LR-N15-0047, Submits NRC Decommissioning Funding Status Reports
| ML15090A640 | |
| Person / Time | |
|---|---|
| Site: | Peach Bottom, Salem, Hope Creek  |
| Issue date: | 03/31/2015 |
| From: | Duke P Public Service Enterprise Group |
| To: | Document Control Desk, Office of Nuclear Reactor Regulation |
| References | |
| LR-N15-0047 | |
| Download: ML15090A640 (5) | |
Text
LR-N15-0047 March 31, 2015 PSEG Nuclear LLC P.O. Box 236, Hancock's Bridge, NJ 08038-0236 U.S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, DC 20555-0001
Subject:
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 NRC Decommissioning Funding Status Report 10 CFR 50.75 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 amount of decommissioning funds estimated to be required pursuant to 10 CFR 50.75{b) and (c).
Hope Creek Salem Unit 1 Salem Unit 2 Peach Bottom Unit 2 Peach Bottom Unit 3 NRC Minimum Decommissioning Funding Requirements (PSEG Nuclear Share)
$ 883,258,660
$ 331,955,611
$ 339,515,906
$ 369,882,255
$ 388,094,725 Additional information is provided in Attachment 1.
March 31, 2015 Page 2 LR-N 15-0047 10 CFR 50.75
- 2. The amount of decommissioning funds accumulated to the end of the calendar year preceding the date of the report (i.e.; December 31, 2014}.
The amount accumulated in both Qualified and Non-Qualified Trusts on December 31, 2014, for each respective Unit, is disclosed in the following table.
Hope Creek Salem Unit 1 Salem Unit 2 Peach Bottom Unit 2 Peach Bottom Unit 3 Decommissioning Fund Balance: 12/31/2014 (PSEG Nuclear Share)
$ 519,995,720
$ 356,575,125
$ 315,278,467
$ 297J67,350
$ 298,542,283 Pursuant to the PSEG Nuclear LLC Master Trust Agreement executed in August of 2000, Article 2.02 stipulates that the trust fund assets shall be limited to expenses related to decommissioning of the plants (either Hope Creek, Salem Unit 1 and 2, or Peach Bottom Unit 2 and 3) as defined by the NRC in its regulations and issuances, and as provided in the units' licenses and any amendments thereto. Upon completion of the decommissioning, the assets may then be used for any purpose authorized by law.
Therefore, the fund must be used exclusively for NRC decommissioning needs before funding non-radiological decommissioning activities.
- 3. A schedule of the annual amounts remaining to be collected.
None required. Projected Value of External Fund at End Of License (EOL) exceeds decommissioning funding requirements. See Attachment 1.
- 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)(iiL satisfy the NRC's minimum funding assurance requirements.
Values reported for Minimum Decommissioning Funding Requirements (item 1, above) are derived from 2012 site specific estimates, inflated at 3% per year for each of years 2013 and 2014.
March 31, 2015 Page 3 LR-N 15-0047 10 CFR 50.75
- 5. Any contracts upon which the licensee is relying pursuant to paragraph (e}(l}{v) of this section (i.e.; 10 CFR 50. 75}.
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.
PSEG has made no modification to the method of providing financial assurance since the last report.
- 7. Any material changes to trust agreements.
None.
There are no commitments contained in this letter.
If you have any questions or require additional information, please do not hesitate to contact Mr. Gary Wohler at 856-339-5020.
Sincerely, Paul R. Duke, Jr.
Licensing Manager - NRC Funding Requirements for the Period up to December 31, 2014 cc:
Mr. D. Dorman, Administrator, Region I, NRC Ms. C. Sanders-Parker, 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. T. MacEwan, Hope Creek Commitment Tracking Coordinator
March 31, 2015 Page 5 LR-N 15-0047 Calculation of NRC Funding Requirements For the Period up to 12/31/2014 10 CFR 50.75
LR-N15-0047 Station and Unit Hope Creek Unit No. 1 Salem Unit No. 1 Salem Unit No. 2 Peach Bottom Unit No. 2 Peach Bottom Unit No. 3 Expiration of Operating License (EOL)
April 11, 2046 August 13, 2036 April 18, 2040 August 8, 2033 July 2, 2034 Calculation of NRC Funding Requirements for the Period up to 12/31/2014 Decommissioning Decommissioning Projected Value Years Funding Requirements Funding Requirements Fair Market Value of External Fund Remaining lAW 10CFR50.75(c)
Site Specific Estimate of External Fund atEOL to EOL (note 1)
(note 1, 2) as of Dec. 31, 2014 (note 3) 31.28
$693,640,091
$883,258,660
$519,995,720
$966,026,688 21.62
$305,823,249
$331,955,611
$356,575,125
$547,104,336 25.30
$305,823,249
$339,515,906
$315,278,467
$520,306,475 18.60
$346,820,046
$369,882,255
$297,767,350
$430,399,797 19.50
$346,820,046
$388,094,725
$298,542,283
$439,262,284 1
Amounts represent PSEG Nuclear's share of funding in year 2014 dollars. Per 50.75(f)(1) the higher of the formula amount 50.75(c) or site specific estimate is used note as the NRC Minimum Decommissioning Requirement.
note 2:
Values originate in site-specific estimates from 2012, inflated at 3% I year through 2014.
note 3:
Projected value of fund escalated at 2% annual real rate of return per 1 OCFR50. 75( e )(ii) until license expiration.
Calculations as of: December 31, 2014 Projected Surplus I (Shortfall) atEOL
$82,768,028
$215,148,725
$180,790,569
$60,517,542
$51,167,559