Entergy 2003 Annual Report Download - page 19

Safety, Security at Indian Point
In 2003, Entergy took several steps to ensure the continued safety and security of our Indian
Point Energy Center north of New York City.
The Nuclear Regulatory Commission improved its safety rating of Indian Point 2, removing
the “yellow finding” that was given to IP 2 in the fall of 2001. The NRC has now removed both
“red” and “yellow” findings at IP 2, officially reflecting improvements in safety at the plant
since Entergy purchased it.
In order to enhance the skills and demonstrate the capabilities of its security officers,
Indian Point volunteered to be among the first nuclear sites in the nation to take part in a pilot
program of force-on-force security exercises conducted by the NRC. The exercises, which were
conducted at Indian Point in the summer of 2003, are designed to examine recent security
enhancements added at the nation’s nuclear power plants to protect against an expanded
terrorist threat.
The NRC’s certification for emergency plans at Indian Point in 2003 reaffirmed the
Commission’s support of the facility’s critical position in the region and its safe operational
and security processes.
Entergy-Koch –
Balanced, Steady Performer
n 2001, Entergy strengthened its energy marketing and trading capabilities with the
launch of Entergy-Koch, LP, a joint venture with Koch Industries. Since that time,
EKLP has contributed $343 million to Entergy earnings, with profitability year after
year in its combined energy trading and gas pipeline operations. In 2003, Entergy-Koch’s
strong balance sheet began providing a new source of cash flow to Entergy, as we received the
first $100 million in dividends from EKLP.
Consistent Results in Trading
Entergy-Koch Trading’s contribution to Entergy’s earnings rose by 122 percent in 2003,
compared with the previous year. The improved earnings have not compromised EKT’s
conservative risk profile as its daily earnings at risk – a measure of risk in trading operations
– rose by only 26 percent in 2003 compared to 2002.
ENTERGY CORPORATION AND SUBSIDIARIES 2003
17
I
Entergy’s generating
fleet is one of the
cleanest in the nation.
Almost 80 percent of
Entergy’s power comes
from clean nuclear and
natural gas generation.
As a result, emissions
of sulfur dioxide,
nitrogen oxide, and
mercury from Entergy
plants are far below
the industry average.
Sources of Generation
Coal 18%
Gas/Oil 30%
Nuclear 52%
Nuclear Northeast
Production Costs
(before ETR
ownership vs. 03
average $/MWh)
Nuclear Northeast
Capacity Factors
(before ETR
ownership vs. 03
average %)
Before ETR
Ownership
29
20
Southern Fleet in 03 = $15/MWh
03
77 92
Southern Fleet in 03 = 97%
Before ETR
Ownership 03
31% 19%
Achieving New Levels of Operational Excellence.
Entergy has improved operations and reduced costs in
our Northeast fleet – the five nuclear units we
acquired between 1999 and 2002. In 2003, Entergy
achieved average production costs of $20/MWh,
31 percent below an average cost of
$29/MWh prior to Entergy ownership.
We have also increased the plants’
average capacity factor – the
percentage of potential generation
actually produced by a plant – by
19 percent under Entergy ownership. We’re
striving to reach the performance levels of our
Southern fleet – while continually raising that bar.