ML19331C977

Discusses Proposed Issuance of License to GE to Export Low Enriched U to Taiwan

ML19331C977
Person / Time
Issue date:	07/28/1980
From:	James Shea NRC OFFICE OF INTERNATIONAL PROGRAMS (OIP)
To:
References
TASK-CA, TASK-SE SECY-80-353, NUDOCS 8008270001
Download: ML19331C977 (4)

Text

'

July 28, 1980 SECY-80-353 COMMISSIONER ACTION Fcr:

The Commissioners From:

James R. Shea, Director 7

I Office of International Programs Thru:

Acting Executive Director for Operations

Subject:

PROPOSED LICENSE TO EXPORT LOW-ENRICHED URANILH FOR KUO SHENG UNITS 1 AND 2 IN TAIWAN (SECY-80-317) (XSNM-1564)

J Purcose:

Comission review of proposed issuance of subject license to General Electric Corporation.

Review Date:

60-day period expires on August 14, 1980.

120-day period expires on October 14, 1980.

Discussion:

In August 1979, General Electric Corporation applied for a license to export to Taiwan 140,000 kilograms df uranium in the fom of uranium oxide in fabricated fuel bundles enriched to a maximum of 4 percent U-235 (see SECY-80-317, July 1, which forwarded the views of the Executive Branch on this case). The material will be used as reloads for the Kuo Sheng nuclear power reactor Units 1 and 2.

The fuel is scheduled to be shipped starting November 1, 1980 and ending December 1, 1981. GE has requested that the license be valid until December 1, 1982.

In connection with its review of tnis app'.ication and that for Maanshan Units 1 and 2, which is being forwarded to the l

Commission separately, the Executive Branch has (1) concluded that the issuance of the license would not be inimical to the comon defense and security of the United States; (2) confined that the material will be subject to the June 1972 agreement for cooperation between Taiwan and the U.S., as amended in June l

l 1974; and (3) confirmed that Taiwan has adhered to the provisions of that Agreement.

Based upon our inde. pendent analysis of this case and the Executive Branch's views IP has detemined that Taiwan meets l

_ amended, and, accordinoly, that the license should be issued.

all of the relevant riteria of the Atomic Energy Act, as l

Contact:

William Uoshaw, IP, 49-28155 80082700 M

--.n,

,,--,-,-,,-,,----..,-n~-

,n_-..n----- - -,,, - -, - - - - - - -,. _.. -. - -

s The Commission 2

Discussion:

Additional copies of the Executive Branch views of June 12 (Continued) and the license application are attached at Appendices A and B, respectively. A copy of the proposed license is attached at Appendix C.

International Facility Attachments - IAEA safeguards for the proposed export Safeguards and will be applied under the U.S. trilateral safeguards agreement Physical Security which entered into force on December 6,1971. Facility attach-Review:

ments for the Kuosheng reactors are under negotiations. The latest information available to staff indicates that Unit 1 will be ready for conmercial operation in approximately one year, and Unit 2 will be ready a year later. The staff does not expect that the IAEA would have any problems in completing the necessary facility attachment (s) at the appropriate time.

Safeguards Effectiveness - A technical assessment of safeguards in Taiwan was transmitted to the Commission in SECY 79-537A (September 19, 1979). Although insufficient information is available to completely evaluate the effectiveness of safeguards in Taiwan, the staff believes that the control of and accounting for the reactor fuel assemblies, on an item basis, will be within Taiwan's capabilities and will pose no unusual safeguards problems for the IAEA.

Full Scope Safeguards - It is our understanding that all nuclear materials, equipment and facilities currently in Taiwan are subject, where appropriate, to IAEA safeguards pursuant to bilateral and trilateral arrangements with the U.S.

More specifically, in examining the status of safeguards in Taiwan, the staff reviewed such matters as material that is exempted or suspended from safeguards coverage pursuant to current IAEA agreements, the status of safeguards at other power reactors in Taiwan, including the storage of the initial fuel for the Kuosheng reactors, and the status of facility attachments for research and development laboratories.

t

(

Physical Security - Staff has reviewed the physical security j

program in Taiwan and found it adequate for the purpose of this f

export.

Recommendation:

That the proposed license be issued to General Electric 1

l Corporation.

I e

o The Commission 3

Coordinaticn:

ELD has no legal objection. NMSS views are presented in the context of International Safeguards and Physical Security Review.

g 151980

'ameu R. Shea, D-, ecto ffice of Internikional Programs

Enclosures:

1.

A - Executive Branch Views of June 12 2.

B - License Applicat. ion 3.

C - Proposed License Ccmmissioners' comments should be provided directly to the Office of the Secretary by c.o.b.

