ML041800403

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/2/3, William B McGuire Nuclear Station, Units 1/2 and Catawba Nuclear Station, Units 1/2-Use of Encryption Software for Secure Transmission of Safeguards Information (TAC Nos. MC3545, MC3546, MC3547. MC3417, MC3417, MC3529
ML041800403
Person / Time
Site: Oconee, Mcguire, Catawba, McGuire  Duke Energy icon.png
Issue date: 06/16/2004
From: Bhalchandra Vaidya
NRC/NRR/DLPM
To: Barron H
Duke Energy Corp, Duke Power Co
References
TAC MC3417, TAC MC3418, TAC MC3529, TAC MC3530, TAC MC3545, TAC MC3546, TAC MC3547
Download: ML041800403 (8)


Text

June 16, 2004 Mr. Henry B. Barron Group Vice President Nuclear Generation and Chief Nuclear Officer Duke Power, A Duke Energy Company ECO7H / 526 South Church Street Charlotte, NC 28202-1802

SUBJECT:

OCONEE NUCLEAR STATION, UNITS 1, 2, AND 3, WILLIAM B. MCGUIRE NUCLEAR STATION, UNITS 1 AND 2, AND CATAWBA NUCLEAR STATION, UNITS 1 AND 2 - USE OF ENCRYPTION SOFTWARE FOR SECURE TRANSMISSION OF SAFEGUARDS INFORMATION (TAC NOS. MC3545, MC3546, MC3547, MC3417, MC3418, MC3529, AND MC3530)

Dear Mr. Barron:

By letter dated May 26, 2004, you requested approval to use encryption software for the transmission of Safeguards Information (SGI) for Oconee Nuclear Station, Units 1, 2, and 3, William B. Mcguire Nuclear Station, Units 1 and 2, and Catawba Nuclear Station, Units 1 and 2.

Specifically, you requested approval for the use of Pretty Good Protection (PGP) Software (Enterprise, Corporate, or Personal) Desktop Version 8.0 or the latest validated version developed with PGP Software Development Kit (SDK) 3.0.3 for encryption of sensitive unclassified SGI.

Title 10 of the Code of Federal Regulations (10 CFR) Section 73.21(g)(3) states, in part,

... Safeguards Information shall be transmitted only by protected telecommunication circuits (including facsimile) approved by the NRC. The Nuclear Regulatory Commission (NRC) considers those encryption systems that the National Institute of Standards and Technology (NIST) has determined conform to the Security Requirements for Cryptographic Modules in Federal Information Processing Standard (FIPS) 140-2, as being acceptable. The Secretary of Commerce has made use of Cryptographic Module Validation Program products mandatory and binding for Federal agencies when a Federal agency determines that cryptography is necessary for protecting sensitive information.

PGP Software Corporate Desktop Version 8.0 was developed with PGP SDK 3.0.3. NIST Certificate, Number 394, validates compliance of this software development tool with FIPS 140-2 requirements. Therefore, the NRC staff finds the use of this encryption software acceptable for processing and transmitting SGI electronically for your site. Later versions of PGP Software Corporate Desktop are also acceptable provided that:

1.

They were developed using a software development tool e.g., PGP SDK 3.0.3 that meets and is validated by NIST to FIPS 140-2 requirements.

H. B. Barron 2.

You notify the NRC of your intention to update your encryption software 30 days prior to its first use. When notifying the NRC, include a description of the new software you will be using and provide a statement indicating NIST certification of the software development tool.

It is important to remind you that in accordance with 10 CFR 73.21(a), you are required to establish and maintain an information protection system that satisfies 10 CFR 73.21(b) through (i). Compliance with the provisions of 10 CFR 73.21, including the use of encryption software for transmittal of SGI, is mandatory and inspectable.

Additionally, only one public key is to be generated per site. The PGP file containing the public key must be named according to the following syntax: LastName_FirstName_SiteName.asc.

This naming convention represents the organizational point of contact indicated as owning the key-pair.

As stated in letter dated May 5, 2004, from R. P. Zimmerman, NRC, Office of Nuclear Security and Incident Response, to Stephen D. Floyd, Nuclear Energy Institute (NEI), please provide the public key for transmitting sensitive, unclassified SGI and the point of contact information (name, telephone number and e-mail address) to NEI and the NRC points of contact provided below. Once this information has been provided, we will provide a copy of the NRC public key to your point of contact. All SGI holders must employ an appropriate credentialing process to verify that individuals providing public keys are legitimate users. Private keys must be controlled as SGI.

