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This document is a committee compendium prepared by the committee staff and is not a committee report. It is intended as a basis for further analysis and consideration by the members of the Joint Committee and the Congress.
17. AEC Acting General Counsel opinion, May 31, 1962
1962 (legal opinion) -
during hearings on April 16, 1962
ity of proposed project---
UTILITY PROPOSAL FOR POWERPLANT ADDITION TO HAN
FORD NEW PRODUCTION REACTOR
This document contains the principal documents concerning a proposal submitted by the Washington Public Power Supply System to the Atomic Energy Commission and the Bonneville Power Administration for the construction and operation of an electric generating plant at Hanford, Wash., which would use the byproduct steam generated in the Commission's new production reactor (NPR) now under construction.
The NPR was authorized by the Congress in 1958 as Project 59-a-5 of Public Law 85-590,"Production reactor facility for special nuclear materials, convertible type, Hanford, Wash., $145 million.” The purpose of the reactor is to produce plutonium for the nuclear weapons program. The convertible type of reactor authorized for this purpose is a reactor with certain design features which would permit the utilization of the heat (steam) generated in the plutonium production process for the production of byproduct electrical energy. The authorization did not include funds for the construction of the necessary plant and equipment additions required for the generation of electric energᎩ . .
In 1961, the administration proposed the construction of the electric generating plant at the NPR. This proposal would have required the authorization of $95 million of Federal funds for the construction of the facilities and in addition, would have required the Atomic Energy Commission to operate the electric plant. The Congress refused to authorize the expenditure of Federal funds for this purpose.
Recently, a group of public utility districts in the State of Washington, comprising the Washington Public Power Supply System, proposed to build and operate the facilities at their own expense and without any Federal expenditures. Proposed contractual arrangements have been negotiated among the participating parties which include the Washington Public Power Supply System, its participating utilities, the Atomic Energy Commission and the Bonneville Power Administration. The contracts have not been signed as yet.
Under these contracts, WPPSS would construct and operate the electric generating facilities at its own expense. AEC would sell the otherwise wasted NPR steam to WPPSS at a price, approved by the Federal Power Commission which could result in the receipt by the Commission of from $31 million to $125 million over a 10- to 24-year dual purpose period.
WÞPŠS would turn over the entire output of the NPR generating facilities to the Bonneville Power Administration under appropriate power exchange agreements.