JAFP-21-0014, Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection, Containment Inservice Inspection, and Inservice Testing Programs

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Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection, Containment Inservice Inspection, and Inservice Testing Programs
ML21063A179
Person / Time
Site: Calvert Cliffs, Dresden, Peach Bottom, Nine Mile Point, Byron, Braidwood, Limerick, Ginna, Clinton, Quad Cities, FitzPatrick, LaSalle  Constellation icon.png
Issue date: 03/03/2021
From: David Gudger
Exelon Generation Co
To:
Document Control Desk, Office of Nuclear Reactor Regulation
References
JAFP-21-0014, NMP1L3381, RS-21-033
Download: ML21063A179 (14)


Text

200 Exelon Way Kennett Square, PA 19348 www.exeloncorp.com 10 CFR 50.55a RS-21-033 JAFP-21-0014 NMP1L3381 March 3, 2021 U.S. Nuclear Regulatory Commission Attn: Document Control Desk Washington, DC 20555-0001 Braidwood Station, Units 1 and 2 Renewed Facility Operating License Nos. NPF-72 and NPF-77 NRC Docket Nos. STN 50-456 and STN 50-457 Byron Station, Units 1 and 2 Renewed Facility Operating License Nos. NPF-37 and NPF-66 NRC Docket Nos. STN 50-454 and STN 50-455 Calvert Cliffs Nuclear Power Plant, Units 1 and 2 Renewed Facility Operating License Nos. DPR-53 and DPR-69 NRC Docket Nos. 50-317 and 50-318 Clinton Power Station, Unit 1 Facility Operating License No. NPF-62 NRC Docket No. 50-461 Dresden Nuclear Power Station, Units 2 and 3 Renewed Facility Operating License Nos. DPR-19 and DPR-25 NRC Docket Nos. 50-237 and 50-249 James A. FitzPatrick Nuclear Power Plant Renewed Facility Operating License No. DPR-59 NRC Docket No. 50-333 LaSalle County Station, Units 1 and 2 Renewed Facility Operating License Nos. NPF-11 and NPF-18 NRC Docket Nos. 50-373 and 50-374 Limerick Generating Station, Units 1 and 2 Renewed Facility Operating License Nos. NPF-39 and NPF-85 NRC Docket Nos. 50-352 and 50-353

Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection and Inservice Testing Programs March 3, 2021 Page 2 Nine Mile Point Nuclear Station, Units 1 and 2 Renewed Facility Operating License Nos. DPR-63 and NPF-69 NRC Docket Nos. 50-220 and 50-410 Peach Bottom Atomic Power Station, Units 2 and 3 Renewed Facility Operating License Nos. DPR-44 and DPR-56 NRC Docket Nos. 50-277 and 50-278 Quad Cities Nuclear Power Station, Units 1 and 2 Renewed Facility Operating License Nos. DPR-29 and DPR-30 NRC Docket Nos. 50-254 and 50-265 R. E. Ginna Nuclear Power Plant Renewed Facility Operating License No. DPR-18 NRC Docket No. 50-244

Subject:

Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection, Containment Inservice Inspection, and Inservice Testing Programs In accordance with 10 CFR 50.12, Specific exemptions, paragraphs (a)(1) and (a)(2)(iii)

Exelon Generating Company, LLC (Exelon), is requesting NRC approval of a one-time exemption to extend the 10-year ASME Code updates for the Inservice Inspection, Containment Inservice Inspection, and Inservice Testing programs to 24 years.

The details of the 10 CFR 50.12 request are attached.

Exelon requests approval of the exemption request by March 3, 2022.

There are no commitments contained in this letter.

If you have any questions concerning this letter, please contact Tom Loomis at (610) 765-5510.

