Entergy 2012 Annual Report Download - page 19

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OPERATING SAFELY, SECURELY AND RELIABLY
Our operating focus is always on safety and security first,
followed by operating efficiency and productivity. Working
together on safety and security is a hallmark of the nuclear
industry. We worked closely with the Nuclear Regulatory
Commission following the events on Sept. 11, 2001, and
implemented numerous security enhancements. After the
nuclear incident in Fukushima following the March 2011
earthquake and tsunami, the NRC created a task force to
review the processes and regulations governing operations at
U.S. nuclear facilities. Based on the task force recommendations,
the NRC issued three orders, effective on March 12, 2012,
that require nuclear operators to undertake certain plant
modifications or perform certain additional analyses. The NRC
is currently working with input from the nuclear industry to
determine the specific actions that will be required by its orders.
We are closely monitoring and, where appropriate, engaging in
this process to ensure the resulting requirements are as effective
and beneficial as possible for our stakeholders.
In 2012, in keeping with our focus on safe operations, all
the training programs at EWC nuclear plants under review
by the Institute of Nuclear Power Operations – including
maintenance/technical and operations programs – received
accreditation renewal. We also recorded a back-to-back
breaker-to-breaker run at our James A. FitzPatrick Nuclear
Plant in New York and a breaker-to-breaker run at the
Cooper Nuclear Station, which we manage under contract
for the Nebraska Public Power District. However, EWC
achieved a capacity factor of 89 percent for its nuclear fleet,
which fell short of historical performance and our 2012 goal.
Challenges at one plant, Palisades Power Plant, contributed
to our performance in 2012. An action plan for Palisades
was implemented in late 2011, which resulted in the NRC
returning Palisades to normal regulatory oversight and
assisted us in working to improve operating efficiency and
productivity. While overall fleet performance has in general
been strong, we continue to evaluate opportunities to improve
efficiency and productivity over the long term.
In 2012, EWC received a Top Industry Practice award from
the Nuclear Energy Institute for industry-leading performance.
Pilgrim Nuclear Power Station in Massachusetts was recognized
in the equipment reliability category for a non-conductive
torquing screw bit designed, developed and machined in-house.
Recognizing the importance of skilled nuclear operators and
technicians to our business, EWC is collaborating with Excelsior
College in Albany, N.Y. to offer higher education to Entergy
employees and spouses at reduced rates. Excelsior College
offers curriculum that adheres to the NEI’s Nuclear Uniform
Curriculum Program.
CONTINUING PLANT OPERATIONS
Preserving the ability to operate its nuclear assets is vital to
Entergy’s ability to deliver future value to our employees,
communities, customers and owners. In 2012, the NRC
renewed the operating license for Pilgrim. Pilgrim began its
20-year renewed NRC operating license in 2012, as did the
Vermont Yankee Nuclear Power Station.
In 2011, the NRC approved Vermont Yankee’s operating
license renewal. In early 2012, Entergy received a favorable
ruling from the United States District Court for the District
of Vermont that certain of the state’s efforts to force closure
of the plant were unconstitutional. The state of Vermont
subsequently appealed the ruling to the United States Court
of Appeals for the Second Circuit, which held oral arguments
in January 2013. The appeals process could continue for
quite some time during which Vermont Yankee operates
under its NRC license. At the state level, our application for
a Certificate of Public Good from the Vermont Public Service
Board remains pending. Testimony and hearings on the CPG
EWC owns and operates nuclear and non-nuclear power plants that are vital to our
ability to provide safe, reliable products and services at reasonable costs. Nuclear
power is a safe, secure, reliable and virtually emission-free source of electricity that
adds valuable fuel and technology diversity to the nation’s power supply. While low
power prices have negatively impacted this business in recent years, we are committed
to preserving the long-term value inherent in EWC assets.
Preserving Future Value
ENTERGY WHOLESALE COMMODITIES
ADAPTING TO DYNAMIC POWER MARKETS
Transitions | Entergy Corporation and Subsidiaries 2012
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