ML20050B990
| ML20050B990 | |
| Person / Time | |
|---|---|
| Issue date: | 03/25/1982 |
| From: | Tourtellotte J NRC - REGULATORY REFORM TASK FORCE |
| To: | |
| Shared Package | |
| ML20050B991 | List: |
| References | |
| REF-10CFR9.7, TASK-PINV, TASK-SE SECY-82-128, NUDOCS 8204070669 | |
| Download: ML20050B990 (48) | |
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March 25, 1982 Q
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%.....s POLICY ISSUE The Commiss c eQ On vow For:
From:
James R. Tourtellotte Chairman, Regulatory Reform Task Force
Subject:
PROPOSED LEGISLATION:
NUCLEAR STANDARDIZATION ACT OF 1982
Purpose:
Approval of Proposed Legislation and Federal Register Notice Discussion:
Attached for notation vote by the Commission is a draft Federal Register Notice, Background and Section-by-Section Analysis, Draf t Bill and Comparative Draft Bill for the
" Nuclear Standardization Act of 1982." Revisions have been made in both the Draft and Comparative bills to reflect the views of the Commission, Senior Advisory Group, and the Regulatory Reform Task Force.
The Background and Section-by-Section Analysis also takes into consideration each of their views.
The majority of the changes in the Draft and Comparative bills are made to assure that the legislation is consistent through-out.
One major change is that of inserting words which clearly state that there is an opportunity for public hearing for one-step licensing, siting, and design approval. The reasons for this are clearly stated in the Section-by-Section Analysis.
Scheduling:
Commission action is requested by April 2, 1982 so that the proposed legislation, if approved, may be distributed to the Outside Review Group and published in the Federal Register by the following week.
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James R. Tourtellotte Chaiman, Regulatory Refom Task Force Attachments:
O N,',N g (, 9 As stated above O:u L aQ ue
,y(ff) 3/fQ CONTACT: J. Tourte11otte/N. Cook /[ 634-3258 (/ ,,;. c
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1 o' 2 Commissioners' comments should be provided directly to the Office of the Secretary by c.o.b. Friday, Apri1~2, 1982. Commission Staff Office comments, if any, should be submitted to the Commissioners NLT Tuesday, March 30, 1982, 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 Secretariat
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O' J NUCLEAR REGULATORY COMMTSSION PROPOSED LEGISLATION: NUCLEAR STANDARDIZATION ACT OF 1982 AGENCY: U.S. Nuclear Regulatory Commission ACTION: Proposed Legislation: " Nuclear Standardization Act of 1982"
SUMMARY
The Nuclear Regulatory Commission proposes to submit the " Nuclear Standardization Act of 1982" to Congress for legislative consideration. The proposal provides for one-step licensing, early site approval, design approval and stability of design for standardized nuclear power plants. The proposed legislation is being issued to inform the public and to provide an opportunity for public comment. The Commission expects that further revisions may be needed and'is, accordingly, requesting comments on the proposed " Nuclear Standardization Act of 1982." DATES: Comments are due on or before April __,1982. ADDRESSES: All interested persons who desire to submit wr'itten comments or suggestions for consideration in connection with this proposed legislation should send them to: Chairman, Regulatory Reform Task Force, U.S. Nuclear Regulatory Commission, Washington, D.C. 20555. Copies of public comments on this proposed legislation may be examined at the Commission's Public Document Room at 1717 H Street, N.W., Washington, D.C. i FOR FURTHER INFORMATION CONTACT: Noel M. Cook, Regulatory Reform Task l Force, U.S. Nuclear Regulatory Commission, Washington, D.C. 20555; Telephone: 202-634-3258 Dated at Washington, D. C. this day of 1982. FOR THE U.S. NUCLEAR REGULATORY COMMISSION Samuel J. Chilk Secretary of the Commission
3 BACKGROUND AND SECTION BY SECTION ANALYSIS I. BACKGROUND A. The Present Licensing Process The Atomic Energy Act of 1954 in its present form provides for a 1 two-stage facility licensing process. First, a construction permit must be, obtained from the Commission authorizing construction of the proposed facility at the site where it will be operated. This stage of review has focused on the preliminary design of the facility and the suitability of the proposed site. A public hearing must be held by the Commission prior to the issuance of any construction permit for a facility for industrial or commercial purposes, such as a nuclear power plant, or for a testing facility. The second stage of the process concerns operating licenses. No person may operate a facility without first obtaining an operating license from the Connission. This second stage of review is focused on the final design of the facility, and a public. hearing.must be held before issuance of an operating license if requested by any person whose interest may be affected. The Commission is also authorized by the Act to issue a license to manu-facture ene or more facilities. Thus, in some situations the first step in the facility licensing process may be issuance of a license to manufacture, followed by issuance of a construction permit and operating license author-izing installation and operation of the facility on-site. It may be noted that no manufacturing licenses have been issued although provision for issuance of such licenses is made in the Commission's regulations and a proceeding is in progress. 1 i
