NLS2013030, Submittal of Eighth Biennial Report on Financial Assurance for Decommissioning Funding
| ML13091A021 | |
| Person / Time | |
|---|---|
| Site: | Cooper  |
| Issue date: | 03/21/2013 |
| From: | Vanderkamp D Nebraska Public Power District (NPPD) |
| To: | Document Control Desk, Office of Nuclear Reactor Regulation |
| References | |
| NLS2013030 | |
| Download: ML13091A021 (4) | |
Text
Nebraska Public Power District Always there when you need us NLS2013030 50.75(f)(1)
March 21, 2013 U.S. Nuclear Regulatory Commission Attention: Document Control Desk Washington, D.C. 20555-0001
Subject:
Decommissioning Funding Cooper Nuclear Station, Docket No. 50-298, DPR-46
Dear Sir or Madam:
The purpose of this letter is to provide Nebraska Public Power District's Eighth Biennial Report on Financial Assurance for Decommissioning for Cooper Nuclear Station in accordance with 10 CFR 50.75(f)(1), Reporting and Recordkeeping for Decommissioning Planning. The enclosed report contains the amount of decommissioning funds estimated to be required pursuant to 10 CFR 50.75(b) and (c), the amount accumulated to the end of the calendar year preceding the date of the report, a schedule of the annual amounts remaining to be collected if needed, the assumptions used regarding rates of escalation in decommissioning costs, and the rate of earnings on decommissioning funds.
This letter does not contain commitments.
Should you have any questions concerning this matter, please contact me at (402) 825-2904.
Sincerely, David W. Van Der Kamp Licensing Manager Jo
Enclosure:
Eighth Biennial Report on Financial Assurance for Decommissioning in Accordance with 10 CFR 50.75(f)(1) cc: Regional Administrator w/enclosure Cooper Project Manager w/enclosure USNRC - Region IV USNRC - NRR Project Directorate IV-1 Senior Resident Inspector w/enclosure NPG Distribution w/o enclosure USNRC - CNS CNS Records w/enclosure COOPER NUCLEAR STATIONj4 C(
PCO. Box 98 / Brownville, NE 68321-0098 Telephone: (402) 825-3811 / Fax: (402) 825-5211 www.nppd.com
NLS2013030 Enclosure Page 1 of 3 NEBRASKA PUBLIC POWER DISTRICT Eighth Biennial Report on Financial Assurance for Decommissioning in Accordance with 10 CFR 50.75(f)(1)
NEBRASKA PUBLIC POWER DISTRICT Eighth Biennial Report on Financial Assurance for Decommissioning In Accordance with 10 CFR 50.75(f)(1)
Date:
March 31, 2013 Station: Cooper Nuclear Station Owner/licensee making the report: Nebraska Public Power District Nebraska Public Power District (the "District") is a public corporation and political subdivision of the state of Nebraska. The District has the power and is required to fix, establish, and collect adequate rates and other charges for electrical energy and any and all commodities or services sold or furnished by it. The District is accordingly authorized to establish its own rates and other charges through which it can recover its cost of service. The District is governed by an 11-member Board of Directors who are popularly elected from the District's chartered territory. The Board of Directors is the rate making authority for the District.
