LR-N21-0015, Report on Status of Decommissioning Funding for Reactors and Independent Spent Fuel Storage Installations

Report on Status of Decommissioning Funding for Reactors and Independent Spent Fuel Storage Installations

ML21084A801
Person / Time
Site:	Peach Bottom, Salem, Hope Creek
Issue date:	03/25/2021
From:	Mannai D Public Service Enterprise Group
To:	Document Control Desk, Office of Nuclear Material Safety and Safeguards, Office of Nuclear Reactor Regulation
References
LR-N21-0015
Download: ML21084A801 (22)

Text

PSEG Nuclear LLC P.O. Box 236, Hancocks Bridge, New Jersey 08038-0236 0 PSEG NuclearLLC 10 CFR 50.75(f) 10 CFR 72.30 LR-N21-0015 March 25, 2021 U. S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, DC 20555-0001 Hope Creek Generating Station Renewed Facility Operating License No. NPF-57 NRC Docket No. 50-354 and 72-48 Salem Generating Station, Units 1 and 2 Renewed Facility Operating License Nos. DPR-70 and DPR-75 NRC Docket Nos. 50-272, 50-311, and 72-48 Peach Bottom Atomic Power Station, Units 2 and 3 Renewed Facility Operating License Nos. DPR-44 and DPR-56 NRC Docket Nos. 50-277, 50-278 and 72-29

Subject:

Report on Status of Decommissioning Funding for Reactors and Independent Spent Fuel Storage Installations In accordance with 10 CFR 50.75, Reporting and recordkeeping for decommissioning planning, paragraph (f), PSEG Nuclear LLC (PSEG) is submitting a report on the status of decommissioning funding for the reactors owned by PSEG. Additionally, in accordance with 10 CFR 72.30, Financial assurance and recordkeeping for decommissioning, PSEG is submitting a report on the status of decommissioning funding for the independent spent fuel storage installations (ISFSIs) owned by PSEG.

In accordance with 10 CFR 50.75(b)(4), 50.75(c), and 50.75(f), the estimated cost of decommissioning for financial assurance is based on either the NRC formula cost amount calculated in accordance with 10 CFR 50.75(c) or on site-specific decommissioning cost estimates. PSEG has not made a final determination of the decommissioning option for any of its nuclear units, although its current intention is to implement SAFSTOR.

Page2 10 CFR 72.30 There are no regulatory commitments contained in this submittal. If you have any questions or require additional information, please contact Mr. Michael Wiwel at 856-339-7907.

Respectfully,

/fJLJtr----

David J. Mannai Senior Director - Regulatory Affairs and Nuclear Oversight PSEG Nuclear LLC Attachments:

1. Labor, Energy, and Burial Factors Used in Calculations (All Facilities)

2. Annual Radiological Decommissioning Funding Assurance Report for Hope Creek Generating Station

3. Annual Radiological Decommissioning Funding Assurance Report for Salem Generating Station, Unit 1

4. Annual Radiological Decommissioning Funding Assurance Report for Salem Generating Station, Unit 2

5. Annual Radiological Decommissioning Funding Assurance Report for Peach Bottom Atomic Power Station, Unit 2 .

6. Annual Radiological Decommissioning Funding Assurance eport for Peach Bottom Atomic Power Station, Unit 3 cc: Administrator, Region I, NRC Project Manager, NRC NRC Senior Resident Inspector, Hope CreeJ<

NRC Senior Resident Inspector, Salem Ms. A. Pfaff, Manager, NJBNE PSEG Corporate Commitment Tracking Coordinator Site Commitment Tracking Coordinator I I r .

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LR-N21-0015 Attachment 1 Labor, Energy, and Burial Factors Used in Calculations (All Facilities)

LR-N21-0015 Labor, Energy, and Burial Factors Used in Calculations (All Facilities)

The labor, energy, and burial indexes used are consistent with those described in NUREG-1307, Revision 18, published January 2021.

