Tough decision at Crystal River

After months of careful evaluation, Duke Energy made the difficult decision in February 2013 to retire the Crystal River Nuclear Plant. Our board of directors determined that retiring the plant is the best choice for customers, investors, the state of Florida and the company.

The 860-megawatt plant in Citrus County, Fla., has been out of service since September 2009, when a delamination (separation) occurred in the outer layer of the containment building’s concrete wall following steam generator replacement work. The process of repairing the damage and restoring the unit to service resulted in additional delaminations in other sections of the containment structure in 2011.

Company engineers and outside engineering consultants analyzed the feasibility and cost of repairs. Our options included undertaking a highly complex, first-of-its-kind repair, or retiring and decommissioning the plant. A report completed in late 2012 confirmed that while the repair was feasible, the potential risks involved could raise the cost dramatically and extend the schedule.

The company intends to place this facility into a safe storage configuration, called SAFSTOR, until dismantling and decontamination activities occur, usually in 40 to 60 years. Development of a comprehensive decommissioning plan is under way to determine the scope, schedule and resources needed.

Many of the plant’s approximately 600 employees will remain on site through closing and decommissioning. The company is assisting other employees in finding new positions with Duke Energy.

Crystal River Nuclear Plant has been an important part of our diverse generation mix for three decades. We are reviewing alternatives to replace the power produced by the unit, including the potential construction of a state-of-the-art natural gas-fueled plant.