e ' In addition, the Advisory Committee on Reactor Safeguards, a statu-tory committee of independent experts on nuclear facility safety, is required by the Act to review each application for a construction permit or an operating license for a nuclear facility for industrial or commercial purposes, such as a nuclear power plant, or for a testing facility, and submit a public report to the Commission. The overall lead-time involved for this two-stage licensing process covers approximately a 12 year period consisting of three basic phases: 1. Utility Planning Phase--Approximately 2 years. 2. Construction Permit Review and Hearing Phase--Approximately 4 years. 3. Construction and Preoperational Testing Phase-- Approximately 6 years. The utility planning phase begins at the time the utility decides to add power to its system and continues until an application consisting of a Preliminary Safety Analysis Report (PSAR) and an Environmental Report (ER) is submitted to the NRC by the applicant and docketed for review. The~ construction permit review and hearing phase begins at the docketing of the application and continues until a decision is made regarding the issuance of a construction permit. This phase consists of a plant safety review, a safeguards review, an environmental review, an antitrust review by the NRC staff and public hearings on the construction permit application. Normally, the applicant's Preliminary Safety Analysis Report and l Environmental Report are tendered at about the same time and proceed on parallel review paths, beginning with a review for completeness. If the l l l l
.3-application is reasonably complete, it is docketed. The docketing of an application launches the safety review by the Commission's technically oriented specialist branches, issuance of the NRC staff's Safety Evaluation Report, consideration by the Advisory Committee on Reactor Safeguards (ACRS), issuance of a letter by the ACRS, and issuance of supplemental Safety Evaluation Reports by the NRC staff, as required, to address any issues raised by the ACRS or any other appropriate issues. In addition, an environmental review is conducted by NRC technical specialist branches and by special teams from national laboratories, and draft and final environ-mental statements are published and widely distributed to municipal, State, ad Federal agencies, and the general public. Following the conclusion of the safety and environmental reviews and issuance of appropriate supplements to the Safety Evaluation Report and the Final Environmental Statement, a public hearing takes place. Under the Atomic Energy Act, hearings are mandatory for all power rea~ctor construction permit applications. At the conclusion of these hearings a decision is made whether or not to issue the construction permit. ~ The antitrust review and hearing process proceeds in a parallel path with the safety and environmental reviews and the hearing process, except that a hearing on antitrust matters is required only: (1) when requested by l the Attorney General; (2) when any person whose interest may be affected files a timely petition requesting a hearing; or (3) when the Commission determines on its own initiative that a hearing should be held. l l Upon the issuance of a construction permit, the construction phase c'ontinues until the plant is built, preoperationally tested, and is ready for fuel loading. While the plant is being constructed, typically when l t
construction is about 50% completed, the applicant submits a Final Safety Analysis Report and. an Environmental Report-OL Stage. Then, the NRC staff prepares its Safety Evaluation Report and updates its prior environmental review and analysis. Public hearings on the operating license are offered. If hearings are conducted and if a favorable decision is ultimately ~ ~ rendered, the operating license is issued. B. One-step vs. Two-step Licensino The two-step licensing process was a prudent course to follow when the nuclear power industry pr cess was in its early conceptual and developmental years. In the early years there were many first-time nuclear plant appli-cants, designers and constructors and many unproven design concepts. The concern about the ability of a new industry to meet construction permit stage commitments for the final design was justified, as was the reevalu-ation for this purpose at the operating license stage. The situation, however, has been altered substantially in the intervening 28 years since the enactment of the Atomic Energy Act of 1954. ~ Final designs for-most plints could be described at the construction ^ permit stage. Even though preliminary designs may be proposed for valid reasons, experience obtained in designing and licensing nuclear plants provides a sound basis for moving from the existing two-step licensing process to a one-step process. Experience has demonstrated that the two-step process exacerbates construction scheduling problems because design of the plant, regulatory design review and the hearing process occur during construction. The one-step process would place design, design review and hearing before construction begins thereby making construction scheduling more certain.
- 5.. Experienc9 also suggests that the two-step process has a negative effect on the creditability of the process, i.e., the granting of a construction permit has been interpreted by some as being so conclusive as to render the issuance of an operating license pro forma. Under a one-step process construction and operation will be considered concomitantly. Moreover, the two-step lia.nsing process was put in place years before ~ the enactment of environmental laws such as NEPA. The objectives of these laws could be better served by a one-step licensing process which encourages earlier identification and resolution of licensing issues, particularly l regarding the siting of a nuclear power plant. Such a process would also accomodate participation by states on matters in which they have both an interest and responsibility. The problems created by the two-step licensing process can best be resolved by a one-step process. The concept of a combined CP-OL reflects the fact that in a more mature technology, applicants for-a license to construct and operate a comercial nuclear power plant should be able to submit the final design information at the outset. This would~ significantly change the principal purpose to be served by the NRC review prior to the l commencement of operation. The rationale is that if the Commission can make a one-step determination on site suitability and the final design of a plant early in the licensing process, it should do so and should not be required to perform the same exercise a second time. Early site reviews, standardized plant approvals, stability of plant design and one-step licensing go to the very heart of the proposed legis-lation.
