[Federal Register Volume 65, Number 142 (Monday, July 24, 2000)]
[Notices]
[Pages 45627-45628]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-18655]


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NUCLEAR REGULATORY COMMISSION

[Docket No. 50-423]


In the Matter of United Illuminating Company (Millstone Nuclear 
Power Station, Unit 3); Order Approving Application Regarding 
Restructuring of United Illuminating Company

I

    United Illuminating Company (UI) holds 3.6850-percent ownership 
interest in Millstone Nuclear Power Station, Unit 3 (Millstone). 
Thirteen other investor-owned and municipal entities unaffiliated with 
UI are co-owners of Millstone, Unit 3.
    In connection with its ownership interest, UI is a co-holder of 
Facility Operating License No. NPF-49 issued by the U.S. Nuclear 
Regulatory Commission (NRC) pursuant to 10 CFR Part 50 on January 31, 
1986, for Millstone, Unit 3. Under this license, Northeast Nuclear 
Energy Company, an affiliate of Northeast Utilities, has the exclusive 
authority to operate Millstone, Unit 3. Millstone is located in New 
London County, Connecticut.

II

    Pursuant to 10 CFR 50.80, UI filed an application dated February 
17, 2000, which was supplemented by letters dated March 1, April 24, 
April 28, and May 10, 2000 (collectively herein referred to as the 
application). In the application, UI informed the Commission that it 
was in the process of implementing a corporate restructuring under 
which UIL Holdings Corporation (Holdings) would become the parent 
corporation to, and sole owner of, UI. In addition, unregulated 
subsidiaries of UI would become direct or indirect subsidiaries of 
Holdings. UI would continue to hold its respective ownership percentage 
of and possession only license for Millstone, Unit 3. UI would remain 
an ``electric utility'' as defined in 10 CFR 50.2, engaged in the 
generation, transmission, and distribution of electric energy for 
wholesale and retail sale. No physical changes to the facility or 
operational changes are being proposed in the application, and none of 
the other co-owners of Millstone, Unit 3, are involved in the proposed 
restructuring of UI. UI requested the Commission's approval of the 
indirect transfer of the license as held by UI to Holdings, to the 
extent effected by the proposed corporate restructuring, pursuant to 10 
CFR 50.80. Notice of this request for approval was published in the 
Federal Register on May 8, 2000 (65 FR 26641). No hearing requests were 
received.
    Under 10 CFR 50.80, 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 in the application, and other information before the 
Commission, the NRC staff has determined that the proposed corporate 
restructuring will not affect the qualifications of UI as a holder of 
the license, and that the indirect transfer of the license, 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 July 18, 2000.

III

    Accordingly, pursuant to Sections 161b, 161i, 161o, and 184 of the 
Atomic Energy Act of 1954 (the Act), as amended, 42 USC 2201(b), 
2201(i), 2201(o), and 2234; and 10 CFR 50.80, it is hereby ordered that 
the application regarding the proposed corporate restructuring of UI 
and the indirect transfer of the license held by UI is approved, 
subject to the following conditions:
    (1) UI 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 UI 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 UI's 
consolidated net utility plant, as recorded on UI's books of account, 
and (2) should the corporate restructuring of UI not be completed by

[[Page 45628]]

June 30, 2001, 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 February 17, 2000, and supplements thereto dated 
March 1, April 24, April 28, and May 10, 2000, and the Safety 
Evaluation dated July 18, 2000, 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 Web site (http://www.NRC.gov).
For the Nuclear Regulatory Commission.

    Dated at Rockville, Maryland, this 18th day of July, 2000.
Samuel J. Collins,
Director, Office of Nuclear Reactor Regulation.
[FR Doc. 00-18655 Filed 7-21-00; 8:45 am]
BILLING CODE 7590-01-P