ML20054M797

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Forwards Summary of Activities Re Cleanup of TMI-2 & Restart of TMI-1
ML20054M797
Person / Time
Site: Crane  
Issue date: 07/06/1982
From: Harold Denton
Office of Nuclear Reactor Regulation
To: Hochendoner L
DAUPHIN COUNTY, PA
Shared Package
ML20054G035 List:
References
NUDOCS 8207140470
Download: ML20054M797 (21)


Text

l JUL 0 61982 Mr. Larry J. Hochendoner Dauphin County Commissioner P.O. Box 1295 Harrisburg, PA 17108

Dear Mr. Hochondoner:

Thank you for your letter of June 16, 1982, to Chairman Palladino which expressed the concern regarding the cleanup of the accident at Unit 2 (THI-2) and the restart of Unit 1 of the Three Mile Island nuclear plant (TMI-1). We believe you may find the following summaries informative about future actions regarding the cleanup of THI-2 and restart of TMI-1.

Enclosed for your information is a suninary of activities during fiscal year 2

1981 (which ended on September 30,1981) related to cleanup of TMI-2; such efforts liave been continuing during fiscal year 1982.

Included in the summary is a section that addresses the financial aspects of the cleanup.

flore recent information is contained in the enclosed statement by Dr. Thomas A. Dillon of the Department of Energy presented to the Senate Comittee on Environment on May 20, 1982. Dr. Dillon states that the President has committed a total of $123 million to a research and development program of the Department of Energy on THI-2 cleanup and that about one-half of these expenditures is expected to offset owner cleanup costs.

As to the restart of THI-1, an Atomic Safety and Licensing Board of the Nuclear Regulatory Commission (NRC) has conducted extensive hearings on safety aspects. A Partial Initial Decision of December 4,1981, found that corrections to various deficiencies in design, procedures, and planning will provide reasonable assurance that THI-1 can be operated in the short term without endangering the health and safety of the public and that reasonable progress has been made with respect to various necessary and sufficient long-term actions. Consideration by the Board of the results of a special hearing on cheating in operator licensing examinations is underway.

In an interim judgment on January 7,1982, which was amended on April 2,1982, the United States Court of Appeals for the District of Columbia Circuit ordered the NRC to perform an environmental assessment on the effects of THI-1 restart on the psychological health of neighboring residents, and that is in progress. fleanwhile, it was discovered that corrosion of tubes in the steam generators of TF11-1 had occurred, and this will require a major repair effort. These are factors that will be considered by the five Commissioners of the NRC prior to making a final decision on the restart of THI-1.

The primary concern of the NRC in these matters is the protection of the public health and safety.

Sincerely, 8207140470 820706 DR ADOCK 05000 Ori$d g g LF.R.Dentaa

  • See previous copy for concurrenceHarold R. Denton, Director G m u: of Huciear Reactor Hegttiation omc,

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Mr. Larry J. Hochendoner Dauphin County Commissioner P.O. Box 1295 Harrisburg, PA 17108

Dear Mr. Hochendoner:

Thank you for your letter of June 16, 1982, toChajrmanPalladinowhich expressed the concern regarding the cleanup of the accident at Unit 2 (TMI-2) and the restart of Unit 1 of the Three ljile Island nuclear plant (TMI-1). We believe you may find the following sumaries informative about

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future actions regarding the cleanup of TMI-2 and restart of TMI-1.

Enclosed for your information is a sumar.y f activities during fiscal year 1981 (which ended on September 30,1981) related to cleanup of THI-2; such efforts have been continuing during fiscal year 1982.

Included in the sunnary is a section that addresses thd financial aspects of the cleanup.

More recent infonnation is contained in the enclosed statement by j

Dr. Thomas A. Dillon of the Department of Energy presented to the Senate Committee on Environment on May 20!1982. Dr. Dillon states that the President has committed a total gf $123 million to a research and development program of the Department of Energy on Tril-2 cleanup and that about one-half of these expenditures is expected to offset owner cleanup costs.

l As to the restart of THI-1, pn Atomic Safety and Licensing Board of the Nuclear Regulatory Connission (NRC) has conducted extensive hearings on safety aspects. A partial / initial decision of December 4,1981, found that corrections to various deficiencies in design, procedures, and planning will provide reasonable assurance that TMI-1 can be operated in the short term without endangering the/ health and safety of the public and that reasonable progress has been mad with respect to various necessary and sufficient long-term actions.

erway is consideration by the Board of the results of a special hearing a heating in operator licensing examinations.

In an interin judgment on anuary 7,1982, which was amended on April 2,1982, the United States Court of Appeals for the District of Columbia Circuit ordered the NRC to perform' an environmental assessment on the effects of THI-1 restart on the psychological health of neighboring residents, and that is in progress. Meanwhile, it was discovered that corrosion of tubes in the steam generators of THI-1 had occurred, and this will require a major repair effort. These/are factors that will be considered by the five Commissioners of the NRC prjor to making a final decision on the restart of TMI-1.

