Costly cleanup could sink industry

Tom Spears
The Kingston Whig-Standard
February 20, 1999

Canada’s nuclear industry risks running short of cash for the $11-billion job of disposing of its nuclear waste, a federal cabinet memo says.

The memo warns the federal government not to set up its own agency to manage the waste, because the government itself could then get stuck with the bill, or with the waste itself.

Instead, the memo written in October warns, the federal government should leave industry to deal with the radioactive waste problem itself, under government rules.

That’s what happened in December: The cabinet announced it wouldn’t set up a Crown agency.

Instead, it said a new body made up of nuclear industry members, including Ontario Hydro and Atomic Energy of Canada Ltd., would manage the waste.

The waste in question is used uranium fuel from Canada’s 22 commercial power reactors – 20 of them in Ontario, and one each in Quebec and New Brunswick.

Used fuel, which is highly radioactive, is stored for now at each nuclear plant. But there’s nowhere in Canada to dispose of it in the long term.

Last year a federal panel examining one possible solution – to bury old fuel deep in the Canadian Shield – said the federal government should create an agency to be in charge of radioactive waste in the long term.

But the memo to cabinet, written by officials at Natural Resources Canada, warns this “would significantly raise the risk of federal financial liability” if Ontario Hydro and other nuclear station owners run out of cash.

Ontario Hydro, which owns some 90 per cent of Canada’s nuclear waste, is $30 billion in debt.

“The government thinks it’s a real enough risk that they need to protect themselves,” said Norm Rubin of Energy Probe, an anti-nuclear group.

Ontario Hydro says it’s confident it can handle the job.

“It is something that forms part of our business plan, which is under review right now,” said Hydro spokesman Terry Young. “There’s talk about setting money aside, but I can’t give you a figure right now.”

In the meantime, the waste keeps building up as temporary storage sites are filling up.

 

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No consensus on nuclear waste

Norman Rubin
National Post – Letter to the Editor
December 4, 1998

Neville Nankivell’s “Nuclear waste becoming hot issue” (November 26) brings much-needed attention to the important issue of nuclear waste, and the crucial decision now facing the federal government. Most vividly and sympathetically, he presents the “disgruntlement” of Canada’s nuclear industry over recent setbacks.

And who wouldn’t be disgruntled?

The nuclear industry spent 20 years and $700 million to make their case before an independent blue-ribbon review panel, and came up empty! Specifically, they failed to get the two things they wanted: validation of their plan – to put million-year wastes irretrievably down an unmonitored disposal shaft – and permission to choose a site for the shaft.

But Nankivell doesn’t seem to consider the possibility that the independent review panel made its decisions based on evidence, facts, intelligence, and common sense. Rather, he seems to accept without question the world-view of the hearing’s losers – the industry whose case was found wanting on safety, credibility, feasibility, and public acceptance.

It is one thing to share the nuclear industry’s frustration with the independent panel’s findings; it is another thing to misrepresent those findings. AECL and Nankivell persist in claiming the panel was convinced of the plan’s safety; it was not. The panel was divided into two factions, each of which wrote a chapter on safety. One group – the one the industry quotes – found the safety case acceptable “for a concept”; the other did not. The entire panel agreed that acceptability demands agreement on the plan’s safety.

The panel was also unanimous on the larger questions – questions like “Is AECL a credible proponent?” and “Is the AECB a trustworthy regulator?” and “Does the plan have broad public support?” On all those questions and more, the panel unanimously rejected AECL’s case.

But then, how credible a waste plan would you expect from the same institutions who swore that Canada’s nuclear plants would generate cheap, reliable electricity? These are, after all, the same well-educated geniuses whose false promises convinced our governments to sink over ten billion dollars into nuclear research, and tens of billions of dollars more into nuclear reactors. That successful investment pitch was based on forecasts, as are AECL’s claims of safety for its disposal plans.

The difference is, we already know how the investments turned out. Ontario Hydro’s reactors (20 of Canada’s 22) are now considered worthless by the Ontario government and its expert consultants, while the cost of cleaning up after them was recently estimated at over $18 billion, in today’s money. Ontario Hydro has set aside NO money to clean up that radioactive mess.

