ML091980291

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BC Input to Oc 2008-07, Rev. 0., Oyster Creek, NRC License Renewal Follow-Up IR 05000219-08-007
ML091980291
Person / Time
Site: Oyster Creek
Issue date: 06/17/2009
From: Darrell Roberts
Division of Reactor Safety I
To: Pardee C
Exelon Generation Co
References
FOIA/PA-2009-0070
Download: ML091980291 (6)


See also: IR 05000219/2008007

Text

BC Input to OC 2008-07

COVER LETTER

G:\DRS\Engineering Branch 1\_LicRenewal\Oyster Creek\2008 Outage\InReport\COVER

LETTERRev0.doc t-

Mr. Charles G. Pardee

Chief Nuclear Officer (CNO) and Senior Vice President

Exelon Generation Company, LLC

200 Exelon Way

Kennett Square, PA 19348

SUBJECT: OYSTER CREEK GENERATING STATION - NRC LICENSE RENEWAL

FOLLOW-UP INSPECTION REPORT 05000219/2008007'

Dear Mr. Pardee

On December 23, 2008, the U. S. Nuclear Regulatory Commission (NRC) completed an

inspection at your Oyster Creek Generating Station. The enclosed report documents the

inspection results, which were discussed on December 23, 2008, with Mr. T. Rausch, Site Vice

President, Mr. M. Gallagher, Vice President License Renewal, and other members of your staff.

The inspection examined activities conducted under your license as they relate to safety and

compliance with the Commission's rules and regulations and with the conditions of your license.

Part 50 results

With respect to activities authorized by 10 CFR 50, the inspectors found no findings of safety

significance.

With respect to 10 CFR 54 activities and the NRC staffs Final Safety Evaluation Report (SER) -

NUREG 1845, we observed and have come to understand that you are implementing the

proposed license conditions of that document as listed in Section 1.7, Summary of Proposed

License Conditions (Volume 1 ml 071290023) and the regulatory commitments listed in

Appendix A of the SER (Volume 2 ml 071310246) as though you have an approved renewed

operating license. We also noted that the proposed license conditions of NUREG 1845 for

license renewal have evolved to that listed as Attachment 1 of SECY 08-0018 (ml 080110460)

As an example, the proposed license condition in SECY 08-0018, item 2.C (11) indicated, in

part, that you shall notify the NRC in writing when implementation of those license renewal

activities are complete and can be verified by NRC inspection; this statement was not in the

proposed license conditions of NUREG 1845. The question arises, which set of proposed

license conditions are you implementing on a voluntary basis - for example, will you be sending

such a "readiness letter"? If our understanding in these matters is not true or need to be

clarified, please notify us in writing as soon as possible and clarify you intentions in this regard.

Further, as you well know, an appeal of a licensing board decision regarding the Oyster Creek

application for a renewed license is pending before the Commission related to the adequacy of

the aging management program for the Oyster Creek drywell.

Infobmation inthis record was deleted in

accordance with the Ft£enom of Infotrmandn AOL

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BC Input to OC 2008-07

The midcycle letter of ................ Indicated that the inspections of

The NRC is conducting these inspections using the guidance of Inspection Procedure (IP)

71003 "Post-Approval Site Inspection for License Renewal" as a prudent measure in order to

take the opportunity to make observations of Oyster Creek license renewal activities during the

last refuel outage prior to entering the period of extended operation. The inspectors reviewed

selected procedures and records, observed activities, and interviewed personnel.

¶ (b)(5)

BC Input to OC 2008-07

The enclosed report records the inspector's observations, absent any determinations on

adequacy or significance. We are doing this because the proposed regulatory commitments

made as a part of the 10 CFR 54 application are not in effect pending the final licensing action

by the Director of NRR in conjunction with Commissioners' decision on the appeal of the

hearing issue. If you have any questions in this regard, please let us know.

