LR-N13-0059, NRC Decommissioning Funding Status Report

NRC Decommissioning Funding Status Report

ML13085A284
Person / Time
Site:	Peach Bottom, Salem, Hope Creek
Issue date:	03/26/2013
From:	Duke P Public Service Enterprise Group
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
LR-N13-0059
Download: ML13085A284 (4)

Text

PSEG Nuclear LLC P.O. Box 236, Hancocks Bridge, NJ 08038-0236 10 CFR 50.75 LR-N 13-0059 March 26, 2013 U.S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, DC 20555-0001 Salem Generating Station, Units 1 and 2 Renewed Facility Operating License Nos. DPR-70 and DPR-75 NRC Docket Nos. 50-272 and 50-311 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 Hope Creek Generating Station Renewed Facility Operating License No. NPF-57 NRC Docket No. 50-354

Subject:

NRC Decommissioning Funding Status Report In accordance with 10 CFR 50.75(f)(1), PSEG Nuclear LLC (PSEG) hereby submits the status report of the decommissioning funds for the subject facilities.

1. The minimum amount of decommissioning funds estimated to be required pursuant to 10 CFR 50. 75(b) and (c).

NRC Minimum Decommissioning Funding Requirements (PSEG Nuclear Share)($Thousands)

Hope Creek 832,556 Salem Unit 1 312,900 Salem Unit 2 320,026 Peach Bottom Unit 2 348,649 Peach Bottom Unit 3 365,816

MAR 26 2013 LR-N 13-0059 10 CFR 50.75 Page 2

2. The amount of decommissioning funds accumulated as of December 31,2012.

The amount accumulated in both Qualified and Non-Qualified Trusts on December 31, 2012, for each respective Unit, is disclosed in the following table.

NRC Minimum Decommissioning Funding Requirements (PSEG Nuclear Share)($Thousands)

Hope Creek 448,673 Salem Unit 1 293,004 Salem Unit 2 267,875 Peach Bottom Unit 2 246,506 Peach Bottom Unit 3 249,543

3. The annual amounts remaining to be collected as of December 31,2012.

None.

4. The assumptions used regarding rates of escalation in decommissioning costs, rates of earnings on decommissioning funds, and rates of other factors used in funding projections.

For the purposes of determining if the NRC's minimum requirements are met, PSEG has calculated that the current fund balances and annual funding levels, together with earnings at a 2% annual rate of return, as permitted by 10 CFR 50.75(e)(1)(ii), satisfy the NRC's minimum funding assurance requirements.

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50. 75(e) (1) (v).

PSEG is not relying upon contracts in this regard.

6. Any modifications occurring to a licensee's current method of providing financial assurance since the last submitted report.

As of December 31,2012, PSEG has prepaid its nuclear decommissioning liability.

The calculation is supported in Attachment 1.

7. Any material changes to trust agreements.

None.

MAR 26 2013 LR-N13-0059 10 CFR 50.75 Page 3 There are no commitments contained in this letter.

If you have any questions or require additional information, please do not hesitate to contact Mrs. Emily Bauer at 856-339-1023.

Sincerely, q~9-Ui

\

Paul R. Duke, Jr. \

Licensing Manager Attachment 1 - NRC Funding Requirements for the Period up to December 31, 2012 cc: Mr. W. Dean, Administrator, Region I, NRC Mr. J. Hughey, Project Manager, NRC NRC Senior Resident Inspector, Salem NRC Senior Resident Inspector, Hope Creek Mr. P. Mulligan, Manager IV, NJBNE Mr. L. Marabella, Corporate Commitment Tracking Coordinator Mr. T. Cachaza, Salem Commitment Tracking Coordinator Mr. P. Bonnett, Hope Creek Commitment Tracking Coordinator

Calculation of NRC Funding Requirements for the Period up to 12/31/2012 Dollars in (000'5)

Projected Value PSEG NUCLEAR SHARE Remaining Remaining Decommissioning Decommissioning Fair Market Value Projected Value of External Fund Years to End Years to Funding Requirements Funding Site Specifc of External Fund of External Fund at Start Operating License of Operating Start of lAW 10 CFR 50.75 Estimate as of December 31,2012 at EOL of Decommissioning Station and Unit Expiration Date License Life Decommissioning {note 1} {note 1} {note 2} {note 3} Sur!2lus {Shortfall}

Hope Creek Unit No.1 April 11, 2046 33.28 76.8 $691,487,015 $832,556,000 $448,673,976 $867,179,109 $1,630,990,347 $798,434,347 Salem Unit No.1 August 13, 2036 23.62 67.1 $304,545,256 $312,900,001 $293,004,510 $467,715,744 $866,248,878 $553,348,877 Salem Unit No.2 April 18, 2040 27.30 70.8 $304,545,256 $320,026,304 $267,875,236 $459,923,984 $847,626,156 $527,599,852 Peach Bottom Unit No.2 August 8, 2033 20.60 64.1 $345,743,507 $348,649,500 $246,506,792 $370,691,342 $665,165,103 $316,515,603 Peach Bottom Unit NO.3 July 2, 2034 21.50 65.0 $345,743,507 $365,816,500 $249,543,711 $381,991,118 $692,172,170 $326,355,670 note 1: Amounts represent PSEG Nuclear's share of funding and are in year 2012 dollars. Per SO.7S(f)(1) the higher of the formula amount SO.7S(c) or site specific estimate is used.

note 2: Projected value of fund escalated at 2% compounded annually until license termination.

note 3: Projected value of fund escalated at 2% compounded from license termination until end of Safestor period less security and O&M. All Units assume 40 year Safstor + 3.S years dismantlement.

Calculations as of: December 31,2012