ML093340088
| ML093340088 | |
| Person / Time | |
|---|---|
| Site: | Nine Mile Point, Ginna  |
| Issue date: | 11/20/2009 |
| From: | Barron H Constellation Energy Nuclear Group |
| To: | Document Control Desk, Office of Nuclear Reactor Regulation |
| References | |
| Download: ML093340088 (16) | |
Text
Henry B. Barron Constellation Energy Nuclear Group, LLC President, CEO & CNO-CENG 100 Constellation Way Suite 200C Baltimore, MD 21202 10 CFR 50.75 November 20, 2009 U.S. Nuclear Regulatory Commission Washington, DC 20555-0001 ATTENTION: Document Control Desk
SUBJECT:
Nine Mile Point Nuclear Station Unit No. 1; Docket No. 50-220 R. E. Ginna Nuclear Power Plant Docket No. 50-244 Submittal of Site-Specific SAFSTOR Decommissioning Cost Estimates
REFERENCE:
(a) Letter from Mr. H. B. Barron (CENG) to Document Control Desk (NRC),
dated July 29, 2009, Decommissioning Funding Status Plan In Reference (a), Constellation Energy Nuclear Group, LLC (CENG) committed to provide the Nuclear Regulatory Commission (NRC) with site-specific SAFSTOR Decommissioning Cost Estimates (DCEs) for R. E. Ginna Nuclear Power Plant (Ginna) and Nine Mile Point Nuclear Station, Unit 1 (NMP1).
These DCEs are provided in Attachments (1A) and (2A), respectively. The DCE for NMPI is contained in the same site-specific study report as the DCE for Nine Mile Point Nuclear Station Unit 2. We have extracted the values for NMP 1 from Attachment (2A) and presented them in Column B of the relevant pages of Attachment (3). Each DCE contains three possible scenarios for decommissioning. We have selected the third scenario, which represents a 50-year SAFSTOR option. All DCE scenarios for both Ginna and NMPI are greater than the respective formula amounts, as required by 10 CFR 50.75(b)(1),
and are calculated from the formula set forth in 10 CFR 50.75(c).
Attachment (3) shows the NRC radiological decommissioning (license termination) funding assurance analyses and cash flows based on the DCEs in Attachments (IA) and (2A), assuming a 50-year SAFSTOR decommissioned scenario (Scenario 3 in each report). These*cash flows do not include the costs of dismantling non-radiological systems and structures or the costs of managing and storing spent fuel onsite.
We have not made a final determination of the decommissioning approach for Ginna and NMP 1. For the purpose of responding to the NRC. request to demonstrate adequacy of funding to meet regulatory requirements, a 50-year SAFSTOR option has been selected. We may choose a different decommissioning option in the future, recognizing that the chosen option must meet NRC requirements for decommissioning fundingassurance.
AhoI
Document Control Desk November 20, 2009 Page 2 To determine funds available for decommissioning for Ginna and NMP1, the NRC radiological decommissioning funding assurance analyses and cash flows presented in Attachment (3) assume a 2%
annual real rate of return on trust fund dollars until plant shutdown and on remaining trust fund dollars through the decommissioning period. The funds required for decommissioning are based on the annual site-specific radiological decommissioning costs using a 50-year period of safe storage specifically described on Page 6 of Attachments (1A) and (2A) as Scenario 3. The DCEs present the results in 2009 dollars. The Decommissioning Trust Fund Balance reflects the trust fund balance escalated at 2% per year, less annual expenditures, during the SAFSTOR period and through the completion of radiological decommissioning. Attachment (3) also compares the funding assurance, calculated using the NRC generic formula (NRC minimum) based on the Bureau of Labor Statistics published indices as of June 30, 2009 (preliminary for energy, and final for labor), to the funding assurance calculated using the site-specific DCE methodology, as allowed by 10 CFR 50.75(e)(1)(i). Attachments (IA) and (2A) contain proprietary information and we request that they be withheld from public disclosure pursuant to 10 CFR 2.390(a)(4) and 9.17(a)(4), as described in the affidavit by Mr. H. B. Barron, which is provided in Attachment (4). Attachments (1) and (2) are non-proprietary versions of Attachments (1A) and (2A).
For both Ginna and NMP1, the decommissioning assurance is provided by the prepayment method, coupled with an external trust fund, in accordance with 10 CFR 50.75(e)(1)(i). There are no additional amounts to be collected from ratepayers, nor are there any contracts relied upon pursuant to 10 CFR 50.75(e)(1)(v). Based on the site-specific SAFSTOR methodology, and the respective June 30, 2009 trust fund values, CENG meets all NRC radiological decommissioning funding requirements for both Ginna and NMP1. The June 30, 2009 date was used because this was the date assumed in Reference (a).