That is why Nankivell’s last sentence is so vitally important: “It’s now up to the politicians to take policy action that ensures radioactive waste is managed in a way that won’t leave the financial burden to future generations.” Unfortunately, neither Nankivell nor the review panel explained how this bankrupt, sunset industry is going to produce that much cash.

As to AECL’s (and Nankivell’s) claim that “all countries that have looked at safe ways of managing nuclear waste have found the best approach is sealing it in deep underground vaults,” the panel discovered that no alternatives were seriously considered before AECL and its international counterparts declared this one “best”. Furthermore, the old international consensus on irretrievable, unmonitored disposal isn’t what it used to be, as several countries have realized that our children will want – and deserve – early warning of leakage from the underground repository.

Several countries have realized that our children will want – and deserve – early warning of leakage from the underground repository. They also deserve to have this generation set aside the money to clean up the mess.

 

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NB Power jobs on the line

Lisa Hrabluk
The Telegraph Journal
November 18, 1998

FREDERICTON – Jobs losses are imminent whether New Brunswick overhauls NB Power or not – it is just a question of who will be left unemployed.

That was the sobering message the Select Committee on Energy received yesterday during the first day of public hearings into the fate of the province’s electricity sector.

On the one side stand the 2,500 employees of NB Power and the uncertain future that awaits them if the government elects to follow the lead of some border states and sell all or some of NB Power’s generators to private interests.

On the other side are the thousands of people who earn their keep in New Brunswick’s resource-based industries in mills and factories that need to keep their energy costs down in order to stay competitive on the world market.

If NB Power reorganizes or sells some of its generators layoffs are sure to follow, presenters at the hearings said yesterday. However, they added, if NB Power does not change, resource-based industries may transfer operations out of the province in favour of cheaper energy sources south of the border, leaving a trail of unemployed workers in their wake.

No one is more aware of the government’s predicament than Donald Gould, the mayor of Minto, the village in the heart of New Brunswick that is home to NB Coal.

A wholly-owned subsidiary of NB Power, NB Coal is the largest employer in Minto, having provided 300,000 tonnes of coal annually to NB Power for years.

However the partnership appears to be over.

NB Power plans to decommission the Grand Lake generating unit in 2004, a move that will leave almost all of the 90 miners and 50 Grand Lake power plant workers unemployed, Mr. Gould said.

Mr. Gould wants to prevent that and yesterday he asked the committee to rethink NB Coal’s uncertain future.

“Nothing less than a guaranteed future of the presence of a power plant and the continued operation of our coal fields to serve this plant long into the future are acceptable,” he said.

If for no other reason, Mr. Gould believes New Brunswickers owe NB Coal a new lease on life because of the millions of dollars the company saved ratepayers in the 1970s and 1980s.

“During the oil crisis of the 70s our units rattled at full capacity and it has been estimated that we produced nearly $270-million in electricial generation savings relative to the cost of oil to produce an equal amount of electricity,” said Mr. Gould.

Speaking after his presentation, the mayor was more blunt.

“The government shouldn’t forget about us.”

But past performance shouldn’t be the bellweather for deciding NB Power’s future, says Paul Bradley, CIBC Wood Gundy’s director of global power and utilities.

Competition in electricity markets is coming to neighbouring states and if NB Power wants to participate in those markets, the government will have to open New Brunswick to competition.

In order to do that NB Power will have to be restructured, a move that Mr. Bradley says will result in job losses at the public utility, especially if it privatizes some of its generators.

“This change can be either embraced or resisted…but if this change is not embraced then ultimately it will cost jobs,” he said.

Those jobs Mr. Bradley was talking about will come from New Brunswick’s mills, which need to find lower energy costs in order to compete in markets where energy prices are already dropping.

According to Mr. Bradley, it is these large industries that are driving deregulation and privatization forward.

“The average home user of electricity is not wound up about electricity bills. The ones pushing this are industries, because they see a threat from global markets,” he said, adding that it is difficult for people to understand why the status quo is no longer viable.

“The problem occurs when plants shut down and jobs are lost and only then are the voters going to say ‘why on earth did we let this happen?'”

