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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
CURRENT REPORT
PURSUANT TO SECTIONS 13 OR 15(D) OF THE
SECURITIES AND EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) July 23, 1996
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DELMARVA POWER & LIGHT COMPANY
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(Exact Name of Registrant as Specified in Charter)
Delaware and Virginia I-1405 51-0084283
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(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
800 King Street, P.O. Box 231, Wilmington, Delaware 19899
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(Address of Principal Executive Offices) (Zip Code)
Registrant's Telephone Number, Including Area Code 302-429-3448
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None
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(Former Name or Former Address, if Changed Since Last Report)
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Item 5. Other Events
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The following information updates matters related to Salem Units 1 and
2 previously reported under "Item 1--Business" of Part I of Delmarva Power &
Light Company's (the Company) 1995 Annual Report on Form 10-K, "Item 5--
Other Information" of Part II of the Company's Report on Form 10-Q for the
quarter ended March 31, 1996, and "Item 5--Other Events" of the Company's
Current Report on Form 8-K dated May 29, 1996. The following is excerpted
from information reported in a news release dated July 22, 1996, by Public
Service Electric and Gas Company (PSE&G), the operator of the facility
referred to below, which news release was included in a Current Report on
Form 8-K filed by PSE&G on the same date.
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Public Service Electric and Gas Company announced today
(July 22, 1996) that refurbishment and comprehensive testing of
its Salem 2 nuclear unit will continue well into the fourth
quarter of this year.
"We had hoped to conclude our work and return the unit to
service by late August," said Leon R. Eliason, PSE&G's chief
nuclear officer and president of its nuclear business unit. "In
fact, while we have made substantial progress in upgrading the
unit's 46 major systems, some originally identified work remains
to be done. Further, as we restored some components in these
systems, we determined the need for additional work and testing
not anticipated in our original schedule."
As refurbishment is being completed, Eliason said, PSE&G
will conduct comprehensive integrated testing of plant systems
prior to loading fuel. "This will enable us to demonstrate
confidence in the work done in restoring these systems to
reliable performance," he said.
Eliason emphasized that the revised schedule for Salem 2
reflects PSE&G's commitment to safe, sustained and reliable
operation of its nuclear units. "We have consistently said that
we will not return the Salem units to service until they are
ready to meet this standard," he said. "We are taking the
appropriate time to complete our necessary work."
PSE&G also announced today that:
- Acquisition of unused steam generators from the unfinished
Seabrook 2 nuclear unit in New Hampshire for installation at the
Salem 1 nuclear unit has been completed, and removal of the
replacement steam generators began last week.
. . . .
Eliason said no new specific target date for Salem 2's
restart has been established. "Our current belief is that the
unit will be ready for service late in the
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fourth quarter," he said. "Our overriding priority to our customers,
shareholders, employees and communities in which we live and work is to
achieve safe, sustained, reliable operation once it is brought back on
line. We will not compromise this goal."
PSE&G has informed the Nuclear Regulatory Commission (NRC)
of its decision to extend the Salem 2 outage. Restart of the
unit requires NRC concurrence.
Eliason added that this change in the Unit 2 schedule should
not impact the projected restart of Salem 1. "Our current plans
call for Salem 1 to be ready for operation by mid-1997 after
completion of refurbishment, including replacement of its steam
generators," he said. "Our objective is to manage the work on
Salem 1 so that it remains on schedule."
The replacement steam generators for Salem 1 are now
expected to be barged to the Salem site from New Hampshire by the
end of October. "We are pleased to report that the most recent
test results confirm that the Seabrook 2 equipment, as
anticipated, is highly compatible with the Salem 1 unit and
should require a minimum of modifications before installation,"
he said. The steam generators, including installation, will cost
approximately $150 million to $170 million, Eliason said. . . .
. . . .
PSE&G removed Salem 1 and 2 from service on May 16 and June
7, 1995, respectively, to thoroughly assess and then make
improvements in the units' equipment, personnel, and work
processes. Both units had experienced operating problems over a
period of years prior to their shutdown.
During the assessment of Salem 1, extensive cracking was
found in the tubes of its four steam generators. On May 23,
PSE&G announced its intention to buy replacements from the
Seabrook 2 unit. Since the discovery of the tube cracks in Salem
1 steam generators, PSE&G has been focusing on the restart of
Salem unit 2, and that emphasis is continuing.
The Salem station consists of two 1,100-megawatt pressurized
water reactors located along the Delaware River in Salem County,
New Jersey. PSE&G operates the station and owns 42.59% of the
facility. The other co-owners are PECO Energy Company which owns
42.59%, and Atlantic Electric Company and Delmarva Power & Light
Company, which each own 7.41%. . . .
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
Delmarva Power & Light Company
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(Registrant)
Date: July 23, 1996 /s/B. S. GRAHAM
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Barbara S. Graham
Senior Vice President,
Treasurer and
Chief Financial Officer
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