6 II. SECTION-BY-SECTION ANAYLSIS Section 101. C'onstruction Permits and Ooerating Licenses. This amends section 185 by deleting language providing that a construction permit must specify the earliest and latest dates for completion and that failure to complete a facility by the stated date shall result in forfeiture of the permit, absent good cause shown. This section also adds two new subsections to section 185. Subsection a. of section 185 authorizes the NRC to grant a con-struction permit for a production or utilization facility and, upon additional findings and absent any good cause shown to the Comis'sion to the contrary, to grant an operating license. This subsection is also aniended by deleting the requirement for specification of the earliest and latest completion dates for construction permits. This provision is not useful and tends to produce unnecessary paperwork and expenditure of resources. Presumably, the intent of such a provision is to see that construction is diligently pursued once a construction permit is granted. In fact, the large investment required to construct nuclear plants is a more substantial driving force in that same direction. By eliminating the requirement, the impetus for diligence in construction is not lost and the need to process applications for extensions of time, along with all the attendant administrative problems, is obviated. A new subsection b. of section 185 authorizes the Comission to rely upon certification of need for power made by a competent Federal, regional or State governmental organization. The reason for referring to Federal, regional, or State governmental organizations, rather than J
7 focusing on one or the other, is that determinations of need for power are made at all three levels and variable circumstances may favor reliance on one over the other. Moreover, it would be inappropriate to only make reference to determinations of need for power by State govern-mental organizations since there is a vast network of interconnections throughout the United States and need for power is frequently more closely related to regional interstate interconnection needs rather than those of an individual State. The importance of subsection b. is that it eliminates the necessity of the Commission to duplicate need for power studies wherever need for power is a determining factor in reaching a licensing decision. Subsection c. of section 185 permits issuance of a combined con-struction permit and operating license for a standardized nuclear plant. This, in effect, is one-step licensing for standardized nuclear power plant designs. A combined construction permit and operating license could be issued only if the application contains sufficient information i to support the issuance of both the construction permit and operating license. In short, the application must include an essentially complete final design for a whole nuclear power plant usable at multiple sites. Subsection c., like subsections 193d.(1) and 194d.(1), provides an opportunity for public hearing. In all three instances the hearing provision was inserted to assure flexibility of the hearing process for j standardized plants. Section 189a. has various interpretations. Some suggest that it requires very formal adjudicatory procedures while others urge that nothing in section 189a. precludes a more flexible approach to establishing hearing procedures. In order to avoid
unfavorable consequences which could result by reason of the uncertain meaning of section 189a., independent opportunities for hearing are spelled out in sections 185, 193 and 194. This is done with a view toward establishing hearing procedures which are flexible enough to optomize the balance among public participation, accuracy of decision-making and efficiency of process.. Unencumbered by the confusion sur-rounding the interpretation of section 189a., the Comission is free to establish rules and regulat*ons on hearings for standardized plants considering only the applicability of the Administrative Procedure Act and established case law. In this circumstance, the Commission has a range of options to adopt rules which could establish a hearing process as simple as requiring only written submission of the entire case or as complex as +.he formalized hearing process now used by the Comission pursuant to section 189a. By separately providing the opportunity for hearing under sections 185,193 and 194, use of the formal procedures currently employed by the Commission under 189a. is not required,' but, on the other hand, is not precluded. Thus, under this proposal, the advantage of flexibility is gained and the potential for use of proce-dures pursuant to 189a. are not lost. This type of flexibility is necessary to assure that procedures can be developed commensurate with the evolution of standardization. The new subsection c. also provides that after issuance of a combined construction permit and operating license for a standardized nuclear power plant, the Commission shall assure through inspections and tests that construction and operation are conducted in conformity with the combined construction permit and operating license. The principal purpose of this provision is to guarantee that the conceptual design
9 submitted is the one that is actually put in place for operation. It is anticipated that the NRC will conduct its inspections and tests during both construction and preoperational testing. Additiona11y, prior to full power ascension, pursuant to appropriate rules and regulations, the utility would certify to the Commission that the plant had been con-structed and would operate in conformity with the combined construction permit and aperating license. Section 102. Early Site Approval. This is a new section 193 which authorizes the approval of one or more sites for nuclear power generacion facilities prior to the filing of any application to construct or operate such facility or facilities. The purpose of this authorization is to permit the resolution of site-specific questions at an early stage in the licensing process. This would serve to focus public participation on a crucial aspect of the overall facility planning and construction process at an early point in time when public participation can be most effective. This provision is i an integral part of the effort to promote the early, effective and efficient resolution of issues in the licensing process. Subsection a. of section 193 provides that an application for early site approval may be filed by any Federal, State, regional or local governmental agency, or a utility, and the NRC is authorized to issue a site permit even though no application for a construction permit or a combined construction permit and operating license has been filed. This provision permits an early and specific focus on the suitability of a site for nuclear power plant construction without requiring the develop-ment of a custom design.
10 Subsection b. of section 193 provides for the waiving of fees for an application for a site permit, or an amendment, extension or renewal of a site permit under section 193 and provides that the Commission is authorized to allocate the costs among applicants which later propose to use the approved site. This provision is intended to be an incentive for the development of sites. Subsection c. of section 193 provides that each application under subsection a. shall contain such information as is required by the Commission in its rules and regulations to determine the suitability of the site for its intended use. It is currently envisioned that the application would set forth an envelope of plant parameters including: (1) the number, type or types and thermal power level of the facilities with respect to which the application for site approval is made; (2) the boundaries of the site; (3) the proposed general location of each facility on the site; (4) the proposed maximum levels of radiological and thermal effluents that each such facility will produce; (5) the type or types of cooling systems, intake and outflow, that may be employed by each facility; (6) the seismic, meteorological, hydrologic, and geologic characteristics of the proposed site as well as population density of the surrounding area; and (7) such other information as the Commission may by rule or regulation require. By describing the site in such a way, the Commission could determine the site suitability for one or several generic designs that may be developed pursuant to section 194, the provi.sion for standardized plant designs. l l Subsection d.(1) of section 193 authorizes the Comission to approve an application and issue a site permit with appropriate
11 conditions if, after considering all the infomation in the application and providing an opportunity for a public hearing, the NRC finds that the proposed site is suitable for the construction and operation of the type of facility described in the application consistent with the public health and safety. The opportunity for hearing and the hearing, if held, would be in accordance with the rules and regulations of the Commission, the appropriate provisions of the Administrative Procedure Act and applicable case law. Subsection d.(2) of section 193 provides that any final detarcilla-tion of the Commission on an application filed u. der this section shall be a final order of the Cermission for the purposes of judicial review. This provision specifies the point of time in the administrative process when review by the courts is appropriate. Subsection e.(1) of section 193 provides that a site permit shall be valid for a facility to be constructed on the site if an application has been filed within a period of' ten years from the date of issuance of the site permit. The effect of this provision is that the rights accruing under a site permit are effectively exercised upon the filing of either a construction permit or a combined CP/0L application. In such a case, a request for extension or renewal would be unnecessary to continue the effectiveness of the site permit. i Subsection e.(2)(A) of section 193 authorizes the Commission to extend or renew a site permit for not less than five or more than ten l years from the date of extension or renewal. Extension could be granted on the motion of an applicant or on the Commission's own motion as circumstances require. Renewal, on the other hand, would be based only
12 upon the application of a permit holder. The minimum period of five years is set to assure that the resources used to review an extension or renewal request are directed toward meaningful results. For example, allowing repeated extensions or renewals for only six months or a year could cumulatively tax the resources of the agency and industry alike. Moreover, it is contemnisted that.information necessary to form a sound basis for the decision to extend or renew for periods of five to ten years will be readily available and well within the state-of-the-art. Subsection e.(2)(B) of section 193 sets out the criteria the Commission shall apply in deciding whether to extend or renew a site permit. In the absence of significant new information relevant to the site, and in the absence of a showing that the site will not comply with this Act or NRC regulations, it is mandatory that the Commission extend or renew the site permit. Subsection f. of secticn 193 assures that a site approved under this section may be used for any.other purpose. Subsection g. of section 193 provides for a request to the Com-mission for a determination with respect to limited aspects of the suitability of a site for its intended purpose. This provision assures that the Act will not be construed as eliminating the effect of current Commission rules and regulations concerning limited site suitability,10 CFR S 2.600, et sea.