Not everyone shared Mr. Bradley’s view that deregulation is inevitable.

Randy Dickinson, the executive director of the Premier’s Council on the Status of Disabled Persons, said he did not welcome the arrival of deregulation in New Brunswick, especially if it means jobs will be lost at NB Power.

According to Mr. Dickinson, the public utility has a good record for providing employment for people with disabilities and for looking after staff members injured at work.

“NB Power has a better record in employment equity than other private companies,” he said.

Like Mr. Dickinson, retired electrical power engineer Neil Craik believes legislators should think twice before selling Point Lepreau to a private corporation like British Energy, a company that has expressed an interest in the plant.

“They have no experience with the Candu system so I have great difficulty in understanding what expertise they would bring,” said Mr. Craik.

“What is it technically they are bringing to the table that we don’t already have in New Brunswick?”

The 11 members of the committee will get a first-hand glimpse at the nuclear power plant tomorrow when they visit it as part of their investigation into deregulation.

The committee will then break for the legislature, and will resume public hearings in January.

 

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NB coal is worse

Thomas Adams
Financial Post
November 13, 1998

Fred McMahon’s overwhelming economic and environmental arguments (Time to pay off the miners in Cape Breton, Nov. 10) to eliminate subsidies sustaining the coal industry in Cape Breton apply with equal force to the coal industry in New Brunswick.

NB Coal, New Brunswick’s provincially-owned coal industry, produces even dirtier, higher sulphur coal than its Cape Breton counterpart, Devco. NB Coal is devastating the ecosystems where it strip mines. Like Devco, NB Coal can’t compete against imported coal and relies on a hidden subsidy paid by overcharged electricity consumers.

The new Sable Island natural gas industry, which will begin large scale deliveries to consumers in the Maritimes and New England next year, provides a clean and cost-effective energy alternative to locally produced coal.

The absurdity of Devco and NB Coal make wonderful arguments for why government should get out of the energy industry.

Thomas Adams,
Executive Director,
Energy Probe, Toronto.

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NB Power’s dilemma

Rachel Cave
The Telegraph Journal
November 11, 1998

FREDERICTON – NB Power can’t move further into the North American energy market until the provincial government sets the rules for deregulating the industry in New Brunswick, say executives at the provincially owned utility.

“We’ve tried to be prepared,” says Stewart MacPherson, NB Power’s vice-president of corporate planning. “We don’t have a sense of fear associated with [de-regulation] because we do believe we can adapt to it.”

But the question remains: adapt to what?

Next week the Select Committee on Energy will start considering the possibilities, with its report to the government expected in the spring.

So far, the Liberals haven’t indicated how long it will take them to draft new energy policies, nor is it clear whether New Brunswickers will have a chance to vote on those policies when they go to the polls sometime next year.

All of that puts some distance between now and when NB Power will have a clear blueprint of the future, a future that could be radically different.

For instance, the utility could be left intact or sold off in pieces. And at the market level, electricity in New Brunswick could be heavily regulated or blown wide open to competition.

NB Power could find itself competing for wholesale contracts like the ones it currently holds with power commissions in Saint John and Edmundston.

Or it might have to compete at the retail level – fighting for business in every office and every home across the province.

It’s somewhat similar to the way long-distance telephone services are now being sold.

Here in New Brunswick, NBTel owns the wires and the competitors rent access to them.

So far, that’s the generic market model provinces are considering for the electricity market.

In fact, Mr. MacPherson believes it’s entirely possible that NB Power will be turned into a “wires” company. He says transmission and distribution are really the core of NB Power’s business.

“That’s the part of the business that is regulated and is a natural monopoly. It’s the real reason Crown corporations were put into place,” he says.

The utility has already divided itself in two. It has separated its power plants from its business operations so competitors who want to get on the wires won’t also learn the corporate secrets of NB Power’s generating business. The utility has also set transmission fees, the price it will charge competing power-sellers, to use its wires.

Mr. MacPherson says that right now he’s only certain of one thing; natural gas is coming. He also knows that natural gas generators, especially co-generators, are more efficient than any power plant NB Power currently owns. He’s also convinced that the utility’s traditional market will start shrinking.

