BVY 09-022, Update to Spent Fuel Management Plan
| ML091040287 | |
| Person / Time | |
|---|---|
| Site: | Vermont Yankee File:NorthStar Vermont Yankee icon.png |
| Issue date: | 04/01/2009 |
| From: | Michael Colomb Entergy Nuclear Operations |
| To: | Document Control Desk, Office of Nuclear Reactor Regulation |
| References | |
| BVY 09-022, TAC MD8035, TAC MD8051 | |
| Download: ML091040287 (8) | |
Text
Entergy Entergy Nuclear Operations, Inc.
Vermont Yankee P.O. Box 0250 320 Governor Hunt Road Vernon, VT 05354 Tel 802 257 7711 April 1, 2009 BVY 09-022 ATTN: Document Control Desk U.S. Nuclear Regulatory Commission Washington, DC 20555
References:
.(1)
Letter, USNRC to Entergy,."Safety Evaluation Spent Fuel Management Program.and Preliminary Decommissioning Cost Estimate (TAC No.s MD8035 and.MD8051), NVY 09-009, dated February 3, 2009.
Subject:
Vermont Yankee Nuclear Power Station License No. DPR-28 (Docket No. 50-271)
Update to Vermont Yankee Spent Fuel Management Plan
Dear Sir or Madam,
In Reference (1), NRC staff completed a review of previous submittals and provided preliminary approval of Entergy Vermont Yankee's (VY) spent fuel management program in accordance with 10CFR50.54(bb).
NRC staff requested in Reference (1) that revised spent fuel management plan funding information be submitted should there be a material decline in the fund balance.
Without making a determination whether there has been any material decline in the fund balance, Attachment 1 to this letter provides VY's revised information to the staff's request contained in Reference (1).
There are no new regulatory commitments being' made in this submittal.
Should you have any questions concerning this submittal, please contact Mr. David J.
Mannai at (802) 451-3304.
Sincerely, Michael J. tplbmb Site Vice President Vermont Yankee Nuclear Power Station (6 pages)
A-0oo
BVY 09-022 Docket No. 50-271 Page 2 of 2 cc:
Mr. Samuel J. Collins, Regional Administrator U.S. Nuclear Regulatory Commission, Region 1 475 Allendale Road King of Prussia, PA 19406-1415 Mr. James S. Kim, Project Manager U.S. Nuclear Regulatory Commission Mail Stop 0 8 C2A Washington, DC 20555 USNRC Resident Inspector Entergy Nuclear Vermont Yankee P.O. Box 157 320 Governor Hunt Road Vernon, Vermont 05354 Mr. David O'Brien, Commissioner VT Department of Public Service 112 State Street - Drawer 20 Montpelier, Vermont 05620
Docket No. 50-271 BVY 09-022 Vermont Yankee Nuclear Power Station Revised Spent Fuel Management Plan Information - 10CFR50.54(bb)
Vermont Yankee Nuclear Power Station Updated Program for Maintenance of Irradiated Fuel Background and Introduction On March 21, 2007, Entergy Vermont Yankee (VY) submitted a "Report Pursuant to 10 CFR 50.54(bb)," (Accession No. ML070860696), and on February 6, 2008, a "Report Pursuant to 10 CFR 50.75(f)(3)," (Accession No. ML080430658), related to the Vermont Yankee Nuclear Power Station. In response to a NRC staff request for additional information, on April 24, 2008, VY submitted a "Response to Request for Additional Information," (Accession No. ML081200753), and on October 14, 2008, a "Revised Spent Fuel Management Plan Pursuant to 10 CFR 50.54(bb)", (Accession No. ML082910294).
On February 3, 2009, the NRC staff approved VY's program for the long-term storage of spent fuel and found that the preliminary decommissioning cost estimate to be reasonable. In its approval letter, the staff stated an expectation that VY would update the financial aspects of its spent fuel management program if there were a material decline in the decommissioning trust fund balance.
Without making any determination of whether any trust fund balance decline is considered material or not, VY is submitting this update to the October 14, 2008 submittal. The program outlined in this submittal is viewed by VY as a tool to estimate costs, but is not intended to reflect details of the actual implementation. For example, depending on Department of Energy's (DOE) actual performance under its spent fuel disposal contracts, VY may not have to build the ISFSI discussed herein.
