What is a combined operating license?

A combined operating license is a joint license approved by the Nuclear Regulatory Commission that allows an operator to obtain a license for the construction of a nuclear power plant at the same time as a license to operate the plant. In the past, companies had to get a construction license first, then apply for an operating license. The separated processes increased both the time and expense of building new plants. The new procedure consolidates the process and helps stabilize the financial and regulatory risks of the project.

What is the timetable from licensing to operation should Progress Energy decide to build a nuclear plant?

Our forecasts show additional baseload generation will be needed by the middle of the next decade. The application to the NRC should be filed in summer 2008. If approved by the NRC, and if the decision is made to build, a new plant could be online around 2016.

Is Progress Energy proposing to build one or two additional reactors at the Levy County site?

The Nuclear Regulatory Commission's combined operating license is structured to allow companies to license two reactors essentially at the same time. Progress Energy Florida will file for two reactors at the proposed Levy County site.

Why did the Carolinas file its application before Florida if the Florida units are scheduled to come online first?

The Levy County site is finalizing detailed assessments of the site, including environmental and weather studies. Since the Harris Plant site in the Carolinas is an existing nuclear plant site, that data was readily available and it facilitated a quicker preparation time for the application. Since the Levy County site is not an existing site, we needed additional time to collect pertinent data.

What will be the role of the Florida Public Service Commission?

Progress Energy Florida is seeking a certificate of need from the Florida Public Service Commission (PSC). The provision contained within the Florida Power Plant Siting Act requires that an applicant for a new plant file for a determination of need before the PSC. The applicant would also file a certification application with the Florida Department of Environmental Protection.

The PSC would review the need for the proposed generation in relation to the energy needs of the region, and to the state as a whole. The PSC would examine criteria including whether the proposed facility would be the most cost-effective means of generation, balancing the region's and state's need for fuel diversity, and fuel security.

After the PSC receives the petition filing, the process calls for it to set a hearing date for the applicant to present its case and allow testimony by all potential affected parties. The PSC and its staff review the testimony and the applicant's reasoning why the plant is needed and make a determination to approve or disapprove.