13 Section 103. Approval of Standardized Facility Designs. This is a new section 194, which provides for approval of stan-dardized nuclear power plant designs. As with early site approvals, this section is intended to facilitate early resolution of design related issues with full opportunity for participation by interested ~ persons. Although the NRC currently has procedures for approving standardized designs, this section gives explicit statutory support to the standardization concept and establist'es requirements for NRC ap-proval of standardized facility design. This section will encourage both applications for and standardized designs, will enhance safety, and will contribute to a better utilization of resources. A key incentive is the provision allowing'the NRC initial ~ waiver of application and issuance fees and allocation of those. fees to users. Because of the dynamic, state of the technology and the variety of circumstances in which the standardization concept may be applied, a technical definition and explication of standardization in the Bill would be inappropriate. The flexibility to deal with this problem could be better accommodated in the Commission's rules and regulations. For the purposes of this section and this Bill, however, it is generally contemplated that a standardized design will be an essentially complete final design for a whole nuclear power plant usable at mutliple sites. The final design should be described in such a way as to provide a reciprocal envelope of parameters for sites selected pursuant to section 193 to assure that the plant could be constructed on a site of given
14 general characteristics. Typically, a final design should be described in such a manner that it could be used at most sites with a minimum of adaptions because of specific site characteristics. The Comission contemplates and encourages development and use of whole plant stan-dardized designs as an effective means of improving both regulatory and industry efficiency. The application requirements for approval of a standardized design will be set out in the Comission's rules and regulations. If, after NRC review of the information in the application, and after providing the opportunity for a public hearing, the Comission determines that the design is suitable for construction and operation, it will issue an approval and the design may be banked for future use. Regarding the combination of a pre-approved standardized design with a pre-approved site, it is contemplated that there may be a hearing if there are~ outstanding issues, i.e., issues raised by the matching of the site with the design or by significant new information which has come to light since either the site or design hearings. However, issues would not trigger new opportunities for hearing at the time the site and design are matched unless it could be demonstrated that, through the exercise l of diligence, the basis for such issues was not and could not have been l 1 known at the time when site hearings or design hearings were appro-priate. Subsection a. of section 194 authorizes the NRC to approve stand-ardized designs even though no application for a construction permit or combined construction permit and operating license has been filed by an applicant. This provision permits design applications and approvals to
15 be made before initiation of construction of a nuclear plant. It is a the key feature in removing design review and approval from the con-struction schedule phase. Subsection b. of section 194 provides that notwithstanding section 161w. of the AEA or the Independent Officers Appropriation Act of 1952, no application filing or issuance fees shall be required for an appi Ja-tion for approval or for an amendment or renewal of an approval of a complete standardized facility. The NRC is authorized to allocate the costs ordinarily defrayed by fees collected among future applicants for permits or licenses which propose to use the approved standardized de-sign. This provision is added as an incentive to vendors and architect-engineer firms to develop and seek approval for standardized designs. Subsection c. of section 194 provides that applications for stand-ardized design approval shall be in writing and shall contain infoma-tion necessary to enable the Comission to determine the suitability of the design for its intended purpose. The infomation should constitute an essentially complete final design for a whole nuclear power plant i l usable at multiple sites. Subsection d.(1) of section 194 authorizes the Comission to i approve an application and issue a standardized design approval with appropriate conditions if, after considering all the information in the application and providing an opportunity for a public hearing, the NRC finds that the design is suitable for the construction and operation of the type of facility described in the application consistent with the public health and safety. The opportunity for hearing and the hearing, l l if held, would be in accordance with the rules and regulations of the
16 Commission, the appropriate provisions of the Administrative Procedure Act and applicable case law. Subsection d.(2) of section 194 provides that any final determina-tion of the Comission on an application filed under this section shall be a final order of the Comission for the purposes of judicial review. This provision specifies the point of time in the administrative process when review by the courts is appropriate. Subsection e.(1) of section 194 provides that a design approval shall be valid for a facility to be constructed on the site if an application has been filed within a period of ten years from the date of issuance of the design approval. The effect of this provision is that the rights accruing under a design approval are effectively exercised upon the filing of either a construction permit or a combined CP/0L application. In such a case, a request for extension or renewal would be unnecessary to continue the effectiveness of the design approval. Subsection e.2(A) of section 194 authorizes the Comission to extend or renew a design approval for not less than five or more than ten years from the date of extension or renewal. Extension could be granted on the motion of an applicant or on the Comission's own motion as circumstances require. Renewal, on the other hand, would be based only upon the application of a permit holder. The minimum period of five years is set to assure that the resources used to review an exten-sion or renewal request are directed toward meaningful results. For example, allowing extensions or renewals for only six months or a year could cumulatively tax the resources of the agency and industry alike. Moreover, it is contemplated that information necessary to form a sound a.