There are no new regulatory commitments contained in this letter.
Document Control Desk November 20, 2009 Page 3 If there are any questions regarding this transmittal, please contact Bruce Montgomery at 410-470-3777 or Bruce.S.Montgomery@cengllc.com.
Sincerely, Henry B. Barron President, CEO & Chief Nuclear Officer Constellation Energy Nuclear Group, LLC STATE OF MARYLAND
- TO WIT:
COUNTY OF CALVERT I, Henry B. Barron, state that I am the President, CEO & Chief Nuclear Officer for Constellation Energy Nuclear Group, LLC, for Nine Mile Point Nuclear Station, LLC, and R. E. Girma Nuclear Power Plant, LLC, and that I am duly authorized to execute and file this submittal on behalf of these companies. To the best of my knowledge and belief, the statements contained in this document with respect to these companies are true and correct. To the extent that these statements are not based on my personal knowledge, they are based upon information provided by employees and/or consultants of the companies.
Such information has been reviewed in accordance with company practice, and I believe it to be reliable.
Subscribed and sworn before me, a Notaryublic in and for the State of Maryland and County of
- 61. Z . ,this-7i)M day of cyt',V -ý , 2009.
WITNE'SS miy Ha~id and Notarial Seal:
Notary Publc-,"
My Commission Expires: X~k~/ /, a,2911
/ Date HBB/EMT/bjd
Document Control Desk November 20, 2009 Page 4 Attachments: (1) R. E. Ginna Nuclear Power Plant Decommissioning Cost Estimate (Non-Proprietary)
(IA) R. E. Ginna Nuclear Power Plant Decommissioning Cost Estimate (Proprietary)
(2) Nine Mile Point Nuclear Station Unit 1 Decommissioning Cost Estimate (Non-Proprietary)
(2A) Nine Mile Point Nuclear Station Unit 1 Decommissioning Cost Estimate (Proprietary)
(3) R. E. Ginna Nuclear Power Plant and Nine Mile Point Nuclear Station Unit I NRC Radiological Decommissioning Funding Assurance Analyses and Cash Flows (4) Affidavit by H. B. Barron cc: D. V. Pickett, NRC R. V. Guzman, NRC S. J. Collins, NRC Without Attachments 1A and 2A Resident Inspector, NRC (Ginna)
Resident Inspector, NRC (Nine Mile Point)
A. L. Peterson, NYSERDA P. D. Eddy, New York State Department of Public Service
ATTACHMENT (1)
R. E. GINNA NUCLEAR POWER PLANT DECOMMISSIONING COST ESTIMATE (NON-PROPRIETARY)
Constellation Energy Nuclear Group, LLC November 20, 2009
ATTACHMENT 1 R. E. GINNA NUCLEAR POWER PLANT DECOMMISSIONING COST ESTIMATE (NON-PROPRIETARY)
The entire cost estimate is proprietary and is not included here.
I
ATTACHMENT (2)
NINE MILE POINT NUCLEAR STATION UNIT 1 DECOMMISSIONING COST ESTIMATE (NON-PROPRIETARY)
Constellation Energy Nuclear Group, LLC November 20, 2009
ATTACHMENT 2 NINE MILE POINT NUCLEAR STATION UNIT 1 DECOMMISSIONING COST ESTIMATE (NON-PROPRIETARY)
The entire cost estimate is proprietary and is not included here.