Tuesday, Auaust 5, 1980.

Commission Staff Office comments, if any, should be subnitted to the Commissioners NLT August 1,1980, with an information copy to the Office of the Secretary.

If the paper is of such a nature that it requires additional time for analytical review and comment, the Commissioners and the Secretariat should be apprised of when comments may be expected.

DISTRIBUTION Commissioners Commission Staff Offices Exec Dir'for Operations Secretariat

-c,

o APFENDIX A 4

e 0

C.-

(....

=:

==

DEPARTMENT OF STATE RECEIVED

.'.9 USNRC

' igr wun.ama, c.c. :os:o 5 5.-

BUREAU OF OCEANS AND ICSRNATIONAL

= - - -

ENVIRONMENTAL AND SCIENTIFIC AFFAIRS 0FFICE OF INTERNATIONAL PROGRAMS a m--n

==.;.

~

x.s wh o I Sf.1 Mr. James R.

Shea

/ / 0 0 0 7 ~7 ~7 Director of International Programs y

United States Nuclear Regu.!4 tory Commission Room 6714 - MNBB j vW

.u; Bethesda, Maryland F "-

Dear Mr. Shea:

This letter is in response to the letter from ree =

your office dated August 29, 1979, requesting Execu-c= = '

tive Branch views as to whether issuance of an export p===

license in accordance with the application hereinafter described would be inimical to the common defense and P

security of the United States and whether the proposed lll47...-...

export meets the applicable criteria of the Atomic Energy Act, as amended by the Nuclear Non-Prolifera-

~~

_.m..

tion Act of 1978 (P.L.95-242):

NRC No. XSNM01564 -- Application by General 355 Electric for authorization to export to

$. [-~

Taiwan 4,000 kilograms of U-235 contained in 140,000 kilograms of uranium enriched to 4 percent maximum in the form of UO3 in fer =-

fabricated fuel bundles, for two reloads of p=;:.

Units 1 and 2 of the Kuo Sheng Nuclear Power

'=l;--'

Plant.

_.]".

The proposed export would take place pursuant to

=

the applicable Agreement for Cooperation entered into pursuant to Section 123 of the Atomic Energy Act, as amended, as confirmed in a letter from the CCNAA, a copy

=.

of which is enclosed.

Taiwan has adhered to the pro-gg.

visions of the appliccble Agreement for Cooperation.

]. ;,.

The Executive Branch has reviewed this application and concluded that the requirements of the Atomic Energy

""=i_.

Act, as amended by P.L.95-242, have been met and that g![""

>$of CVSW l2t y

0 gg %

.c

-aa. u-ro M

i:=

wnn, Av, Ja., W K d

=

m =-===

=

=

m_

-m =

n=-

= = =. = -

"

:::Z..

1~

~

.=

5:

