ML20059E402

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Explains 1993 Cost Estimate for Regulatory Assurance Reduction,W/Respect to GE Ltr of Credit
ML20059E402
Person / Time
Site: Vallecitos, Vallecitos Nuclear Center
Issue date: 10/13/1993
From: Schindler W
GENERAL ELECTRIC CO.
To: Bernero R
NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS)
Shared Package
ML20059E387 List:
References
NUDOCS 9401110141
Download: ML20059E402 (2)


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GE Nuclear Energy S-42 October 13,1993 hir. Robert 51. Bernero, Director Office of Nucler Afaterial Safety and Safeguards U. S. Nuclear Regulatory Commission i

One White Flint North Bldg.

I1555 Rocksille Pike Rockville, Staryland 20852

Subject:

COST ESTIMATE FOR GENERAL ELECTRIC LETTER OF CREDIT,1993

Reference:

1) Letter dated August 31,1993, subject CHEMICAL BANK LETTER OF CREDIT, W. H. Schindler to R. 51. Bernero. NRC (attached) l
2) Letter dated Afarch 22,1993, same subject, W. H. Schindler to R. 51.

Bernero, NRC (attached) i The 1993 cost estimate for Regulatory Assurance relating to GE's Letter of Credit was reduced $1.551 from the 1992 estimate. Following is an explanation for this reduction.

I NEW TECHNIQUES

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Volume reduction techniques have now become cost effective and are used throughout the industy to offset the increasing cost of direct burial. With the significantly increased cost for Low Level radioactive Waste (LLRW ) disposal, a volume reduction senice industy has emerged offering ieal disposal cost savings.

Previous decommissioning cost estimates accurately reflected senice available at that time. Volume reduction methods applied to Vallecitos Nuclear Center (VNC) decommissioning represent the basis for the cost reductions taken in the most recent estimates. These volume reduction methods are described below.

1 CONCRETE /S0ll WASTE Recent experience indicates a significant portion of the CONCRETE / SOIL WASTE removed at decommissioning wiu likely be contaminated at very low levels. Disposal at a facility, such as Emirocare in Utah, will now be possible for materials

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l contaminated to picocurie-per-gram levels. Recent experience at ETEC and VNC

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were taken into account in deriving at the amount of waste that could be assumed to l

be sent to Envirocare.

I Rather than dispose of all the CONCRETE / SOIL WASTE at Beatty, NJ, which was the t

basis for our previous estimate, we now plan to send 90 % of this type of material to Envirocare in Utah, and only 10 % of the LLRW would need to be sent to Barnwell, NC (Beatty no longer being available) for disposal. We used $20 per cu ft for Emirocare and $301 per cu ft for Barnwell. With vary large quantities estimated for disposal, we believe the Envirocare unit cost to be conservative.

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LSA WASTE We have now estimated that approximately 62 % of the VNC low level radioactive waste resulting from decommissioning activities will be in the form of metals, such as piping, vessels, tanks, pumps, valves, instrument leads, etc. These materials can be more economically dispositioned through volume reduction te_hniques such as metal-melt. For current decommissioning estimates, this material is assumed to be sent to Scientific Ecology Group at Oak Ridge for metal-melt processing. This results in a significant reduction in the cost of disposal when compared to burial at Barnwell.

TOTAL IEDUCTION The two above changes in currently available volume reduction technologies result in significant savings potential for decommissioning activities. As a consequence, these alternative methods estimate the reduced overall disposal cost.

Based on the above, a 10 % reduction was applied to the burial cost of each license numbers listed below. In addition, the " RESERVE" was reduced from $448K to $30K, for a total reduction from our previous estimate of $1.5M.

($ in 000's) 1992 1992 1993 License Estimate Burial Estimate Reduction DPR-1

$7,251

$1,570

$7,100

$151 R-33 879 340 800 79 TR-1 13,956 5,203 13,400 556 DR-10 10,896 2,628 10,600 296 RESERVE 448 0

30

.118 i

TOTAL REDUCTION

$1,500 Please advise if I may be of any further assistance.

Very truly yours, f

W. H. Schindler, Manager Government Finance Attachments i

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