Changes in the Base Estimate The decommissioning cost reported in the October 14, 2008 submittal was $875.152 million (expressed in 2007 dollars). The radiological portion of the cost was approximately $656.118 million and the spent fuel management portion $219.034 million. Spent fuel management costs were based upon the premise that the DOE would begin receiving spent fuel from commercial reactors in 2017.
The decommissioning cost presented in this submittal is $909.66 million (expressed in 2008 dollars). The radiological portion of the cost is approximately $674.33 million and the spent fuel management portion $235.33 million. The increase is due to 1) a revision to the assumed DOE start date for receiving spent fuel and 2) a one year escalation of the cost basis (from 2007 to 2008).
The current estimate assumes a three-year slip in the start of DOE acceptance (from 2017 to 2020). The 2020 date is based upon statements made by Edward F. Sproat III, former Director of the DOE's Office of Civilian Radioactive Waste Management (OCRWM) in
testimony to Congress in 2008 and by the OCRWM's "Project Decision Schedule" (DOE/RW-0604) released in January 2009.
This change resulted in a corresponding three year slip in the final year of acceptance of the VY fuel (from 2042 to 2045).
No other changes were made to the decommissioning scenario or assumptions described in the October 14, 2008 submittal.
Financial Assurance The decommissioning trust fund balance for VY was reported at $372.01 million as of December 31, 2008.
The following table provides a schedule of estimated expenditures for license termination and spent fuel management costs in 2008 dollars. The source for this information is the latest decommissioning estimate, escalated to 2008 dollars. Costs are included for the design and construction of the Independent Spent Fuel Storage Installation (ISFSI), the relocation of the spent fuel from the pool to the ISFSI pad, and eventual transfer of the fuel to the DOE.
To demonstrate the adequacy of the existing funds to cover both license termination and spent fuel management, the fund balance going forward was escalated at 2% per year.
VY fully expects to recover the cost for spent fuel management from the DOE.['] As such, cost reimbursements are included as income and on a three-year offset from the spent fuel management expenditures (i.e.,
compensation would be received approximately three years after the expense was incurred).
In an order in Docket 03-2663C, the U.S. Court of Federal Claims has entered judgment in favor of VY and against DOE for DOE's failure to accept spent fuel pursuant to VY Station's Standard Contract. With liability established, VY is now in a position to pursue damages as they are incurred. VY will continue its suits against DOE for spent fuel storage damages as they accrue, including through the decommissioning period.
VY fully expects that DOE will pay VY damages for storage of SNF at the VY Station until DOE takes title to the station's SNF. As such, and allowing for some delay from the time when VY incurs spent fuel storage costs until DOE pays the company's claims, VY does not expect to have to use significant, additional decommissioning-trust funds to pay for SNF storage. This analysis reflects that assumption.
Vermont Yankee Nuclear Power Station Decommissioning Funding Plan Scenario 5: 2012 Shutdown, Extended SAFSTOR Alternative, 2020 DOE Start Date Basis Year Fund Balance Annual Escalation Annual Earnings 2008
$372.01 0.00%
2.00%
million
-1 4
4
+
A B
C D
E F
Total License Termination 50.75 50.54(bb) and Decommissioning License Spent Fuel Spent Fuel Total Cost Trust Fund Termination Management Management Escalated at DOE Escalated at 2%
Cost Cost Cost 0%
Reimbursement (minus expenses)
Year (millions)
(millions)
(millions)
(millions)
(millions)
