Nuclear, Reactors

GE Energy announces nuclear alliance with FirstEnergy

8 July 2005 – GE Energy’s nuclear business has signed a strategic alliance agreement with FirstEnergy Nuclear Operating Company (FENOC) of Akron, Ohio. The six-year alliance, agreed to this year, will cover operational support at FirstEnergy’s Perry Nuclear Power Plant and Davis-Besse Nuclear Power Station.

The goal of the alliance is to maximize equipment and refuel outage performance at the two facilities, which are located in Ohio, along the northern shores of Lake Erie.
Such alliances help enhance plant performance while lowering a facility’s operational costs.

GE’s nuclear business, the leading designer of boiling water reactor (BWR) facilities, was the nuclear steam supply system designer for Perry, and the original equipment manufacturer of the Perry and Davis-Besse turbine generators.

Located in Perry, First Energy’s 1260 MW Perry plant is a BWR and serves northern Ohio and various regions of FirstEnergy’s service territory. Serving the same regions, the 877-megawatt Davis-Besse plant in Oak Harbor is a pressurized water reactor (PWR). Both reactors are examples of light water reactor technology.

“We are extremely pleased to be forging this new alliance, which is dedicated to the principles of safety, teamwork, accountability and added value,” said Andy White, President and CEO of GE Energy’s nuclear business. “The alliance places us on the same side of the table as FirstEnergy, putting each company in a winning situation. GE will be more closely aligned with FirstEnergy’s goals, which will positively affect their bottom line. Because of the unique set-up, GE will have a more predictable business flow. Both companies’ goals are achieved through our alliance.”

The agreement actually represents a new paradigm in alliances, in which GE will more closely align its core competencies with FENOC’s business plan, focusing both vendor and owner on technology and services that will drive customer value. The initial scope of work will involve GE’s nuclear services, turbine island services, water technology and performance-optimization offerings.

GE’s nuclear business and FENOC have identified other leadership focus areas including Nuclear Fuel, Preventative Maintenance, System Health Monitoring, Design Information, Parts and Obsolescence. Leaders from both companies have been assigned to each focus area.

GE’s nuclear business, headquartered in Wilmington, N.C., develops advanced light water reactors and provides a wide array of technology-based products and services to help owners of both boiling and pressurized water reactors safely operate their facilities with greater efficiency and output.

FENOC is a subsidiary of Akron, Ohio-based FirstEnergy Corp., a registered public utility holding company. In addition to Perry and Davis-Besse in Ohio, the company operates a third nuclear facility in Pennsylvania.