It’s a tough diagnosis for a company that’s $3.6-billion in debt.

But Mr. MacPherson says he’s not going to lobby the legislative committee to lean one way or another.

“We’re not trying to pre-judge where this is going to come out. We don’t want to get into a situation where we’re trying to stifle discussion on this issue because I think it’s important that we hear everybody’s views, everybody’s ideas.”

He says after the public has had its say, NB Power may wade in with an opinion in the end

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Letter to the editor sent to New Brunswick newspapers

Thomas Adams
New Brunswick newspapers
October 26, 1998

New Brunswick’s big decision on the best methods to bring natural gas to energy users in the province provides an historic opportunity to benefit consumers and the environment. Natural gas distribution systems should be expanded in the province as rapidly as possible, consistent with maintaining the profitability of all investments.

One of the key questions facing the legislative assembly’s Select Committee on Energy, charged with making recommendations on how natural gas distribution should be developed in the province, is whether all consumers should contribute to the distribution system overhead costs, or whether some large users should be permitted to bypass any contribution and be allowed to pay only the tolls of the international pipeline crossing the province.

While it should be recognized that there is no perfect answer to this question, Energy Probe, a national environmental and consumer advocacy organization with a long interest more sustainable energy systems in New Brunswick, has a suggestion. A distribution utility with a license to serve a particular region should have as a feature of its licence the first option to serve any customer that seeks natural gas service, on the understanding that all distribution utility customers should contribute fairly to the overhead of the utility. If the prospective customer and the distribution utility cannot come to an agreement, the prospective customer should have the right to appeal to the Public Utility Board for permission to build its own connection to the main pipeline crossing the province. The Public Utility Board (PUB) should be empowered to consider whether such bypassing arrangements will be permitted and on what terms and conditions. The PUB’s review of bypass applications should be conducted in an open public forum with due process where all interested parties can examine the bypass application, ask questions of the applicant, and make submissions.

By directing prospective large users to seek service from the distribution utility before pursuing a bypass option, the opportunity for fair cost sharing is maximized. By allowing prospective large users, unhappy with the service offering of the distribution utility to make an application to the regulator for a bypass pipeline, the distribution utility is subject to some competitive pressure to keep its costs under control. By empowering the PUB to make public interest determinations in an open forum with due process, the complex tradeoffs involved in such decisions can be made outside of the political arena and with input from affected parties.

In matters of pipeline expansion and cost sharing, there is no way to define in advance exactly what constitutes the “public interest”. The political process is ill-equipped to deal with the detailed technical issues involved such as cost allocation, rate design, and usage forecasting. An independent, quasi-judicial regulatory process guided by a general consumer protection mandate is the best way to go.

Sincerely,

Thomas Adams
Executive Director, Energy Probe

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Hold the extras

Jennifer Wells
Report on Business Magazine
October 1, 1998

“My train reached the Danube at Cernavoda, a name that sounds ominously similar to Chernobyl. Here, in one of the world’s most unstable earthquake zones, Ceausescu had decided to build Romania’s first power station.”

In the spring of 1990, six months after the execution of Nicolae Ceausescu, self-proclaimed Genius of the Carpathians, journalist Robert Kaplan travelled to Cernavoda, penning his lyrical Balkan Ghosts. Ceausescu’s grand nuclear plan had been to see five Candu reactors, the pride and joy of Atomic Energy of Canada Ltd. (AECL), rise in this place just in from the Black Sea. None, then, had been completed.

What was the meaning of this Pharaonic-scale project, wondered Kaplan? Something Stalinesque? “A means to keep the masses occupied, to give them something to do, while reducing them to a subsistence existence?”

Eight years on, and the Romanians, thanks greatly to AECL and the Canadian taxpayer, via the Export Development Corp., have one nuclear reactor up and running at Cernavoda. A second sits half-built, and while the government of Emil Constantinescu cannot afford to purchase spare parts for reactor No. 1, AECL desperately wants to see reactor No. 2 completed. And 3, 4 and 5 would be nice too.

