ML033070138

TVA - Decommissioning Funding Status Report - Browns Ferry (Bfn), Sequoyah (Sqn), and Watts Bar (WBN) Nuclear Plants - Supplemental Information

ML033070138
Person / Time
Site:	Browns Ferry, Watts Bar, Sequoyah
Issue date:	10/30/2003
From:	Burzynski M Tennessee Valley Authority
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
Download: ML033070138 (6)

Text

Tennessee Valley Authority, 1101 Market Street, Chattanooga, Tennessee 37402-2801 October 30, 2003 10 CFR §50.75(f)(1)

U.S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, D.C. 20555-0001 Gentlemen:

In the Matter of ) Docket Nos. 50-259 50-327 Tennessee Valley Authority ) 50-260 50-328 50-296 50-390 TVA - DECOMMISSIONING FUNDING STATUS REPORT - BROWNS FERRY (BFN), SEQUOYAH (SQN), AND WATTS BAR (WBN) NUCLEAR PLANTS -

SUPPLEMENTAL INFORMATION Pursuant to the requirements of 10 CFR 50.75(f)(1), TVA reports to the NRC on the status of its decommissioning funding for each reactor it owns on a biennial basis.

TVA most recently provided such information by letter dated March 31, 2003. That report addressed the decommissioning funding status for BFN Units 1, 2, and 3, SQN Units 1 and 2, and WBN Unit 1.

Mr. K. N. Jabbour (NRC) recently requested additional information regarding TVA's schedule for the annual amounts remaining to be collected for decommissioning funding in accordance with 10 CFR 50.75. The enclosed tables provide the requested information utilizing the decommissioning cost estimates and assumptions regarding escalation and rate of earnings described in TVA's letter dated March 31, 2003. In accordance with 10 CFR §50.75(b)(2), TVA will review the decommissioning trust fund status annually. TVA intends to make contributions to the trust funds or provide other methods of decommissioning funding assurance consistent with NRC regulations and guidance (NRC Regulatory Guide 1.159, Revision 1) if necessary to match TVA's projected decommissioning fund balances. For ease of administration and in recognition of the variability associated with market performance which affects an Pwled l cycedp

U.S. Nuclear Regulatory Commission Page 2 October 30, 2003 external sinking trust fund, TVA will make such contributions or provide such other method of decommissioning funding assurance whenever the trust funds fall below 95 percent of the projected trust fund balances shown in the enclosed tables. TVA believes that this funding strategy provides both ample funding assurance for decommissioning as well as a reasoned approach for taking market fluctuations into account.

If you have any questions, please contact me at (423) 751-2508.

Sincerely, Mar .uynsYk1 Manager Nuclear Licensing Enclosure cc (Enclosure):

Ms. Margaret H. Chernoff, Project Manager U.S. Nuclear Regulatory Commission One White Flint, North 11555 Rockville Pike Rockville, Maryland 20852-2739 Mr. M. A. Dusaniwskyj U.S. Nuclear Regulatory Commission One White Flint, North 11555 Rockville Pike Rockville, Maryland 20852-2739 Mr. K. N. Jabbour, Senior Project Manager U.S. Nuclear Regulatory Commission One White Flint, North 11555 Rockville Pike Rockville, Maryland 20852-2739 cc: Continued on page 3

U.S. Nuclear Regulatory Commission Page 3 October 30, 2003 cc: Mr. M. L. Marshall, Jr., Project Manager Nuclear Regulatory Commission One White Flint, North 11555 Rockville Pike Rockville, Maryland 20852-2739 U.S. Nuclear Regulatory Commission Region II Sam Nunn Atlanta Federal Center 61 Forsyth St., SW, Suite 23T85 Atlanta, Georgia 30303-8931 NRC Senior Resident Inspector Browns Ferry Nuclear Plant 10833 Shaw Road Athens, Alabama 35611 NRC Senior Resident Inspector Sequoyah Nuclear Plant 2600 Igou Ferry Road Soddy-Daisy, Tennessee 37379 NRC Senior Resident Inspector Watts Bar Nuclear Plant 1260 Nuclear Plant Road Spring City, Tennessee 37381

ENCLOSURE Table I - Browns Ferry Decommissioning Trust Fund Collection Schedules BFN 1 . BFN2 . :_. BFN 3 Costs Trust Fund Costs Trust Fund Costs Trust Fund Annual Annual - Annual Annual Funding ProJected . Annual Funding  ! Prolected Annual Funding Projected Year Disbursement Assurance Fund Balance Disbursement Assurance Fund Balance Disbursement Assurance Fund Balance

