ML041900426
| ML041900426 | |
| Person / Time | |
|---|---|
| Site: | Hope Creek  |
| Issue date: | 07/01/2004 |
| From: | Stramback G General Electric Co |
| To: | Dan Collins Document Control Desk, NRC/NRR/DLPM/LPD1 |
| References | |
| MFN 04-069 | |
| Download: ML041900426 (6) | |
Text
GENuclear Energy Nuclear Services 175 CurtnerAve. MWC 747 San Jose, CA 95125 (408) 925-1913, Fax (408) 925-6710 E-mail: george.strambackftene.ge.corn MFN 04-069 July 1, 2004 U.S Nuclear Regulatory Commission Document Control Desk Washington, D.C. 20852-2738 Attention Mr. D. Collins, Project Manager - Salem & Hope Creek Project Directorate I Division of Licensing Project Management
Subject:
GE Nuclear Energy Request for Withholding - Hope Creek Fuel Vendor Change Response to NRC Request for Additional Information (DOCKET NO. 50-354)
By Reference 1, PSEG submitted responses to NRC Requests for Additional Information (RAIs),
of which one response contained GE Proprietary Information and an affidavit requesting protection of the information pursuant to regulation 10 CFR 2.390. Subsequent to a conference call discussion including PSEG, the NRC and GE regarding a recent change in NRC/OGC interpretation of the method for satisfaction of the regulation, GE agreed to provide the enclosed affidavit referencing the Reference I PSEG letter.
The GE proprietary information, as defined by 10CFR2.390, is provided in Attachment 1 of Reference 1. GE customarily maintains this information in confidence and withholds it from public disclosure.
The affidavit contained in Enclosure 1 identifies that the information contained in Attachment I of Reference I has been handled and classified as proprietary to GE. GE hereby requests that the information in Attachment 1 of Reference 1 be withheld from public disclosure in accordance with the provisions of 10 CFR 2.390 and 9.17.
If you have any questions, please contact, Mike Lalor at (408) 925-2443 or myself.
Sincerely, George Stramback Manager, Regulatory Services GE Nuclear Energy (408) 925-1913 george.stramback~gene.ge.comA
MFN 04-069 Page 2
Reference:
- 1)
LR-N04-0251, Letter from Michael H. Brothers (PSEG) to the NRC, RESPONSE TO REQUEST FOR ADDITIONAL NFORMA TIONREQUEST FOR CHANGE TO TECHNICAL SPECIFICATIONS FUEL VENDOR CHANGE HOPE CREEK GENERATING STATION FACILITY OPERATING LICENSE NPF-57 DOCKET NO. 50-354, dated June 8, 2004
Enclosures:
- 1. Affidavit, George B. Stramback, dated July 1, 2004 cc:
P Duke (PSEG)
M Harding (GNF/Wilmington)
RE Kingston (GNF/Wilmington)
JF Klapproth (GE/San Jose)
MA Lalor (GE/San Jose)
Hi Neems (GE/Wilmington)
LM Quintana (GE/Wilmington)
MNN 04-069 Affidavit
General Electric Company AFFIDAVIT 1, George B. Stramback, state as follows:
(1) I am Manager, Regulatory Services, General Electric Company ("GE") and have been delegated the function of reviewing the information described in paragraph (2) which is sought to be withheld, and have been authorized to apply for its withholding.
(2) The information sought to be withheld is contained in Attachment I to PSEG letter LR-N04-0251, Michael H. Brothers (PSEG) to the NRC, RESPONSE TO REQUEST FOR ADDITIONAL INFORMATION REQUEST FOR CHANGE TO TECHNICAL SPECIFICATIONS FUEL VENDOR CHANGE HOPE CREEK GENERATING STATIONFACILITYOPERA7TNG LICENSE NPF-57 DOCKET NO. 50-354, dated June 8, 2004. The proprietary nFormation in Attachment 1 is delineated by a double underline inside double square brackets. In each case, the superscript notation43 refers to Paragraph (3) of this affidavit, which provides the basis for the proprietary determination.
(3) In making this application for withholding of proprietary information of which it is the owner, GE relies upon the exemption from disclosure set forth in the Freedom of Information Act ("FOIA"), 5 USC Sec. 552(b)(4), and the Trade Secrets Act, 18 USC Sec. 1905, and NRC regulations 10 CFR 9.17(a)(4), and 2.390(a)(4) for "trade secrets" (Exemption 4). The material for which exemption from disclosure is here sought also qualify under the narrower definition of "trade secret", within the meanings assigned to those terms for purposes of FOIA Exemption 4 in, respectively, Critical Mass Energy Project v. Nuclear Regulatory Commission.