The current labor cost indexes used are obtained from the Employment Cost Index, published by the U.S. Department of Labor, Bureau of Labor Statistics (BLS). Specifically, PSEG used the Employment Cost Index for total compensation for private industry workers by region. The labor adjustment factors were calculated according to Section 3.2 of NUREG-1307 using fourth quarter 2020 data. Table 1 shows the data used for this calculation.

Table 1: Labor Adjustment Factors Region Applicable Series ID 4Q2020 Base Labor Sites Index Lx Adjustment Number Factor (Lx)

Northeast Hope Creek CIU2010000000210I 144.0 2.16 3.1104 Salem Peach Bottom The current energy cost indexes used are obtained from Producer Price Indexes (PPI) -

Commodities, published by the U.S. Department of Labor, BLS. Specifically, PSEG used the PPI for industrial electric power (WPU0543) and light fuel oils (WPU0573). The energy adjustment factors were calculated according to Section 3.3 of NUREG-1307 using December 2020 data. Table 2 shows the data used for this calculation.

Table 2: Energy Adjustment Factors WPU0543 - January 1986 (base value) 114.2 WPU0573 - January 1986 (base value) 82 WPU0543 - December 2020 (preliminary value) 232.7 WPU0573 - December 2020 (preliminary value) 209.8 Industrial electric power adjustment factor - Px 2.038 Light fuel oil adjustment factor - Fx 2.559 Energy Adjustment Factor (PWR) - Ex(PWR) 2.256 Energy Adjustment Factor (BWR) - Ex(BWR) 2.277 The waste burial adjustment factors used are taken from Table 2-1 of NUREG-1307 based on 2020 data. The adjustment factors PSEG used assume a combination of compact-affiliated and non-compact facilities, consistent with current waste disposal practices at PSEG and consistent with typical waste disposal practices during decommissioning. Table 3 summarizes the data used for the calculation of the waste adjustment factors.

1

LR-N21-0015 Labor, Energy, and Burial Factors Used in Calculations (All Facilities)

Table 3: Waste Adjustment Factors Combination Generators LLW Burial Site Reactor Applicable of Compact- Located in the Type Site Affiliated and Unaffiliated Non-Compact States and Facility Waste those Located Adjustment in Compact-Factor (Bx) Affiliated States having no Disposal Facility Waste Adjustment Factor (Bx)

South Carolina site BWR Hope Creek 12.948 N/A Atlantic Compact South Carolina site PWR Salem 11.679 N/A Atlantic Compact Generic LLW BWR Peach Bottom N/A 12.837 Disposal Site The calculation methodology used for all adjustment factors is consistent with NUREG-1307, Revision 18.

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LR-N21-0015 Attachment 2 Annual Radiological Decommissioning Funding Assurance Report for Hope Creek Generating Station

LR-N21-0015 Annual Radiological Decommissioning Funding Assurance Report for Hope Creek Generating Station (December 31, 2020 dollars, thousands)

Formula cost amount per 10 CFR 50.75(c) $697,459 Projected Value of Decommissioning Trust Fund at End of $1,170,732 Note (b)

Plant Life Site-specific cost amount per 10 CFR 72.30(b) $9,024 Note (c)

Note (d)

Amount of decommissioning trust funds accumulated as $709,710 Note (a) of December 31, 2020 Schedule of annual amounts remaining to be collected -None-Assumptions used in funding projections 2% Note (b)

April 11,2046 There are no contracts relied upon pursuant to 10 CFR 50.75(e)(1)(v)

Modifications occurring to a licensee's current method of -None-providing financial assurance since the last submitted report Material changes to trust agreements -None-Notes:

(a) The trust fund amount is the amount allocated for Radiological Decommissioning only.

(b) A 2% annual real rate of return is used as allowed by 10 CFR 50.75(e)(1)(i). For purposes of this report, permanent termination of operations (shutdown) is expected on April 11, 2046.

(c) The following statements specifically address the events defined in 10 CFR 72.30(c):

1. No spills of radioactive material producing additional residual radioactivity in onsite subsurface material have occurred.

2. Facility modifications have not had an effect on ISFSI decommissioning costs.

3. There were no changes in authorized possession limits.

4. No active decommissioning has occurred; thus, there have not been any actual remediation costs that exceed the previous cost estimate.