the proposed export will not be inimical to the common

~~~

defense and security of the United States.

A detailed analysis for Taiwan was submitted for NRC license appli-

~

cation No. XSNM01431 on June 12, 1980.

There has been no material change in circumstances since that submission.

On the basis of the foregoing, the Executive Branch

-

recommends that the license be issued.

=

Sincerely,

[

}/ h p

=

ouis V.

osenzo

==

Deputy Assistaht Secretary I

===. :

Enclosure:

Assurance letter

' = - - -

5 =a

~.=-

t...

^

g==

i-Y.:.

[ = ::

Y::.;.-..

3=.=s

[

.._u...

..='3."..6L t::::=,:

p---- -

p;===

=.

~r :=-"-

- =.

l:.";::

..?

E.U.~

I=.-- :

=

.==.

=*

--r------

.,-..m-7

3:

TAIWAN

/ t,-igg \\

DEPARTN ENT OF STATI 3

XSNM01431 i.-MA y

wuaiarsa, c.c. =sm g

BUREAU OF OCEANS AND INTERNATIONAL ENVIRONMENTAL AND SCIENTIFIC AFFAIRS J W,'

m XsNR 01N3I

\\

1 s d. W ~ A June 12, 1980 3 kl.cd~' m =a~J~~-

C 1%

MEMORANDUM FOR JAMES R.

SEEA NUCLEAR REGULATORY COMMISSION Enclosed is an Executive Sranch analysis covering a license application for the export of low-enriched uranium to Taiwan.

In accordance with P.L.95-242,,the analysis explicitly addresses how the requirements of Secticn 126 a.

(1) of the Atomic Energy Act are met, including the spe-cific criteria of Sections 127 and 123, as well as cer:ain edditional factors, envisaged by Section 126 a.

(1).

The Executive Branch, en the basis of its review of this case, has concluded that the requirements of the Acc=ic Energy Act as amended by ?.L.95-242 have been met and that the proposed export would not be inimical to the cc= men de-fense and security of the United States.

Moreover, Taiwan has adhered to the provisicas of the applicable agreemen for ccoperation and continued U.S.

cccperation under this agreement is authorized by the Taiwan Relations Ac cf 1979.

ej

/.

f 4 i A"y

,you?ls V.

Ncs e n.co s

Deputy Assistant Secretary S. '.;:..-. p-e 8

..6..

Enclosure:

'As stated a m,.. w m.i [3 i. l 3,;

n i

w

.., j,i r ut.

...... /.r.t,% - - -.

...... i. a w..r

~~

mA' DUPLILATE DOCUMENT 4

b p

Entire document previously enteredintohsistemunder 66 ANO 90MN 4

j l

N o. of pages:

[

f~-

FORM NRC.7

_.$. NUCLEA2 REGULATCRY COMMISSION APPROVED 8Y CAO 1

(7*EI 5190225(RC362)

APPLICATION FOR LICENSE TO EXPORT NUCLEAR to Crn iso MATERIAL AND EQUIPMENT /seeInstructions or Reveel

1. APPL 1 CANT"5 C ATE OF APPLICATIONi D. APPUC ANT *S REFERENCE 2.NRC LJCEMEE NO.

a.DOCKETNO.

-XJhtm 0/ft#- //444 777 usa -

BIM 79201 uSE 3,._,,..

. 3. APPLICANT 4 NAME Ah0'A'OOR EII.S ~ ~

4 Rt3

4. SUPPLIER'S NAME AND ACCRESS R35 (Comooeta if sootscant is not ascosoer of marwersol

.. N m a General Electric Co.

At-u B.D. Wilsen M/C 832

e. STn3ET ACORESS NAME 175 Cur ner Avete

c. CITY STATE ZIP CCCE

5. ST R E E T A C C R E S3 1

San Jose Ca 95125

e. T E s.&r**CN E NU M S E R (Areg Cage - NWmoGP - CJ:WMSoont C. OITY STATE ZIP CCCE 108-925-1380 J. FIRST SHIPMENT

4. FINAL SHIPMENT '7. APPLICANT'S CCNTR ACTUAL {S. PROPCSED LICENSE l 9. U.S I

SCHEDULED SCHEDULED DELIVERY DATE I EXPtRATION CATE CONTRACT NO. Ilf KnownJ 1 December 1980 1 Dec. 1982 See 25 l November 1980 1 Dec. 1981 1

11. ULTIMATE END USE l

l

10. ULTIMATE CCNSIGNEE h-RIS

'i

""c'"c' o'*"'[ '*c'"cv "***' g Naut Taiwan Power comoanv Reload Fuel For Kuo Sheng Units la 2

3. STREET ADORESS 39 uo pino acad. Soc 1

c. CITY - ST ATE - COUNTRY Taicei, Taiwan 11 EST. DATE OF F1RST USE i

12. inTERMEDsATE CCNSicNEE i mis

. Its. iNTERMEo: ATE Eno USE I

NAuf General El ectric Technica'. Service Co.

r" Technical Services for Ultimate Ccnsignee

3. CTR4ET AOC RESS P. O. Box 5, Sanchi

c. CITY - STATE - COUNTRY Iaicei Hsien. Taiwan tsa. EsT c ATE cP siRST ust

~ ' I 15. INTERMEDI ATE ENO USE l

l

14. INTERMED4 ATE CCNSIGNEE l RIE N Abs 3