The primary / concern of the NRC in these matters is the protection of the public health and safety.

Sincerely,

  • See previous copy for concurrence.

Harold R. Denton, Director omccp

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l Mr. Larry J. Hochendoner Dauphin County Commissioner P.O. Box 1295 Harrisburg, PA 17108

Dear Mr. Hochendoner:

Thank you for your letter of June 16, 1982, to Chairman P ladino regarding the restart of Unit 1 of the Three Mile Island nuclear ant (THI-1) and the cleanup of the accident at Unit 2 (THI-2).

As to the restart of TMI-1, an Atomic Safety and L ensing Board of the Nuclear Regulatory Commission (NRC) has conducte extensive hearings on safety aspects. A partial initial decision of ecember 4,1981, found that corrections to various deficiencies in design procedures, and planning will provide reasonable assurance that TMI-1 can h,e operated in the short term without endangering the health and safety pf the public and that reasonable progress has been made with respect to v4rious necessary and sufficient long-term actions. Underway is considey6 tion by the Board of the results of tor licensing examinations.

In an a special hearing on cheating in opera,hich was amended on April 2,1982, the interim judgment on January 7,1982 w United States Court of Appeals for e District of Columbia Circuit ordered the NRC to perform an environmenta} assessment on the effects of TMI-1 restart on the psychological hea}th of neighboring residents, and that is in progress. Meanwhile, it was difcovered that corrosion of tubes in the steam generators of THI-1 had occurrp'd, and this will require a major repair

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effort. These are factors t ~t will be considered by the five Comissioners of the NRC prior to making final decision on the restart of TMI-1.

Enclosed for your informpion is a summary of activities during fiscal year 1981 (which ended on September 30,1981) related to cleanup of TMI-2; such efforts have been contip,uing during fiscal year 1982.

Included in the More recent informatio,. hat addresses the financial aspects of the cleanup.

sumary is a section t n is contained in the enclosed statement by i

Dr. Thomas A. Dillop'of the Department of Energy presented to the Senate i

Committee on Environment on May 20, 1982. Dr. Dillon states that the President has committed a total of $123 million to a research and development program of the Dg'partment of Energy on THI-2 cleanup and that about one-half I

of these expen tures is expected to offset owner cleanup costs.

The primary concern of the NRC in these matters is the protection of the public health and safety.

/

Sincerely, Harold R. Denton, Director Office of Nuclear Reactor Regulation OFFICE ). Enc.losurest.

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omy NRC FORM 315 (10-80) NRCM 0240 OFFlC1AL RECORD COPY uso m i.ei-m eeo

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STATUS OF TMI-2 FACILITY Since the accidant at Three Mile Island Unit 2 (TMI-2) on March 28,

1979, the NRC has continued to monitor the situation there.

Activities related to that facility during fiscal year 1981 are summarized below.

Ceelant System.

As noted on page 15 of the 1980 Nec Annup! Re9ert, the TMI-2 reactor coolant system was placed in natural circulation, with decay heat removal to the condenser via s,ub-atmospheric boiling in the "A"

steam generator, on April 27, 1979.

This cooling mode was maintained with gradually decreasing flow and eventually only cyclic flow in the reactor coolant system untti Hovember 6,

1980, when a test was initiated to determine if the TMI-2 reacter would be adequately cooled only by heat lesses to the reactor building ambient

(" loss-to-ambient" cooling mode).

The reactor building ambient is being maintained by the reactor building fan coolers. The test was completed on December 9,

1930, when the reactor cooling mode was returned to cyclic natural circulation with heat rejection to the condenser.

Evaluatien of the test data showed that the reactor's decay heat (presently approximately 30 kw) could be safely and adequately removed by operating in the loss-to-ambient coeling modo, which was resumed on January 5, 1981, and has continued since.

This is a carticularly desirable mode for removing the reactor decay he:t since operating in this cooling mode permits several previously required cooling systems to be de-energized (e.g.,

circulating water systen, main steam system and the "A" generator, condensate and feedwater systems, main condenser and auxiliary boiler), thus decreasing the plant's dependence en electrically activ:ted equipment.

Peretee colldier Entrics.

A total of 15 manned pest accident entries have

bec, made into the Unit 2 reactor building.

To date, activities inside the reactor building have focusr:d primarily on gathering post-accident data.

The entries have permitted identification of the physical and radiological conditions inside the reactor building.

Houever, decentamination and rcpair work has been limited to testing specific critical comocnents.

An overall detailed plan and schedule for reactor building decontamination and fuel removal has not been established pending analysis of data obtained frem inside the reactor building and resolution of licensee fiscal problems.

The reactor building entries have not identified any major mechanical damage.

Surface contamination and electrical problems, particularly on the polar crane, appear to be the most troublesome for future TMI-2 cleanup operations.

