A Minnesota utility has been awarded roughly $116.5 million in damages
for costs it incurred after DOE failed to begin disposing of utility spent
nuclear fuel by a 1998 contract date.
Northern States Power Co., now Xcel Energy, had sought roughly $172.2
million from the federal government for costs associated with storing spent
fuel at its two Prairie Island reactors and its Monticello unit from January
31, 1998 through December 31, 2004. The award the US Court of Federal Claims
issued September 26 includes the full amount the utility spent -- $24.7
million -- on the development and licensing of the Private Fuel Storage
away-from-reactor spent fuel storage facility in Utah, as well as the $23.1
million it spent to develop biomass energy production. The Minnesota
legislature had required Northern States Power to develop and construct
alternative energy generation in exchange for authorization for additional
spent fuel storage casks. The court, however, excluded the $54.5 million the
utility had sought as the cost of capital and its $280,000 request for
security upgrades. Justice Department officials weren't available at press
time to comment on whether the federal government would appeal the decision.