17 basis for the decision to extend or renew for periods of five to ten years will be readily available and well within the state-of-the-art. Subsection e.(2)(B) of section 194 sets out the criteria'the Commission shall apply in deciding whether to extend or renew a design approval. Extension or renewal shall be granted unless it can be demonstrated that the design will not comply with the Atomic Energy Act or the Commission's applicable regulations in existence at the time that extension or renewal is requested or that without a change to the design the overall risk of plant operation to the public health and safety, or common defense and security, will be substantially greater than that estimated to exist at the time of the initial issuance of the approval for which renewal is sought and the design change is necessary to bring the plant within acceptable levels or risk. This provision allows for updating designs at the time a request for extension or renewal of an approval is made. Section 104. Stability of Standardized plant Desian. i Section 196 establishes a standard for providing stability of standardized plant designs once those designs have been approved. The standards set forth in section 196 are essentially the same as the standards set forth for renewals under section 194 except that the application of the standard is to plants which have already been ap-proved and are not being considered for renewal, or are under construc-tion or in operation. Section 196 also permits the licensee to make voluntary design changes subject to appropriate Commission review for the purpose of improving plant safety or operations. This provision
18 would allow changes to be made as appropriate and necessary to conform with emerging codes and technological improvements. The key element of this section is the emphasis on overall risk of plant operation as the standard for safety. This section provides protection from unnecessary piecemeal changes for standardized designs giving f[nality to design approvals and, therefore, greater certainty in the stability of the review process. This section should serve as an incentive for the development and use of j standardized designs. e i _m-
i DRAFT BILL To amend the Atomic Energy Act of 1954, as amended, to improve the nuclear siting and licensing process, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as 1 the " Nuclear Standardization Act of 1982." Table of Contents Sec. 2. Findings and Purposes Title I - Planning, Siting and Licensing Sec. 101. Construction Permits and Operating Licenses Sec. 102. Early Site Approval Sec. 103. Approval of Standardized Plant Designs Sec. 104. Stability of Standardized Plant Designs l
2-Title II - Conforming Amendments i Sec. 201. Antitrust Provisions Sec. 202. General Provisions i i Sec. 203. Revocation Title III - Effective Dates i Sec. 301. Effective Dates J e a 8 e 4 m ,--.m,.v-----,------.-,---n--- - -. - - - - -, - - - -, -.. -. - - - - - - - - - - ~ ~ -...,. +-------,-------.-,.-------e,-,--n~ .r-
. FINDINGS AND PURPOSES SEC.2.(a) The Congress, recognizing that a clear and coordinated energy policy consistent with public health and safety must include an effective and efficient licensing process for siting, construction, and operation of nuclear power reactors which meet applicable criteria, finds and declares that: (1) the licensing and construction of nuclear power plants should be facilitated by the use of previously approved standardized plar.t designs which reduce the need for individual plant licensing reviews; (2) the national interest requires improved planning for future energy supply and demand; (3) interstate commerce is substantially affected by the. siting, construction, and operation of nuclear power reactors; (4) the national interest requires an opportunity for early public participation in siting and licensing of nuclear power reactors; i (5) it is efficient and in the public interest for the Nuclear Regulatory Commission to rely upon determinations respect-ing the need for new electric generating facilities made by competent Federal, State or regional authorities; (6) it is in. the national interest that planning for energy facility siting and need for power determinations be made consistent with national and regional energy needs; (7) the licensing process should produce greater stability in licensing standards and criteria for standardized plants;
_4 (8) licensing decisions should be rendered in a more t'imely manner in order to assure an adequate and reliable source of electricity consistent with public health and safety; (9) it is appropriate and in the public interest for the Commission to consider the economic consequences of its regulatory practices; (10) l'icensing decisions should be made final at the earliest feasible phase of the licensing process and should not be subject to duplicative adjudication in the absence of a showing that without a change to the design, the overall risk of plant operation to the public health and safety, or the common defense and security will be substantially greater than that estimated to exist at the time of the initial issuance of the design approval and the design change is necessary to bring the plant within acceptable levels of risk; (11) procedures should be adopted to permit site selection and approval at the earliest practicable time in advance of a commitment to a specific facility design and in advance of an application for a construction permit; (12) the Nuclear Regulatory Commission should continue to exercise its independent statutory responsibiliti.es to protect the public health and safety and the common defense and security, taking into account that perfect safety is an unattainable goal for any ene gy source and that the cost of safety requirements should be given consideration consistent with the public health and safety.
~ 5-(b) The purposes of this Act are: (1) to improve the effectiveness and efficiency of the nuclear power reactor licensing process, through encouraging the use of standardization of designs for nuclear power plants, consistent with sound public health and safety principles; (2) to provide for early site selection and approval; (3) to improve the stability of licensing standards and criteria for standardized plants; and (4) to improve the opportunity for interested members of the public to participate in the nuclear power plant licensing process at early stages. e 6
TITLE I - PLANNING, SITING, AND LICENSING CONSTRUCTION PERMITS AND OPERATING LICENSES SEC. 101. Section 185 of the Atomic Energy Act of 1954, as amended, is amended to read as follows: "SEC. 185. CONSTRUCTION PERMITS AND OPERATING LICENSES. -- "a. All applicants for licenses to construct or modify production or utilization facilities shall, if the application is otherwise accept-able to the-Comission, be initially granted a construction permit. Upon the completion of the construction or modification of the facility, upon the filing of any additional information needed to bring the original application up to date, and upon finding that the facility authorized has been constructed and will operate in conformity with the application as amended and in conformity with the provisions of this Act and of the rules and regulations of the Comission, and in the absence of any good cause being shown to the Comission why the granting of an operating license would not be in a'ccordance with the provisions.of this Act, the Comission shall thereupon issue an operating license to the applicant. For all other purposes of this Act, a construction permit is deemed to be a ' license'. "b. In making a determination on the issuance of any' permit' or l license, the Commission is authorized to rely upon the certification of need for power made by competent Federal, regional, or State governmental organizations. If the Commission declares its reliance upon such certification, it shall constitute a definitive determination of need for the power to be provided by the facility for the purposes of l any other provision of Federal law administered by the Commission.