It has been demonstrated that industry proven decontamination methods may be used to decrease centamination ano radiation levcis inside the reactor building. The existing radiation levels on the upper floor (refueling floor) of the reactor building are not pechibitive (in the range of 50 -

100 J

i millirem per hour as of the end of fiscal year 1981), in terms of worker accessibility for reactor vessel head and fuel removal.

Cnce an adequate level of TMI cleanup funding is established, the licensee will begin refurbishing the polar crane.

This activity is a prerequisite to removal of the missile shield above the reactor head and to reactor disas-sembly.

Some degree of processing and decontaminction of reactor building sump water will have to be performed before other recovery work can proceed.

The physical condition of the fuel-perhaps the nest crucial issue in the recovery process-will not be determined until the reactor vessel head is removed and the core region vs inspected visually.

Centainment I toeritv.

Because there is

'a potential for ' leakage of radioactive water from TMI into the groundwater and eventually into the Susquchanna River, the NRC staff requested the licensee to conduct a monitor-ing program to detect any leakage.

This program has centinued since early 1980 (see the 1980 NRC Annual Reeort, p.

20) and consists primarily of periodic samp1tng, analysis and testing of water from a series of conitoring wells strategically located around the TMI facility. An increase of radioae-tive nuclide concentrations above those normally occurring as background levels would indicate a possible source of leakage from the TMI facility.

Since the spring of 1981, the licensee has instituted an expanded program to assess the containment integrity.

In addition to groundwater monitoring, the Centainment Integrity Assessment Program includes radiation monitoring of the reactor building tendon access gallery, the cerk seals between building structures and the centainment outer wall, and the measurement of sump watcr levels in the containment.

During 1980, several groundwater sample readings indicated Figher then normal background levels of radioactive nuclide concentrations (i.e., tritium, cobalt and cesium).

Followup investigations, including the identification of radioactive nuclides with potential leakage sources, determined that the source of leakage was probably frem the berated water storage tank (BW5T), and not fecm the reactor building.

The licensee has acted to prevent further leaks frem the EWST and has constructed a catch ba si n te collect any that should occur.

Subsacuent samples showed reduced concentrations of cesium and cobalt, trending down to backgecund levels.

Other parts of the containment integrity assess =cnt program have also confirmed that there is no indication of radioactive water leakage frem the containment.

FPTCOD-TT Seeat Oce n line-s.

The Commi ssion's Octcber 6, 1979 Memerandum and Order directing the use of the EPICOR-II system for decentaminating the intermediate-level contaminated water (10'c N*C Annual Freert, pp.

23-24) included a provision requiring that spent EPICOR-II resins not be shipped off site unless solidified.

The requirement for selidification of the EPICOR-II spent rcsins was based on the understanding that solidification of resin wastes:

(1) would help immobilize the radionuclides af ter disposal, (2) would sventually be required by all the burial sites.

I (3) would be a practical way to meet the then existing burial site require-ment that the wastes contain no free liquids, and (4) would help ensure there were no leaks or spills during the shipment of the wastes.

However, on February 19, 1981, the licensee requested that the requirement for solidification of spent EPICOR-II resins be waived and that those spent resin liners which are similar to normal reactor resin wastes be disposed of by shallow land burial at a commercial disposal site. The HRC staff reviewed the licensee's request and concluded that 22 second and third stage EPICOR-II spent resin liners could be safely disposed of by burial at a commercial burial facility in an unsolidified but dewatered~ condition. HRC approval to dispose of these 22 liners in this manner was issued on March 25, 1931.

The last of those liners was shipped from the TMI site to the U.S. Ecology burial site at Richland, Wash., on June 27, 1981, where all 22 liners were success-fully disposed of.

The remaining EPICOR-II spent resin liners censist of 50 profilters (first stage liners), most of which are unique and unlike those routinely generated and disposed of by otner nuclear powcr plants.

The requirement to solidify the resins in these liners was also waived and a Department cf Energy (DOE) program of research and development on waste characterizatien is underway to exanine and characterize the condition of cne of thase liners and its contents at a DOE contractor facility.

It was decided that not solidifying the resins in these 50 liners would also be apprcpriate, so as not to foreclose future eptions fer handling and eventual dispesal of these wastes.

The liner (P F-16 ) selected for examination was shipped from TMI to the DOE centractor laboratory (Battelle Columbus Laboratories in West Jefferson, Chic) on May 19, 1931 PF-16 was one of the older and more heavily leaded of the 50 first stage EP I C 0 F.-I I liners used to process the accident generated water cellceted in the Unit 2 auxiliary building.

Examination of FF-16 was in-itiated irmediately upon receipt and will continue for approximately two years.

This research and development effort, which is designed to fully identify the conditicns in the EPICOR-II liners, will aid in tho devolepment of technology fer safely orocessing highly contaminated organic and incrganic resins.

Specific program work includes analysis cf resin degracatien and ges gancration, radioactivity loading profiles, corrosion of liner internals, characterization and radioactivity clusion studies on rasin ccre samples and cement solidification testing.

j p ee,43-i,3Ai-n na Hich-Metivib, un'oe.