975F2d871 (DC Cir. 1992), and Public Citizen Health Research Group v. FDA, 704F2d1280 (DC Cir. 1983).
(4) Some examples of categories of information which fit into the definition of proprietary information are:
- a.
Information that discloses a process, method, or apparatus, including supporting data and analyses, where prevention of its use by General Electric's competitors without license from General Electric constitutes a competitive economic advantage over other companies;
- b.
Information which, if used by a competitor, would reduce his expenditure of resources or improve his competitive position in the design, manurfcture, shipment, installation, assurance of quality, or licensing of a similar product; GRqf4M-1IO-AF Unne Vriipk Fivi Traniqitinni MPG letter m R~AT 7-1-fl4 &dAflnrt~'e Affidnvilt Pape I
- c.
Information which reveals aspects of past, present, or future General Electric customer-funded development plans and programs, resulting in potential products to General Electric;
- d.
Information which discloses patentable subject matter for which it may be desirable to obtain patent protection.
The information sought to be withheld is considered to be proprietary for the reasons set forth in paragraphs (4)a., and (4)b, above.
(5) To address 10 CFR 2.390 (b) (4), the information sought to be withheld is being submitted to NRC in confidence. The information is of a sort customarily held in confidence by GE, and is in fiact so held. The information sought to be withheld has, to the best of my knowledge and belief consistently been held in confidence by GE, no public disclosure has been made, and it is not available in public sources. All disclosures to third parties including any required transmittals to NRC, have been made, or must be made, pursuant to regulatory provisions or proprietary agreements which provide for maintenance of the information in confidence.
Its initial designation as proprietary information, and the subsequent steps taken to prevent its unauthorized disclosure, are as set forth in paragraphs (6) and (7) following.
(6) Initial approval of proprietary treatment of a document is made by the manager of the originating component, the person most likely to be acquainted with the value and sensitivity of the information in relation to industry knowledge. Access to such documents within GE is limited on a "need to know" basis.
(7) The procedure for approval of external release of such a document typically requires review by the staff manager, project manager, principal scientist or other equivalent authority, by the manager of the cognizant marketing function (or his delegate), and by the Legal Operation, for technical content, competitive effect, and determination of the accuracy of the proprietary designation. Disclosures outside GE are limited to regulatory bodies, customers, and potential customers, and their agents, suppliers, and licensees, and others with a legitimate need for the information, and then only in accordance with appropriate regulatory provisions or proprietary agreements.
(8) The information identified in paragraph (2), above, is classified as proprietary because it contains detailed results and conclusions from evaluations utilizing analytical models and methods, including computer codes, which GE has developed, obtained NRC approval of and applied to perform evaluations of transient and accident events in the GE Boiling Water Reactor ("BWR"). The development and approval of these system, component, and thermal hydraulic models and computer codes was achieved at a significant cost to GE, on the order of several million dollars.
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The development of the evaluation process along with the interpretation and application of the analytical results is derived from the extensive experience database that constitutes a major GE asset.
(9) Public disclosure of the information sought to be withheld is likely to cause substantial harm to GE's competitive position and foreclose or reduce the availability of profit-making opportunities.
The information is part of GE's comprehensive BWR safety and technology base, and its commercial value extends beyond the original development cost. The value of the technology base goes beyond the extensive physical database and analytical methodology and includes development of the expertise to determine and apply the appropriate evaluation process. In addition, the technology base includes the value derived from providing analyses done with NRC-approved methods.
The research, development, engineering, analytical and NRC review costs comprise a substantial investment of time and money by GE.
The precise value of the expertise to devise an evaluation process and apply the correct analytical methodology is difficult to quantify, but it clearly is substantial.
GE's competitive advantage will be lost if its competitors are able to use the results of the GE experience to normalize or verify their own process or if they are able to claim an equivalent understanding by demonstrating that they can arrive at the same or similar conclusions.
The value of this information to GE would be lost if the information were disclosed to the public.
Making such information available to competitors without their having been required to undertake a similar expendiure of resources would unfairly provide competitors with a windfill, and deprive GE of the opportunity to exercise its competitive advantage to seek an adequate return on its large investment in developing these very valuable analytical tools.
I declare under penalty of perjury that the foregoing affidavit and the matters stated therein are true and correct to the best of my knowledge, information, and belief Executedonthis e
o daysof ay.f 2004.
Ge i C-a.i General Electric Company rf.R59-n4l-b AF Unnue (Creek VTu-J Transitim P5SFrv letter en RATU 7.11)4 ncA Affidavit Not-e I