I
ATTACHMENT (3)
R. E. GINNA NUCLEAR POWER PLANT AND NINE MILE POINT NUCLEAR STATION UNIT 1 NRC RADIOLOGICAL DECOMMISSIONING FUNDING ASSURANCE ANALYSES AND CASH FLOWS Constellation Energy Nuclear Group, LLC November 20, 2009
ATTACHMENT 3 R. E. GINNA NUCLEAR POWER PLANT AND NINE MILE POINT NUCLEAR STATION UNIT 1 NRC RADIOLOGICAL DECOMMISSIONING FUNDING ASSURANCE ANALYSES AND CASH FLOWS Constellation Energy Nuclear Group NRC Financial Assurance As of June 30, 2009 Nine Mile Point Ginna Unit 1 Key dates based on 50-year SAFSTOR decommissioning (Scenario 3):
License expiration and shutdown date 9/18/2029 8/22/2029 Year of initial decommissioning disbursement 2028 2028 Year of final decommissioning disbursement 2078 2077 Radiological Decommissioning Trust Fund Activity ($000s):
Trust fund balance as of June 30, 2009 $207,715 $293,149 Trust fund earnings through 50-year SAFSTOR decommissioning period based on 2% real rate of return assuming disbursements at beginning of year 374,593 563,530 Less total disbursements in 2009 dollars per SO-year SAFSTOR site-specific study (Scenario 3) (537.306) (700,583)
Trust fund balance at end of decommissioning period S45ý003 NRC Minimum and Prompt Decommissioning Scenario ($000s):
NRC minimum (preliminary as of June 30, 2009) $359,610 $514,324 Notes for this page and accompanying supporting schedules:
" The projected trust fund balances are based on a 50-year period of SAFSTOR (Scenario 3), which are within the 60-year guidelines set forth in 10 C.F.R. 50.75. The expenditures apply to only license termination radiological decommissioning costs, and do not include any other decommissioning costs, such as costs for spent fuel management or restoration of the site to "Greenfield" status.
" Strictly for the purpose of this analysis, earnings on the trust fund for the period July 1, 2009 through December 31, 2009 are assumed to be zero.
- The NRC minimum as of June 30, 2009 is based on NUREG 1307 Rev 13 updated through the published Bureau of Labor Statistics labor and energy indices as of June 30, 2009, except that the energy indices are preliminary since final indices were not published as of the date of this analysis and research. For additional informational purposes, the site-specific study total radiological License Termination Promot decommissioning costs in 2009 dollars (Scenario 1) are $363,464,000 and $552,489,000 for Ginna and Nine Mile Point Unit 1, respectively. The site-specific study License Termination costs for each scenario are greater than the NRC minimum.
I
ATTACHMENT 3 R. E. GINNA NUCLEAR POWER PLANT AND NINE MILE POINT NUCLEAR STATION UNIT 1 NRC RADIOLOGICAL DECOMMISSIONING FUNDING ASSURANCE ANALYSES AND CASH FLOWS R. E. Ginna Nuclear Power Plant (2 Pages)
Trust Fund Balances Based on 50-Year SAFSTOR Cash Flows and 2% Real Rate of Return In Thousands of Dollars Radiological Radiological Radiological Decommissioning Decommissioning 2.00% Decommissioning Trust Fund Balance as Expenditures Annual Trust Fund Trust Fund Balance as Year of Beginning of Year in 2009 Dollars Earnings of End of Year (A) (B) (C) = ((A) - (B)) x 2% (D)= (A)-(B)+ (C) 2009 $ 207,715 2010 $207,715 $ 4,154 211,870 2011 211,870 4,237 216,107 2012 216,107 4,322 220,429 2013 220,429 4,409 224,838 2014 224,838 4,497 229,335 2015 229,335 4,587 233,921 2016 233,921 4,678 238,600 2017 238,600 4,772 243,372 2018 243,372 4,867 248,239 2019 248,239 4,965 253,204 2020 253,204 5,064 258,268 2021 258,268 5,165 263,433 2022 263,433 5,269 268,702 2023 268,702 5,374 274,076 2024 274,076 5,482 279,558 2025 279,558 5,591 285,149 2026 285,149 5,703 290,852 2027 290,852 5,817 296,669 2028 296,669 $ 6,515 5,803 295,956 2029 295,956 31,130 5,297 270,123 2030 270,123 20,626 4,990 254,487 2031 254,487 3,913 5,011 255,586 2032 255,586 3,913 5,033 256,707 2033 256,707 3,913 5,056 257,850 2034 257,850 4,863 5,060 258,047 2035 258,047 17,897 4,803 244,952 2036 244,952 2,283 4,853 247,522 2037 247,522 2,283 4,905 250,144 2038 250,144 2,283 4,957 252,818 2039 252,818 2,283 5,011 255,545 2040 255,545 2,283 5,065 258,327 2041 258,327 2,283 5,121 261,165 2042 261,165 2,283 5,178 264,059 2043 264,059 2,283 5,236 267,011 2044 267,011 2,283 5,295 270,022 2045 270,022 2,283 5,355 273,094 2
