Carolina Environmental Study Group, Inc. v. United States Atomic Energy Commission

431 F. Supp. 203, 9 ERC 1964
CourtDistrict Court, W.D. North Carolina
DecidedMarch 31, 1977
DocketC-C-73-139
StatusPublished
Cited by15 cases

This text of 431 F. Supp. 203 (Carolina Environmental Study Group, Inc. v. United States Atomic Energy Commission) is published on Counsel Stack Legal Research, covering District Court, W.D. North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Carolina Environmental Study Group, Inc. v. United States Atomic Energy Commission, 431 F. Supp. 203, 9 ERC 1964 (W.D.N.C. 1977).

Opinion

MEMORANDUM OF DECISION

McMILLAN, District Judge.

PRELIMINARY STATEMENT

Plaintiffs brought this action to obtain a declaration of the unconstitutionality of *205 those portions of the Price-Anderson Act, 42 U.S.C. § 2210(c) and § 2210(e), which place a limitation of $560,000,000 on the maximum amount of liability of a power company or a contractor for damages resulting from a nuclear accident involving an atomic power plant.

Damages and injunctive relief are not sought.

Defendants in their pleadings denied the merits of the claims of the plaintiffs and asserted that the plaintiffs lack standing and that the claims are not ripe for decision.

On the 21st day of May, 1975, at a hearing on the motion to dismiss, it appeared that full dress consideration was desired on the issues of standing and ripeness. Time was allotted, therefore, to develop evidence, and a hearing, four days in length, was conducted on September 27, 29 and 30 and October 1, 1976, on these subjects. Briefs were subsequently filed and the case is ready for decision.

THE PLAINTIFFS

Plaintiffs are a group of people with-a common interest in protecting themselves, and other present day citizens and their' children, against what they see as the deterioration and destruction of their property and the world they live in. Some of them have fought against nuclear power at numerous administrative and. legal levels. They have opposed licensing the defendant Duke to construct nuclear plants, and they oppose ultimate issuance of a license to operate those plants after they are completed. They have not slept on their rights. They are vigorously represented by able and experienced counsel. Their claims are seriously advanced. They number people who live and own property on Lake Norman and at other places within short distances of the McGuire Nuclear Plant and the Catawba Plant, now under construction. They include people who have moved away from homes near the nuclear plants and some who plan to leave the area because the plants are being constructed; people whose use and enjoyment of the lakes and their shores (for living, breathing, swimming, fishing; boating, skiing and gardening) will be affected by operation of the plants; people who have legitimate fears that nuclear power plants are dangerous, and who contend that but for the Price-Anderson Act such dangers would not exist.

THE PRICE-ANDERSON ACT

The Price-Anderson Act was adopted in 1957. In pertinent part, 42 U.S.C. § 2210(e), it provides:

“(e) Aggregate liability for a single nuclear incident. The aggregate liability for a single nuclear incident of persons indemnified, including the reasonable costs of investigating and settling claims and defending suits for damage, shall not exceed (1) the sum of $500,000,000 together with the amount of financial protection required of the licensee or contractor or (2) if the amount of financial protection required of the licensee exceeds $60,000,000, such aggregate liability shall not exceed the sum of $560,000,-000 or the amount of financial protection required of the licensee, whichever amount is greater: Provided, That in the event of a nuclear incident involving damages in excess of that amount of aggregate liability, the Congress will thoroughly review the particular incident and will take whatever action is deemed necessary and appropriate to protect the public from the consequences of a disaster of such magnitude . . . .”

In other words, $560,000,000 is the maximum amount that all persons injured could recover for injury, death or property damage in the event that a domestic nuclear power plant got out of control.

The Act authorizes the Commission to pay the first $500,000,000 incurred in investigating and settling claims and defending suits from such an accident, but allows the Commission to require that the power companies themselves provide indemnity for at least the first $60,000,000. The Commission is authorized to require that this indemnity by the power companies be increased as the Commission may decide up to an amount of $500,000,000. Some such increases in power *206 company shares in this indemnity have been required, but the $560,000,000 overall limit remains.

Detailed provisions are made for handling claims. One provision of particular interest is § 2210(o), which says that if, upon petition and showing, a cognizant United States district court determines that a particular incident has produced losses that exceed the $560,000,000 limit of liability: (1) payments going beyond 15% of that limit ($84,000,000) may not be made without court approval; (2) payments above 15% must be under a plan of distribution or found to be not prejudicial to the subsequent adoption of such a plan; (3) claims for later discovered and future injuries must be provided for; and (4) all further distribution must be determined by the district judge.

THE NUCLEAR POWER PLANTS IN QUESTION

Defendant Duke Power Company has harnessed many miles of the Catawba River, in Western North Carolina and South Carolina, with numerous dams to supply water for a number of coal fired and water powered and atomic powered electric generating plants. In South Carolina it operates a three-nuclear reactor turbine plant at Oconee, and it has begun the process of building two atomic turbines at a plant on Lake Wylie, also in South Carolina, some fifteen or so miles southwest of Charlotte (population nearly 300,000). The plant on Lake Wylie is called the Catawba Nuclear Station.

In North Carolina, Duke has under construction the McGuire Nuclear Station which is located on Lake Norman, approximately seventeen miles northwest of Charlotte. This plant, a twin-reactor installation of cost reportedly approximating a billion dollars, is nearing completion. Within a fifty-mile radius of each plant, present population is about one and one-half million people, and estimated population in 2000 A.D. is about two million.

The McGuire Nuclear Station is a twin-reactor nuclear pressurized water (PW) power plant, with turbines and controls, designed to produce power enough to supply a million people (about 1,180,000 kilowatts of net electric energy per reactor).

The “furnace” in each half of the plant is the nuclear reactor chamber, or vessel.

The nuclear reactor chamber is a steel cylinder thirty feet or more long and twelve feet or more in diameter, with steel walls ten inches and more in thickness. With controls and a load of uranium oxide fuel, it weighs about five hundred tons, or one million pounds.

The reactor chamber is situated below ground level in the containment building, which is somewhat more fully described later on.

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Bluebook (online)
431 F. Supp. 203, 9 ERC 1964, Counsel Stack Legal Research, https://law.counselstack.com/opinion/carolina-environmental-study-group-inc-v-united-states-atomic-energy-ncwd-1977.