interstate Rule and the Clean Air Mercury Rule that affect all three states where Progress Energy has retail utility operations.

Technology

Progress Energy has selected Westinghouse to supply the reactors for possible future expansion of its nuclear generating fleet in the Carolinas. The AP1000 is an advanced 1,100-megawatt nuclear power plant that uses p***ive safety system designs and engineering simplicity to enhance plant reliability and reduce construction costs. The AP1000 has 87 percent less cable, 83 percent less pipe, 50 percent fewer valves and 35 percent fewer pumps than the generation of reactors in operation today.

More information can be found at http://www.ap1000.westinghousenuclear.com/

Next steps

The company estimates it will take approximately 24 months to complete the COL application. During this period, the company plans to hold several open- house meetings and forums throughout the area to keep the public informed and to encourage public participation.

Prior to construction, the company would have to obtain a certificate of public convenience and necessity from the North Carolina Utilities Commission (NCUC). This would take approximately 10 months, during which the commission would hold a hearing to determine whether the plant is needed to meet the electricity needs of Progress Energy's customers.

Regularly updated information will be available on the company's Web site at http://www.progress-energy.com/poweringthefuture. Once the COL application is submitted, the NRC could take up to 36 months to review.

In Florida, the company continues to evaluate several sites for potential nuclear expansion. Just like the COL process in North Carolina, the selection of a site in Florida only begins the application process and does not commit the company to building a new nuclear unit. The company wants to keep the option open to expand its nuclear generating capacity in both states while it continues to evaluate energy demand and economic conditions and works with key leaders, regulators and the communities to determine the best options to meet the needs of its growing customer base.

Progress Energy operates five reactors at four nuclear plant sites -- the two-unit Brunswick Nuclear Plant near Southport, N.C.; the Crystal River Nuclear Plant near Crystal River, Fla.; the Harris Nuclear Plant near New Hill, N.C.; and the Robinson Nuclear Plant near Hartsville, S.C. Together, they are capable of generating more than 4,300 megawatts of electricity.

Progress Energy (NYSE: PGN), headquartered in Raleigh, N.C., is a Fortune 250 diversified energy company with more than 24,500 megawatts of generation capacity and $9 billion in annual revenues.

The company's holdings include two electric utilities serving more than 2.9 million customers in North Carolina, South Carolina and Florida. Progress Energy also includes nonregulated operations covering merchant generation, energy marketing and natural gas exploration. Progress Energy was the 2005 recipient of the prestigious J.D. Power and ***ociates Founder's Award for dedication, commitment and sustained improvement in customer service. For more information about Progress Energy, visit the company's Web site at

http://www.progress-energy.com