ATTACHMENT 3 R. E. GINNA NUCLEAR POWER PLANT AND NINE MILE POINT NUCLEAR STATION UNIT 1 NRC RADIOLOGICAL DECOMMISSIONING FUNDING ASSURANCE ANALYSES AND CASH FLOWS R. E. Ginna Nuclear Power Plant (2 Pages)
Trust Fund Balances Based on 50-Year SAFSTOR Cash Flows and 2% Real Rate of Return In Thousands of Dollars Radiological Radiological Radiological Decommissioning Decommissioning 2.00% Decommissioning Trust Fund Balance as Expenditures Annual Trust Fund Trust Fund Balance as Year of Beginning of Year in 2009 Dollars Earnings of End of Year (A) (B) (C)= ((A) - (B)) x 2% (D) = (A)- (B) + (C) 2046 273,094 2,946 5,403 275,550 2047 275,550 3,042 5,450 277,959 2048 277,959 3,042 5,498 280,415 2049 280,415 3,395 5,540 282,560 2050 282,560 3,042 5,590 285,109 2051 285,109 3,042 5,641 287,708 2052 287,708 3,042 5,693 290,360 2053 290,360 3,042 5,746 293,064 2054 293,064 3,042 5,800 295,823 2055 295,823 3,042 5,856 298,636 2056 298,636 3,042 5,912 301,506 2057 301,506 3,042 5,969 304,433 2058 304,433 3,042 6,028 307,419 2059 307,419 3,042 6,088 310,465 2060 310,465 3,042 6,148 313,571 2061 313,571 3,042 6,211 316,740 2062 316,740 3,042 6,274 319,972 2063 319,972 3,042 6,339 323,269 2064 323,269 3,042 6,405 326,631 2065 326,631 3,042 6,472 330,061 2066 330,061 3,042 6,540 333,559 2067 333,559 3,042 6,610 337,128 2068 337,128 3,042 6,682 340,768 2069 340,768 3,395 6,747 344,120 2070 344,120 3,042 6,822 347,900 2071 347,900 3,042 6,897 351,755 2072 351,755 3,042 6,974 355,687 2073 355,687 3,042 7,053 359,698 2074 359,698 7,452 7,045 359,291 2075 359,291 23,438 6,717 342,570 2076 342,570 114,479 4,562 232,653 2077 232,653 131,833 2,016 102,836 2078 102,836 58,715 882 Totals and Ending Fund Balance
$537,306 $ 374,593 $ 45,003 3
ATTACHMENT 3 R. E. GINNA NUCLEAR POWER PLANT AND NINE MILE POINT NUCLEAR STATION UNIT 1 NRC RADIOLOGICAL DECOMMISSIONING FUNDING ASSURANCE ANALYSES AND CASH FLOWS Nine Mile Point Nuclear Station - Unit 1 (2 Pages)
Trust Fund Balances Based on 50-Year SAFSTOR Cash Flows and 2% Real Rate of Return In Thousands of Dollars Radiological Radiological Radiological Decommissioning Decommissioning 2.00%A Decommissioning Trust Fund Balance as Expenditures Annual Trust Fund Trust Fund Balance as Year of Beginning of Year in 2009 Dollars Earnings of End of Year (A) (B) (C)= ((A) -(B)) x2% (D) =(A) -(B) +(C) 2009 $ 293,149 2010 $ 293,149 $ 5,863 299,012 2011 299,012 5,980 304,992 2012 304,992 6,100 311,092 2013 311,092 6,222 317,314 2014 317,314 6,346 323,660 2015 323,660 6,473 330,133 2016 330,133 6,603 336,736 2017 336,736 6,735 343,471 2018 343,471 6,869 350,340 2019 350,340 7,007 357,347 2020 357,347 7,147 364,494 2021 364,494 7,290 371,784 2022 371,784 7,436 379,219 2023 379,219 7,584 386,804 2024 386,804 7,736 394,540 2025 394,540 7,891 402,431 2026 402,431 8,049 410,479 2027 410,479 8,210 418,689 2028 418,689 $ 5,827 8,257 421,119 2029 421,119 49,409 7,434 379,144 2030 379,144 31,175 6,959 354,928 2031 354,928 3,530 7,028 358,426 2032 358,426 3,530 7,098 361,994 2033 361,994 3,530 7,169 365,633 2034 365,633 17,272 6,967 355,328 2035 355,328 13,691 6,833 348,470 2036 348,470 1,772 6,934 353,632 2037 353,632 1,772 7,037 358,897 2038 358,897 1,772 7,143 364,268 2039 364,268 1,772 7,250 369,747 2040 369,747 1,772 7,359 375,334 2041 375,334 1,772 7,471 381,034 2042 381,034 1,772 7,585 386,848 2043 386,848 1,772 7,702 392,777 2044 392,777 1,772 7,820 398,826 2045 398,826 1,774 7,941 404,993 4
ATTACHMENT 3 R. E. GINNA NUCLEAR POWER PLANT AND NINE MILE POINT NUCLEAR STATION UNIT 1 NRC RADIOLOGICAL DECOMMISSIONING FUNDING ASSURANCE ANALYSES AND CASH FLOWS Nine Mile Point Nuclear Station - Unit 1 (2 Pages)
