[Congressional Record Volume 140, Number 74 (Tuesday, June 14, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: June 14, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
                TRIBUTE TO PORTLAND GENERAL ELECTRIC CO.

  Mr. HATFIELD. Madam President, today I would like to pay tribute to 
Portland General Electric Co., the largest electric utility provider in 
my State, and a company which over the past 18 months has undergone a 
rather remarkable transformation.
  For 17 years Portland General Electric Co. operated the Trojan 
nuclear power plant in Rainier, OR, which, when it began commercial 
operation in 1976, was the largest nuclear plant in the Nation. Over 
its operating life, this 1,100 MW reactor provided Oregon with nearly 
one-quarter of its electric energy needs. But in January 1992, PGE's 
management and board of directors were facing costly steam generator 
repairs and made the very difficult and painful decision to cease 
operation of Trojan nearly 18 years before the end of its operating 
license.
  Shutting down a generating plant the size of Trojan so far ahead of 
schedule posed some significant challenges for PGE and its employees in 
Oregon. I am happy to say, however, that under the direction of Ken L. 
Harrison, chief executive officer, and Richard G. Reiten, president and 
chief operating officer, PGE has met these challenges head on and has 
achieved significant success. For example, within 60 days of closing 
Trojan, PGE was able to secure long-term natural gas contracts to fuel 
a new 200 MW natural gas-fired cogeneration plant to be built at the 
Port of Morrow, OR. PGE also secured short-term replacement power from 
other utilities in the Pacific Northwest and areas as far away as 
Arizona.
  The transformation of which I speak, however, is not just about 
finding replacement power and bringing new generating resources on 
line. Rather, it is about the manner in which both the management and 
the employees at Portland General Electric seem to have embraced a new 
nonnuclear culture and a new set of values and priorities about their 
role in Oregon's energy future.
  This has happened for a variety of reasons, not the least of which is 
good management and a sound business plan. Nevertheless, as I will 
illustrate in a moment, Portland General Electric seems to be 
succeeding largely because their employees also share a commitment to a 
collaborative process which includes working with other community 
leaders, environmental interest groups and state regulators in planning 
the State's energy future. There are no better examples of this 
commitment than the many programs PGE has initiated related to energy 
efficiency and the environment.
  After the closure of Trojan in January 1992, PGE was the first 
utility in the United States to market the Power Smart program, a 
comprehensive educational and labeling campaign which now covers over 
30 product categories at nearly 80 retail outlets in the greater 
Portland area. Power Smart is designed to create win-win situations for 
utilities and electric users by teaching consumers that energy 
efficiency products are convenient to use and contribute to an improved 
lifestyle and environment.
  During 1993, Portland General Electric also continued to provide 
benefits to its customers and shareholders under a regulatory incentive 
program with the Oregon Public Utilities Commission. This program 
allows the utility, after meeting an energy efficiency benchmark, to 
earn a profit on demonstrated energy savings. With the help of these 
incentives, PGE has assisted its customers in achieving over 18 average 
megawatts of permanent savings. This cooperative venture with the state 
PUC and the new ethic of treating energy efficiency like other 
generating resources is what I am proud to see happening.
  Madam President, this point about treating energy efficiency programs 
like other supply-side programs is currently under siege in many 
utility circles across the Nation as energy conservation becomes more 
costly due to increased competition and cheap supplies of natural gas, 
even when adjustments are made for environmental impacts. Portland 
General Electric, however, has been a leader in delivering some of the 
most cost effective energy conservation programs in the entire Western 
United States. While many utilities are delivering efficiency programs 
at $2,000 to $3,000 per megawatt, Portland General Electric's 
conservation program's average cost over the last 2 years was only 
$1,000 per average megawatt.
  Finally, Madam President, this past year Portland General Electric 
was only the second utility in the country to issue what is called a 
``renewables only'' request for new resources. This solicitation for 50 
average megawatts of power was limited to renewable energy technologies 
only and has resulted in further discussions with four companies 
offering a wide range of wind, geothermal, hydro, and biomass 
technologies. Much work remains to put these resources in place, but 
cooperation and commitment have accomplished much, already.
  Similar examples of PGE's new corporate culture exist on the 
environmental side as well. Upon closing the Trojan nuclear power 
plant, Portland General Electric secured its possession only license 
from the Nuclear Regulatory Commission in less time than any other 
previous utility. Still today, PGE is under budget and ahead of 
schedule in removing several large low-level waste components and 
filing a total decommissioning plan with the NRC by the end of this 
year.
  Madam President, this final environmental example seems to exemplify 
my point perhaps more poignantly than others regarding the turnaround 
in this company. Just this past month, Portland General Electric along 
with Concordia College, a community-based undergraduate college in 
northeast Portland, announced the creation of an entire 4-year, 
undergraduate degree program in environmental technology and 
remediation which will use classrooms and labs located right at the 
Trojan nuclear power plant. The opportunity to study alongside the 
decommissioning of a civilian nuclear power reactor has generated 
enough excitement that program participants also include four other 
universities, at least four other corporate sponsors, the Oregon 
Department of Environmental Quality and two environmental activist 
organizations. When those first graduates receive their diplomas a few 
short years from now it will truly be a story of turning a perceived 
liability into an outstanding educational opportunity.
  In conclusion, without the commitment and dedication of management 
and the employees of Portland General Electric, and without the support 
and involvement of other government and community leaders, this 
remarkable transformation could not have taken place. I want to 
congratulate all those individuals who have contributed to these 
efforts. Best of luck and continued success.

                          ____________________