Entergy applies for nuke license in Louisiana

NEW ORLEANS — Although a decision has not been made on whether to even build a plant, Entergy Corp. on Thursday applied for a license to build and operate a nuclear power generator in Louisiana.
The application with the federal Nuclear Regulatory Commission calls for a second nuclear reactor to be added at the River Bend Station located at St. Francisville.
Earlier, Entergy also filed an application for another generator at the Grand Gulf Nuclear Station at Port Gibson, Miss.
The New Orleans-based power provider has not decided whether to build a new plant or where it will be located if it does decide to proceed.
“Taking this step now will preserve the option to build nuclear plants in the future and meet the future energy needs of our customers,” said Renae Conley, head of Entergy Louisiana LLC and Entergy Gulf States Louisiana LLC.
The possibility of Entergy adding another nuclear generator has been in the works for more than a year.
In May 2007, the Louisiana Public Service Commission agreed to allow Entergy to recover a small fraction of the costs of a new nuclear plant from its customers before power is ever generated. The rule covers any utility that wants to build a nuclear generator in Louisiana. So far, Entergy is the only company that has shown interest.
Entergy has said 90 percent of the plant’s costs would still be recovered only after power generation begins. But the company said that by allowing it to collect interest on construction costs, the eventual bill to ratepayers would be spread out and, overall, less by reducing interest that is carried over the entire length of developing and building the project.
In July 2007, Entergy agreed with GE-Hitachi Nuclear Energy on a major order for reactor components. Terms of that agreement were not released. Entergy said the order had to be put in early to ensure that critical parts would be delivered on time should the reactor be built.
If the NRC accepts the latest license application, it will take 36 to 42 months to complete a review, Entergy said.