Entergy asks NRC for more time to complete spin-off (followed by a response from Sherwood Martinelli)

By Kathryn Koch
GateHouse News Service
Posted Jun 02, 2009 @ 08:56 AM

Entergy Nuclear Operations, owner of Pilgrim Station Nuclear Power Plant in Plymouth, has requested an extension from the Nuclear Regulatory Commission in its efforts to spin off a new company.
Entergy has a year from July 28, 2008, to complete the deal but has submitted a request to the NRC for a six-month extension for the transfer of the Northeast and Midwest nuclear plant licenses, including that of Pilgrim, to Enexus Energy Corp.
Pilgrim's Entergy spokesman David Tarantino said Entergy officials anticipated the need to file for an extension given the state of the economy.
"The process has been delayed considerably because of economic conditions in the country," he said.
Tarantino said senior officials at Entergy remain committed to creating the spin-off company and look forward to it.
NRC Spokesman Neil Sheehan said the NRC staff expects to issue a decision on the extension request by July 28.
"If granted, that extension would keep the approval in effect through next Jan. 28," he said.
If the order is not extended, and Entergy has not completed the transaction by that time, it would need to file another request with the NRC.
The proposed corporate restructuring would impact the Pilgrim and Vermont Yankee nuclear power plants in New England, the New York-based Indian Point and James A. Fitzpatrick nuclear power plants and the Palisades Nuclear Plant in Michigan.
Entergy is also awaiting approvals from the New York Public Service Commission and Vermont Public Service Board before the transaction can proceed. Tarantino said officials in Vermont need to sign off on a Certificate of Public Good.
New York State officials also have to grant approval pending ongoing settlement negotiations, according to Entergy Nuclear Operations President, Chief Executive Officer and Chief Nuclear Officer Michael Kansler in his request to the NRC for an extension.
"Diligent efforts have been made to obtain the required state and federal regulatory approvals, and many of the required approvals have been obtained," Kansler said.




From: SMartinelliGHS@
To: secy@ ; chairman@

Wednesday, June 03, 2009

Objection To NRC Request For Six Month Extention to Complete Corporate Change

Dear Chairman and Secretary:
A news article today has brought to my attention Entergy's request to the NRC for an additional period of time of six months in which to accomplish the spin off of their Nuclear assets into a new company to be known as Enexus Energy Corp. As a crucial stakeholder living within three miles of the dangerous and problem plagued Indian Point Nuclear Reactors that are contaminating my community, as the husband of a wife stricken with Indian Point caused/contributed breast cancer, I am writing to object to any extension of time to complete this corporation spin off into a new company that still will be profiting greatly from unsafe reactors that are contaminating the Hudson River, polluting the state of New York's potable water supplies, causing cancers in our community, and contributing to elevated stillborn deaths in our population of young mothers.

Entergy has made this request under the guise that the economic conditions of the moment are not positioned in a manner that benefits them and their bottom line corporate interests. The NRC was not and is not charged with making decisions based upon Economic Conditions and Entergy's desire to maximize their own profits in a spin off. Instead, the NRC is charged with protecting human health and the environment. The granting of a six month extension to complete a spin off is not in the best interest of public health and safety.

Having Entergy and their nuclear holdings in flux at this crucial time in the License Renewal Process creates grave risks for the citizen stakeholders living within the peak kill zone around Indian Point. A corporate spin off of Entergy's nuclear assets during the crucial moments of the License Renewal Process, especially if further postponed for AT LEAST SIX MONTHS will create certain management team changes that would greatly change in a negative fashion the promises and presentations made within Entergy's license renewal applications for Indian Point, Pilgrim and Vermont Yankee, could also negatively affect the company's claims recently made that they have adequate decommissioning funds set aside.

It is hereby formally requested that the applicants request for an extension of time to complete the Spin Off be denied. We as stakeholders, the NRC as the regulatory agency charged with enforcement have no guarantees that the economic conditions Entergy raises as a major causal agent for the request for additional time will have changed in a positive way in the next six months, nor should these economic conditions play a part in the job your agency is charged to do. In fact, if you look at various economic indicators, the odds favor our economy getting worse before it gets better, a full recovery being 24-48 months off into the future.

If at some future date and time when Entergy feels economic conditions are in their best interests, they can attempt a new spin off of their nuclear assets after the conclusion of the Indian Point License Renewal Process has been completed. In fact, it is envisioned here, that Entergy seeks the six month extension of time to complete the Spin Off to have a better idea of the outcome of the Indian Point License Renewal Process, as the revenue from these reactors represents a significant portion their nuclear holdings profit margins...that reality, the fact that the License Renewal Process is taking longer than they had anticipated is not a justifiable reason for granting them an extension of time to complete the spin off of their fatally flawed nuclear assets. The economic conditions of America, a fiscal decision not directly related to licensed reactor operation should not play a part in the NRC's regulatory decisions, and NRC should not be in the business of granting extension of time to grant spin offs because Entergy is hoping six months would give them a more lucrative deal when the spin off is completed.

For these reasons, we formally request their request be denied. Further, if it is the intention of the NRC to grant this extension, we are formally requesting a FORMAL HEARING on the merits of their request to be held here in the stakeholder community of Indian Point.

Respectfully Submitted,

Sherwood Martinelli
351 Dyckman Street
Peekskill NY 10566