ML15093A103

Decommissioning Funding Status Report

ML15093A103
Person / Time
Site:	Millstone
Issue date:	03/26/2015
From:	Heacock D Dominion, Dominion Nuclear Connecticut
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
15-100
Download: ML15093A103 (5)

Text

Dominion Nuclear Connecticut, Inc.

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5000 Dominion Boulevard, Glen Allen, VA 23060 Web Address: www.dom.com March 26, 2015 United States Nuclear Regulatory Commission Serial No.15-100 Attention: Document Control Desk NL&OS/TJS RO Washington, D. C. 20555-0001 Docket Nos. 50-336, 423 License Nos. DPR-65 NPF-49 DOMINION NUCLEAR CONNECTICUT, INC.

MILLSTONE POWER STATION UNITS 2 AND 3 DECOMMISSIONING FUNDING STATUS REPORT Pursuant to 10 CFR 50.75(f)(1), Dominion Nuclear Connecticut, Inc. (DNC) is providing this report on the status of decommissioning funding for Millstone Power Station Unit 2 (MPS2) and Unit 3 (MPS3). provides the following information for MPS2 and MPS3:

Table I -

NRC Minimum Financial Assurance Amount as of 12/31/2014 Table II -

Funds Held in External Trusts as of 12/31/2014 Table III - Current Annual Funding Levels Table IV - NRC Minimum Financial Assurance Summary Table The following information is provided in support and as part of this filing:

1. Preliminary December 2014 Bureau of Labor Statistics indices values are used because the final December 2014 indices values were not available at the time of this filing.

2. The escalation of decommissioning costs is held at 0% based on assuming 2%

Real Rate of Return.

3. The growth rate on Trust Funds is held at the allowed 2% Real Rate of Return over the escalation rate.

4. No rate regulatory authority citation for MPS2 and MPS3 is referenced because the 2% Real Rate of Return allowed by 50.75(e)(1)(i) is used in the calculations and MPS2 and MPS3 are merchant units.

5. There are no contracts upon which DNC is relying under paragraph 10 CFR 50.75(e)(1)(v) and there were no modifications to the licensee's current method of providing financial assurance since the last submitted report.

6. There are no annual funding amounts for MPS2 and MPS3.

7. Trust Fund amounts shown for each of the units in this report are market value and after-tax on realized gains and losses. The Trust Fund balances have not been adjusted for unrealized gain or loss positions not currently taxable.

8. Since the previous biennial submittal on March 28, 2013 (Serial No.13-136) for MPS2 and MPS3 there have been no material changes to trust agreements established for nuclear decommissioning for MPS2 and MPS3.

Ajo

Serial No.15-100 Docket Nos. 50-336/423 Page 2 of 2 Please contact Mr. David A. Sommers at (804) 273-2823 if you have any questions or require additional information.

Sincerely, David A. Heacock President and Chief Nuclear Officer Dominion Nuclear Connecticut, Inc.

Attachment Commitments made in this letter: None cc:

U. S. Nuclear Regulatory Commission Region I 2100 Renaissance Blvd, Suite 100 King of Prussia, PA 19406-2713 NRC Senior Resident Inspector (Units 2 and 3)

Millstone Power Station Mr. M. Thadani NRC Senior Project Manager (MPS Units 2 and 3)

U. S. Nuclear Regulatory Commission One White Flint North 11555 Rockville Pike Mail Stop 08 B-1 Rockville, MD 20852-2738 Mr. Edward Kaczinski Massachusetts Municipal Wholesale Electric Co.

Moody Street, P. 0. Box 426 Ludlow, MA 01056 Mr. Joseph P. McKearin Treasury Analyst Green Mountain Power Corporation 77 Grove Street Rutland, VT 05701 Ms. Carolyn Anderson Director of Transmission Policy & Insurance Green Mountain Power Corporation 2152 Post Road Rutland, VT 05701

Attachment I Nuclear Decommissioning Financial Assurance as of 12/31/2014 Millstone Power Station Units 2 and 3 Dominion Nuclear Connecticut, Inc. (DNC)

Serial No.15-100 Docket Nos. 50-336 / 423 Page 1 of 2 DOMINION NUCLEAR CONNECTICUT, INC.

Nuclear Decommissioning Financial Assurance as of 12/3112014 Dominion Nuclear Connecticut, Inc.

