Projects and contracts

DTE Energy announces hydrogen power park partnership: DTE Energy has been selected by the U.S. Department of Energy as its partner in a hydrogen power park project. Over the next three years, DTE Energy will develop, build and operate an integrated hydrogen energy system capable of delivering 15,000 kWh of environmentally friendly electricity per year. DTE Energy will partner with several technology providers, including Plug Power, a fuel cell development and manufacturing company in which DTE Energy has a 28 percent stake. The company expects to install about 600 kW of electric power during the first phase of the project next year, with additional generation added in the following three to four years.

DOE awards uranium disposition contract to UDS: Uranium Disposition Services (UDS), a joint venture company specifically formed for this project is composed of three partners: Framatome ANP, Duratek Federal Services, and Burns and ROE Enterprises. UDS has been awarded a contract by the U.S. Department of Energy (DOE), valued at $558 million, to transform and dispose of its depleted uranium inventory.

The depleted uranium is in the form of uranium hexafluoride gas (UF6).

Framatome ANP will provide the conversion technology to transform the UF6 gas into powder form suitable for disposal. The contract, effective until August 2010, covers the design, construction and operation of two uranium oxide conversion plants. It also covers the management of the uranium stocks at Oak Ridge, TN and its transportation to the Portsmouth conversion plant.

Foster Wheeler building plant: The Foster Wheeler Power Group Inc. has been awarded a contract valued at approximately $200 million by LMB Funding to engineer, procure and construct a nominal 600 MW capacity combined-cycle natural gas-fired power plant. Construction is underway at the Lower Mount Bethel project located in Bangor, Penn. The project will include two gas-turbine generators and one steam-turbine generator. Operation of the plant is scheduled to being at the end of 2003.

Black & Veatch to do renewables study: Black & Veatch has been selected by the European Bank for Reconstruction and Development to assess the potential for renewable energy use in 27 countries located throughout Central and Eastern Europe and the former Soviet Union. The objective of the project is to identify a pipeline of renewable energy projects suitable for further investigation and possible future funding by the Bank. The Bank is owned by 60 countries and two intergovernmental institutions.

Fru-Con named mechanical contract for Texas plant: Fru-Con Construction Corp. has been named the mechanical contractor for a combined-cycle power plant under construction alongside an existing facility in southeast Texas for the South Texas Electric Cooperative. The contract is valued at $13 million and covers the installation of major equipment, 270 tons of structural steel, and associated piping and instrumentation. This follows a $5.1 million contract Fru-Con won in June to construct foundations for the equipment. Completion for the plant is scheduled for June 2003.

Legal and regulatory

Davis-Besse submits report: FirstEnergy Nuclear Operating Co. submitted a root cause analysis report to the Nuclear Regulatory Commission addressing management and organizational issues that contributed to the corrosion problem on the reactor head at Davis-Besse. Human performance factors cited in the report included missed opportunities for earlier detection and prevention of the problem. The report states, among other things, that plant management and personnel: did an inadequate job of implementing the corrective action program (which is designed to identify and resolve early problems), did not integrate key industry information and site knowledge and experience (nor adequately compare new information with baseline knowledge), failed to comply with the plant's existing boric acid corrosion control program and failed to maintain the proper balance between electricity generation and nuclear safety goals.

Ninth Circuit bumps decision to Calif. Supreme Court: In a unanimous decision, the U.S. Court of Appeals for the Ninth Circuit rejected federal law challenges by consumer group The Utility Reform Network to the settlement agreement between Southern California Edison (SCE) and the California Public Utilities Commission (CPUC). The court specifically said that the district court judgment confirms a settlement of a valid federal preemption claim. The court determined that challenges to the agreement, based on alleged violations of California state law, should be resolved by the California Supreme Court.

Executive appointments

• Wartsila: Frank Donnelly has been named vice president of power plants.
• Dynegy: Glenn F. Tilton has resigned as interim chairman.
• Avista: Malyn K. Malquist is senior vice president.
• Xcel Energy: Richard C. Kelly replaces Edward J. McIntyre as chief financial officer.
• CES International: Ed Solar is executive vice president of customer operations.
• Caminus: William P. Lyons has been appointed president and CEO.
• Foster Wheeler: C. James Crumm has been named vice president of project risk management. Sherry E. Peske is vice president of government affairs and corporate communications.