ML18153B512
| ML18153B512 | |
| Person / Time | |
|---|---|
| Site: | Surry, North Anna, 05000000 |
| Issue date: | 09/29/1988 |
| From: | Varga S Office of Nuclear Reactor Regulation |
| To: | VIRGINIA POWER (VIRGINIA ELECTRIC & POWER CO.) |
| Shared Package | |
| ML18153B511 | List: |
| References | |
| NUDOCS 8810100129 | |
| Download: ML18153B512 (4) | |
Text
7590-01 UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION In the matter of VIRGINIA ELECTRIC AND POWER COMPANY (North Anna Power Station, Units 1 and 2)
EXEMPTION I.
Docket Nos. 50-338 and 50-339 Yirginia Electric dnd Power Company (the licensee), is the holder of Facility Operating License Nos. NPF-4 and NPF-7, wh1ch authorize operation of the North Anna Power Station, Units 1 and 2.
The licenses provide, among other things, that it is subject to all rules, regulations, and orders of the
- commission now ur hert!a fter in effect.
The facilities consist ~fa pressurized water reactors at the li~ense~*s site located in Louisa County, Virginia.
I I.
On August 5, 1987, the NRC published _in the FEDERAL REGISTER a final rule amending 10 CFR 50.54{w).
The rule increased the amount of on-site property damage insurance required to be carried by NRC's power reactor licensees. The rule also required these licensees to obtain by October 4, 1988 insurance policies that prioritized insurance proceeds for stabilization and decontamination aft~r an accident and provided for payment of proceeds to an independent trustee who would disburse funds for decontamination and cleanup before any other purpose.
Subsequent to publication of the rule, the NRC has been informed by insurers who offer nuclear property insurance that, despite a good faith effort to obtain trustees required by the rule, the decontamination priority and trusteeship provisions will not be able to be incorporated into policies by the time required in the rule.
In response to these comments and related petitions for rulemaking,
(---88-10100129 -eggz5~ao--~--1 I
~DR ADOCK O PNU
- the Conmission has proposed a revision of 10 CFR 50.54(w)(S)(i) extending the implementation schedule for 18 months (53 FR 36338, September 19, 1988)~
However, becaus~ it is unlikely that this rulemaking ac~ion will be completed by October 4, 1988, the Commission is issuing a temporary exemption from the requiremtnts of 10 CFR 50.54(w)(5)(i) until completion of the pending rulemaking extending the implementation date specified in 10 CFR 50.54(w)(5)(i), but not later than April 1, 1989.
Upon compl~tion of such rulemaking, the licensee shall comply with the provisions of such rule.
I I I.
Pursuant to 10 CFR 50.12, 11The Commission may, upon application by any interested person or upon its own initiative, grant exemptions from the requir~ments of the regulations of [10 CFR Part 50], which are.** Authorized by law, will not present an undue risk to the public health and safety, and are consistent with the common defens*e and security." Further, Section 50.12(a)(2) provides inter alia, "The Commission will not consider granting an exemption unless sp~cia1 circumstances are present. Special circumstances are present whenever *** (v) The exemption would provide only temporary relief from the ap_plicable regulation and the licensee has made good faith efforts to comply with the r~gulation."
Despite a good faith effort to comply with the provisions of the rule, insurers providing property damage insurance for nuclear power facilities and licensees insured by such insurers have not been able to comply with the regulation and the exemption provides only temporary relief from the applicable regulation.
- As noted by the Corrmission in the Supplementary Information accompanying the proposed rule, there are several reasons for concluding that delaying for a reasonable time the implementation of the stabilization and decontamination priority and trusteeship provisions of Section S0.54(w) wi 11 not adversely aff~ct protection of public health and safety. First, during the period of delay, the licensee will still be required to carry $1.06 billion insurance.
This is d substantial amount of coverage that provides a significant financial cushion to licensees to decontaminate and clean up after an accident even without the prioritization and trusteeship provisions. Second, nearly 75% of the required coverage is already prioritized under the decontamination liability and excess property irisurance language of the Nuclear Electric Insurance Limited-II policies.
Finally, there is only an extremely small probability of d serious dccident occurring during the exemption period.
Even if a serious accident giving rise to substantial insurance claims were to occur, NRC would be dble to take appropriate enforcement action to assure adequate cl~anup to protect public health and safety and the environment.
IV.
Accordingly, the Co11111ission has determined, pursuant to 10 CFR S0.12(a),
that (1) a temporary exemption as described in Section III. is authorized by law, will not present an undue risk to the public health and Sdfety, and is consistent with the coD111on defense and security and (2) in this case, special circumstances are present as describ~d in Section III. Therefore, the Convnission hereby grants the following exemption:
Virginia Electric and Power Company is exempt from the requirements of 10 CFR S0.54(w)(S)(i) until the completion of the pending rulemaking extending the implementation date specified in 10 CFR S0.54(w)(S)(i), but not later than April 1, 1989.
Upon completion of such rulemaking the licensee shall comply with the provisions of such rule.
- Pursuant to 10 CFR 51.32, the Commission has determined.that the granting of this exemption will not result in any significant environmental impact
( 53 FR 38128).
This exemption is effective upon issuance.
Dated at Rockville, Maryland this 29th day of September
, 1988.
FOR THE NUCLEAR REGULATORY COMMISSION
~
ven A.
ga, ~
Division of React~;r~~~ts I/II Office of Nuclear Reactor Regulation