FPL Group, Inc. & Subsidiaries - Page 149

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          for the remainder of their useful lives, and requires a quarterly           
          inspection of this equipment for leaks of dielectric fluid”; and            
          (3) “Prohibits the use of all other large PCB Capacitors after              
          October 1, 1988”.  According to the PCB rule:                               
               If a PCB Transformer is found to have a leak which                     
               results in any quantity of PCBs running off or about to                
               run off the external surface of the transformer, then                  
               the transformer must be repaired or replaced to                        
               eliminate the source of the leak.  In all cases any                    
               leaking material must be cleaned up and properly                       
               disposed of * * * in no case later than 48 hours of its                
               discovery.  * * *                                                      
          In response to the PCB rule, FPL commenced a program to remove              
          PCBs from its electrical equipment, including all power                     
          transformers at its power plants.36                                         
               A 1986 BI No. 895, approved in October 1985, budgeted $16.4            
          million to “Replace all PCB filled distribution capacitors” over            
          a 6-year period “to conform with new EPA regulations, and                   
          commenced in the first quarter of 1983 and are to be completed in           
          the third quarter, 1988.”  A section of the BI labeled “purpose             
          and necessity” states that “Recent EPA regulations released                 
          August 25, 1982 prohibit the use of all large PCB-filled                    
          capacitors after October 1, 1988.”                                          
               A 1986 BI No. 904, approved in October 1985, budgeted $13              
          million to “Replace all PCB filled distribution transformers”               
          over a 3-year period to commence in the first quarter of 1984 and           

               36 Mr. Butts testified that a PCB leak was a “reportable               
          event” to the EPA.                                                          




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