Respectfully, David T. Gudger Senior Manager - Licensing Exelon Generation Company, LLC

Attachment:

Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection, Containment Inservice Inspection, and Inservice Testing Programs

Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection and Inservice Testing Programs March 3, 2021 Page 3 cc: Regional Administrator - NRC Region I Regional Administrator - NRC Region III NRC Senior Resident Inspector - Braidwood Station NRC Senior Resident Inspector - Byron Station NRC Senior Resident Inspector - Calvert Cliffs Nuclear Power Plant NRC Senior Resident Inspector - Clinton Power Station NRC Senior Resident Inspector - Dresden Nuclear Power Station NRC Senior Resident Inspector - James A. FitzPatrick Nuclear Power Plant NRC Senior Resident Inspector - LaSalle County Station NRC Senior Resident Inspector - Limerick Generating Station NRC Senior Resident Inspector - Nine Mile Point Nuclear Station NRC Senior Resident Inspector - Peach Bottom Atomic Power Station NRC Senior Resident Inspector - Quad Cities Nuclear Power Station NRC Senior Resident Inspector - R.E. Ginna Nuclear Power Plant NRC Project Manager - Braidwood Station NRC Project Manager - Byron Station NRC Project Manager - Calvert Cliffs Nuclear Power Plant NRC Project Manager - Clinton Power Station NRC Project Manager - Dresden Nuclear Power Station NRC Project Manager - James A. FitzPatrick Nuclear Power Plant NRC Project Manager - LaSalle County Station NRC Project Manager - Limerick Generating Station NRC Project Manager - Nine Mile Point Nuclear Station NRC Project Manager - Peach Bottom Atomic Power Station NRC Project Manager - Quad Cities Nuclear Power Station NRC Project Manager - R.E. Ginna Nuclear Power Plant Illinois Emergency Management Agency - Division of Nuclear Safety W. DeHaas, Commonwealth of Pennsylvania S. Seaman, State of Maryland A. L. Peterson, NYSERDA B. Frymire, NYSPSC

Attachment Exemption Request to Extend the 10-Year ASME Code Updates for the Inservice Inspection, Containment Inservice Inspection, and Inservice Testing Programs

Exemption Request Page 1 Exemption Request I. SPECIFIC EXEMPTION REQUEST In accordance with 10 CFR 50.12, Specific exemptions, paragraphs (a)(1) and (a)(2)(iii),

Exelon Generation Company, LLC (Exelon), is requesting NRC approval of a one-time exemption from the following requirements of 10 CFR 50.55a:

10 CFR 50.55a(b)(5) - Conditions on inservice inspection Code Cases. Licensees may apply the ASME BPV Code Cases listed in NRC Regulatory Guide 1.147, as incorporated by reference in paragraph (a)(3)(ii) of this section, without prior NRC approval, subject to the following:

(ii) ISI Code Case condition: Applying different revisions of Code Cases. If a licensee has previously applied a Code Case and a later version of the Code Case is incorporated by reference in paragraph (a) of this section, the licensee may continue to apply, to the end of the current 120-month interval, the previous version of the Code Case, as authorized, or may apply the later version of the Code Case, including any NRC-specified conditions placed on its use. Licensees who choose to continue use of the Code Case during subsequent 120-month ISI program intervals will be required to implement the latest version incorporated by reference into this section as listed in Tables 1 and 2 of NRC Regulatory Guide 1.147, as incorporated by reference in paragraph (a)(3)(ii) of this section.

(iii) ISI Code Case condition: Applying annulled Code Cases. Application of an annulled Code Case is prohibited unless a licensee previously applied the listed Code Case prior to it being listed as annulled in NRC Regulatory Guide 1.147. If a licensee has applied a listed Code Case that is later listed as annulled in NRC Regulatory Guide 1.147, the licensee may continue to apply the Code Case to the end of the current 120-month interval.

