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EMD-80-89 1 (1980-07-07)

handle is hein.gao/gaobabawl0001 and id is 1 raw text is: 




REPORT BY THE


Comptroller General


OF THE UNITED STATES

               RE5Tt~D  - '~o to ~ r -~ ~~othe General
     Account;        :       o  ,-       a specific approval
     by the Office of C-,,      j Lioeatiwo1
Three Mile Island: The FinantofFallout








The nuclear accident at Three Mile Island raised
serious questions about the financial ability of
the electric utility company owners to clean up
and repair the damaged reactor facilities while
continuing to provide reliable electric service
to customers.

Financial insolvency of the companies is not
imminent and power supplies are assured for
the immediate future. However, the loss of
earnings capability by the Metropolitan Edison
Company makes it questionable whether it can
fund its share of the clean-up costs and main-
tain system reliability without large rate in-
creases or some external financial assistance.

The accident has shown that the utilities and
Federal and State regulatory agencies were
not prepared to deal with recovery from such
a large financial loss. The Department of Ener-
gy should move swiftly to assess the financial
needs of the affected utilities and develop
plans for meeting them.



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                                                                       113012



                  ,                                                          EM D-80-89

                       1Crr~, TA~~JULY 7,1980


I I> 0 1 02,

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