ML20087M413

Requests Withholding of Proprietary Info Requested by Util from Public Disclosure (Ref 10CFR2.790).Affidavit AW-76-60 Encl

ML20087M413
Person / Time
Site:	Mcguire, McGuire
Issue date:	03/14/1984
From:	Wiesemann R WESTINGHOUSE ELECTRIC COMPANY, DIV OF CBS CORP.
To:	Harold Denton Office of Nuclear Reactor Regulation
Shared Package
ML19268E719	List: ML20087M401 ML20087M407 ML20087M413 ML20087M417
References
CAW-84-18, NUDOCS 8403290279
Download: ML20087M413 (10)

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Westinghouse Water Reactor sex 3:5 Electric Corporation Divisions Pinsuurg3Pennsvfvania15233 March 14, 1984 CAU-84-18 Mr. Harold R. Denton, Director Office of Nuclear Reactor Regulation U.S. Nuclear Regulatory Commission 3- Phillips Building 7320 Norfolk Avenue Bethesda, Maryland 20014 APPLICATION FOR WITHHCLDING PROPRIETARY IliFORf1ATION FROM PUBLIC DISCLOSURE Ref: Duke Power Company letter, Canady to Denton, liarch 1984

Dear Mr. Denton:

The proprietary material for which withholding is being requsted by Duke Power Company is proprietary to Westinghouse and withholding is requested pursuant to the provisions of paragraph (b)(1) of Section 2.790 of the Commission's regulations. Withholding from public disclosure is requested with respect to the subject information which is further identified in the affidavit accompanying this application.

The proprietary material transmitted by the referenced letter supplements the proprietary material previously submitted. Further, the affidavit submitted to justify the previous material was approved by the Commission on April 17, 1978 and is equally applicable to the subject material.

Accordingly, withholding the subject information from pubife disclosure is requested in accordance with the previously submitted affidavit, AW-76-60, a copy of which is attached.

Accordingly, this letter authorizes the use of the proprietary information and affidavit AU-76-60 by the Duke Power Company for 11cGuire Nuclear Station.

Correspondence with respect to this application for withholding or the accompanying affidavit should reference CAW-84-18 and be addressed to the undersigned.

Very .ruly yourt,

/Mkh Robert A. Wiesemann, Mardger G

Regulatory and Legislative Affairs ,

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/ KEG Enclosure (s) l cc: E. C. Shonaker, Esq. l Office of the Executive Legal Director, NRC 8403290279 840323 DR ADOCK 05000 -

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AW-76-60 s

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AFFIDAVIT-COMMONWEALTH OF PEilNSYLVANIA:

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. COUNTY OF ALLEGHEllY:

Before me, the undersigned authority, personally appeared Robert A. Wiesemann, who, being by me duly sworn according to law, de-poses and says that he is authorized to execute this Affidavit on behalf of 1[estinghouse Electric Corporation (" Westinghouse") and that the aver-ments of fact set forth in this Affidavit are true and correct to the best of his knowledge, information, and belief:

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- Robert A. Wiesemann, Manager Licensing Programs .

Sworn to and subscribed before,me this 8 ' day of 80!ard2d 1976.

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AW-76-60 s

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(1) I am Manager, Licensing Programs, in the Pressurized Water Reactor Systems Division, of Westinghouse Electric Corporation and as such,

.I have been specifically delegated the function of reviewing the proprietary information sought to be withheld frem public dis-closure in connection with nuclear power plant licensing or rule-

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making proceedings, and am authorized to apply for its withholding bn behalf of the Westinghouse Water Reactor Divisions.

(2) , I am making this Affidavit in conformance with the provisions of 10 CFR Section 2.790 of the Commission's regulations and in con-junction with the Westinghouse application for withholding ac-companying this Affidavit.

(3) I have personal knowledge of the criteria and procedures utilized by Westinghouse Nuclear Energy Systems in designating information as a tiade secret, privileged or as confidential commercial or

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' financial information.

(4) Pursuant to the provisions of paragraph (b)(4) of Section 2.790 of the Commission's regulations, the following is furnished for consideration by the Commission in determining whether the in-formation sought to be withheld from public disclosure should be

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(i) The information sought to be withheld'from public disclosure ir owned and has been held in confidence by Westinghouse. -

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AW-7G-60 s

(ii) The information is of a type customarily held in confidence by Westinghouse and no't customarily disclosed to the public.