As a result of the March 28, 1979, acciccnt at Three Mile Island Unit 2, over three quarters of a million gallons cf high-activity was e water (i.e.,

radionuclide concentrations greater than 100 microcuries per milliliter) were generated.

This water is currently contained in the reactor building sump (approximately 700,000 gallons) and the reactor coolant system (approximately 95,000 gallons).

In order for the cleanup to proceed, a method was needed to reduce the radionuclide concentra-tions in the water contained in the reactor building sump and reactor coolant system.

In a Ictter dated April 10, 1930, the licensee formally submitted its Technical Evaluation Report (TER) and requested permission to operate an underwater cemineralization system.

The Submerged Dcminerali:cr System (505) described in the licensac's TER was designed to provice controlled handling i

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and treatment of the highly contaminated waste water generated during the accideot.

The SDS is designed to operate underwater in one of the spent fuel pools of TMI Unit 2. It consists of a liquid waste treatment subsystem, a gaseous waste treatment subsystem and a solid waste handling subsystem.

The liquid waste treatment subsystem is designed to decontaminate the high-activity waste water by filtration and ion exchange. The primary compone,nts of the liquid waste treatment subsystem include tuo filters, and two parallel trains of fcur identical inorganic zeolite-filled ion exchange vessels.

In the event that additional cleanup of the effluent from SDS is required, it can be recycled through SDS or polished with the EPICOR-II system.

The volume of solid waste generated during system operation (spent ion exchange media) is expected to be minimized by loading the inorganic zeolite resin to high levels (up to 60,000 curies or higher). Solid waste generated during SDS operation will be stored underwater in the same spent fuel pool while awaiting offsite shipment.

Due to the unique character and nature of the =colite wastes, the Department of Energy will take possession of and rctain these wastes to conduct a research, development and testing program on waste immobilization.

Other solid wastes generated during SDS operations are expected to be suitable for commercial land disposal.

The NRC staff review of the SDS formally started when the licensee sub-mitted the TER on April 10, 1980.

Due to a number of design changes and technical questions from the staff, formal HRC approval of the SDS was not given until June 1981.

On June 18,

1931, the licensee was directed te premptly commence and complete processing of the remaining intermediate level centaninated water (less than 100 microcuries per milliliter) in the auxiliary building tanks and the highly contaminated water in the reactor building sump and the reactor coolant system.

As of August 9, 1931, the re=aining 100,000 gallons of intermediate level water was completely processed.

The licensee started processing the high activity water in Septc=ber 19G1.

The approval to operate SOS does net include water dispesal.

All processed water will be storse' in existing ensite tanks.

Decisions related to the disposition of processed water will be mace by the Commission at a future date.

NDC - DOE Me-e-= ado-e# Urdarstandine.

On July 15, 1931, the NRO and DOE signed a Memorandum cf Understanding (MOU) which formalized the werking relationship between the two agencias with respect to the removal and disecsi-tien of solio nuclear wastes generated curing the cleanup of TMI-2.

This action represents a significant step toward assuring that the TMI site does not become a long-term waste disposal facility.

This MOU covers only solid nuclear wastes; it does not cover liquid wastes resulting from the cleanup activities, i

l The MOU addresses the following three basic categories of TMI-2 wastes:

-(1)

Wastes determined by DOE to be of generic value in terms of beneficial information to be chtained from further research and development activities (the MOU calls for DOE to perform such activities at appropriate DOE facili-ties); (2) wastes determined to be unsuitable for commercial land discesal because of high levels of contamination, but which DDE may also undertake to

l remove, store and dispose of on a reimbursable basis from the licensee; and (3) wastes considered suitable for shallow land burial which are to be disposed of by the licensee in licensed, commercial low-level waste burial facilities.

The MOU specifically highlights currently identified TMI-2 wastes, e.g.,

EPICOR-II system wastes, submerged domineralizer system wastes, reactor fuel wastes, etc.

However, the agreement also anticipates future modifications in the MOU may be necessary to cover radioactive waste materials which are identified as the cleanup progresses.

b'RC A ct i vi'i c s The Final Preera-+= tie Environmental T-onet Statement.

On February 27,

1981, the NRC staff issued, on schedule, the Final Programmatic Environmental Impact Statement (PEIS) related to decontamination and disposal of radioactive wastes resulting frem the TMI accident. The issuance of the final statement (HUREG-0683) followed an extensive 90-day comment period during which comments received from the public and from other agencies sf the government on th'e were Draft Programmatic Environmental Impact Statement issued on August 14, 1980.

The final statement censidered all of those comments, as wc11 as the questions and ccmments raised by members of the public during the 31 meetings with the public, media and local officials held by the NRC staff.

These meetings were held in the vicinity of the TMI site in Pennsylvania and Maryland to discuss cleanup issues and the draft PEIS.

The final PEIS includes the NRC staff's respenses to nearly 1,000 comments the staff received en the draft statement.