The NRC point of contact for all transmittals related to the review and approval of the supplemental responses to the security orders is Mr. Bhalchandra K. Vaidya, Project Manager, Security Plan Review Team, Division of Licensing Project Management, who can be reached at (301)415-3308, or via e-mail at bkv@nrc.gov. For transmittal of other SGI, and for public key coordination, the NRC point of contact is Mr. Louis Grosman, Office of the Chief Information Officer, who can be contacted at (301)415-5826, or via e-mail at lhg@nrc.gov. As coordinated with the NEI, the industry point of contact for public key coordination is Mr. James W. Davis, who can be reached at (301)739-8105 and via e-mail at jwd@nei.org.

H. B. Barron Encrypted SGI information shall be transmitted as attachments to an e-mail directed to sprt@nrc.gov. The e-mail message must also contain the name of the NRC staff member who is to receive the attachments.

If you have any questions, please contact me at (301)415-3308.

Sincerely,

/RA/

Bhalchandra K. Vaidya, Project Manager Security Plan Review Team Division of Licensing Project Management Office of Nuclear Reactor Regulation Docket Nos. 50-269, 50-270, 50-287, 50-369, 50-370, 50-413, and 50-414 cc: See next page

ML041800403 OFFICE SPRT/PM SPRT/LA NSIR/DNS/SC OCIO/PMAS SPRT/SC NAME BVaidya CHawes SMorris LHGrosman JNakoski RFretz for DATE 6/16/04 6/16/04 6/16/04 6/16/04 6/16/04

Catawba Nuclear Station cc:

Lee Keller, Manager Regulatory Compliance Duke Energy Corporation 4800 Concord Road York, South Carolina 29745 Lisa F. Vaughn Duke Energy Corporation Mail Code - PB05E 422 South Church Street P.O. Box 1244 Charlotte, North Carolina 28201-1244 Anne Cottingham, Esquire Winston and Strawn 1400 L Street, NW Washington, DC 20005 North Carolina Municipal Power Agency Number 1 1427 Meadowwood Boulevard P.O. Box 29513 Raleigh, North Carolina 27626 County Manager of York County York County Courthouse York, South Carolina 29745 Piedmont Municipal Power Agency 121 Village Drive Greer, South Carolina 29651 Karen E. Long Assistant Attorney General North Carolina Department of Justice P.O. Box 629 Raleigh, North Carolina 27602 NCEM REP Program Manager 4713 Mail Service Center Raleigh, North Carolina 27699-4713 North Carolina Electric Membership Corp.

P.O. Box 27306 Raleigh, North Carolina 27611 Senior Resident Inspector U.S. Nuclear Regulatory Commission 4830 Concord Road York, South Carolina 29745 Henry Porter, Assistant Director Division of Waste Management Bureau of Land and Waste Management Dept. of Health and Environmental Control 2600 Bull Street Columbia, South Carolina 29201-1708 Mr. R.L. Gill, Jr., Manager Nuclear Regulatory Issues and Industry Affairs Duke Energy Corporation 526 South Church Street Mail Stop EC05P Charlotte, North Carolina 28202 Saluda River Electric P.O. Box 929 Laurens, South Carolina 29360 Mr. Peter R. Harden, IV, Vice President Customer Relations and Sales Westinghouse Electric Company 6000 Fairview Road 12th Floor Charlotte, North Carolina 28210 Mary Olson Director of the Southeast Office Nuclear Information and Resource Service 729 Haywood Road, 1-A P.O. Box 7586 Asheville, North Carolina 28802

Catawba Nuclear Station cc:

Mr. T. Richard Puryear Owners Group (NCEMC)

Duke Energy Corporation 4800 Concord Road York, South Carolina 29745 Richard M. Fry, Director Division of Radiation Protection NC Dept. of Environment, Health, and Natural Resources 3825 Barrett Drive Raleigh, North Carolina 27609-7721 Henry Barron Group Vice President, Nuclear Generation and Chief Nuclear Officer P.O. Box 1006-EC07H Charlotte, NC 28201-1006 Dhiaa M. Jamil Vice President Catawba Nuclear Station Duke Energy Corporation 4800 Concord Road York, South Carolina 29745-9635