Further, the observation of your activities with respect to proposed activities for license renewal

indicated that implementation did not go as you expected in association with certain regulatory

commitments listed in the staff's final SER. These dealt with. the installation of the strippable

coating, the monitoring of the cavity drain trough drain, and the monitoring of the sand bed

drains. At the exit meeting of December 23, 2008, you indicated that you were conducting a

common cause analysis in addition to placing this information into your corrective action

process, at a minimum, for future enhancement. With respect to the current situation for your

10 CFR 50 activities, we continue to believe that it is prudent for us to continue conducting

observations of your license renewal activities and we plan a team inspection starting March 9,

2009 usina the same auidance for this inspection.[ (b)(5)

(b)(5)

In accordance with 10 CFR 2.790 of the NRC's "Rules of Practice," a copy of this letter and its

enclosure will be available electronically for public inspection in the NRC Public Document

Room or from the Publicly Available Records (PARS) component of NRC's document system

(ADAMS). ADAMS is accessible from the NRC Web-site at

http://www.nrc.qov/NRC/ADAMS/index.html (the Public Electronic Reading Room).

IN LIGHT OF THE REUESTS FOR INFORMATION DD SHOULD SIGN

Sincerely,

Darrell Roberts, Director

Division of Reactor Safety

BC Input to OC 2008-07

SUMMARY OF FINDINGS

IR 05000219/2008007; 10/27/2008 - 12/23/2008; Exelon, LLC, Oyster Creek

Generating Station; License Renewal Follow-up

The report covers a multi-week inspection of license renewal follow-up items. Itwas conducted

by five region based engineering inspectors and the Oyster Creek resident inspector. The

inspection was conducted in accordance with Inspection Procedure 71003 "Post-Approval Site

Inspection for License Renewal."

(b)(5)

In accordance with the NRC's agreement with the State of New Jersey, state engineers

observed portions of the NRC's staff review. The report documents inspection observations

only.

K (b)(5)

BC Input to OC 2008-07

BODY OF REPORT - SAMPLE SELECTION PROCESS

1. Purpose of Inspection and Sample Selection Process

Background and Purpose

This inspection was conducted in order to observe AmerGen's continuing license

renewal activities during the last refueling outage prior to Oyster Creek (OC) entering the

extended period of operation.

(b)(5)

Accordingly, the inspectors recorded observations, without any assessment of

implementation adequacy or safety significance. Inspection observations were

considered, in light of pending 10 CFR 54 license renewal commitments and license

conditions, as documented in NUREG-1875, "Safety Evaluation Report (SER) Related to

the License Renewal of Oyster Creek Generating Station," as well as programmatic

performance under on-going implementation of 10 CFR 50 current licensing basis (CLB)

requirements.

(5)

I ~(b)

This inspection was conducted in order to observe AmerGen's continuing license renewal

activities during the last refueling outage prior to Oyster Creek (OC) entering the extended

period of operation.

Accordingly, the inspectors recorded observations, without any assessment of implementation

adequacy or safety significance.

IP 71003 verifies license conditions added as part of a renewed license, license renewal

commitments, selected aging management programs, and license renewal commitments

revised after the renewed license was granted, are implemented in accordance with Title 10 of

the Code of Federal Regulations (CFR) Part 54, "Requirements for the Renewal of Operating

Licenses for Nuclear Power Plants."

At the time of the inspection, AmerGen Energy Company, LLC was the licensee for

Oyster Creek Generating Station. As of January 8, 2009, the OC license was

transferred to Exelon Generating Company, LLC by license amendment No. 271

(ML082750072).

Sample Selection Process

BC Input to OC 2008-07

The reviewed SER proposed commitments and license conditions were selected based

on several attributes including: the risk significance using insights gained from sources

such as the NRC's "Significance Determination Process Risk Informed Inspection

Notebooks," revision 2; the extent and results of previous license renewal audits and

inspections of aging management programs; the extent or complexity of a commitment;

and the extent that baseline inspection programs will inspect a system, structure, or

component (SSC), or commodity group.

For each commitment and on a sampling basis, the inspectors reviewed supporting

documents including completed surveillances, conducted interviews, performed visual

inspection of structures and components including those not accessible during power

operation, and observed selected activities described below. The inspectors also

reviewed selected corrective actions taken as a consequence of previous license

renewal inspections.