[Federal Register Volume 65, Number 5 (Friday, January 7, 2000)]
[Notices]
[Pages 1182-1183]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-253]


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NUCLEAR REGULATORY COMMISSION

[Docket Nos. 50-325 and 50-324]


Carolina Power & Light Company (Brunswick Steam Electric Plant, 
Unit Nos. 1 and 2); Order Approving Application Regarding Proposed 
Corporate Restructuring of Carolina Power & Light Company by 
Establishment of a Holidng Company

I

    Carolina Power and Light Company (CP&L) and North Carolina Eastern 
Municipal Power Agency are the holders of Facility Operating License 
Nos. DPR-71 and DPR-62 for Brunswick Steam Electric Plant, Units No. 1 
and 2 (Brunswick 1 and 2), which were issued November 12, 1976, and 
November 27, 1974, respectively. CP&L owns a 81.67% interest in 
Brunswick 1 and 2.

II

    Pursuant to Section 184 of the Atomic Energy Act of 1954, as 
amended, and 10 CFR 50.80, CP&L filed an application dated September 
15, 1999, which was supplemented by letters dated October 8, and 
November 10, 1999, requesting approval of the indirect transfer of 
Facility Operating License Nos. DPR-71 and DPR-62 for Brunswick 1 and 2 
that would result from a proposed corporate restructuring of CP&L. 
Under the proposed restructuring, a new holding company, CP&L Holdings, 
Inc. (``Holdings''), will be formed and will become the parent company 
of CP&L. Current holders of CP&L common stock will receive, on a one-
for-one basis, shares of common stock of Holdings such that Holdings 
will then own the common stock of CP&L. CP&L's ownership interests in, 
and its operation of, its nuclear facilities will not change. No direct 
transfer of the licenses will occur, as CP&L will continue to hold the 
licenses. No physical changes to the facilities or operational changes 
are being proposed in the application. According to the application, as 
a result of the new corporate structure, Holdings will be able to 
respond more effectively to increased competition in the energy 
industry. Notice of the application and an opportunity for hearing was 
published in the Federal Register on November 2, 1999 (64 FR 59220). No 
hearing requests were filed.
    Under 10 CFR 50.80 and 72.50, no license shall be transferred, 
directly or indirectly, through transfer of control of the license, 
unless the Commission gives its consent in writing. Upon review of the 
information submitted by

[[Page 1183]]

CP&L in its application, as supplemented, and other information before 
the Commission, the NRC staff has determined that the proposed 
restructuring of CP&L will not affect the qualifications of CP&L as 
holder of the licenses referenced above, and that the indirect transfer 
of the licenses, to the extent effected by the restructuring, is 
otherwise consistent with applicable provisions of law, regulations, 
and orders issued by the Commission subject to the conditions set forth 
herein. These findings are supported by a Safety Evaluation dated 
December 29, 1999.

III

    Accordingly, pursuant to Sections 161b, 161i, 161o, and 184 of the 
Atomic Energy Act of 1954, as amended, 42 USC 2201(b), 2201(i), 2201(o) 
and 2234; and 10 CFR 50.80 and 72.50, It is hereby ordered that the 
application regarding the subject indirect transfers is approved, 
subject to the following conditions:
    (1) CP&L shall provide the Director of the Office of Nuclear 
Reactor Regulation a copy of any application, at the time it is filed, 
to transfer (excluding grants of security interests or liens) from CP&L 
to its proposed parent or to any other affiliated company, facilities 
for the production, transmission, or distribution of electric energy 
having a depreciated book value exceeding ten percent (10%) of CP&L's 
consolidated net utility plant, as recorded on CP&L books of account, 
and
    (2) should the restructuring of CP&L not be completed by December 
30, 2000, this Order shall become null and void, provided, however, on 
application and for good cause shown, such date may be extended.
    This order is effective upon issuance.
    For further details with respect to this action, see the initial 
application dated September 15, 1999, and supplements dated October 8, 
and November 10, 1999, and the Safety Evaluation dated December 29, 
1999, which are available for public inspection at the Commission's 
Public Document Room, the Gelman Building, 2120 L Street, NW., 
Washington, DC, and accessible electronically through the ADAMS Public 
Electronic Reading Room link at the NRC Website (http://www.nrc.gov).

    Dated at Rockville, Maryland, this 29th day of December 1999.

    For the Nuclear Regulatory Commission.
Samuel A. Collins,
Director, Office of Nuclear Reactor Regulation.
[FR Doc. 00-253 Filed 1-6-00; 8:45 am]
BILLING CODE 7590-01-P