McGuire Nuclear Station cc:

Ms. Lisa F. Vaughn Duke Energy Corporation Mail Code - PB06E 422 South Church Street P.O. Box 1244 Charlotte, North Carolina 28201-1244 County Manager of Mecklenburg County 720 East Fourth Street Charlotte, North Carolina 28202 Mr. C. Jeffrey Thomas Regulatory Compliance Manager Duke Energy Corporation McGuire Nuclear Site 12700 Hagers Ferry Road Huntersville, North Carolina 28078 Anne Cottingham, Esquire Winston and Strawn 1400 L Street, NW Washington, DC 20005 Senior Resident Inspector c/o U.S. Nuclear Regulatory Commission 12700 Hagers Ferry Road Huntersville, North Carolina 28078 Dr. John M. Barry Mecklenburg County Department of Environmental Protection 700 N. Tryon Street Charlotte, North Carolina 28202 Mr. Peter R. Harden, IV VP-Customer Relations and Sales Westinghouse Electric Company 6000 Fairview Road, 12th Floor Charlotte, North Carolina 28210 Ms. Karen E. Long Assistant Attorney General North Carolina Department of Justice P.O. Box 629 Raleigh, North Carolina 27602 Mr. R.L. Gill, Jr.

Manager - Nuclear Regulatory Issues and Industry Affairs Duke Energy Corporation 526 South Church Street Mail Stop EC05P Charlotte, North Carolina 28202 NCEM REP Program Manager 4713 Mail Service Center Raleigh, North Carolina 27699-4713 Mr. Richard M. Fry, Director Division of Radiation Protection North Carolina Department of Environment, Health and Natural Resources 3825 Barrett Drive Raleigh, North Carolina 27609-7721 Mr. T. Richard Puryear Owners Group (NCEMC)

Duke Energy Corporation 4800 Concord Road York, South Carolina 29745 Henry Barron Group Vice President, Nuclear Generation and Chief Nuclear Officer P.O. Box 1006-EC07H Charlotte, NC 28201-1006

Oconee Nuclear Station cc:

Ms. Lisa F. Vaughn Duke Energy Corporation Mail Code - PB05E 422 South Church Street P.O. Box 1244 Charlotte, North Carolina 28201-1244 Anne W. Cottingham, Esquire Winston and Strawn 1400 L Street, NW Washington, DC 20005 Manager, LIS NUS Corporation 2650 McCormick Drive, 3rd Floor Clearwater, Florida 34619-1035 Senior Resident Inspector U.S. Nuclear Regulatory Commission 7812B Rochester Highway Seneca, South Carolina 29672 Mr. Henry Porter, Director Division of Radioactive Waste Management Bureau of Land and Waste Management Department of Health and Environmental Control 2600 Bull Street Columbia, South Carolina 29201-1708 Mr. Michael A. Schoppman Framatome ANP 1911 North Ft. Myer Drive Suite 705 Rosslyn, VA 22209 Mr. B.G. Davenport Regulatory Compliance Manager Oconee Nuclear Site Duke Energy Corporation ON03RC 7800 Rochester Highway Seneca, South Carolina 29672 Ms. Karen E. Long Assistant Attorney General North Carolina Department of Justice P.O. Box 629 Raleigh, North Carolina 27602 Mr. R.L. Gill, Jr.

Manager - Nuclear Regulatory Issues and Industry Affairs Duke Energy Corporation 526 South Church Street Mail Stop EC05P Charlotte, North Carolina 28202 Mr. Richard M. Fry, Director Division of Radiation Protection North Carolina Department of Environment, Health, and Natural Resources 3825 Barrett Drive Raleigh, North Carolina 27609-7721 Mr. Peter R. Harden, IV VP-Customer Relations and Sales Westinghouse Electric Company 6000 Fairview Road 12th Floor Charlotte, North Carolina 28210 Henry Barron Group Vice President, Nuclear Generation and Chief Nuclear Officer P.O. Box 1006-EC07H Charlotte, NC 28201-1006 Mr. Ronald A. Jones Vice President, Oconee Site Duke Energy Corporation 7800 Rochester Highway Seneca, SC 29672