10 CFR 50.55a(b)(6) - Conditions on ASME OM Code Cases. Licensees may apply the ASME OM Code Cases listed in NRC Regulatory Guide 1.192, as incorporated by reference in paragraph (a)(3)(iii) of this section, without prior NRC approval, subject to the following:

(ii) OM Code Case condition: Applying different revisions of Code Cases. If a licensee has previously applied a Code Case and a later version of the Code Case is incorporated by reference in paragraph (a) of this section, the licensee may continue to apply, to the end of the current 120-month interval, the previous version of the Code Case, as authorized, or may apply the later version of the Code Case, including any NRC-specified conditions placed on its use. Licensees who choose to continue use of the Code Case during subsequent 120-month ISI program intervals will be required to implement the latest version incorporated by reference into this section as listed in Tables 1 and 2 of NRC Regulatory Guide 1.192, as incorporated by reference in paragraph (a)(3)(iii) of this section.

Exemption Request Page 2 (iii) OM Code Case condition: Applying annulled Code Cases. Application of an annulled Code Case is prohibited unless a licensee previously applied the listed Code Case prior to it being listed as annulled in NRC Regulatory Guide 1.192. If a licensee has applied a listed Code Case that is later listed as annulled in NRC Regulatory Guide 1.192, the licensee may continue to apply the Code Case to the end of the current 120-month interval.

10 CFR 50.55a(f)(4) - Inservice testing standards requirement for operating plants.

Throughout the service life of a boiling or pressurized water-cooled nuclear power facility

(ii) Applicable IST Code: Successive 120-month intervals - Inservice tests to verify operational readiness of pumps and valves, whose function is required for safety, conducted during successive 120-month intervals must comply with the requirements of the latest edition and addenda of the ASME OM Code incorporated by reference in paragraph (a)(1)(iv) of this section 18 months before the start of the 120-month interval .

10 CFR 50.55a(f)(5) - Requirements for updating IST programs -

(iv) IST program update: Schedule for completing impracticality determinations. Where a pump or valve test requirement by the Code or addenda is determined to be impractical by the licensee and is not included in the revised inservice test program (as permitted by paragraph (f)(4) of this section), the basis for this determination must be submitted for NRC review and approval not later than 12 months after the expiration of the initial 120-month interval of operation from the start of facility commercial operation and each subsequent 120-month interval of operation during which the test is determined to be impractical.

10 CFR 50.55a(g)(4) - Inservice inspection standards requirement for operating plants.

Throughout the service life of a boiling or pressurized water-cooled nuclear power facility (ii) Applicable ISI Code: Successive 120-month intervals. Inservice examination of components and system pressure tests conducted during successive 120-month inspection intervals must comply with the requirements of the latest edition and addenda of the ASME Code incorporated by reference in paragraph (a) of this section 18 months before the start of the 120-month inspection interval (or the optional ASME Code Cases listed in NRC Regulatory Guide 1.147, when using ASME BPV Code,Section XI, or NRC Regulatory Guide 1.192, when using the ASME OM Code, as incorporated by reference in paragraphs (a)(3)(ii) and (iii) of this section), subject to the conditions listed in paragraph (b) of this section. However, a licensee whose inservice inspection interval commences during the 12 through 18-month period after June 3, 2020, may delay the update of their Appendix VIII program by up to 18 months after June 3, 2020. Alternatively, licensees may, at any time in their 120-month ISI interval

Exemption Request Page 3 10 CFR 50.55a(g)(5) - Requirements for updating ISI programs -

(iii) ISI program update: Notification of impractical ISI Code requirements. If the licensee has determined that conformance with a Code requirement is impractical for its facility the licensee must notify the NRC and submit, as specified in § 50.4, information to support the determinations. Determinations of impracticality in accordance with this section must be based on the demonstrated limitations experienced when attempting to comply with the Code requirements during the inservice inspection interval for which the request is being submitted. Requests for relief made in accordance with this section must be submitted to the NRC no later than 12 months after the expiration of the initial or subsequent 120-month inspection interval for which relief is sought.

(iv) ISI program update: Schedule for completing impracticality determinations. Where the licensee determines that an examination required by Code edition or addenda is impractical, the basis for this determination must be submitted for NRC review and approval not later than 12 months after the expiration of the initial or subsequent 120-month inspection interval for which relief is sought.