(d) The site-specific decommissioning funding plan was previously provided in a letter from Paul Duke, PSEG, to USNRC, Decommissioning Funding Plan for Independent Spent Fuel Storage Installations, dated December 17, 2015. The detailed cost estimate was updated in 2018 and is provided below escalated 3%

annually to 2020 dollars:

1

LR-N21-0015 Attachment 2 Hope Creek Gene rating Sta t ion IS FS I Decommissio ning Cost Estimate (thousands of 2020 dolla rs)

Bu ria l O ver sigh t LLRW Rem oval P ack aging T rans1>or t Oth e r Total Volume Cr aft and Disposal Cos ts Costs Costs Costs Costs C lass A Manhours Con t r actor Activ ity Description Costs fou b ic feeO Manh our s Deconunissionine: Contr actor Planninsz (characterization. snecs and nrocedures) 383 383 1.168 Decont am ination (activated disposition) 409 290 621 2.520 3.840 61.344 3.705 License Termination (radioloJrical survevs) 2.077 2.077 14.536 S u btotal 409 290 621 2,520 2,459 6,299 61,344 18,241 1,168 Sunnortin e: Cos ts NRC and NRC Contractor Fees and Costs 520 520 1.153 Insurance 102 102 P ronertv taxes 14 14 Security Staff Cost 124 124 2.011 U t ility Staff Cost 160 160 1.793 S u btotal 920 920 4 956 T otal (w/o con t ine:en cy) 409 290 621 2,520 3,380 7,219 61,344 18,241 6,124 Total (w/2 5% contingency) 511 363 776 3,149 4,225 9,024 2

LR-N21-0015 Attachment 3 Annual Radiological Decommissioning Funding Assurance Report for Salem Generating Station, Unit 1

LR-N21-0015 Annual Radiological Decommissioning Funding Assurance Report for Salem Generating Station, Unit 1 (December 31, 2020 dollars, thousands)

Formula cost amount per 10 CFR 50.75(c) $294,439 Note (a)

Projected Value of Decommissioning Trust Fund at End of $694,889 Note (b)

Plant Life Site-specific cost amount per 10 CFR 72.30(b) $3,093 Note (d)

Note (e)

Amount of decommissioning trust funds accumulated as $510,046 Note (c) of December 31, 2020 Schedule of annual amounts remaining to be collected -None-Assumptions used in funding projections 2% Note (b)

August 13, 2036 There are no contracts relied upon pursuant to 10 CFR 50.75(e)(1)(v)

Modifications occurring to a licensee's current method of -None-providing financial assurance since the last submitted report Material changes to trust agreements -None-Notes:

(a) Based on PSEGs 57.41% ownership of Salem (b) A 2% annual real rate of return is used as allowed by 10CFR 50.75(e)(1)(i). For purposes of this report, permanent termination of operations (shutdown) is expected on August 13, 2036 (c) The trust fund amount is the amount allocated for Radiological Decommissioning only.

(d) The following statements specifically address the events defined in 10 CFR 72.30(c):

1. No spills of radioactive material producing additional residual radioactivity in onsite subsurface material have occurred.

2. Facility modifications have not had an effect on ISFSI decommissioning costs.

3. There were no changes in authorized possession limits.

4. No active decommissioning has occurred; thus, there have not been any actual remediation costs that exceed the previous cost estimate.

(e) The site-specific decommissioning funding plan was previously provided in a letter from Paul Duke, PSEG, to USNRC, Decommissioning Funding Plan for Independent Spent Fuel Storage Installations, dated December 17, 2015. The detailed cost estimate was updated in 2018 and is provided below escalated 3% annually to 2020 dollars. The value stated is based on one-half of the amount identified in the table below prorated to 57.41% PSEG ownership of Salem. The estimate is common for both Salem Units.