Last summer, as Romanian workers at the second reactor protested months of work with no pay, the Romanian government awarded a $142-million (U.S.) contract to AECL to take the project through the next stage of construction. Yet the Romanian government could finance only $40 million of that, and so we await word on which export credit agencies and/or international financial institutions will carry the lion’s share of the financing.

Romania does not need the power: The country has excess capacity as it is. And even after the $142-million phase, the Romanian government estimates it will need another $650 million to finish reactor No. 2, though according to an AECL spokesperson, that figure might be adjustable. “Either you want a really, really good stereo or just a stereo,” he offers.

There is no time line on the project. Yet AECL remains ever hopeful. “If all five go ahead, it would eventually be our biggest export market,” an AECL marketing man told The Globe and Mail’s Geoffrey York. That plan, which would fulfill Ceausescu’s grand vision, would only require an investment of a few billion dollars.

AECL needs to put a positive spin on Romania. As of early September, it was still awaiting word on whether it would be awarded a contract to build two Candu model 6s in Turkey, a market that it has sought for years. The competition includes a U.S. consortium led by Westinghouse Electric Corp. (joined by Mitsubishi Corp. of Japan) and the group known as German Nuclear Power International, led by Siemens AG of Germany and backed by Framatome SA of France.

Should Turkey reject the Candu, AECL’s order book, China aside, is sparse. To date, South Korea has been the technology’s best customer, outside of Ontario, that is.

AECL’s hopes otherwise are less developed – and less financially able – customers. “If Chrétien insists on spreading these bankruptcy factories around, he should send them to rich countries,” says Norm Rubin, director of nuclear research with Energy Probe in Toronto. “It’s really vicious to send them to poor countries like Romania where the people are going hungry.”

 

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Quake-up call

Leah Rumack
Now
October 1, 1998

 

Will tremors like the one last week make us rue the day we built nuclear reactors atop an earthquake zone?

Think of a toy snowdome. In the middle is a nuclear plant. Pick it up. Shake it a bit. Drop it. Meltdown.

For years, that’s what some nuclear activists and scientists have been saying could happen if Ontario Hydro doesn’t take measures to ensure that its Pickering and Darlington nuclear power plants are ready for a strong earthquake.

And last week’s mini-quake — 5.4 on the Richter scale — shook all the old fears to the surface again.

“When you design a facility like a nuclear generating station that contains a huge amount of poisonous, cancer-causing, death-causing stuff, the safety assumptions go out the window the day the whole plant gets lifted up a couple of feet and dropped suddenly,” says Norm Rubin, director of nuclear research at watchdog Energy Probe.

No damage was reported at the Pickering and Darlington nuclear generating stations, though the line across which last week’s quake travelled runs smack dab underneath Pickering. Both plants sit on seismic fault zones, in essence weak spots in the earth’s crust.

At Ontario Hydro, spokesperson Pat O’Brien says, “Some people have concerns, but the design of our plants takes into account that there are seismic tremors throughout Ontario,” he says. “They meet rigorous engineering standards. We’re confident the plant will continue to operate safely.”

Not hot spot

Toronto, O’Brien wants to remind critics, is not an earthquake hot spot.

“He doesn’t know,” snaps Joe Wallach, a geologist who once worked with the atomic energy control board (AECB). “I get so sick and tired of listening to this crap from non-geologists.”

He points out that there have been many major earthquakes in the surrounding area in the past century, and some of those were totally unexpected, several registering as high as 6 on the Richter scale. (The 1989 quake in San Francisco was a magnitude-7 shake.)

An earthquake’s magnitude is not the only factor in the danger game, Wallach says. Proximity and ground quality are others.

“Pickering is not prepared for it, and that’s all there is to it, despite the rhetoric,” he says. “It’s not designed to withstand a major shaking. It will not ride it out if the quake is too close.”

Research by Wallach’s colleague Arsalan Mohajer, a University of Toronto seismologist, shows that a quake of 7 on the Richter scale is a possibility for the Toronto area.

According to Mohajer’s work, there is a one-in-10,000-years chance Toronto will be hit by a quake of that force. Trouble is, nobody knows how far into those 10,000 years we are.

