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Credit Pacific Service Union Executives from Exelon Corp. and Public Service Enterprise Group Inc. said Tuesday that their creation of the country's biggest utility will help three troubled nuclear power plants in southern New Jersey run more smoothly. But critics of the plants said they have no faith such a massive company would spur any improvements.

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Credit First Service Union A day earlier, Chicago-based Exelon announced it would acquire Newark, N.J.-based PSEG in a $12 billion stock deal the companies said will create cost savings and better service. They expect it will take until early 2006 to complete the deal.

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Card Credit Mobile Service The new company would have 18 million customers in Illinois, Pennsylvania and New Jersey, assets worth $79 billion, annual revenues of $27 billion and yearly profits of $3.2 billion. The current combined work force of 28,500 would be trimmed by about 1,400 jobs.

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Card Credit Discover Service But the deal would not change plans for any of New Jersey's four nuclear power plants, all of which would be owned and operated by the new company. Of those facilities, the Oyster Creek plant in Ocean County already is owned and operated by an Exelon subsidiary. In Salem County, the Salem I and II plants are co-owned by Exelon and PSEG and operated by PSEG; the Hope Creek plant is owned and operated by PSEG.

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Credit Public Service Union Making the three plants on Salem County's Artificial Island more efficient will be a boon for both stockholders and energy customers, company officials said during a news conference.

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Card Credit Processing Service "The biggest benefit is the effect good operations at Salem and Hope Creek has on wholesale prices," said John W. Rowe, the chairman and CEO of Exelon, who would have the same job in the new company.

Center Credit Service Union Electricity generated at the plants is sent to a regional energy pool, rather than being transmitted straight to homes and businesses.

Card Credit Service Wireless The nuclear power business is a target of critics who say the industry needs big subsidies to be profitable and holds a danger of disaster if things go wrong. The companies' plans did little to quell those worries.

Credit Security Service Union Jeff Tittel, director of the Sierra Club's New Jersey office, said having bigger companies with higher profit expectations could make plants more dangerous.

Credit Report Service "I just don't know what's going to happen when you create these large, behemoth companies," Tittel said.

Blogspot Com Christian Activists have called for Exelon to shutter the relatively small Oyster Creek plant when its license expires in 2009. Company officials reaffirmed on Tuesday they do not plan on doing so.

Christian Counseling Credit That's not a good sign for Norm Cohen, the coordinator of Unplug Salem, a group that wants the three Salem County reactors shut down permanently. Cohen said continuing to operate that plant shows Exelon cares more about profits than safety.

Credit Federal Service Union "While they supposedly have a better safety record than PSEG, everybody can have a better safety record than PSEG," Cohen said.

Credit Monitoring Service Hope Creek, meanwhile, has been shut down since a steam pipe there ruptured on Oct. 10.

Credit Division Service Some anti-nuclear power activists have said the company should make another significant repair there by replacing a recirculation pump with a bent rod before the plant restarts.

Card Credit Online Service PSEG officials have said they would wait until the next regularly scheduled outage at Hope Creek in the summer of 2006 to make the repair.

Consumer Counseling Credit Inc The merger does not change that, said E. James Ferland, the president and CEO of PSEG who would become the chairman of the board of the new Exelon Electric and Gas firm.

Card Credit Fleet Service Ferland said Exelon has had a role at PSEG's three New Jersey nuclear plants since they opened in the 1970s and 1980s and has taken a more active role this year. The analysis that determined Hope Creek would be safe to operate another 18 months with the old recirculation pump is largely the work of Exelon, Ferland said.

Card Consolidation Credit Ferland said Hope Creek should be ready to be restarted by the end of the year. The company, though, has agreed to wait until after meeting with the federal Nuclear Regulatory Commission before restarting the plant. That meeting has not been scheduled.

Credit Free Online Report At the Hope Creek and Salem I and II plants, PSEG has been trying to fix what it calls a "safety culture" problem brought to light in part by whistle blowers who have complained that the plants have not been as safe as they should be.

Credit Federal First Service Recent changes to operations there include an expanded office for dealing with employee safety concerns and a campaign that has placed safety-related posters all over the facility.

Consumer Credit Service Ferland said the Exelon acquisition will mean smoother operations at the plants because Exelon already runs 17 nuclear plants at 10 sites and has a strong standard operating procedure for the plants.

Center Credit Family Service "It's like a cookbook: This is how we run our plants," Ferland said.

Credit Reporting Service For the Sierra Club's Tittel, that's part of the problem.

Cca Credit Division Service "Exelon has already been a partner in the Salem nuclear plants and there have been more problems since they became a partner," Tittel said.

Credit Free Report Service Associated Press - 12/22/2004

Topic: Nuclear

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