This exemption would also modify compliance with the following sections of the ASME Code:

Section XI, 2007 Edition with 2008 Addenda and 2013 Edition:

IWA-2410 - APPLICATION OF CODE EDITION AND ADDENDA - The Code Edition and Addenda for preservice inspection and for initial and successive inservice inspection intervals shall be in accordance with 10 CFR 50, Section 50.55a.

IWA-2430(a) through (g) - INSPECTION INTERVALS - These sections provide the requirements related to inspection intervals and periods.

IWA-2431 - INSPECTION PROGRAM - This section provides requirements related to interval length.

Table IWB-2411-1, IWC-2411-1, IWD-2411-1, IWE-2411-1, and IWF-2410 Inspection Program - These Tables provide the calendar years for each period (3 years, 7 years,10 years) and the distribution of completed examinations. (IWL examination schedule requirements are provided under IWL-2400 and will remain unaffected by this exemption request.)

ASME OM-2004/OMb 2006, and 2012 Edition:

ISTA-3120 - Inservice Examination and Test Interval - (2) Successive Examination and Test Intervals: 10 years following the previous test interval I-1350 - Test Frequency, Classes 2 and 3 Pressure Relief Valves - (a) 10-Year Test Interval. Classes 2 and 3 pressure relief valves, with the exception of PWR main steam safety valves, shall be tested every 10 years, starting with initial electric power generation. (No relief is being sought from this requirement.).

Exemption Request Page 4 Exelon requests that this exemption apply until termination of the license for each of the listed facilities.

II. BASIS FOR EXEMPTION REQUEST If granted, this exemption request would modify the requirement for the 10-year ASME Code update and its associated requirements as required by the Inservice Inspection (ISI) Program, Licensee Containment Inservice Inspection (CISI) Program, and Inservice Testing (IST)

Program from 10 years to a 24-year period from the date of the last ISI, CISI, or IST Program update. The need to update the Code program to a later edition is no longer necessary to achieve the underlying purpose of the rule, which is in part, for licensees to implement a newer revision of the NRC-approved ASME Code with respect to inservice inspection and testing of safety-related components, valves, and pumps. The NRC reviews revised editions of the ASME Code every several years and determines whether the revised editions provide an acceptable level of safety for the plant. The newer version contains updated requirements that are either less stringent, more stringent, or new. Newer editions of the ASME Code are typically not based on safety considerations but are consensus documents that establish inspection and testing requirements and frequencies. No overall review of the ASME Code is performed by the licensee or NRC to determine if the plant achieves greater safety through implementation of a newer version of the ASME Code as compared to remaining with the current version. When the NRC adopted the current 120-month update interval in 1979, it was considered a reasonable operating time frame before mandating adoption of the next Code revision, but there is no special significance from a safety perspective of the 120-month period.

If the exemption is granted, each station would maintain the current code of record for the ISI, CISI, and IST Program from the from the start date of the current interval up to 24 years with the option to update to a newer NRC approved version in accordance with paragraphs (f)(4)(iv) and (g)(4)(iv).

In addition, the stations will establish two 12-year inspection intervals with 3 inspection periods each. For the current interval, the interval would be extended by two years. The subsequent interval would be composed of three periods, nominally 4-years each to allow a minimum two outages per period. Exelon is not pursuing any examination scheduling changes associated with IWL examinations through this exemption request. The remaining requirements for the IWL interval will be extended under the CISI Program.

Establishing four-year periods over twelve-year intervals will marginally extend two periods by one year. This is a marginal extension that will support at least two outages per period (which will reduce overall scheduling during the one period that has only one outage under the current scheme), allow skip ISI outages, and support divisional outages. The divisional outage strategy is based on the concept that one division of safety systems is removed during an outage as compared to swapping between divisions during an outage. The divisional outage strategy enhances safety by reducing the challenges of swapping safety trains during an outage. The minimal change of extending the period length will not reduce plant safety. All inspections will be completed in the twelve-year cycle.