That’s the kind of bet-hedging that worries Irene Kock of the Nuclear Awareness Project. Kock argues that it’s in Hydro’s interest to understate the potential for disaster because it can’t afford the upgrades that a worst-case scenario entails.

“The bottom line is it’s going to cost them big-time,” Kock says, adding that not preparing for the unimaginable is pure folly.

“Risk is the wrong word to use here, because the consequences are severe,” Kock says. “Parts of the province would be uninhabitable. The whole Great Lakes basin would be affected.”

More recently, the AECB, the nuclear industry’s regulating arm, has ordered Ontario Hydro to review its data.

Kock says there’s been controversy between the two for the better part of the last decade over how active the seismic faults in the greater Toronto area actually are.

Emergency measures Ontario, an arm of the provincial solicitor-general’s ministry, recently released a revised emergency preparedness plan for the event of nuclear disaster.

Jim Ellard, director of the unit, is unwilling to discuss the contingencies and recommendations being hammered out, except to parrot Hydro’s position that an earthquake causing a meltdown is “highly unlikely.”

Kock, though, says the document goes a long way toward beginning to grapple with worst-case scenarios, including the contamination of food, moving populations and isolating affected areas. A mock-disaster exercise is planned for Darlington next spring.

As if this weren’t eerie enough, there’s also the fact that if an earthquake ever did damage to inadequately prepared plants and wreaked havoc on the surrounding area, no one would be responsible.

Damage inflicted

That’s because, back in the 1970s, the burgeoning nuclear industry demanded immunity from liability for possible nuclear accidents. The result is the Nuclear Liability Act, which states that any damage inflicted by a nuclear meltdown is not the fault of the owner or operator of a nuclear plant.

Energy Probe and the city of Toronto went to court in an attempt to alter the act in 1993.

Ontario Hydro and the New Brunswick power authority intervened on behalf of the government, and the act was found to be “constitutionally valid,” in the words of one Hydro spokesperson. Energy Probe and the city subsequently dropped their appeal.

It’s because of this blanket lack of liability that Rubin is not impressed with the sincerity of Hydro’s pooh-poohing of safety concerns.

“You should view the assurances of Ontario Hydro the way you’d listen to assurances from inside a concrete bunker in a war zone,” Rubin says.

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Report fingers declining safety

The Moncton Times and Transcript
August 14, 1998

Despite criticism, plant remains fundamentally sound with low exposure risk

Although no nuclear power station in Canada suffered any serious breach of safety last year, Point Lepreau was singled out for greater criticism.

At a meeting of the Atomic Energy Control Board here yesterday, officials said their annual report on New Brunswick Power was more critical than its reports on all the other nuclear power stations in the country.

«The annual report on Point Lepreau was the most critical of all the reports this year,» an official conceded when asked by board member Yves Giroux.

AECB staff member Charles Montgomery told the public hearing that the 15-year-old nuclear power station on the Bay of Fundy does not meet performance requirements in two of four categories: containment and emergency core cooling.

Despite the criticism, though, he added that the plant, like all other Candu reactors in Canada, is fundamentally sound and risks of exposure to radiation for employees and the public remain very low.

In 15 minutes, Montgomery generally described the annual reports on six nuclear power stations in Canada, including Point Lepreau. It is the last year that AECB will produce individual annual reports on stations. Next year, the nuclear licenser plans to produce a single report on all the stations in Canada.

«Point Lepreau operated safely in 1997, in terms of radioactive releases to the public, the environment and radiation doses to workers,» the AECB report concluded. «However, AECB staff believes that continuing high numbers of licence non-compliances, more events with greater severity, and inadequate configuration control, indicate deteriorating safety performance.

«While NB Power has initiated a large-scale performance improvement program and increased station staffing, the program has not yet had a measurable effect on the safety performance of the station.»

The litany of problems that occurred at the 600 mega-watt station last year are strewn throughout the report. There were 26 separate incidences when the station was non-compliant with its licence conditions, slightly more than the 23 incidents reported in 1996 but about triple the numbers reported in 1990 to 1993.

«AECB staff concludes that operation and maintenance performance can support safety at the station for the present. However, improvements are needed to cope with an accelerated frequency of aging-related degradations in the plant systems.»