The final PEIS has the benefit cf additional data obtained from several containment entries as well as additional evaluations on cleanup alternatives.

The final PEIS reaffirms the major conclusions of the craft statement that the decentamination of the TMI-2 f acility, including the removal of the nuclear fuel and radioactive wastes from the TMI site, is necessary for the long-term protcetion of public health and safety, and that eethocs exist or can be suitably a da p t ed to perform the cicanup operations with ninical relcases of radicactivity to the environment.

Further, the final PEIS concludes that the only environmental impact that may be of significance would be the cumulctive radiation doses to the cleanup workers (see page 17 of the

'c? ? Nec lanem l Peceet for discussion of the draft PEIS).

On April 27, 1951, the Cc= mission issued a policy statement encorsing the final PEIS and concluded that the PEIS satisfics the Ceemission's obligations undar the National Environmental Policy Act. The policy statement also stated

that, as tna licanseo prepescs specific major decentamination activities. the staff will cetermine whether these proposals, and associated impacts that are predicted to
occur, fall within the secpe of these already assessed in the PEIS. With the exceptien of the disposition of processed accident generated water (the Commission will decide this issue), the staff may act on each major c!canup activity if the activity and asseciated impacts fall within the scope of those assessed in the PEIS.

The staff will keep the Commissien informed of staff actions prior to staff approval of the major activity.

I'n addition the Commission's policy statement declared that the cleanup should be ex-pedited and activitics carried out in accordance with the criteria in Appendix R of the PEIS which limits the doses to eff site individuals frem radioactive affluents resulting fron cleanup activities.

These cffluent limits are numerically identical to those design cbjectives of radioactive effluents fer

operating power reactors contained in Appendix I of to CFR Part 50.

The criteria. of Appendix R of the PEIS for TMI-2 cleanup activities are more restrictive than those for the operating power reactors, since the Appendix R values are limits that cannot be exceeded, whereas, for operating power reactors, they are design objectives to be met on the "as low as reasonably achievable" principle.

On June 26, 1981, the NRC staff amended the Enviren-mental Technical Specifications of the TMI-2 license to incorporate the criteria in Appendix R of the final PEIS as limiting conditions of the cleanup cperations.

Adviserv Panel en TMT Cleance.

The HRC's Advisory Panel for the Decon-tamination of Three Mile Island Unit 2 was formed by the Commissien in October 1980 to provide advice en major stages of the cl~eanup.

The 12-member Panel has been headed since its creation by the Chairman of the Dauphin County (Pa.)

Commissioners, and includes local citizens, local and State governmental officials and scientists. In 1981, the Panel provided recommendations related to radioactive waste processing, storage and disposal to the Commission.

The Ccemission subsequently concurred in these recommendations.

In addition to soliciting views frem members of the public, the Panel has been interacting with Congress and other federal agencies to assure the safe and expediticus cleanup of TMI-2.

Sito Oefice.

The HRC has centinued its on site presence at the Three Mile Island Site.

The Three Mile Island Program Office in Middletown, Pa.,

physically located in offices on site and in Middletown proper, is comprised of 15 full-time technical personnel, three full-time secretaries, a part-time clerk and suppertive cooperative students and summer interns.

The personnel are detailed mainly from two NRC staff offices and are supported by region-based inspectors and by other NRC technical staff.

Part-time assi stance has also been provided by foreign assignees frem Italy and Taiwan.

Day-to-day review of all licensee activities that pertain to the cleanup of Unit 2 is provided by this staff.

Review and direction cf the overall Unit 2 cleanup and review of all detailed implementing procedures are provicid.

Frem Octcbar 1,

1980, to September 30, 1931, a total of approximately 753 pecce-dures were prepared by the licensee and submitted to the NRC for revicw and approval, with an average turnareund time of less than three working cays.

Information flew is a major responsibility of the Site Office.

A Weekly Status Repert, centaining pertinent reacter and radiological and environmental infor=ation, is prepared and distributed to all NRC offices.

This recort is also distributed to the public, with ccpies available at the Middletcwn office.

The Middletown office is open and staffed on a regular basis, including evening hours, to provide the public an opportunity to remain infor=ed of the cleanup progress.

Information is also supplied to the public by press releases, television and radio interviews and direct response to both written and oral public concerns.

Information cxchange meetings are also held periodically with officials of the Department of Energy and the Environmental Protection Agency.

Fina-cia! Asrcets e3 Cloanuo Fundine b" rPU.

There are several actual or potential sources of funds available te GPU companies for TMI-2 cleanup.

The first i s insurance l

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i proceeds.

The availability of these funds has been accelerated in time by the insurers,. and the total coverage of $300 million was available as of late August 1981 Based upon a reduced pace of cleanup activity, this coveraga will probably be exhausted by the end of 1983.

The second source, poten-tiaIly, is revenues allowed through rates set by the Pennsylvania Public Utility Commi s si on (PaPUC) and the New Jersey Board of Public Utilities (HJ2PU).

