Federal Appeals Court: DOE Cannot Use ‘Unavoidable Delay’Claim To Avoid Paying Utility Damages

Nuclear Energy Overview ^ | Jan. 14, 2010 | Chris Charles

[kidd]

The U.S. Court of Appeals for the Federal Circuit ruled yesterday that DOE cannot claim that the lack of a federal repository or storage facility constitutes an “unavoidable delay” in failing to meet its statutory obligations to remove used nuclear fuel from commercial nuclear power plant sites.

The court’s decision reversed a lower court’s finding that could have significantly limited the federal government’s liability for damage claims by nuclear utilities. Costs for utilities to store used fuel on reactor sites have been mounting since January 31, 1998, when the federal government was to begin accepting it under the terms of the Nuclear Waste Policy Act and utility-government contracts.

This week’s court decision in Nebraska Public Power District v. U.S. could result in increased damage payments from DOE to NPPD and other utilities seeking to recover storage costs.

A report issued last week by the Congressional Research Service notes that 71 breach of contract claims have been filed by utilities against DOE since 1998, and of the $1.2 billion in damages awarded so far, $400 million had been paid by the end of 2008.

These damages are being paid by taxpayers out of a separate judgment fund, and not from the Nuclear Waste Fund, which is paid into by nuclear ratepayers. Many additional utility damage claims are still being addressed pending resolution of various issues, including the one resolved by yesterday’s decision. The possibility now exists for the federal government to seek further review by the U.S. Supreme Court. However, further action, if any, is uncertain

[kidd]

The link to the article may be for members only. However, the court document can be found at: http://www.cafc.uscourts.gov/opinions/07-5083.pdf

This is further fallout from the Obama delay tactics on Yucca Mountain. Note the bold part (added by me)...you are all getting hit twice...you've already paid higher electric rates to pay for spent nuclear fuel storage, and now that the Obama administration has slowed Yucca Mountain development to a trickle, you are paying the government's fines to pay the utilities for onsite nuclear fuel storage.

[Chode]

super vitrify it and dump it into the ocean...