Trust Fund Balances Based on 50-Year SAFSTOR Cash Flows and 2% Real Rate of Return In Thousands of Dollars Radiological Radiological Radiological Decommissioning Decommissioning 2.00% Decommissioning Trust Fund Balance as Expenditures Annual Trust Fund Trust Fund Balance as Year of Beginning of Year in 2009 Dollars Earnings of End of Year (A) (B) (C)= ((A) - (B)) x 2% (D) = (A) - (B) + (C) 2046 404,993 1,781 8,064 411,276 2047 411,276 1,812 8,189 417,654 2048 417,654 1,770 8,318 424,201 2049 424,201 2,552 8,433 430,082 2050 430,082 1,770 8,566 436,878 1,770 8,702 443,809 2051 436,878 2052 443,809 1,809 8,840 450,840 2053 450,840 1,781 8,981 458,040 2054 458,040 1,781 9,125 465,385
- 2055 465,385 1,781 9,272 472,876 2056 472,876 1,781 9,422 480,517 2057 480,517 1,781 9,575 488,311 2058 488,311 1,781 9,731 496,260 2059 496,260 1,781 9,890 504,369 2060 504,369 1,781 10,052 512,640
- 2061 512,640 1,781 10,217 521,076 2062 521,076 1,781 10,386 529,681 2063 529,681 1,781 10,558 538,458 2064 538,458 1,781 10,734 547,411 2065 547,411 1,781 10,913 556,542 2066 556,542 1,781 11,095 565,857 2067 565,857 1,784 11,281 575,354 2068 575,354 1,781 11,471 585,045 2069 585,045 2,563 11,650 594,132 2070 594,132 1,781 11,847 604,198 2071 604,198 1,844 12,047 614,401 2072 614,401 2,141 12,245 624,505 2073 624,505 19,280 12,104 617,329 2074 617,329 71,655 10,913 556,588 2075 556,588 233,154 6,469 329,902 2076 329,902 137,374 3,851 196,379 2077 196,379 43,344 3,061 156,096 Totals and Ending Fund Balance $ 700,583 $ 563,530 $ 156,096 5
ATTACHMENT (4)
AFFIDAVIT BY H. B. BARRON Constellation Energy Nuclear Group, LLC November 20, 2009
UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION In the Matter of )
)
Constellation Energy Nuclear Group, LLC, et al. )
AFFIDAVIT I, Henry B. Barron of Constellation Energy Group, Inc., parent of Constellation Energy Nuclear Group, LLC, for Nine Mile Point Nuclear Station, LLC, and R. E. Ginna Nuclear Power Plant, LLC (together, the CENG Companies), do hereby affirm and state:
- 2. The CENG Companies are providing information in support of their submittal of site-Specific SAFSTOR decommissioning cost estimates. The documents being provided in Attachments (IA) and (2A) contain proprietary financial information and financial projections related to the ownership and operation of the CENG Companies' generation assets. These documents constitute proprietary commercial and financial information that should be held in confidence by the .NRC pursuant to the policy reflected in 10 CFR 2.390(a)(4) and 10 CFR 9.17(a)(4), because:
- i. This information is and has been held in confidence by the CENG Companies.
ii. This information is of a type that is customarily held in confidence by the CENG Companies, and there is a rational basis for doing so because the information contains sensitive financial information concerning the CENG Companies.
iii. This information is being transmitted to the NRC voluntarily and in confidence.
iv. This information is not available in public sources and could not be gathered readily from other publicly available information.
- v. Public disclosure of this information would create substantial harm to the competitive position of the CENG Companies by disclosing their internal financial projections.
- 3. Accordingly, the CENG Companies request that the designated documents be withheld from public disclosure pursuant to the policy reflected in 10 CFR 2.390(a)(4) and 10 CFR 9.17(a)(4).
Henry B. Barron Subscribed and sworn before me, a Notary Public, in and for the State of Maryland and County of Calvert, this __day of AJ6 0 j, 2009.
WITNESS my hand and Notarial Seal: ___
Notary Public My Commission Expires: 01_ & _ 4r) _ _ _
Wendy L. Hunter NOTARY PUBUC Calvert County, Maryland My Commission Expires 01/01/10