The PaPUC, however, at this point has prohibited Metropolitan Edison Company (Met Ed) from using funds from its custeners for TMI-2 cleanup purposes. A third source is short-term credit under a revolving credit agreement with a censortium of banks.

Since GPU and its subsidiaries are unable to issue any stocks or bonds, bank credit constitutes its only outsida source of credit.

However, amounts available from this source of funds are becoming increasingly limited and are dependent upon the amount of progress in other developments affecting the GPU companies.

As of August 1981, all three GPU operating subsidiaries have pending rate increase cases before their respective public utilities commissions.

Each of the companies has applied for a two stage increase. The stage I requests are intended to recover amounts for the future operation and capital costs of TMI-1 Frem the viewpoint of assi sting in the cleanup of TMI-2, Ti!I-1 ' s return to service would constitute a significant milestone.

The combinatien of the financial effect of this unit's cperation with adequate rate relief would partially restore Met Ed's not income to pre-accident levels. Mat Ed also anticipatcs that the return of TMI-1 to a normal generating level weuld result in savings of energy costs.

A substantial pertien of the amounts requested for stage II of the GPU companics' rate inercase petitions seek recovery of TMI-2 capital and cleanup costs.

The PaPUC and the NJSPU have consistently denied the companies' recovery of costs for this purpose.

(As of October 1,

1981, the banks and GPU rencpotiated the terms and ccnditions of the revolving credit agreement. While the agrecment is renewed to Occessar 31, 1932, severe limitatiens and conditions en credit availability are also expected should certain events faverable to GPU not occur.)

e-cees =1? fa-Sverine Certs.

Several preposals have been made for the sharing of costs nccessary to cican up the damaced TMI-2 facility.

On July 9, 19G1, Governor Richard Thornburgh of the Commonwealth cf Pennsylvania prep: sed that the esticated $760 million in additional funds necessary te clean uc TMI-2 be shared as fclicws:

25 ceretnt by the nuclear industry; 25 percent by the Federal Government; GPU contributing 32 percent; remaining insurane:

accounting for 12 percent; and the Cermonwealth of Pennsylvania and the State of New Jersey participating at 4 percent and 2 percent, respectively.

The NRO and other Federal agencies are reviewing these cost sharing proposals.

Tnc NRO is also continually monitoring the financial condition of the GPU cem-panics.

GLO Coca-t.

In August 1981, the General Accounting Office (GAO) issued a rcport entitisd " Greater Commitment Needed to Solve Continuing Preblems at Three Mile Island."

The principal findings set forth in the report are summarized belew:

I

- Replacement power for the TMI units is available, but future system rel i*a bi li ty is questionable unless funds are made available to increase construction and maintenance above present restricted levels.

l

- The financial condition of GPU continues to deteriorate, and unless sufficient rate relief is granted to restore its financial credibility, l

Its future as a provider of electric power is in doubt.

- Cleanup of TMI-2 is technologically feasible, but the uncertainties o,f the funds needed for the task and the surrounding the source regulatory environment in which it must be done have yet to be resolved.

- The expeditions cleanup of TMI-2 and the behefits that can be derived are significant enough to warrant the financial participation of several parties, rather than putting the entire burden on any one entity.

- State officials in Pennsylvania and New Jersey should take the leadership role in assembling the financial assistance needed for the cleanup.

- On site property insurance coverage needs to be increased to levels that the Huclear Regulatory Commission (HRC) determines to be adequate if other utilities are to avoid the financial and operational stress suffered by GPU in the event of another major accident.

- Better defined regulatory guidelines for nuclear accident recovery efforts are needed to minimize the delays and added costs that have cccurred at TMI-2.

Based on the above findings, the CAD made two recommendations. to the NRC which are listed below:

- Because another nuclear accident at an underinsured utility ccmpany could seriously affect public health and safety, GAO recommends that NRO closely follow the current efforts-of the insurance and utility in-dustries to increase insurance coverage to what it determines to be an acceptable level. GAO further recommends that no later than December 31, 19Et, HRC assess the progress being made.

This assessment should include an evaluatien of the insurance available in the private sector and a determination as to whether a mandated insurance coverage program is necessary.

Regarding this recommendation, the Nuclear Regul'atory Commission apcroved publication of a proposed rule for public comment on July 23, 1931, t h'a t, if approved as a final rule, would require power reactor licensees to provide the maximum amount of property insurance available.

- To mitigate future regulatory constraints on nuclear accident cleanup activities, GAO recommends that HRC establish a set of guidelines that would facilitate the development of recovery procedures by utility companies in the event of other nuclear reactor accidents.

STATEMENT BY DR. THOMAS A. DILLON PRINCIPAL DEPUTY ASSISTANT SECRETARY, OFFICE OF NUCLEAR ENERGY EEFORE THE SENATE COW 11TTEE ON ENVIRONRENT May. 20,1982 Mr. Chairman and Members of the Committee:

On behalf of Secretary Edwards and Assistant Secretary Shelby Brewer, I am pleased to respond to your invitation to the Department of Energy to appear before you regarding the Three Mile Island cleanup and specifically Senate Bill 1606, the Electric Utility Accident Cost Allocation Act.