Nuclear Decommissioning Financial Assurance as of:

12/31/2014 Table I:

NRC Minimum Financial Assurance Amount as of: 12/31/2014 10 CFR 50.75 (f)(1)

(Millions of Dollars)

(See Note 5)

(See Notes 1&5)

MPS MPS Unit2 Unit 3 Total U3 Owinership DPR-65 NPF-49 U2 & U3 Onemrship %

Domninon NLuear Conneccut Inc.

501.0 497.9 999.0 93.47%

Green routain PowerCorporatton n/a 9.2 9.2 1.73%

Massacluses Municipal 'EC n/a 25.6 25.6 4.80%

Total 501.0 532.7 1,033.7 100.00%

Table II:

Funds Held in External Trusts as of: 12/31/2014 10 CFR 50.75 (f)(1)

(Millions of Dollars)

(See Note 1)

MPS MPS Unit2 Unit3 Total U3 Ownership DPR-65 NPF-49 U2&U3 Ownership %

DornironNuclearConnecicut, Inc.

568.5 559.4 1,127.9 93.47%

Gren Moutain PowerCorporaton n/a 9.2 9.2 1.73%

Massachusetts MInicipal VEC n/a 25.4 25.4 4.80%

Total I(seeNote2) 568.5 594.1 1,162.6 100.00%

Table III:

Current Annual Funding Levels 10 CFR 50.75 (f)(1)

(Millions of Dollars)

(See Note 1)

MPS MPS Unit2 Unit 3 Total U3 Owinershlo DPR-65 NPF-49 U2&U3 Owership %

Doninion NdearConneclicut Inc.

93.47%

Green Maurtain PoteerCorporabon 1.73%

Massadchset Municpal \\AEC 4.80%

Total 100.00%

Serial No.15-100 Docket Nos. 50-336 / 423 Page 2 of 2 DOMINION NUCLEAR CONNECTICUT, INC.

Nuclear Decommissioning Financial Assurance as of 1213112014 Table IV:

NRC Minimum Financial Assurance Summary Table 10 CFR 50.75 (f)(1)

(Millions of Dollars -except percentage and years)

(See Note 5)

(See Notes 1&5)

MPS MPS Unit2 Unit3 Total DPR-65 NPF-49 U2&U3 Metiod for Provding Financial Assurance Pre-payment Pre-payment NRCMnimrumnAmnotsasof:

12/31/2014 501.0 532.7 1,033.7 Funds in Extemal Trusts as of 12/31/2014 568.5 594.1 1,162.6 (See Note 2)

Funds in Exermal Trusts as of.

12/31/2014 Minus NRC Wini.u.Anunts as of.

12/31/2014 67.4 61.4 128.8 (See Notes 2 & 3)

Projected Annual Escalaton Factor 0.00%

0.00%

Annual Trust Funds Earrings Rate (After Tax & Fees -assumes 2% Real Rate of Return) 2.00%

2.00%

Year That Qperating Ucense Expires (Reflects Ucense Renewal for Unit2 and Unit 3) 2035 2045 NRC Minimum Finanial Assuranre Amount 3.5yearsafterstartofDecornnissioning 501.0 532.7 1,033.7 Estmated Funds in Exteral Tnusts 3.5YearsafterstartofDecomrnissioning 915.9 1,174.6 2,090.4 (See Note 2)

Estsmated Funds in ecess or (underfdded) to NRC Mnirnimn 3.5yearsafterstartofDecormrmissioninginFutureValue$

414.8 641.9 1,056.7 Estrmatad funds inexess or(underfunded)It NRCrvtnirrum Disountd usingA, irl TrustFunds Earrings Rate to 12/31/2014$

257.5 324.7 582.2 (See Notes 3 & 4)

Notes: Tables I through IV (Any minor differences in totals are due to rounding.)

1. MPS3 is jointly owned by Dominion Nuclear Connecticut, Inc. (93.4707%), Green Mountain Power Corporation (1.7303%) and Massachusetts Municipal WEC (4.7990%).

2.

The External Trust Funds shown reflect the total amount of funds in the Trusts including MPS3 Minority Owners, all of which are available for Radiological Decommissioning.

3.

Negative amounts (if any) indicate that the value of the Trust Funds are less than the value of the NRC Minimum for the period indicated.

4. The Future Value calculation for MPS2 and MPS3 reflects 2% Real Rate of Return applied 1/1/2015 to 3.5 years after start of Decommissioning assuming a 0.00% Esc Rate.

5.

Adjustment Factors used in calculating NRC Minimum Values are based on preliminary December 2014 BLS Producer Price Indexes, as final December 2014 indexes were not available at time of calculation.