"c. Notwithstanding any other provision of this section, the Comission shall issue to the applicant a combined construction permit and operating license for a standardized nuclear power plant after providing an opportunity for public hearing, if the application contains sufficient information to support the issuance of both a construction permit and operating license in acc.ordance with the rules and regula-tions of the Comission and to enable the Commission to make the deter-minations relating to the common defense and security and the public helth sad safety required by sections 103 and 182. After issuance of a combined construction pennit and operating license for a standardized nuclear power plant, the Comission shall assure through inspections and tests that construction and operation is conducted in conformity with the application and the combined construction permit and operating license consistent with the rules and regulations of the Comission. Prior to the comencement of operation, the Comission shall find that the facility has been constructed and will operate in conformity with the combined construction permit and operati~ng license, the, provisions of this Act, and the rules and regulations of the Comission". EARLY SITE APPROVAL SEC. 102. The Atomic Energy Act of 1954, as amended, is amended by adding a new section 193 to r'ead as follows: "SEC. 193. EARLY SITE APPROVAL. -- "a. The Comission is authorized to issue a site permit for approval of a site or sites for one or more utilization or production facilities upon the application of any Federal, ragional, State or
local governmental agency, or a utility, notwithstanding the fact that no application for a construction permit or a combined construction permit and operating license for such facility or facilities has been filed. For all other purposes of this Act, a site permit is a ' license'. "b. Notwithstanding section 161 w. of this Act or the Independent Offices Appropriation Act of 1952, no application filing or issuance fees shall be required for an application for a site pemit, or an amendment, extension or renewal of a site permit under this section. The Commission is authorized to allocate the costs that would otherwise have been defrayed by fees required of applicants under this section among applicants for permits or licenses which propose to use the approved site. If no application for construction of a nuclear power plant is filed within the initial ten year. approval period, the fee shall become immediately due and payable by the applicant for the site permit. "c. Each application under subsection a. shall be in writing and shall contain information required by the Commission in its rules and regulations to determine the suitability of the site for its: intended purpose. "d.(1) If, after considering all information submitted in the application, and after providing an opportunity for public hearing, the Commission determines that the proposed site is suitable for the con-struction and operation of the facility or facilities described in the i 1
9 application consistent with public health and safety, it shall approve the application and issue a site permit with appropriate conditions as necessary. "(2) Any final determination of the Commission on an applica-tion filed pursuant to this section shall be a final order of the Commission for purposes of judicial, review. "e. (1) A site pennit issued by the Commission under this section shall be valid with respect to an application for a construction permit or a combined construction permit and operating license which meets the conditions of the site permit and is filed within a period of ten years from the date of issuance of the site pennit. "(2)(A) No less than twelve or more than thirty-six months prior to the expiration of the ten year period, the holder of the site permit may apply for an extension or renewal of the site permit. Upon review by the Commission, the Comission may extend for good cause shown or renew a. site permit for an additional period of time of not less than five or more than ten years from the date of e.xtension or renewal, pursuant to appropriate Commission rules and regulations. "(B) Upon application for extension or renewal of a site permit pursuant to subparagraph (A), the Commission shall extend or renew the site permit unless it finds that significant new information relevant to the site has become available-and it is likely that the site will not comply with this Act or the. Commission's rules and regulations for protection of the public health and safety or the common defense and secu rity.
"f. Approval of a site under this section shall not preclude its use as a site for an alternate or modified type of energy facility or for any other purpose. Other uses may, however, affect the validity of the site permit or the conditions of its use for nuclear power plant siting as the Connission may determine. "g. Nothing in this section shall preclude the Comission from inviting a request for a detennination with respect to limited aspects of the suitability of the site for its intended purpose". APPROVAL OF STANDARDIZED PLANT DESIGNS SEC. 103. The Atomic Energy Act of 1954, as amended, is amended by adding a new section 194 to read as follows: "SEC. 194. APPROVAL OF STANDARDIZED PLANT DESIGNS. -- "a. The Comission is authorized and directed to estabish pro edures carmitting the approval of standardized nuclear power plant designs, notwithstanding the fact that no application for a construction permit or. combined construction-permit and operating license for such facility has been filed. l "b. Notwithstanding section 161 w. of this Act or the Independent Offices Appropriation Act of 1952, no application filing or issuance fees shall be required for an application for approval.or for an amendment, extension or renewal of an approval of a complete standardized plant design under this section. The Commission is authorized to allocate the costs that would otherwise have been defrayed by fees required of applicants under this section among applicants for permits or licenses which propose to use the approved standardized plant design.
"c. Each application for an approval under subsection a. shall be in writing and shall contain information required by the Commission in its rules and regulations to determine the suitability of the design for its intended purpose. "d. (1) If, after considering all infonnation submitted in the application, and after providing an opportunity for public hearing, the Comission determines that the proposed standardized plant design is suitable for the construction and operation of the facility or facil-ities described in the application consistent with public health and safety, it shall approve the application and issue an approval with appropriate conditions as necessary. "(2) Any final determination of the Commission on an application filed pursuant to this section shall be a final order of the Commission for purposes of judicial review. "e. (1) Any approval issued by the Commission under this section shall be valid with respect to an application for a construction permit or a combined construction permit.and operating license which meets the conditions of the approval and is filed within a period of ten years from the date of approval. "(2)(A) No less than twelve or more than thirty-six months prior to the expiration of the ten year period provided under paragraph (1), the entity to whom the approval was issued may apply for an extension or renewal of the approval. Upon review by the Commission, the Commission may extend or renew the approval for an additional period of time of not less than five or more than ten years from the date of extension or renewal pursuant to such rules and regulations as the Comission may deem appropriate.