In ny testimoriy today, I will cover three main subjects. I will first discuss the Department's position I

i with respect to Senate Bill 1606.

Secondly, I will reiterate for the benefit of the Committee the basic policy of the Administration with regard to the cleanup of Three Mile Island and the appropriate Federal role in the cleanup.

And, finally, I will briefly summarize recent progress that has been made. in the cleanup with particular reference to th'e disposal of radioactive wastes and the substantial progress that has occurred since we testified before a joint session of this Committee and the Senate Energy Committee last Octcber 20.

The Department of Energy supports Senate bill 1606, as amended by the Senate Energy Committee, the objective of which is to assure an early completion of the cleanup of TMI Unit 2.

Several of the features in the l

initial bill which we commented on last October 20 as haing of concern have been eliminated from the current version.

The bill is now limited to establishment of a fund for the utility share of TMI cleanup costs, which fund would be contributed to by the various U.S. utilities owning nuclear electric generating stations. The Federal Governmant's role in this program would be limited to one of assuring that the funds centributed are appropriately dispersed to legitimate cleanup activities.

1 2

This role is assigned by the proposed legislation to the Secretary of Energy, and, if the bill is enacted into law, we believe that the Department can carry out this activity effectively.

t Now let me spend a moment to reiterate the Administration's o'verall-policy with respect to the cleanup. ' As authorized by Congress, the Department is conducting a research and development program at TMI to assure that the data obtained during the cleanup is applied to the benefit of the entire nuclear community.

In addition, because of the Department's unique experience in handling radioactive ~ wastes, the Department has agreed to and has signed a Memorandum of Understanding with the Nuclear Regulatory Commission (NRC) to assist in the removal of all abnormal wastes frca Three Mile Island. To the extent that the disposal of this waste is not part of our R&D program, we will be reimbursed by the owners for the costs associated with this waste activity.

A copy of the latest revision to this Memorandum of Understanding is being provided for the record.

The President has committed a total of S123M to this DOE EaD program and thrcugh this current fiscal year approximately S421 has been and is 'being spent.

The Department endorses the financing plan put fcrth by Governor Thornburgh which calls for sharing the cleanup costs among affected parties.. In t

l l

that regard, the General Accounting Office has reviewed in detail ~ ou'r R&D program and concluded that about one half of our 5123M expected expenditures is expected to offset owner cleanup costs.

Altncuca that is not the full amount mentioned in the Thornourgh plan as the Federal snare, we believe that it meets the spirit of the Thornburgn :lan and, as noted previously by Governor Thornburgh, his plan is not intended to be an exact

i 1

3 formula but rather a framework for sharing the costs.

In.that regard, we are pleased with the progress made so far in the Senate in sponsoring the j

i necessary legislation that will enable the utili?y contribution to be put i

i forth at an early date.

In your letter of invitation, Mr. Chairman, you also asked the Department's views on several concepts not now encompassed by the proposed legislation.

Specifically, you asked whether the legislation should' prohibit pass-through of utility contributions to the Three Mile Island-cleanup to utility t

ratepayers, should require a financial contribution from U.S. reactor manufacturers, or should be dependent on the comparability of General I

i Public Utilities service rates with others in the Nation.

In our. view, the l

method used to handle each utility's TMI contribution in the rate structure should be left up to each State Utility Comission and should not be specified in Federal legislation. Further, we do not believe it appropriate for Federal legislation to require financial contributions by nuclear reactor suppliers.

We do not believe comparability of GPU service rates with others in the Nation is relevant, since local rates are usually a function of many historical factors including industrial grcwth patterns, i

pcpulation distribution, water pcwer availability, indigenous fuel supplies, l

etc., all of which are beyond the ability of present day utilities to icpact.

I wculd like to reemphasize that the Department supports passace of S.16C6 which is consistent with Governor Thornbu'rgh's fctmula for sharing the cost of cleanup.

l l

As Secretary Edaarcs indicated in a recent letter to Subcommittee Chairman j

Simpson, the Department has recently signed an Agreement in Principle with

O 4

the owners to acquire the damaged TMI core.

A copy of the Agreement is being provided for the record.

This Agreement is consistent with the Administration's TMI research and development policy and wi11 not require an increase in our earlier estimate of DOE expenditures.

In this regard, the costs of snipping and disposing of the damaged core that are not necessary for our research and (evelopment program will be reimbursed by the owners.

We expect to negotiate a detailed contract for the core acquis' tion with the owners in the next 6-9 months.

With this latest Agreement, we believe the path'has been cleared for the removal of all of the radioactive wastes from Three Mile Island.

I would now like to summarize, as requested in your letter of invitation, the progress that has been made in recent months in conducting Our research and development program and in disposing of the radioactive wastes.

