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"An environmental group lost the latest round in a court fight over a disputed water permit for North Anna Power Station. The Virginia Court of Appeals ruled this week that the State Water Control Board's 2007 renewal of a Virginia Pollutant Discharge Elimination System permit was appropriate. In February, Richmond Circuit Court Judge Margaret Spencer sided with the Blue Ridge Environmental Defense League's contention that the plant's waste heat treatment facility should be subject to the federal Clean Water Act. Since the plant began operating in the late 1970s, Dominion has contended that the lagoon, where heated water from the plant's two reactors is cooled, is a waste facility and not a water impoundment. The lagoon, ringed by houses and boat docks, is also known as the lake's hot side. Water from the hot side eventually drains back into the main lake through a dike."