"(B) Upon application for extension or renewal of an approval issued pursuant to subsection a., the Commission shall extend or renew the approval unless it finds that significant new information relevant to the design has become available subsequent to its approval and that as a result it is likely that: (1) the design will not comply with this Act or the Commission's applicable regulations; or (2) without a change to the design,'the overall risk of plant operation to the public health and safety, or the common defense and security will be substantially greater than that estimated to exist at the time of the initial issuance of the approval for which renewal is applied and the design change is necessary to bring the plant within a.ceptable levels of risk". / s e E
STABILITY OF STANDARDIZED PLANT DESIGNS SEC. 104. The Atomic Energy Act of 1954, as amended, is amended by adding a new section 196 to read as follows: "SEC. 196. STABILITY OF STANDARDIZED PLANT DESIGNS. -- "No licensee of, or license applicant for a production or utiliza-tion facility shall be required to, change an approved final standardized plant design unless it can be demonstrated that without a change to the design, the overall risk of plant operation to the public health and safety, or the common defense and security will be substantially greater than that estimated to exist at the time of the initial issuance of the approval and the design change is necessary to bring the plant within 4 acceptable levels of risk. This provision shall not preclude the impo-sition of design change requirements for renewal of and approval of a design nor shall it preclude a licensee from making voluntary design changes subject to appropriate Commission review for the purpose of improving plant safety or operations". l l
14 - TITLE II -- CONFORMING AMENDMENTS ANTITRUST PROVISIONS SEC. 201. Section 105 c. of the Atomic Energy Act of 1954, as amended, is amended in the first sentence of paragraph (2) by inserting "and/" after the word " construct". 1 GENERAL PROVISIONS SEC. 202. Section 161 o. of the Atomic Energy Act of 1954, as amended, is amended by inserting the words "or approvals authorized by sections 193 and 194" after the number "104". REVOCATION SEC. 203. Section 186 a. of the Atomic Energy Act of 1954, as amended, is amended by inserting the words "or section 193" after the words "section 182". e
i i 15 - TITLE III -- EFFECTIVE DATES SEC. 301. All sections of this Act shall take effect as of the date of enactment, and shall apply to all proceedings pending as of the date of enactment or comenced on or after the date of enactment. e e O j ~ _.
COMPARATIVE DRAFT BILL ATOMIC ENERGY ACT OF 1954, AS AMENDED "SEC. 105. ANTITRUST PROVISIONS. - "c. *** "(2) Paragraph (1) of this subsection shall apply to an appli-cation for a license to construct and/ or operate a utilization or pro-duction facility under section 103: Provided, however, That paragraph (1) shall not apply to an application for a license to operate a utilization or production facility for which a construction permit was issued under section 103 unless the Commission determines such review is advisable on the ground that significant changes in the licensee's activities or proposed activities have occurred subsequent to the previous review by the Attorney General and the Commission under this subsection in connection with the construction permit for the facility". J. l SEC. 161. GENERAL PROVISIONS. - In the performance of its l functions the Commission is authorized to - "o. Require by rule, regulation, or order, such reports, and the keeping of such records with respect to, and to provide for such inspections of, activities and studies of types specified in section 31 and of activities under licenses issued pursuant to sections 53, 63, 81, 103, and 104, or approvals authorized by sections 193 and 194, as may be l l l l
e - necessary to effectuate the purposes of this Act, including section 105; and" "SEC. 185. CONSTRUCTION PERMITS AND OPERATING LICENSES. -- "a. All applicants for licenses to construct or modify production or utilization facilities shall, if the application is otherwise acceptable to the Commission, be initially granted a construction permit. [The construction permit shall state the earliest and latest dates for the completion of the construction or modification.
- Unless, the construction or modification of the facility is completed by the completion date, the construction permit shall expire, and all r'ights thereurider be forfeited, unless upon good cause shown, the Comission extends the completion date.] Upon the completion of the construction or modification of the facility, upon the filing of any additional information needed to bring the original application up to date, and upon finding that the facility authorized has been constructed and will operate in conformity with the application as amended and in confomity with the provisions of this Act and of the rules and regulations of the Commission, and in the absence of any good cause being shown to the' Commission why the granting of [a] an operating license would not be in accordance with the provisions of this Act, the Commission shall thereupon issue [a] an operating license to the applicant.
For all other purposes of this Act, a construction permit is deemed to be a ' license'. "b. In making a determination on the issuance of any permit or license, the Commission is authorized to rely upon the certification of
need for power made by competent Federal, regional, or State govern-mental organizations. If the Commission declares its reliance upon such certification, it shall constitute a definitive determination of need for the power to be provided by the facility for the purposes of any other provision of Federal law administered by the Commission. "c. Notwithstanding any other provision of this section, the Commission shall issue to the applicant a combined construction permit and operating license for a standardized nuclear power plant after providing an opportunity for public hearing, if the application contains sufficient information to support the issuance of both a construction permit and operating license in accordance with the rules and regula-tions of the Commission and to enable the Commission to make the deter-minations relating to the common defense and security and the public health and safety required by sections 103 and 182. After issuance of a combined construction permit and operating license for a standardized nuclear power plant, the Commission shall assure through inspections and tests that construction and operation is c6nducted in conformity ~ with the application and the combined construction permit and operating license consistent with the rules and regulations of the Commission. i Prior to the commencement of operation, the Commission shall find that the facility has been constructed and will operate in conformity with the combined construction permit and operating license, the provisions l of this Act, and the rules and regulations of the Commission". l l
-4 "SEC. 186. REVOCATION. - "a. Any license.may be revoked for any material false statement in the application or any statement of fact required under section 182 or section 193, or because of conditions revealed by such application or statement. of fact or any report, record, or inspection or other means which would warrant the Commission to refuse to grant a license on an original application, or for failure to construct or operate a facility in accordance with the terms of the construction permit or license or the technical specifications in the application, or for violation of, or failure to observe any of the terms and provisions of this Act or of any regulation of the Commission". "SEC. 193. EARLY SITE-APPROVAL. -- "a. The Commission is authorized to issue a site permit for approval of a site or sites for one or more utilization or production facilities upon the application of any Federal, regional, State or local governmental agency, or a utility, notwithstanding the fact that no acolication for a construction permit or a combined construction permit and operating license for such facility or facilities has been filed. For all other purposes of this Act, a site permit is a ' license'. "b. Notwithstanding section 161 w. of this Act or the Independent Offices Appropriation Act of 1952, no application filing or issuance fees shall be required for an application for a site permit, or an amendment, extension or renewal of a site permit under this section.
