ML080670093
| ML080670093 | |
| Person / Time | |
|---|---|
| Site: | Pilgrim |
| Issue date: | 03/12/2008 |
| From: | James Kim NRC/NRR/ADRO/DORL/LPLI-1 |
| To: | Balduzzi M Entergy Nuclear Operations |
| kim J, NRR/ADRO/DORL, 415-4125 | |
| References | |
| TAC MD8036, FOIA/PA-2013-0151 | |
| Download: ML080670093 (6) | |
Text
March 12, 2008 Mr. Michael A. Balduzzi Sr. Vice President & COO Regional Operations, NE Entergy Nuclear Operations, Inc.
440 Hamilton Avenue White Plains, NY 10601
SUBJECT:
REQUEST FOR ADDITIONAL INFORMATION TO SUPPORT THE REVIEW OF THE PILGRIM NUCLEAR POWER STATION SPENT FUEL MANAGEMNT PLAN PURSUANT TO 10 CFR 50.54(bb) (TAC NO. MD8036)
Dear Mr. Balduzzi:
By letter dated June 7, 2007, Entergy Nuclear Operations, Inc. (the licensee) submitted the Pilgrim Nuclear Power Station spent fuel management plan for review.
The Nuclear Regulatory Commission staff has been reviewing the submittal and has determined that additional information is needed to complete its review. The specific questions are found in the enclosed request for additional information (RAI). A response to this RAI is requested to be provided within 30 days.
Sincerely,
/ra/
James Kim, Project Manager Plant Licensing Branch I-1 Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket No. 50-293
Enclosure:
As stated cc w/encl: See next page
ML080670093 OFFICE LPLI-1/PM LPLI-1/LA LPLI-1-1/BC NAME JKim SLittle MKowal DATE 3/11/08 3/11/08 3/12/08
REQUEST FOR ADDITIONAL INFORMATION BY THE OFFICE OF NUCLEAR REACTOR REGULATION TO SUPPORT THE REVIEW OF THE PILGRIM NUCLEAR POWER STATION SPENT FUEL MANAGEMENT PLAN RAI No. 1:
Table 1 entitled, Estimated Spent Fuel Management Costs listed expenditures for the period from 2012 - 2017 at an estimated cost of $156 million in 2006 dollars. Describe in detail, the
$156.0 million in expenditures for the period from 2012-2017. In the submittal, Table 1 identified these costs as spent fuel management costs. While the submittal identified the expenses associated with spent fuel storage, it did not include in the plan a mechanism for funding for the spent fuel costs. Describe in detail, a mechanism for funding for the spent fuel costs.
RAI No. 2 Section 5 entitled, Financial Assurance listed the balance in the decommissioning trust fund as of December 31, 2006, as $582.63 million, and stated that the projected decommission cost amount based on the formula is $482.28 million.
NRC regulations allow a licensee to take a 2% real rate of return credit on investments unless a higher rate is authorized by a regulated licensees public utility commission. Pilgrim is not rate regulated, so the NRC staff applied a 2% real rate of return on the trust fund balance ($582.6 million) based on the regulation and deducted the expenses identified in Table 1, Estimated Spent Fuel Management Costs. The results were that the trust fund exceeded the formula amount, however, since Pilgrim has not submitted a site-specific cost estimate as required by the regulation, and recognizing that the site-specific cost estimate can be greater cost than the formula amount, Entergys position that the trust fund balance exceeds the cost required for radiological decommissioning, and therefore, the excess funds would be available to address spent fuel management costs is not fully supported. How will Entergy fund the Pilgrim spent fuel management cost?
Enclosure
Pilgrim Nuclear Power Station cc:
Regional Administrator, Region I U. S. Nuclear Regulatory Commission 475 Allendale Road King of Prussia, PA 19406-1415 Senior Resident Inspector U. S. Nuclear Regulatory Commission Pilgrim Nuclear Power Station Post Office Box 867 Plymouth, MA 02360 Chairman, Board of Selectmen 11 Lincoln Street Plymouth, MA 02360 Chairman Nuclear Matters Committee Town Hall 11 Lincoln Street Plymouth, MA 02360 Chairman, Duxbury Board of Selectmen Town Hall 878 Tremont Street Duxbury, MA 02332 Office of the Commissioner Massachusetts Department of Environmental Protection One Winter Street Boston, MA 02108 Office of the Attorney General One Ashburton Place 20th Floor Boston, MA 02108 MA Department of Public Health Radiation Control Program Schrafft Center, Suite 1M2A 529 Main Street Charlestown, MA 02129 Director, Massachusetts Emergency Management Agency Attn: James Muckerheide 400 Worcester Road Framingham, MA 01702-5399 Mr. William D. Meinert Nuclear Engineer Massachusetts Municipal Wholesale Electric Company P.O. Box 426 Ludlow, MA 01056-0426 Mr. Kevin H. Bronson Site Vice President Entergy Nuclear Operations Pilgrim Nuclear Power Station 600 Rocky Hill Road Plymouth, MA 02360-5508 Mr. Robert G. Smith General Manager, Plant Operations Entergy Nuclear Operations Pilgrim Nuclear Power Station 600 Rocky Hill Road Plymouth, MA 02360-5508 Mr. Stephen J. Bethay Director, Nuclear Safety Assurance Entergy Nuclear Operations Pilgrim Nuclear Power Station 600 Rocky Hill Road Plymouth, MA 02360-5508 Mr. Bryan S. Ford Manager, Licensing Entergy Nuclear Operations Pilgrim Nuclear Power Station 600 Rocky Hill Road Plymouth, MA 02360-5508
Pilgrim Nuclear Power Station cc:
Mr. John T. Herron Sr. Vice President Entergy Nuclear Operations 1340 Echelon Parkway Jackson, MS 39213 Mr. Oscar Limpias Vice President, Engineering Entergy Nuclear Operations 440 Hamilton Avenue White Plains, NY 10601 Mr. John A. Ventosa GM, Engineering Entergy Nuclear Operations 440 Hamilton Avenue White Plains, NY 10601 Mr. Joseph P. DeRoy VP, Operations Support Entergy Operations, Inc.
1340 Echelon parkway Jackson, MS 39213 Mr. Michael Kansler President & CEO/CNO Entergy Nuclear Operations 1340 Echelon Parkway Jackson, MS 39213 Mr. John F. McCann Director, Nuclear Safety & Licensing Entergy Nuclear Operations 440 Hamilton Avenue White Plains, NY 10601 Ms. Charlene D. Faison Manager, Licensing Entergy Nuclear Operations 440 Hamilton Avenue White Plains, NY 10601 Mr. Ernest J. Harkness Director, Oversight Entergy Nuclear Operations, Inc.
1340 Echelon Parkway Jackson, MS 39213 Mr. William C. Dennis Assistant General Counsel Entergy Nuclear Operations 440 Hamilton Avenue White Plains, NY 10601 Ms. Stacey Lousteau Treasury Department Entergy Services, Inc.
639 Loyola Avenue New Orleans, LA 70113 Mr. James Sniezek 5486 Nithsdale Drive Salisbury, MD 21801-2490 Mr. Michael D. Lyster 5931 Barclay Lane Naples, FL 34110-7306 Mr. Garrett D. Edwards 814 Waverly Road Kennett Square, PA 19348 Mr. John Doering P.O. Box 189 Parker Ford, PA 19457