For several reasons, extending the period for updating ISI, CISI, and IST Programs to the latest NRC-approved version of the ASME Code would not be a significant relaxation of safety requirements. First, as described in more detail below,Section XI of the ASME Code and the ASME OM Code are mature codes and new code changes generally deal with practical

Exemption Request Page 5 considerations of implementation or the application of new developments. New ASME Code changes do not normally modify the safety aspects of the code.

Since the initial licensing of a plant, the 120-month interval update was a way to review previous ASME Code ISI, CISI, and IST program requirements and their impact on plant components, and in some cases add or remove requirements based on newer NRC-approved Code versions.

As plants have matured, the need for frequently revising the ASME Code has been reduced.

The NRC does not evaluate the potential safety benefit or the costs or benefits of mandating an update by licensees.

Second, rather than mandated adoption of a new ASME Code version every 120 months, extensive operating experience and other regulatory methods are available to adjust inspections in response to issues that could challenge safety. Exelon has been quick to react to emerging issues through industry groups for resolution of regulatory concerns as compared to a 120-month interval update. The NRC retains the ability to impose additional conditions in 10 CFR 50.55a with regards to ASME Code compliance. Granting this exemption would not preclude the NRCs ability to do so.

Third, Exelon will continue to manage compliance with 10 CFR 50.55a through the use of the corrective action program and operating experience. The corrective action program has developed into an effective method to manage test frequencies, unacceptable indications, and interpretation issues. Use of the corrective action program in the context of 10 CFR 50.55a compliance has become a major contributor to enhancing plant performance.

Fourth, Modifying the requirement for the 10-year ASME Code update will not reduce the need for innovation. It is expected that innovation will continue to occur as a method of addressing operating experience and improve efficiencies while maintaining an acceptable level of quality and safety.

Finally, if the exemption is granted, Exelon will continue to evaluate newer versions of an NRC-approved ASME Code throughout the 24-year period for identification of standards, inspections frequencies, practices and requirements that would be worthwhile to implement and adopt those portions as appropriate on a case-by-case basis along with additional requirements. In order to implement recently NRC-approved editions of the ASME Codes and to gain fleet alignment with a common code, Exelon may choose to update the current code of record for some stations to a more recently NRC-approved edition.

Exelon continues to update programs that impact ASME components without ASME Code 10-year updates. For example, the Exelon Motor Operated Valve (MOV) program is well established and is based on the Risk and Margin Based Joint Owners Group (JOG) approach developed in response to NRC Generic Letter 96-05, Periodic Verification of Design-Basis Capability of Safety-Related Motor-Operated Valves, that have been in effect since 1998. Prior to the Mandatory Appendix III Code change, MOVs were tested per ASME OM Code Subsection ISTC, Inservice Testing of Valves in Light-Water Reactor Nuclear Power Plants and Exelon commitments to Generic Letters 89-10 and 96-05. For Sites that have not implemented Mandatory Appendix III, implementation of Code Case OMN-1 is an acceptable method as the Code Case requirements are almost identical to Appendix III. Alternatively (one site - the James A. FitzPatrick Nuclear Power Plant), the established Exelon MOV program driven by Generic Letter commitments and implemented following the Joint Owners Group

Exemption Request Page 6 guidance in conjunction with ASME OM ISTC testing requirements is an acceptable method for not incorporating ASME OM Mandatory Appendix III or OMN-1.

The JOG program consisted of three elements: (1) an interim MOV periodic verification program for licensees to use in response to Generic Letter 96-05 during development of a long-term program; (2) a 5-year MOV dynamic diagnostic test program; and (3) a long-term MOV periodic diagnostic test program to be based on the information from the dynamic testing program. The NRC staff reviewed each licensees Generic Letter 96-05 program and risk methodology (including implementation of the JOG program) and prepared a Safety Evaluation describing its review of each of those programs with conditions which have been incorporated into Exelons MOV governance.