The Commission is authorized to allocate the costs that would otherwise have been defrayed by fees required of aoolicants under this section among applicants for permits or licenses which propose to use the approved site. If no application for construction of a nuclear power plant is filed within the initial ten year approval period, the fee shall become immediately due and payable by the applicant for the site permit. "c. Each application under subsection a. shall be in writing and shall contain information required by the Commission in its rules and regulations to determine the suitability of the site for its intended purpose. "d. (1) If, after considering all information submitted in the application, and after providing an opportunity for public hearing, the Commission determines that the proposed site is suitable for the construction and operation of the facility or facilities described in the application consistent with public health and safety, it shall ~ approve the application and issue a site permit with appropriate condi-l tions as necessary. 1 "(2) Any final determination of the Commission on an appli-cation filed pursuant to this section shall be a final order of the Commission for purposes of judicial review. i "e. (1) A site permit issued by the Commission under this section shall be valid with respect to an application }'r a construction permit i or a combined construction permit and operating license which meets the l conditions of the site permit and is filed within a period of ten years from the date of issuance of the site permit. I
"(2) (A) No less than twelve or more than thirty-six months prior to the expiration of the ten year period, the holder of the site permit may apply for an extension or renewal of the site permit. Upon review by the Commission, the Commission may extend for good cause shown or renew a site permit for an additional period of time of not less than five or more than ten years from the date of extension or renewal, pursuant to appropriate Commission rules and regulations. "(B) Upon application for extension or renewal of a site permit pursuant to subparagraph (A), the Commission shall extend or renew the site permit unless it finds that significant new information relevant to the site has become available and it is likely that the site wili not comply with this Act or the Commission's rules and regulations for protection of the public health and safety or the common defense and security. "f. Approval of a site under this section shall not preclude its use as a site for an alternate or modified type of energy facility or. for any other purpose. ' Other uses'may, however, affect the validity of l the site permit or the conditions of its use for nuclear power plant siting as the Commission may determine. "g. Nothing in this section shall preclude the Commission from inviting a request for a determination with respect to limited aspects of the suitability of the site for its intended purpose". l l "SEC: 194. APPROVAL OF STANDARDIZED PLANT DESIGNS. -- "a. The Commission is authorized and directed to estabish i orocedures cermitting the approval of standardized nuclear power plant
designs, notwithstanding the fact that no apolication for a construction permit or combined construction permit and operating license for such facility has been filed. "b. Notwithstanding section 161 w. of this Act or the Independent Offices Appropriation Act of 1952, no application filing or issuance fees shall be reouired for an application for approval or for an' amendment, extension or renewal of an approval of a complete standard-ized plant design under this section. The Commission is authorized to allocate the costs that would otherwise have been defrayed by fees recuired of applicants under this section among applicants for permits or licenses which propose to use the approved standardized plant design. "c. Each application for an approval under subsection a. shall be in writing and shall contain information reauired by the Commission in its rules and regulations to determine the suitability of the design for s its intended purpose. "d. (1) If, after considering all information submitted in the application, and after providing an opportu'nity for public hearirig, the l Commission determines that the proposed standardized plant design is suitable for the construction and operation of the facility or facil-ities described in the application consistent with public health and l safety, it shall approve the application and issue an approval with appropriate conditions as necessary. "(2) Any final determination of the Commission on an apolication filed pursuant to this section shall be a final order of the Commissien for purposes of judicial review. l I ^ ]
i "e. (1) Any approval issued by the Commission under this section shall be valid with respect to an application for a construction permit or a combined construction permit and operating license which meets the conditions of the approval and is filed within a period of ten years from the date of approval. "(2) (A) No less than twelve or more than thirty-six months prior to the expiration of the ten year period provided under paragraph (1), the entity to whom the approval was issued may apply for an exten-sion a renewal of the approval. Upon review by the Commission, the Commission may extend or renew the app'roval for an additional period of time of not less than five or more than ten years from the date of extension or renewal pursuant to such rules and regulations as the Commission may deem appropriate. "(B) Upon application for extension or renewal of an approval issued oursuant to subsection a., the Commission shall extend or renew the approval unless it finds that significant new information relevant to the design has become available subsequent to its' aooroval and that as a result it is likely that: (1) the design will not comply with this Act or the Commission's applicable regulations; or (2) without a change to the design, the overall risk -of plant operation to the oublic health and safety, or the common defense and security will be substantially greater than that estimated to exist at the time of the initial issuance of the approval for which renewal is applied and the design change is necessary to bring the olant within acceptable levels of risk".
_9_ "SEC. 196. STADILITY OF STANDARDIZED PLANT DESIGNS. -- "No licensee of, or license applicant for a production or utili-zation facility shall be required.to change an approved final standard-ized plant design unless it can be demonstrated that without a change to the design, the overall risk of plant operation to the public health and safety, or the common defense and s'ecurity will be substantially greater than that estimated to exist at the time of the initial issuance of the approval and the design change is necessary to bring the plant within acceptable levels of risk. This provision shall not preclude the imposition of design change requirements for renewal of and approval of a design nor shall it preclude a licensee from making voluntary design changes subject to appropriate Commission review for the purpose of improving plant safety or operations". J. i
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