Electric News Releases

Dominion Files Applications to Renew Virginia Nuclear Plant Licenses

RICHMOND, Va. -- Dominion (NYSE: D), one of the nation's largest energy producers, filed an application Tuesday with the U.S. Nuclear Regulatory Commission to renew the operating licenses of the company's two Virginia nuclear power stations, North Anna and Surry, for an additional 20 years.

"North Anna and Surry stations have provided safe, reliable electricity to our customers for about 25 years," said Thos. E. Capps, chairman, president and chief executive officer of Dominion. "Our stations have consistently received high marks from the NRC and the Institute of Nuclear Power Operations for safety and efficiency, and are the least-cost sources of electricity in our system. Relicensing our nuclear stations will assure that Virginians will continue to have plentiful supplies of safe, reliable and economic electricity well into the 21^st century.

"The California experience has demonstrated that plentiful supplies of electricity must be available in the future if our state and nation are to prosper. North Anna and Surry represent about 3,500 megawatts of generation capacity. They were economical to build, are maintained at the highest levels of safety, and it makes sense that they should be available to meet the growing demand for energy well into the future."

The NRC issued 40-year initial operating licenses for commercial nuclear power units. In applying for 20-year renewals, owners must demonstrate that there would be no adverse impact to public safety or the environment by continued operation of the units. The NRC has approved the renewal applications of five units and owners of approximately one-third of U.S. nuclear stations have notified the NRC of their intention to apply for renewals.

"Maintaining a diversity of fuel supply is critical for our nation's electric supply," Capps said, noting that Virginia gets about one-third and the United States about 20 percent of its electrical energy from nuclear power. "If we care about having stable, reliable, clean and affordable electric supply in the future, we must include nuclear in the mix."

North Anna, which is about 60 miles northwest of Richmond in Louisa County, has two Westinghouse 900-megawatt (net), three-loop pressurized water reactors. North Anna Units 1 and 2 may operate to 2018 and 2020, respectively. With renewed licenses, the units would be allowed to operate until 2038 and 2040, respectively.

Surry, which is in Surry County on the James River across from historic Jamestown, has two Westinghouse 800-megawatt (net), three-loop pressurized water reactors. Under their existing licenses, Surry Units 1 and 2 may operate until 2012 and 2013, respectively. With renewed licenses, the units would be authorized to operate to 2032 and 2033, respectively.

For eight consecutive years the two facilities have been recognized as leaders among the lowest-cost producers of nuclear-generated electricity in the United States, according to Nucleonics Week, a news and information database. North Anna and Surry generated a company-record 28.3 million net megawatt-hours of electricity last year.

North Anna and Surry provide significant tax revenue to their host counties. Since 1966, Dominion has paid property taxes of more than $160 million to Louisa County and about $130 million to Surry County. Each station provides employment for about 860 people, many of whom contribute in meaningful ways to help make their communities better places to live.

Dominion is evaluating license renewal for its other nuclear station, Millstone, in Waterford, Conn. Millstone, which Dominion purchased from Northeast Utilities in March, has two operating pressurized water reactors capable of generating 2,020 megawatts of electricity.

Dominion, headquartered in Richmond, Va., is one of the nation’s largest producers of energy, with a production capability of 2.7 trillion British Thermal Units of energy per day. The company has a power generation portfolio of more than 21,000 megawatts, which is expected to grow to approximately 28,000 megawatts by 2005. Dominion is one of the largest independent oil and natural gas exploration and production companies in North America, with 2.8 trillion cubic feet of equivalent reserves. The company has 7,600 miles of interstate natural gas pipeline and a delivery capability of 6.3 billion cubic feet per day. In addition, the company operates the nation’s largest underground natural gas storage system, with over 950 billion cubic feet of storage capacity. Dominion serves nearly 4 million retail natural gas and electric customers. Dominion also has a managing equity interest in Dominion Fiber Ventures LLC, owner of Dominion Telecom. Dominion Telecom is expanding its fiber-optic network from 35,000 fiber miles (3,600 route miles) to more than 800,000 fiber miles (9,000 route miles). For more information about Dominion, visit the company's Web site at www.dom.com.

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