1

LR-N21-0015 Attachment 3 S ale m G e nerat ing S t a tio n IS F S I D ecommissio ning Cost Estimat e (thousands of 2020 dollars)

Bu rial Ove r s igh t P ack agin g LLRW Removal Tr a n s 1>or t Othe r Total Volume Cr a ft and Dis pos a l Costs Co s t s Co s t s Cos t s Co s t s Class A Man h ou rs Co ntr a c t or Cost s Activit y Descr iution (cu b ic feet) Manhours Decommissionin g Con t r a ct o r Plannimr (characterization. snecs and nrocedures) 466 466 1.264 Decontamination (activat ed disoosition) 477 337 715 2.920 4.449 71.319 4.296 License Termination (r adiological survevs) 2.458 2.458 17.239 S ubtotal 477 337 715 2,920 2,924 7,373 71,319 21,536 1,264 S uppor t inA: Cost s NRC and NRC Contractor Fees and Costs 526 526 1.153 Insurance 205 205 P ronertv Taxes 19 19 Securitv Staff Cost 313 313 Utility Staff Cost 185 185 5.082 S ubt otal 1,247 1,247 8,297 Total (w/o contin e:ency ) 477 337 715 2,920 4,171 8,620 71,319 21,536 9,561 Total (w /25' ~ cont ingen cy ) 596 421 894 3,650 5,213 10,775 2

LR-N21-0015 Attachment 4 Annual Radiological Decommissioning Funding Assurance Report for Salem Generating Station, Unit 2

LR-N21-0015 Annual Radiological Decommissioning Funding Assurance Report for Salem Generating Station, Unit 2 (December 31, 2020 dollars, thousands)

Formula cost amount per 10 CFR 50.75(c) $294,439 Note (a)

Projected Value of Decommissioning Trust Fund at End of $640,392 Note (b)

Plant Life Site-specific cost amount per 10 CFR 72.30(b) $3,093 Note (d)

Note (e)

Amount of decommissioning trust funds accumulated as $437,012 Note (c) of December 31, 2020 Schedule of annual amounts remaining to be collected -None-Assumptions used in funding projections 2% Note (b)

April 18, 2040 There are no contracts relied upon pursuant to 10 CFR 50.75(e)(1)(v)

Modifications occurring to a licensee's current method of -None-providing financial assurance since the last submitted report Material changes to trust agreements -None-Notes:

(a) Based on PSEGs 57.41% ownership of Salem.

(b) A 2% annual real rate of return is used as allowed by 10CFR 50.75(e)(1)(i). For purposes of this report, permanent termination of operations (shutdown) is expected on April 18, 2040.

(c) The trust fund amount is the amount allocated for Radiological Decommissioning only.

(d) The following statements specifically address the events defined in 10 CFR 72.30(c):

1. No spills of radioactive material producing additional residual radioactivity in onsite subsurface material have occurred.

2. Facility modifications have not had an effect on ISFSI decommissioning costs.

3. There were no changes in authorized possession limits.

4. No active decommissioning has occurred; thus, there have not been any actual remediation costs that exceed the previous cost estimate.

(e) The site-specific decommissioning funding plan was previously provided in a letter from Paul Duke, PSEG, to USNRC, Decommissioning Funding Plan for Independent Spent Fuel Storage Installations, dated December 17, 2015. The detailed cost estimate was updated in 2018 and is provided below escalated 3% annually to 2020 dollars. The value stated is based on one-half of the amount identified in the table below prorated to 57.41% PSEG ownership of Salem. The estimate is common for both Salem Units.

1

LR-N21-0015 S a le m Genera ting Sta t ion ISFS I D ec ommissio nin g Co st Es t ima te (thou san ds of 2020 dolla rs)