& 1 ____________ 1 ____________ .1 .1 ____________

l 2002 $0.0 $128.1 $0.0 $122.0 $0.0 $110.6 2003 $11.2 $145.6 $9.9 $138.0 $7.9 $124.1 2004 $11.2 $164.1 $9.9 $154.7 $7.9 $138.2 2005 $11.2 $183.4 S9.9 $172.4 $7.9 $153.1 2006 $11.2 S203.8 $9.9 $190.9 $7.9 $168.6 2007 $11.2 $225.1 $9.9 $210.3 $7.9 $185.0 2008 S11.2 $247.5 $9.9 $230.7 $7.9 $202.2 2009 $11.2 $271.1 $9.9 $252.1 $7.9 $220.2 2010 $11.2 $295.8 S9.9 $274.6 $7.9 S239.1 2011 $11.2 $321.7 S9.9 $298.2 $7.9 $259.0 2012 $11.2 $349.0 $9.9 $323.0 $7.9 $279.9 2013 $13.2 $366.4. $9.9 $349.0 $7.9 $301.8 2014 $61.0 $370.9 $13.2 $366.4 $7.9 $324.8 2015 $61.0 $325.3 $61.0 $370.9 $7.9 $349.0 2016 $61.0 $277.5 $61.0 $325.3 $13.2 $366.4 2017 $61.0 $227.3 $61.0 $277.5 $61.0 $370.9 2018 $61.0 $174.5 $61.0 $227.3 $61.0 $325.3 2019 $61.0 $119.2 $61.0 $174.5 $61.0 $277.5 2020 $61.0 $61.0 $61.0 $119.2 $61.0 $227.3 2021 $0.0 $61.0 $61.0 $61.0 $174.5 2022 $0.0 $61.0 S119.2 2023 S61.0 $61.0 2024 $0.0 Total S440.5 $440.5 $440.5 Note: All amounts in millions of dollars E-1

Table 2 - Sequoyah and Watts Bar Decommissioning Trust Fund Collection Schedules SQN1 SQN 2 -- WBN 1 Costs Trust Fund . Costs  :. l Trust Fund Costs l Trust Fund.

Annual Annual

• Annual

• Annual Funding Projected

• Annual . Funding Projected Annual. Funding  : Projected Year Disbursement Assurance Fund Balance Disbursement Assurance Fund Balance Disbursement Assurance Fund Balance

-4 . 4. 4 4 4 4. I. 4. 4.

2002 $0.0 $73.7 $0.0 $70.2 $0.0 $35.5 2003 $4.4 $81.8 $4.0 $77.8 $1.5 $38.7 2004 $4.4 $90.3 $4.0 $85.7 $1.5 $42.2 2005 $4.4 $99.2 $4.0 $94.0 $1.5 $45.8 2006 $4.4 $108.6 $4.0 $102.7 $1.5 $49.6 2007 $4.4 $118.4 $4.0 $111.9 $1.5 $53.6 2008 $4.4 $128.7 $4.0 $121.6 $1.5 $57.8 2009 $4.4 $139.5 $4.0 $131.7 $1.5 $62.2 2010 $4.4 $150.9 $4.0 $142.3 $1.5 $66.8 2011 $4.4 $162.9 $4.0 $153.5 $1.5 $71.7 2012 $4.4 $175.4 $4.0 $165.2 $1.5 $76.7 2013 $4.4 $188.6 $4.0 $177.5 $1.5 $82.1 2014 $4.4 $202.4 $4.0 $190.4 $1.5 $87.7 2015 $4.4 $216.9 $4.0 $203.9 $1.5 $93.6 2016 $4.4 $232.2 $4.0 $218.2 $1.5 $99.8 2017 $4.4 $248.2 $4.0 $233.1 $1.5 $106.3 2018 $4.4 $265.0 $4.0 $248.8 $1.5 $113.1 2019 $4.4 $282.6 $4.0 $265.3 $1.5 $120.3 2020 $10.7 $296.7 $4.0 $282.6 $1.5 $127.8 2021 $49.4 $300.3 $10.7 $296.7 $1.5 $135.7 2022 $49.4 $263.5 $49.4 $300.3 $1.5 $144.0 2023 $49.4 $224.7 $49.4 $263.5 $1.5 $152.7 2024 $49.4 $184.1 $49.4 $224.7 $1.5 $161.8 2025 $49.4 $141.4 $49.4 $184.1 $1.5 $171.4 2026 $49.4 $96.5 $49.4 $141.4 $1.5 $181.5 2027 $49.4 $49.4 $49.4 $96.5 $1.5 $192.1 2028 $0.0 $49.4 $49.4 $1.5 $203.2 2029

$0.0 $1.5 _

$214.9 E-2

f Table 2 - Sequoyah and Watts Bar Decommissioning Trust Fund Collection Schedules (Cont.)

SQN 1 - SQN2 [- _: WBN 1 Costs Trust Fund Costs Trust Fund Costs Trust Fund Annual . Annual Annual Annual Funding Projected ' Annual . Funding Projected Annual Funding Projected Year Disbursement Assurance Fund Balance Disbursement Assurance Fund Balance Disbursement Assurance Fund Balance

-. 9 p 9 p 9 9 9 9 2030 $1.5 $227.2 2031 $1.5 $240.0 2032 $1.5 $253.5 2033 $1.5 $267.7 2034 $1.5 $282.6 2035 $10.7 $296.7 2036 $49.4 $300.3 2037 $49.4 $263.5 2038 $49.4 $224.7 2039 $49.4 $184.1 2040 $49.4 $141.4 2041 $49.4 $96.5 2042 $49.4 $49.4 2043 $0.0 Total $356.7 I I $356.7 ]A d [ $356.7 Note: All amounts in millions of dollars E-3