The NRC regulations in 10 CFR 50.55a(b)(3)(ii) require nuclear power plant licensees to comply with the provisions of the ASME OM Code incorporated by reference in 10 CFR 50.55a, and must establish a program to ensure that MOVs continue to be capable of performing their design-basis safety function. The Exelon MOV program requires that each valve be continuously updated with current test data as well as risk rankings. Each Sites program is updated nominally every 4 years with changes in component risk ranks fed back into the program. This process ensures each MOV is being maintained and tested commensurate with margin and risk.

Another example is the Exelon Air Operated Valve (AOV) testing program. ASME OM Code Edition 2017 codified the requirement to include Mandatory Appendix IV, Preservice and Inservice Testing of Active Pneumatically Operated Valve Assemblies in Nuclear Reactor Power Plants. This Mandatory Appendix established the requirements for preservice and inservice testing to assess the operational readiness of active pneumatically operated valves (AOVs).

Prior to the Mandatory Appendix IV Code change, AOVs were tested per ASME OM Code Subsection ISTC, Inservice Testing of Valves in Light-Water Reactor Nuclear Power Plants and Exelons Air Operated Valve Program.

The Exelon Air Operated Valve Program is well established and is based on the JOG AOV Program. The program provides a comprehensive approach to ensure that the AOVs determined to be important to the plant are evaluated, tested, and maintained to ensure they can perform their intended function. AOVs are systematically categorized using risk rankings, valve function and plant impact to allow a graded approach to ensure resources are focused on the AOVs that have the most impact on safety. The Site program is updated nominally every 4 years with changes in component risk ranking fed back into the categorization process. The program requires system level and component level reviews in conjunction with design basis calculations and setpoint control. Finally, testing is performed to verify component functional capabilities and to establish margin.

The established Exelon AOV program based on the JOG guidance in conjunction with ASME OM ISTC testing requirements is an acceptable method for Exelon to ensure AOV operational readiness for sites that have not incorporated ASME OM Mandatory Appendix IV.

Therefore, both the Exelon MOV and AOV maintenance programs demonstrate that Exelon is capable of adequately maintaining safety through continuous improvement provided in the corrective action program and review of industry experience without having to wait for Code updates to mandate program changes. The Exelon MOV and AOV programs in conjunction

Exemption Request Page 7 with the ASME OM ISTC requirements are robust and sufficiently mature to ensure valve operational readiness despite the delayed implementation of Mandatory Appendices III and IV.

Administrative updates of the ASME OM Code provide minimal value to actual plant safety and divert resources that can be used ensuring valves continue to function properly.

The criteria of 10 CFR 50.12(a)(1) are satisfied as follows:

a) Authorized by law In accordance with 10 CFR 50.12, the NRC may grant an exemption from the requirements of 10 CFR 50, if the exemption is authorized by law. The update periodicity of 120 months is not based on the Atomic Energy Act of 1954, as amended, or any other law. The NRC possesses the authority and discretion to modify that period as it sees fit. In fact, the NRC has already changed the period once and has also considered eliminating it entirely.

In addition, granting of Exelons exemption is not precluded by existing Commission policy. The NRC undertook an effort in the late 90s and early 2000s to address the 120-month update interval. The NRC published a supplemental proposed rule in 1999 to eliminate the requirement to update ISI and IST programs every 120 months for licensees applying the baseline or later editions and addenda of the ASME Code incorporated by reference in the regulations (Supplemental Proposed Rule, 64 FR 22580 (Apr. 27, 1999)). The Commission later disapproved the staffs recommendation that the Commission replace the 120-month ISI/IST update requirement with a baseline of ISI and IST requirements and allow voluntary updating to entire subsequent NRC-endorsed ASME Code editions and addenda without prior NRC approval unless the baseline is revised in accordance with 10 CFR 50.109 and instead chose to maintain the current requirement that licensees update their inservice inspection and inservice testing programs every 10 years to the latest edition of the ASME Code.