Bu r ial Ove rsig h t R em oval P a ck a g in g LLRW Craft Tr ans 11ort Other Total Volume and D is posal Costs Co s ts Costs Costs Costs Cla s s A Manhou r s Contra ctor Costs Activity De s cript ion I (cu bic feet) Ma n h our s De commis s io n in e Cont r actor Plamllni;i: (characterization. specs and procedures) 466 466 1.264 Decontaminat ion (activat ed disposition) 477 337 715 2.920 4.449 71.319 4.296 License Termination (radiological surveys) 2.458 2.458 17.239 S ubtotal 477 337 715 2,920 2,924 7,373 71,319 2 1,536 1,264 Su uuort ine: Cost s NRC and NRC Cont ract or Fees and Costs 526 526 1.153 Insurance 205 205 Property Taxes 19 19 Secu rity Staff Cost 313 313 Ut ility St aff Cost 185 185 5.082 S u btotal 1,247 1,247 8,297 Total (w/o co n t in e:en cy) 477 337 715 2,920 4,171 8,620 71,319 21,536 9,561 Total (w/253/4 con t in e-e n cy ) 596 421 894 3,650 5,213 10,775 2

LR-N21-0015 Attachment 5 Annual Radiological Decommissioning Funding Assurance Report for Peach Bottom Atomic Power Station, Unit 2

LR-N21-0015 Annual Radiological Decommissioning Funding Assurance Report for Peach Bottom Atomic Power Station, Unit 2 (December 31, 2020 dollars, thousands)

Formula cost amount per 10 CFR 50.75(c) $347,081 Note (a)

Projected Value of Decommissioning Trust Fund at End of $807,209 Plant Life Note (b)

Site-specific cost amount per 10 CFR 72.30(b) $5,405 Note (d)

Note (e)

Amount of decommissioning trust funds accumulated as $423,253 Note (c) of December 31, 2020 Schedule of annual amounts remaining to be collected -None-Assumptions used in funding projections 2% Note (b)

August 8, 2053 There are no contracts relied upon pursuant to 10 CFR 50.75(e)(1)(v)

Modifications occurring to a licensee's current method of -None-providing financial assurance since the last submitted report Material changes to trust agreements -None-Notes:

(a) Based on PSEGs 50% ownership of Peach Bottom.

(b) A 2% annual real rate of return is used as allowed by 10CFR 50.75(e)(1)(i). For purposes of this report, permanent termination of operations (shutdown) is expected on August 8, 2053 (c) The trust fund amount is the amount allocated for Radiological Decommissioning only.

(d) The following statements specifically address the events defined in 10 CFR 72.30(c):

1. No spills of radioactive material producing additional residual radioactivity in onsite subsurface material have occurred.

2. The decommissioning cost estimates have been conservatively scaled to account for an increase in ISFSI pad size as part of an expansion project.

3. There were no changes in authorized possession limits.

4. No active decommissioning has occurred; thus, there have not been any actual remediation costs that exceed the previous cost estimate.

1

LR-N21-0015 (e) The site-specific decommissioning funding plan was previously provided in a letter from Paul Duke, PSEG, to USNRC, Decommissioning Funding Plan for Independent Spent Fuel Storage Installations, dated December 17, 2015. The detailed cost estimate was updated in 2018 and is provided below with an escalation factor to account for the expansion of the Peach Bottom ISFSI and cost escalated 3% annually to 2020 dollars.

The value stated is based on one-half of the amount identified in the table below prorated to 50% PSEG ownership of Peach Bottom. The estimate is common for both Peach Bottom Units.

2

LR-N21-0015 Peach Bottom Atomic Power Station I S F S I Dec on11n i ssioning Co st Estitna te (th ousan ds of 20 20 dollars)

Buria l O v ersight LLRW Volume and Removal Packaging Transp ort Ot h er Total Craft D isposal Costs Costs Cost s Costs Costs Cl ass A Manhours Cont ractor Costs (cubic feet) Manhours Activ it v Description Decommissionin l! Contractor Pla nning (characterization. snecs. a n d procedures) 810 810 2.496 Decontamin ation (activated disoosition) 482 406 3.647 5.037 9.572 117.947 5.286 License Termin ation (radioloQ'lcal surveys) 3.398 3.398 24.585 Subt o t a l 482 406 3,647 5,037 4,208 13,780 117,947 29,Sil 2.496 Suuuortin~ Cost s NRC a n d NRC Contractor Fees a n d Costs 1,099 1,099 2,464 In surance 241 241 Prooertv taxes 751 751 Security Staff Cost 650 650 10.683 Utility Staff Cost 775 775 8 .104 Subtotal 3,516 3,516 21.251 Tot a l (w/o contimtencv) 482 406 3,647 5.037 7.724 17.297 117,947 29,871 23.747 Total (w/25' ~ contingency) 602 508 4,559 6.296 9.655 21.621 3

