ML16342D552

Requests That Proprietary WCAP-14795, Nrc/Util Meeting on Model 51 SG Tube Integrity & ARC Methology, Be Withheld (Ref 10CFR2.790(b)(4))

ML16342D552
Person / Time
Site:	Diablo Canyon
Issue date:	12/18/1996
From:	Liparulo N WESTINGHOUSE ELECTRIC COMPANY, DIV OF CBS CORP.
To:	Miraglia F NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
Shared Package
ML16342D553	List: ML16342D552 ML16342D554 ML16343A480
References
CAW-96-1054, NUDOCS 9703050161
Download: ML16342D552 (14)

Text

Nuclear Services Division Westinghouse Energy Systems Electric Corporation PO Box 855 Piilsburgh Pennsylvania 15230.0855 December 18, 1996 CAW-96-1054 Document Control Desk U.S. Nuclear Regulatory Commission Washington, DC 20555 Attention: Mr. Frank J. Miraglia APPLICATION FOR WITHHOLDINGPROPRIETARY INFORMATION FROM P BLI DIS LO RE

Subject:

"NRC/UtilityMeeting on Model 51 Steam Generator Tube Integrity and ARC Methodology", dated December 1996, (Proprietary)

Dear Mr. Miraglia:

The proprietary information for which withholding is being requested in the above-referenced report is further identified in Affidavit CAW-96-1054 signed by the owner of the proprietary information, Westinghouse Electric Corporation. The affidavit, which accompanies this letter, sets forth the basis on which the information may be withheld f'rom public disclosure by the Commission and addresses with specificity the considerations listed in paragraph (b)(4) of 10 CFR Section 2.790 of the Commission's regulations.

Accordingly, this letter authorizes the utilization of the accompanying Affidavit by the Pacific Gas and Electric Company.

Correspondence with respect to the proprietary aspects of the application for withholding or the Westinghouse affidavit should reference this letter, CAW-96-1054, and should be addressed to the undersigned.

Very truly yours, N. J. Lip o, ager of CAM/bbp Engineering Attachment cc: Kevin Bohrer/NRC(12HS)

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CAW-96-1054 tAFFIDAViT COMMONWEALTH OF PENNSYLVANIA:

ss COUNTY OF ALLEGHENY:

Before me, the undersigned authority, personally appeared Henry A. Sepp, who, being by me duly sworn according to law, deposes and says that he is authorized to execute this Affidavit on behalf of Westinghouse Electric Corporation ("Westinghouse" ) and that the averments of fact set forth in this Affidavit are true and correct to the best of his knowledge, information, and belief:

Henry A. Sepp, Manager Regulatory and Licensing Initiatives Sworn to and subscribed before me this ~S dey of , 1996 Notarial Soa'!

Janet A. BJttvab, bleary Public County hfonroovil!o Born, Alhgtiony 22, 2000 fh'y Ccmmlssfon Exj. s May As.ac!ation o f Notari htember, Pennsy)van,a Notary Public r-r.

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CAW-96-1054 (1) I am Manager, Regulatory and Licensing Initiatives, in the Nuclear Services Division, of the Westinghouse Electric Corporation and as such, I have been specifically delegated the function of reviewing the proprietary information sought to be withheld from public disclosure in connection with nuclear power plant licensing and rulemaking proceedings, and am authorized to apply for its withholding on behalf of the Westinghouse Energy Systems Business Unit.

(2) I am making this Affidavit in conformance with the provisions of 10CFR Section 2.790 of the.

Commission's regulations and in conjunction with the Westinghouse application for withholding accompanying this Affidavit.

(3) I have personal knowledge of the criteria and procedures utilized by the Westinghouse Energy

.Systems Business Unit in designating information as a trade secret, privileged or as confidential commercial or financial information.

(4) Pursuant to the provisions of paragraph (b)(4) of Section 2.790 of the Commission's regulations, the following is furnished for consideration by the Commission in determining whether the information sought to be withheld from public disclosure should be withheld.

(i) The information sought to be withheld from public disclosure is owned and has been held in confidence by Westinghouse.