In Exelons view, the Commissions disapproval of the staffs 2000 recommendation to eliminate the 120-month mandatory update interval is clearly distinguishable from Exelons exemption request that would result in merely modifying the interval. The question of whether to modify the interval was not specifically put to the Commission in 2000, therefore the Commissions 2000 decision is limited to the policy issue of whether updates can be eliminated entirely. Complete elimination of mandatory ASME Code updates raises distinctly different policy issues from modification. For instance, three members of the Commission majority explained that their disapproval of the staffs recommendation was based, in part, on their concerns with the adequacy of the backfit process to ensure that important updates to the ASME Code were implemented. In contrast, a request to modify the update interval does not implicate concerns about the NRCs ability to require important updates in the long term.

b) The exemption presents no undue risk to the public health and safety Updating Exelons ASME Code programs to a later edition every 10 years is not necessary to achieve an acceptable level of quality and safety over the current edition implemented at the stations. The stations will maintain the current code of record for the ISI, CISI, and IST program for 24 years with the option to update to a newer NRC approved version at a later date.

It has long been common understanding that the ISI, CISI, and IST program update intervals are not necessary for safety. The requirement for licensees to revise their ISI, CISI, and IST

Exemption Request Page 8 program intervals to 120-months was introduced into 10 CFR 50.55a in 1979.1 Previously, the program update periodicity had been 40 months. As the Commission then stated, the purpose of increasing the ISI/IST intervals from 20/40 months to 120 months was to make this interval consistent with the, inservice inspection interval in Section XI of the ASME Code and that this change would make the regulation more practical to implement and saves time and effort for both the NRC and the licensee' without an increased risk to the public health and safety. 2 More importantly, the NRC made it clear that the change from 40 months to 120 months:

is not considered a significant relaxation of safety requirements since Section XI is a relatively mature code and new code changes generally deal with practical considerations of implementation or the application of new developments. New code changes do not normally modify the safety aspects of the code. Further, as stated in § 50.55a, the Commission may impose new code requirements at any time if safety considerations so dictate. (emphasis added)

Twenty years later, the NRC continued to acknowledge that there was no to very little nexus between safety and the ISI, CISI, and IST program update interval. As noted above, the NRC proposed to eliminate the update interval entirely in 1999. The NRC published a supplemental proposed rule in 1999 to eliminate the requirement to update ISI and IST programs every 120 months for licensees applying the baseline or later editions and addenda of the ASME Code incorporated by reference in the regulations.3 The NRCs basis for eliminating mandatory updates was that [a]s the ASME Code matures, the NRC finds that the overall safety increase associated with periodic revisions to the ASME Code is becoming smaller, and that [t]he NRC believes that the overall level of safety achieved by adherence to a baseline edition or addenda of the ASME Code incorporated by reference in the regulations would be sufficient and adequate, and that unnecessary burden might be placed upon licensees by the required updating of their ISI and IST programs.

c) The exemptions are consistent with the common defense and security The common defense and security are not endangered by this exemption request.

d) Special circumstances Special circumstances are present which warrant this exemption. The applicable criterion from 10 CFR 50.12(a)(2) is identified as:

(iii) Compliance would result in undue hardship or other costs that are significantly in excess of those contemplated when the regulation was adopted, or that are significantly in excess of those incurred by others similarly situated.

The Statements of Consideration for the incorporation of Code updates4 states the following:

1 44 Fed. Reg. 57912 dated October 9, 1979.

2 44 Fed. Reg. at 57913.

3 Supplemental Proposed Rule, 64 FR 22580 (April 27, 1999). As discussed above, Exelon acknowledges that the NRC did not ultimately adopt this change but believes that that decision is distinguishable from the position taken in Exelons exemption request.

4 41 FR 06256 dated February 12, 1976.

