nuclear-news

Duke Energy says Crystal River nuclear repair could exceed $3 billion Reuters by Eileen O’Grady T, October 1, 2012 HOUSTON  – Returning the damaged Crystal River nuclear unit in Florida to service could cost $3 billion and take eight years, according to an independent review of repair options commissioned by Duke Energy as it pursued a merger with Progress Energy earlier this year, the utility said in a filing Monday.

The three-year shutdown of the 838-megawatt Crystal River reactor
became an issue in the weeks before the merger was completed in July
and played a role in the surprise ouster of Bill Johnson, the Progress
executive who had been slated to lead the merged companies, executives
and board members have said.

Progress Energy Florida supplied the Crystal River report prepared by
Zapata to Florida regulators Monday, said incoming utility president
Alex Glenn, adding that no decision has been made whether to fix
Crystal River or to retire the unit.

Progress said the review found that a repair plan developed by
Progress “appears to be technically feasible, but significant risks
and technical issues” remain unresolved……
Charlotte, North Carolina-based Duke Energy became the largest
electric utility and second-largest nuclear operator in the nation
last month when it acquired Raleigh, North Carolina-based Progress
Energy in an $18 billion merger.

Duke Chairman James Rogers has said the decision to repair or retire
Crystal River may not be made before the end of 2012 as the utility
had agreed to do in a settlement with Florida utility regulators
earlier this year.

Under that pact, the utility would be able to pass along to customers
the cost to replace Crystal River’s output through 2016 if repair work
began before the end of 2012. If repairs begin later, the utility
agreed to refund replacement power costs up to $40 million in 2015 and
$60 million in 2016.

If the Crystal River reactor is retired, also an expensive option, the
utility will be able to recover its remaining investment in the plant
from its 1.6 million customers, according to the settlement. Any
insurance proceeds would be applied to replacement power costs
first…… http://www.chicagotribune.com/news/sns-rt-us-utilities-duke-crystalriverbre8901au-20121001,0,1933814.story

October 4, 2012 - Posted by Christina Macpherson | general