LR-N21-0015 Attachment 6 Annual Radiological Decommissioning Funding Assurance Report for Peach Bottom Atomic Power Station, Unit 3

LR-N21-0015 Annual Radiological Decommissioning Funding Assurance Report for Peach Bottom Atomic Power Station, Unit 3 (December 31, 2020 dollars, thousands)

Formula cost amount per 10 CFR 50.75(c) $347,081 Note (a)

Projected Value of Decommissioning Trust Fund at End of $816,494 Plant Life Note (b)

Site-specific cost amount per 10 CFR 72.30(b) $5,405 Note (d)

Note (e)

Amount of decommissioning trust funds accumulated as $420,575 Note (c) of December 31, 2020 Schedule of annual amounts remaining to be collected -None-Assumptions used in funding projections 2% Note (b)

July 2, 2054 There are no contracts relied upon pursuant to 10 CFR 50.75(e)(1)(v)

Modifications occurring to a licensee's current method of -None-providing financial assurance since the last submitted report Material changes to trust agreements -None-Notes:

(a) Based on PSEGs 50% ownership of Peach Bottom.

(b) A 2% annual real rate of return is used as allowed by 10CFR 50.75(e)(1)(i). For purposes of this report, permanent termination of operations (shutdown) is expected on July 2, 2054.

(c) The trust fund amount is the amount allocated for Radiological Decommissioning only.

(d) The following statements specifically address the events defined in 10 CFR 72.30(c):

1. No spills of radioactive material producing additional residual radioactivity in onsite subsurface material have occurred.

2. The decommissioning cost estimates have been conservatively scaled to account for an increase in ISFSI pad size as part of an expansion project.

3. There were no changes in authorized possession limits.

4. No active decommissioning has occurred; thus, there have not been any actual remediation costs that exceed the previous cost estimate.

1

LR-N21-0015 (e) The site-specific decommissioning funding plan was previously provided in a letter from Paul Duke, PSEG, to USNRC, Decommissioning Funding Plan for Independent Spent Fuel Storage Installations, dated December 17, 2015. The detailed cost estimate was updated in 2018 and is provided below with an escalation factor to account for the expansion of the Peach Bottom ISFSI and cost escalated 3% annually to 2020 dollars.

The value stated is based on one-half of the amount identified in the table below prorated to 50% PSEG ownership of Peach Bottom. The estimate is common for both Peach Bottom Units.

2

LR-N21-0015 Peach Bottom Atomic Power Station I S F S I Dec on11n i ssioning Co st Estitna te (th ousan ds of 20 20 dollars)

Buria l O v ersight LLRW Volume and Removal Packaging Transp ort Ot h er Total Craft D isposal Costs Costs Cost s Costs Costs Cl ass A Manhours Cont ractor Costs (cubic feet) Manhours Activ it v Description Decommissionin l! Contractor Pla nning (characterization. snecs. a n d procedures) 810 810 2.496 Decontamin ation (activated disoosition) 482 406 3.647 5.037 9.572 117.947 5.286 License Termin ation (radioloQ'lcal surveys) 3.398 3.398 24.585 Subt o t a l 482 406 3,647 5,037 4,208 13,780 117,947 29,Sil 2.496 Suuuortin~ Cost s NRC a n d NRC Contractor Fees a n d Costs 1,099 1,099 2,464 In surance 241 241 Prooertv taxes 751 751 Security Staff Cost 650 650 10.683 Utility Staff Cost 775 775 8 .104 Subtotal 3,516 3,516 21.251 Tot a l (w/o contimtencv) 482 406 3,647 5.037 7.724 17.297 117,947 29,871 23.747 Total (w/25' ~ contingency) 602 508 4,559 6.296 9.655 21.621 3