Exemption Request Page 9

d. Provisions in the rule for continued updating of requirements for inservice inspection to achieve compliance with more recent editions of the referenced code have been simplified and permit examination and testing programs to be updated at intervals of 40-and 20- months, respectively.

The Commission believes these changes adopted will facilitate the orderly application of new inservice inspection requirements in Section XI of the ASME Code which are incorporated by reference to operating nuclear power plants without causing significant modification to the plant or an intolerable impact on the Inservice Inspection program.

Also the Commission believes these changes adopted will provide an equivalent increase in the protection of the health and safety of the public to that which would be provided by the proposed rule.

Since the incorporation of the initial update requirements in 1976, costs to implement the ASME Code updates have escalated with no substantial benefit. Application of a new program is not considered orderly and does result in significant administrative impact to the program and associated program personnel which was not the intent of the original rule.

As also discussed in the Statements of Consideration which extended the ASME Code updates to 120 months5 :

The interval for revising inservice inspection programs for operating plants is extended from 40 and 20 months to 120 months. Such a change makes the regulation more practical to implement and saves time and effort for-both the NRC and the licensee without an increased risk to the public health and safety. Extending the period for revising the program is not considered a significant relaxation of safety requirements since Section XI is a relatively mature code and new code changes generally deal with practical considerations of implementation or the application of new developments. New code changes do not normally modify the safety aspects of the code. Further, as stated in § 50.55a, the Commission may impose new code requirements at any time.

As discussed in these Statements of Consideration, moving the interval updates from 40 and 20 months to 120 months makes the regulation more practical to implement and saves time and effort for both the NRC and the licensee without an increased risk to the public health and safety. There is no reference to a safety basis for this extension to 120 months except to state that new code changes do not normally modify the safety aspects of the code. Further, as stated in § 50.55a, the Commission may impose new code requirements at any time. Moving the interval updates to 24 years would increase the practicality of the ASME Code and continue to save time and effort for NRC and the licensee (Exelon) without an increase risk to the public health and safety.

In addition, the cost of an update for a dual unit or single unit site has grown to as much as

$750,000 for an ISI program update and $1,000,000 for an IST program update which results in a significant impact in a time of reduced resources and greater efficiencies being necessary.

5 44 FR 57912 dated October 9, 1979.

Exemption Request Page 10 Modifying the requirement for the 120-month ASME Code interval update to 24 years will result in a significant cost saving to Exelon through the reduction of the cost to update the program and the supporting program controlling documents, databases, and implementing inspection and testing procedures. The edition of the ASME Code implemented at each Exelon site has been determined through NRC review to provide an acceptable level of quality and safety.

Exelon is requesting that the NRC permit maintaining this acceptable level.

No longer updating to a later edition of the ASME Code every 10-years will also reduce the number of NRC submittals thus reducing burden on the Licensee and regulatory authorities.

III. ENVIRONMENTAL IMPACT This exemption request will eliminate the requirement for the 10-year ASME Code update as required by the Licensee Inservice Inspection (ISI) Program, Containment Inservice Inspection Program, and Inservice Testing (IST) Program for a 24-year period from the date of approval.

As a result of further review, the need to update the Code program to a later edition is no longer necessary to achieve the underlying purpose of the rule, which is to maintain operational readiness of plant components, over the current edition implemented at the plant. The station will maintain the currently available edition of the ASME Code for each station with the option to update to a newer NRC approved version in accordance with paragraphs (f)(4)(iv) and (g)(4)(iv).

The proposed exemption does not affect the type of radioactive effluents or the quantity or type of nonradioactive effluents entering the environment; therefore, there is no significant environmental effect associated with the proposed exemption.

IV. CONCLUSION As demonstrated above, we consider that this exemption request is in accordance with the criteria of 10 CFR 50.12. Specifically, the requested exemption is authorized by law, will not present an undue risk to the public health and safety, and is consistent with the common defense and security. Also, special circumstances are present as previously described.