Performance of the emergency core cooling system was «poor» in 1997, the report said because two valves were found to be defective. It was also «unavailable» for two-and-a-half months of the year when the station was shut down.

The containment system was also judged poor last year. NB Power discovered that a valve would have been inadequate to contain a spill, which would have meant the entire containment system was ineffective. The company also has not yet fixed a problem with inadequate air supply components that also jeopardize the containment system. «This condition has existed and has been reported for several years without resolution,» the report said.

Other incidents reported included:

* In February, a cracked feeder tube required the station to shut down for two months.

* In March, five workers were exposed to tritium, a radioactive hydrogen produced in heavy water, while cleaning a duct.

* In September, tritium was released to a site drainage ditch when a pump was inadvertently activated.

* In October, two maintenance workers were exposed to tritium while working on a pump.

* And in November, a worker was exposed to tritium when a glass container broke.

NB Power is in the process of applying for a new licence from AECB. In June, a formal application was made at a hearing in Pembroke, Ont. While much of the same criticism was made against NB Power in that hearing, AECB staff recommended that the licence be renewed for two years. A decision is expected in October.

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More failing grades for Atlantic nuclear plant

Ottawa Citizen
August 12, 1998

FREDERICTON — Safety practices at Atlantic Canada’s only nuclear power plant have received yet another poor report card.

The latest assessment by the Atomic Energy Control Board of New Brunswick’s Point Lepreau nuclear power station reports a continuing decline in operational safety at the 15-year-old plant on the Bay of Fundy.

The AECB, the regulatory agency for Canada’s nuclear power industry, states in its annual review of Lepreau for 1997 that there was a troubling deterioration in performance.

Rod White, vice-president of nuclear operations for NB Power, said the utility has begun a performance improvement program that won’t show results for a few more years.

“These improvements don’t happen in a half a year or a year’s time. … So I wouldn’t expect 1998 to be a nice clean year either.”

The report says AECB staff will monitor Lepreau’s performance closely in 1998 and will make sure NB Power, the provincial Crown corporation that owns and operates the station, addresses the problems.

NB Power was ordered in 1996 to report every six months on actions it has taken to improve the culture of safety at the nuclear station.

But the AECB remains unhappy with the plant’s progress and has ordered a schedule of targets for safety improvements, two of which must be met by the end of this month.

Lepreau’s licence is up for renewal in October.

Rod White, vice-president of nuclear operations for NB Power, said the utility has begun a performance improvement program that won’t show results for a few more years.

“Overall, I wouldn’t have expected this to be a glowing report because we just started the program. But it gives good credit to the initiatives we have taken to improve progress,” White said of the AECB review.

“These improvements don’t happen in a half a year or a year’s time. It’s a three- or four-year program. So I wouldn’t expect 1998 to be a nice clean year either.”

Norm Rubin, senior policy analyst with Energy Probe in Toronto, said lack of safety culture is a frightening poblem in a nuclear facility and he applauded the AECB for keeping a sharp eye on Lepreau.

“If you look at technological disasters in general, you find that this was an organization that was not living and breathing hazard avoidance,” he said, recalling such incidents as the Chernobyl nuclear accident and the Challenger space shuttle explosion.

“The good news here is that the AECB is awake enough to mention it. I’m old enough to remember when the regulator sounded like part of the Canadian Nuclear Association. So it’s good the AECB is being critical. It’s terrible that Point Lepreau has a bad safety culture.”

During the last three years, the nuclear station has been off-line almost as often as it has been on-line, generating as much controversy as electricity.

Among the concerns raised in the AECB report are a maintenance backlog at the nuclear plant, worker fatigue and a general deterioration in the “material condition” of the plant.

“Improvements are needed to cope with an accelerated frequency of aging-related degradations in the plant systems,” says the report, suggesting the plant is aging prematurely.

Lepreau is halfway through its life expectancy of 30 years.

A recent report prepared for NB Power said major and costly repairs will have to be made to the plant by the year 2008.

The utility has yet to decide whether the expense will be worthwhile but plans to run the nuclear facility at least until the overhaul is required.

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