n. STREET ADDRESS YCITY - STATE - CCu%TRY 15a. EST. DATE OF FIRST USE 16.

17. DESCRIPTICN

18. M AX. ELEMENT 19. MAX. 20. MAX 21.

NAC (inctuor enamocal and anysocs.* arm of nucier matenal;pse collar value of yg,g93 gy, g ggcggpg pg, yygy USE nuene.e e.,v,omeng ane cea.one,m; 1

1 Uranium oxides in fabricated fuel bundles 140,000 4.0 4000 kg r2CEIVE3 I d, b C C

/, t ! O U i 3RC fL ;(

f

,; c y p d 2 V O-i

.s%w. Q G79 AUG 21 g;ll 23 7 0,c o C 4S66

!.E 79 0'1/ / o 3.M

22. COUNTRY OF ORICIN.-

l":." P ' '..'23.TCUNTRY OF CRIGINrSNM I~

l 24. CCUNTRIES WHICH ATTACH I. -

1 I

SAFEGUARCS (If <nown>

(,"WhiRE ENRICHED CR PRODUCED SOURCE MATERIAL i-.'-

t

)

" ~ ' ' ~ ~

~~

See 25 USA l

25. ADC8TICN A L IN FORM AT1CN /Use seoerste morf if ascs.sary/

Centracts : E (49-14)-UES/EU/109 purchased frcm Exxcn; scurce material frem S. Africa E (40-1)-4594-00E purchased frcm Allied Chem. material frcm USA E (40-1)-4691-DUE aurcnased fecm Exxon materid e r, pu-w a w r

s. Th.

we.ns rt,<>

mm m.

e n.n w,,, in con <.,,nrev.,m Tm.10. Coa. of re-.i R tu.ons..no m.s.a worm==n in m.

.l eggian.Oen i. engefeat to the tpast of hatther knowledge.

\\

W 9

APPENDIX C i

l I

l i

~'

T v.

~

~

...s.v.s.

.zm m mm m-m

- c c cc

._m

.ec m. c. r

- m-

.z._m

... w..

.. u, _ c__ m.m e m m c.

._m m.

g Nac ucsNsE No.

1 gronu unC. so g 17 75:

'9 7FISUCENSE EXPIRB 01 December 1982 i- '

Q:

y

?

!j?

Enitch 9tates af Amerita.

xs m01ss4.

p,

,M Q

Nuclex Regulatory Commission

.h.

t

4. Purm.n to tne Atom c snergy Act of 1s54. as amenced.and tne en-,y to m. neen.e autneriun, tn. e oort ef tne mat-+..ndfor orocuctica

[ l Reorganization Act of 1974 and the regnations of the Nuclear Regulatory ' or utilization facilities listed bescw saotect to the terms and conditions

. herein.:

4 +:

(

,., commesson issaed oursaant thermio and in rodiince on stamments and j reoreuntatmans heretofore made by the licensee, a ticans is hersov ism,ed -,,,. - *

(

u.-

- W LTIM ATE CONSIGNEE 4N,50RE AGN COUNTRY UCENSEE

.s

' (:

ks.

~

r~'

alNAME General Electric Company

- -Taiwan Power Company ' -

l i' I NAME w

175 Curtner Avenue AcoREsi39 Ho-Ping Road;.Sec 1; k'

y"., Ao o s Ess Ji::

}j c

San Josee California 95125 Taipei,. Taiwan p

ATTM:

B.D. Wilson M/C.359 (Raloads for Xuo Sheng Units 1 and 2) h

~

{q; u. -:.:.-

e:._._

3...

h; z&,

V

e CTHER PAATIES TO EXPCRT f.

i,l INTERMEDIATE CONSIGNEE IN FCREIGN COUNTRY T

91 II

'aj y,uE General Electric Technucal Services,

- :e..=

4i Company, Inc.

! E si P.O. Box 5, Sanchi NONE p

Taipei Rsien, Taiwan p

.F 2 acoRess P

h!

(Technical Sewices for Ultimate 5l Consignee) l.p r t

a couNTay or vlT!M ATE OESTINAT1CN y e m...,,.

h ArcucANT S rep. No.om,.7ew df g

p

?

h)

OUANTITY oESCMIFTICN CP MAT 1MIALS CM P ActuTTES P!

@i s

4,000 kflograms Uranium-235 Contained in 140,000 kilograms uranium, Ni

!6 as uranium dioxide (UO2) in fabricated di

(%

fuel bundles.

? :-

Q@I//////////////

b Conditions 6 and 8 on eage two of this license apply to this export.

l Q

//////////////////////////////END//////////////////////////////////////////// _!E E

?I O

,q:

b>

N'

\\ 41 se N[

l

.b s

. +:

b g

i

+

it

• I d-Tms ucEssE is iNv Aue LNLEss sicNEo sEL:w

=

gy AuTwCR :E3 NRC AEP AESENTATIVE

[

[ Neitner this !! cense nor any r1gnt under tnis Geenu snati be ragnes er p. tr.es,m.d.n. on o, we oro.

e. o, we 4to,n.c En.,,

q j Act of 1954, as amenced and tne Energy Reorganizaten Act of 1974 g

9 y

Ei

.. Thrs 6canse is Sab ect to the rynt Qf recacture or corttrol by Section 108 of f

l the AtomeC Energy Act of 1954, as ameided and to sat of tne otner prove.

.y a s.ons o, - 4m. no. o, ne,s.ft,.n erect and to a,.a.d

. and recuations of tne Nuclear Regulatory C.smmason.

D ATE OF ISSU ANCE l..;

'---ul I- 'Ei~ E. u-r ex r v rm m. - -- - m m

.... -....'v u.r

-- r -- <

< am- -

_, _