(ii) The information is of a type customarily held in confidence by Westinghouse and not customarily disclosed to the public. Westinghouse has a rational basis for determining the types of information customarily held in confidence by it and, in that connection, utilizes a system to determine when and whether to hold certain types of information in confidence. The application of that system and the substance of that system constitutes Westinghouse policy and provides the rational basis required.

Under that system, information is held in confidence if it falls in one or more of several types, the release of which might result in the loss of an existing or potential competitive advantage, as follows:

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CAW-96-1054 (a) The information reveals the distinguishing aspects of a process (or component, structure, tool, method, etc.) where prevention of its use by any of Westinghouse's competitors without license from Westinghouse constitutes a competitive economic advantage over other companies.

(b) It consists of supporting data, including test data, relative to a process (or component, structure, tool, method, etc.), the application of which data secures a competitive economic advantage, e.g., by optimization or improved marketability.

(c) Its use by a competitor would reduce his expenditure of resources or improve his competitive position in the design, manufacture, shipment, installation, assurance of quality, or licensing a similar product.

(d) It reveals cost or price information, production capacities, budget levels, or commercial strategies of Westinghouse, its customers or suppliers.

(e) It reveals aspects of past, present, or future Westinghouse or customer funded development plans and programs of potential commercial value to Westinghouse.

(f) It contains patentable ideas, for which patent protection may be desirable.

There are sound policy reasons behind the Westinghouse system which include the following:

(a) The use of such information by Westinghouse gives Westinghouse a competitive advantage over its competitors. It is, therefore, withheld from disclosure to protect the Westinghouse competitive position.

(b) It is information which is marketable in many ways. The extent to which such information is available to competitors diminishes the Westinghouse ability to sell products and services involving the use of the information.

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CAW-96-1054 (c) Use by our competitor would put Westinghouse at a competitive disadvantage by reducing his expenditure of resources at our expense.

(d) Each component of proprietary information pertinent to a particular competitive advantage is potentially as valuable as the total competitive advantage. If competitors acquire components of proprietary information, any one component may be the key to the entire puzzle, thereby depriving Westinghouse of a competitive advantage.

(e) Unrestricted disclosure would jeopardize the position of prominence of Westinghouse in the world market, and thereby give a market advantage to the competition of those countries.

(f) The Westinghouse capacity to invest corporate assets in research and development depends upon the success in obtaining and maintaining a competitive advantage.

(iii) The information is being transmitted to the Commission in confidence and, under the provisions of 10CFR Section 2.790, it is to be received in confidence by the Commission.

(iv) The information sought to be protected is not available in public sources or available information has not been previously employed in the same original manner or method to the best of our knowledge and belief.

(v) The proprietary information sought to be withheld in this submittal is that which is appropriately marked in "NRC/UtilityMeeting on Model 51 SG Tube Integrity and ARC Methodology", WCAP-14795 (Proprietary), December 1996, being transmitted by Pacific Gas & Electric Company letter and Application for Withholding Proprietary Information from Public Disclosure, to Document Control Desk, Attention Mr. Frank J. Miraglia. The proprietary information as submitted for use by Pacific Gas & Electric Company for the Diablo Canyon Units 1 &2 plants is applicable at

I CAW-96-1054 other plants for evaluating the acceptability of indications in tubesheet and tube support plate crevices.

This information is part of that which will enable Westinghouse to:

(a) Define criteria which will provide required pullout strength in WEXTEX expansions with indications.

(b) Provide a basis for evaluation of leakage in WEXTEX expansions with indications.

(c) Evaluate structural loadings in Model 51 steam generators with packed TSP crevices.

Further, this information has substantial commercial value as follows:

'a) Westinghouse plans to sell the use of this evaluation methodology to its customers.

(b) Westinghouse will sell support and defense of the technology to its customers in the licensing process.

Public disclosure of this proprietary information is likely to cause substantial harm to the competitive position of Westinghouse because it would enhance the ability of competitors to provide similar methodologies and licensing defense services for commercial power reactors without commensurate expense. Also, public disclosure of the information would enable others to use the information to meet NRC requirements for licensing documentation without purchasing the right to use the information.

In order for competitors of Westinghouse to duplicate this information similar technical programs would have to be performed and a significant manpower effort,

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CAW-96-1054 having the requisite talent and expertise, would have to be expended for developing testing and analytical methods and performing testing.

Further the deponent sayeth not.

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