(millions) 2008 372.012 2009 379.452 2010 387.041 2011 394.782 2012 32.682 13.607 46.289 46.289 356.389 2013 40.282 27.400 67.682 67.682 295.835 2014 3.935 29.322 33.257 33.257 268.494 2015 3.935 29.322 33.257 33.257 13.607 25,4.214 2016 3.946 29.402 33.348 33.348 27.400 253.350 2017 3.935 23.217 27.152 27.152 29.322 260.587 2018 3.933 2.553 6.486 6.486 29.322 288.635 2019 3.933 2.553 6.486 6.486 29.402 317.324 2020 3.943 6.310 10.253 10.253 23.217 336.634 2021 3.933 2.943 6.876 6.876 2.553 339.044 2022 3.933 2.553 6.486 6.486 2.553 341.892 2023 3.933 2.787 6.720 6.720 6.310 348.320 2024 3.943 2.872 6.815 6.815 2.943 351.414 2025 3.933 2.865 6.798 6.798 2.553 354.198 2026 3.933 2.787 6.720 6.720 2.787 357.348 2027 3.933 2.709 6.642 6.642 2.872 360.725 2028 3.943 2.716 6.659 6.659 2.865 364.146 2029 3.933 2.709 6.642 6.642 2.787 367.574 2030 3.933 2.709 6.642 6.642 2.709 370.992 2031 3.933 2.709 6.642 6.642 2.716 4
+
4 2032 2033 2034 2035 3.943 3.933 3.933 3.933 2.638 2.709 2.709 2.553 6.581 6.581 6.642 6.642 6.486 6.642 6.642 6.486 2.709 2.709 2.709 2.638 374.486 378.104 381.733 385.435 389.295
Vermont Yankee Nuclear Power Station Decommissioning Funding Plan Scenario 5: 2012 Shutdown, Extended SAFSTOR Alternative, 2020 DOE Start Date Basis Year Fund Balance Annual Escalation Annual Earnings I-A T
Year 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061 2062 2063 50.75 License
'ermination Cost (millions) 3.943 3'933 3.933 3.933 3.943 3.933 3.933 3.933 3.943 3.933 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931 3.93 1 3.931 2008
$372.01 0.00%
2.00%
B 50.54(bb),
Spent Fuel Management Cost (millions) 2.638 2.631 2.787 2.631
.2.716 2.709 2.709 2.709 2.638 2.936 million C
Total License Termination and Spent Fuel Management Cost (millions) 6.581
,6.564 6.720
.6.564 6.659 6.642 6.642 6.642 6.581 6.869 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931
.3.931 3.93 1 3.942 3.931 3.931 3.931 3.942 3.931
- 3.931 3.93 1 D
Total Cost Escalated at 0%.
(millions) 6.581 6.564 6.720 6.5,64 6.659 6.642 6.642 6.642 6.581 6.869' 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931 3.931 3.931 3.942 3.931 3.931 3.931 E
DOE Reimbursement (millions) 2.709 2.709 2.553 2.638 2.631 2.787 2.631 2.716 2.709 2.709 2.709 2.638 2.936 F
Decommissioning Trust Fund Escalated at 2%
(minus expenses)
(millions) 393.209 397.218 400.996 405.090 409.164 413.492 417.751 422.180 426.751
- 431.126 438.527 446.004 453.918
.459.066 464.316 469.671 475.123 480.694 486.377 498.075 504.106 510.257 516.531 522.920 529.447 536.1l05 542.896
Vermont Yankee Nuclear Power Station Decommissioning Funding Plan Scenario 5: 2012 Shutdown, Extended SAFSTOR Alternative, 2020 DOE Start Date Basis Year Fund Balance 2008
$372.01 million Annual Escalation Annual Earnings 0.00%
2.00%
A B
C D
E F
Total License Termination 50.75 50.54(bb) and Decommissioning License Spent Fuel Spent Fuel Total Cost Trust Fund Termination Management Management Escalated at DOE Escalated at 2%
Cost Cost Cost 0%
Reimbursement (minus expenses)
Year (millions)
(millions)
(millions)
(millions)
(millions)
(millions) 2064 3.942 3.942 3.942 549.812 2065 3.931 3.931 3.931 556.877 2066 27.779 27.779 27.779 540.236 2067 81.017 81.017 81.017 470.023 2068 108.329 0.512 108.841 108.841 370.583 2069 62.090 1.026 63.116 63.116 314.879 2070 62.090 1.026 63.116 63.116 258.060 2071 47.745 0.492 48.237 48.237 0.512 215.496 2072 7.634 0.272 7.906 7.906 1.026 212.926 2073 0.060 0.249 0.309 0.309 1.026 217.902 2074 0.492 222.752 2075 0.272 227.479 2076
_0.249 232.277 674.328 235.335 909.663 909.663 235.335 Calculations:
Column C =A+B Column D = (C)*(I +0%)A(current year - 2008) or for 0%, D = C Column E = Contributions to trust fund from the DOE Column F = (Previous year's fund balance) * (I +.02) - D (current year's decommissioning expenditures) + E (contributions)