Vermont, Nuclear Power and State’s Rights
Entergy Corporation and the state of Vermont faced off last week in federal court over relicensing of Vermont Yankee. At issue is whether the state of Vermont has the right to deny relicensing of the 40-year-old nuclear power facility for an additional twenty years. The NRC has already granted preliminary approval for relicensure.
What makes this case more interesting is an MOU executed between Entergy and Vermont prior to Entergy purchasing the facility several years ago that granted Vermont a “right of refusal” to grant a license extension. The Vermont Senate voted overwhelmingly last session to demand that Vermont Yankee be shut down once its current license to operate expires in 2012.
Entergy has argued that Vermont has acted in bad faith by not giving Entergy fair and reasonable consideration for relicensing. They also argue that the vote to shut down the facility was made based on safety concerns, which they argue are the sole jurisdiction of the NRC.
Vermont argues that Entergy has failed in their responsibility to safely operate and maintain the facility and that Entergy failed to provide a favorable power contract that was in Vermont’s “public good,” which they feel justifies their stance.
Judge Murtha should render his decision within 4-6 weeks. This is the first salvo in what is likely to be a protracted legal fight over several years that will likely go to the U.S. Supreme Court and set legal precedent for the remaining nuclear power facilities throughout the US. Stay tuned. This will get interesting.
