WASHINGTON, D.C. – U.S. Secretary of Energy Spencer Abraham announced today that the department is proceeding with the next phase of the Nuclear Power 2010 initiative, moving forward to establish public-private partnerships to share in the cost of selecting U.S. sites for new nuclear plants and for submitting formal applications to the Nuclear Regulatory Commission (NRC) for early site approval. Successful demonstration of NRC’s licensing and evaluation process is a major milestone for developing new nuclear power plants in the United States by the end of the decade.

This is a critical step in paving the way for deploying more nuclear power in the United States,” Secretary Abraham said. “Identifying and obtaining NRC permits for acceptable sites will answer the question of where we will build new plants and thereby remove a major hurdle to building a new U.S. nuclear plant by 2010.”

Expansion of nuclear power in the United States is a key recommendation of the President’s National Energy Policy in order to meet growing demand while protecting the environment.

Under the Nuclear Power 2010 initiative, the Department of Energy (DOE) proposes to match industry investments of as much as $48.5 million over the next two years to explore sites that can host new nuclear plants; demonstrate key NRC processes designed to make licensing of new plants more efficient, effective, and predictable; and conduct research needed to make the safest and most advanced nuclear plant technologies available in the United States.

For this latest phase of the initiative, the Energy Department is seeking proposals by April 15, 2002, from U.S. nuclear utilities and generating companies to conduct a 30-month demonstration project for an Early Site Permit (ESP) application, anticipated to result in NRC approval of applications for specific sites in the U.S.

Copies of the solicitation, number DE-PS07-021D14305, can be obtained from the department’s Interactive Procurement web site, http://e-center.doe.gov.

DOE will award up to $3 million in fiscal year 2002 to nuclear generating companies or utilities to initiate demonstration of the Early Site Permit process for U.S. sites. DOE anticipates that cost-shared cooperative agreements will be signed later this spring. The demonstrations may include the participation of architect engineers, engineering consulting firms, technology vendors, national laboratories, and not-for-profit organizations as members of partnerships or consortiums.

As part of the demonstration project, industry will prepare, submit and obtain NRC approval of the ESP application and will provide a report to the department summarizing the lessons learned from the demonstration to improve industry ESP guidelines.

The ESP demonstration is the second phase of a two-step project aimed at demonstrating the ESP licensing process for selected sites. Earlier this month, Secretary Abraham announced awards for the first phase of the ESP demonstration project, a cost shared private-public partnership to explore the cost, schedule and specific activities required to prepare and submit an ESP application to the NRC. Both privately owned and the Energy Department’s Idaho National Engineering and Environmental Laboratory, Savannah River Site and Portsmouth Site are presently under consideration by two major nuclear utilities as possible sites for new nuclear plants. Results will be provided to the department over the coming weeks.

The ESP process was established by NRC in 1989 for utilities to complete the site evaluation component of nuclear power plant licensing before a decision is made to build a plant. Once issued, the ESP permit is valid for 10 to 20 years and can be used in conjunction with a subsequent Combined Operating License (COL) application to enable the efficient licensing of a nuclear power plant.

More information on the Nuclear Power 2010 initiative and related activities, can be found on the department’s nuclear energy web site http://www.nuclear.gov.

List

- DOE -