Despite the limited amount of funds to conduct the cleanup, I believe that there has been major progress made in.the 6 months since Secretary Eceards testified before this Ccmmittee on October 20, 1981.

During the current year, funds being expended on TMI-2 include abcut 560M frca I?U, about half of which is availaole to directly support the cleanup; 330M from DOE"for safety R&D, of'which about one half offsets cleanup costs; and about 524 from the Electric Power Research Institute (EPRI).

Sons of the major activities which have been conducted by the owners, DOE, and EPRI, workin; closely with the NRC, have been:

1)

The owners have drained the contaminated basement cf 600,000 gallens f contaminated water including about 300,000 curies cf radicactive cest.m and strontium.

5 2)

All of the cesium and strontium in the basement water have been concentrated on about 80 cubic feet of zeolite sand enclosed in 10 stainless steel liners, each about the size of a large gsrbage can.

Lessons learned from this R&D activity will pave the way for cleanup of any future nuclear plant contamination t'ncidents. The technique for.doing this was developed jointly by GPU and DOE laboratory experts.

(The cans are known as Submerged Dimineralizer System Liners or SDS liners.)

3)

The Department of Energy has demonstrated vitrification of a sample SOS liner (nonradioactive) and we expect to ship the first radioactive SDS liner from Tit! to our Hanforc, Washington, laboratory for 3 hot vitrification demonstration by this summer.

The resultant _ glass log is extremely stable and suitable for long-term ~ storage and disposal.

Th'us, a safe method will have been demonstrated for treating and disposing of radioactive fission products from such incidents.

4)

The radioactive contamination from the cleanup of water in the TMI auxiliary building has been collected in 50 car:on steel cans containing organic resin known as "EPICOR" liners.

The Departme'nt has,already' shipped one of triese liners to Ohio and then to'Id.o for research and development, and has developed ned techniques to' deal with po'tintially 1 combustible gases that could be generated in these liners.

Thc's'e techniques are expected to be of value to the entire nuclear industry and NRC' as future shipments are made.

We expect the remaining 49 EPICOR liners to be shipped to the Idaho National Engineering ~ Laboratory for research i

during the next 9-12 months.

Non-R&D costs assccf ated with shipment and disposal will be borne by the owners.

~

=

4

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5)

Just last month the owners completed a containment decontamination i

experiment which was partially sponsored by the Department and which 1

led to very substantial reduc + ions in radioactivity levels in certain i

areas within the containment.

For example, median gamma radiation levels at the 305 foot elevation were reduced from 200 mr/hr to 150 mr/hr ; beta radiation.leve'Is in the same areas were reduced by a i

factor of six; and surface contamination levels were reduced by a factor of sixteen.

This has made working conditions within the containment significantly easier and less cumoersome.

In the past, the recovery contractor has estimated that 100 hours0.00116 days <br />0.0278 hours <br />1.653439e-4 weeks <br />3.805e-5 months <br /> of preparation q

I are needed for each hour of work within containment.

The reduction in radiation levels should lead to a significtnt reduction in this

~

ratio; perhaps by as much as a factor of 10, and, thereby, lead 1

to a major reduction in cost and time required to complete the TMI-2 i

l cleanup as compared to previous estimates.

6)

A Technical Assistance and Advisory Group (TAAG) has been established as a follow-on to the prior Technical Assistar.ce Group formed at the time of the accident. Under the joint sponsorship of DOE, GPU, and !!RC, f

this group will provide expertise and new insight into safer and more l-ef ficient methods of conducting the defueling and cleanup.

This group includes sor:e of the most knowledgeable and experienced professionals in the world and has already come up with some ideas and suggestions I

that have led to major progress in the defueling.

7) ~ Partly as a result of the TAAG efforts and the efforts of the DOE /EG&G

^

R&D team to develop a specialized 11/4 inch underaater TV camera, we have obtained for the first time a TV tape of the fuel elements within the TMI-1 reactor core by inserting this camera through a 36 foot l

7 long opening from the reactor vessel head.

As a result of the excellent clarith in these pictures, the owner and DOI are arranging for the first examination of the damaged TMI-2 core this July..

I expect that this examination will provide vital information to accelerate the cleanup, defueling, and acquisition of generic safety data of value to the entire nuclear communfi.y'.

5nd, finally, I would like to spend a few minutes on future plans.

I am personally very optimistic that our rate of prcgress will increase in the.

coming nonths and years.

The core examination this summer will be very importailt in that regard.

Progress to date has been less difficult than originally anticipated.

tip until last year, the owners' schedule for conducting the first examination of the damaged core was sometime in 1983; they new expect to do this in July of this year.

With concentrated management, i

effective cost control, continued cooperation among the varicus participants,

)

and timely availability of funds, the cleanup job can be completed within the 576UM estimate.

We will continue o search for ways to improve the schedule atJ reduce the cost.

That completes my testimony.

We uculd be glad to answer questions at this

~

time.

DISTRIBUTION:

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