Percentage Ownership: 100 10 CFR 50.75(b) & (c) Decommissioning Estimate (2012 Dollars): $633,277,0001 Decommissioning Fund2 Total as of 12/3112012: $543,363,734 Schedule of Future Annual Fund Earnings and Decommissioning Cost Escalation: 3 Funding Requirement NRC Beginning Funding Year-Beginning Fund Ending Minimum Year Balance Contribution 2034 $
Interest Balance Escalated 2013
$543,363,734
$29,885,005
$573,248,739
$633,277,000 2014
$573,248,739
$31,528,681
$604,777,420
$652,275,310 2015
$604,777,420
$33,262,758
$638,040,178
$671,843,569 2016
$638,040,178
$35,092,210
$673,132,388
$691,998,876 2017
$673,132,388
$37,022,281
$710,154,669
$712,758,843 2018
$710,154,669
$39,058,507
$749,213,176
$734,141,608 2019
$749,213,176
$41,206,725
$790,419,901
$756,165,856 2020
$790,419,901
$43,473,095
$833,892,995
$778,850,832 2021
$833,892,995
$45,864,115
$879,757,110
$802,216,357 This updated estimate is based upon NRC decommissioning minimum certification escalation requirements in 10 CFR 50.75(c)(1) and (2) and guidance per NUREG 1307 for a BWR the size (2,419 MW thermal) of Cooper Nuclear Station. The calculation utilizes the Combination of Compact-Affiliated and Non-Compact Facility waste burial factor in Revision 15 of NUREG 1307 and Labor (final) and Energy (preliminary) escalation factors derived from December 2012 Midwest regional data of the U.S. Department of Labor Bureau of Labor Statistics.
2 This is the total amount (market value) in the external sinking fund (as described in 10 CFR 50.75) to cover the costs of NRC-defined decommissioning.
These figures will be recalculated on an annual basis in accordance with 10 CFR 50.75 (b) and (c). The above amounts reflect the current projected annual contributions (including fund earnings) necessary to fully fund the decommissioning trust by the end of the operating license (license expiration January 18, 2034), and taking into account a pro rata credit during the dismantlement period (recognizing both cash expenditures and earnings) over the first seven years after shutdown (see 10 CFR 50.75(e)(1)(ii)).
I
Funding Requirement Beginning Funding Year-Beginning Year Balance Contribution 2034 $
Fund Interest Ending Balance NRC Minimum Escalated 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040
$879,757,110
$928,143,751
$979,191,657
$1,033,047,199
$1,089,864,794
$1,149,807,358
$1,213,046,763
$1,279,764,335
$1,350,151,373
$1,424,409,699
$1,502,752,232
$1,585,403,605
$1,672,600,803
$1,581,713,485
$1,480,340,951
$1,367,741,924
$1,243,129,418
$1,105,668,074
$9541471.353
$48,386,641
$51,047,906
$53,855,541
$56,817,596
$59,942,564
$63,239,405
$66,717,572
$70,387,038
$74,258,326
$78,342,533
$82,651,373
$87,197,198
$82,458,997
$77,174,173
$71,304,081
$64,807,695
$57,641,464
$49,759,170
$41.111.773
$928,143,751
$979,191,657
$1,033,047,199
$1,089,864,794
$1,149,807,358
$1,213,046,763
$1,279,764,335
$1,350,151,373
$1,424,409,699
$1,502,752,232
$1,585,403,605
$1,672,600,803
$1,581,713,485
$1,480,340,951
$1,367,741,924
$1,243,129,418
$1,105,668,074
$954,471,353
$788.598.558
$826,282,848
$851,071,333
$876,603,473
$902,901,577
$929,988,624
$957,888,283
$986,624,932
$1,016,223,680
$1,046,710,390
$1,078,111,702
$1,110,455,053
$1,143,768,704
$173,346,315
$178,546,707
$183,903,108
$189,420,201
$195,102,807
$200,955,891
$206984568 Rate Assumptions Rates of escalation used in estimating future decommissioning costs 3%
Rates of Earnings on Decommissioning Funds Post-tax 4 5.5%
Contracts Relied Upon to Demonstrate Decommissioning Funding Assurance [50.75(e) (1)
(v)]: None Modifications to the District's Current Method of Providing Financial Assurance: None Material Changes to Decommissioning Trust Agreement: None NOTE 1: The District continues to maintain its Decommissioning Trust Fund investments in fixed income securities as required by Nebraska State Statutes.
4The assumed annual real rate of return is 2.50 percent. The District's Board of Directors (as the licensee's rate setting authority) has approved this assumption for the decommissioning funding plan for Cooper Nuclear Station through the adoption of a Board Resolution, dated June 13, 2008, as part of its official business.
2