Westinghouse has a rational basis for determining the types of information customarily held in confidence by it and, in that connection, utilizes a system to determine when and whether to hold certain types of information in confidence. The ap-p11 cation of that system and the substance of that system constitutes Westinghouse policy and provides the rational basis required.

Under that system, information is held in confidence if it falls in one or more of several types ~, the release of which might result in the loss of an existing or potential com-petitive advantage, as follows:

(a) The information reveals the distinguishing aspects of a

' process (or componeat, structure, tool, method, etc.)

where prevention of its use by.any of Westinghouse's i

competitors without license from Westinghouse constitutes a competitive econcmic advantage over other companies.

(b) It consists of supporting data, including test data, relative to a process (or component, structure, tool, method, etc.), the application of which data secures a competitive economic advantage, e.g., by optimization or improved marketability.

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AW-76-60 (c) Its use by a ccmpetitor would reduce his expenditure of resources or improve his competitive position in the

, design, manufacture, shipment, installation, assurance of quality, or licensing a similar product.

(d) It reveals cost or price information, production cap-acities, budget levels, or commercial strategies of Westinghouse, its customers or suppliers.

(e) It reveals aspects of past, present, or future West-inghouse or customer funded development plans and pro-grams of potential commercial value to Westinghouse.

(f) It contains patentable ideas, for which patent pro-tection may be desirable. .

(g) It is not the property of Westinghouse, but must bc '

treated as proprietary by Westinghouse according to agreements with the owner. -

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3 There are sound policy reasons behind the Westinghouse system.which include the following:

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(a) The use of such information by Westinghouse gives Westinghouse a competitive advantage over its com-t petitors . It is ,' therefore, withheld from disclosure to protect the Westinghouse competitive position.

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o AW-76-60 (b) It is information which is marketable in many ways. ,

The extent to 'which such information is available to competitors diminishes the Westinghouse ability to sell products and services involving the use of the information.

(c) Use by our competitor would put Westinghouse at a competitive disadvantage by reducing his expenditure of resources at our expense.

(d) Each component of proprietary information pertinent to a particular competitive advantage is potentially as valuable as the total competitive advantage. If competitors acquire components of proprietary infor-mation, any one component may be the key to the entire ,

puzzle, thereby depriving Westinghouse of a competitive advantage. ,

i (e) Unrestricted disclosure would jeopardize the position

' of preminence of Westinghouse in , the world market, and thereby give a market advantage to the competition in those countries.

(f) The West [inghouse capacity to invest corporate assets in research and development depends upon the success

. . in obtaining and maintaining a competitive advantage.

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AW-76-60 (iii) The infor'mation is being transmitted to the Cc= mission in '

confidence and, under the provisions of 10 CFR Section 2.790,

, it is to be received in confidence by the Commission.

l (iv) The information is not available i' public sources to the best of our knowledge and belief. '

t (v) The proprietary information sought to be withheld in this sub-mittal is that which is appropri'ately marked in the attach-ment to Westinghouse letter number NS-CE-1298, Eiche1dinger to Stolz, dated December 1,1976, concerning information relating to NRC review of WCAP-C567-P.and UCAP-8563 ontitled, " Improved Thermal Design Procedure," defining the sensitivity of' DNG ratio to various core parame,ters. The letter and attachment are being submitted in response to the NRC request at the October 29, 1976 NRC/ Westinghouse meeting.

This information enables Westinghouse to

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(a) Justify the Westinghouse design.

i (b) Assist its customers to obtain licenses. ,

(c) Meet warranties.

, .(d) Provide greater operational flexibility to customers assuring them of safe and reliable operation.

(e) Justify increased power capability or operating margin for plants while assuring safe and reliable operation.

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AW-76-60 (f) Optimize reactor design and performance while maintaining <

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a high level of fuel integrity.

Further, the information gained frca the improved thermal

design procedure is of significant cc

=ercial value as follows:

(a) Westinghouse uses the information to perform and justify analyses which are sold to customers.

(b) Westinghouse sells analysis services based upon the ,

experience gained and the methods developed.

Public disclosure of this information concerning design pro-cedures is likely to cause subs,tantial harm to the competitive position of Westinghouse because competitors could utilize  !

this information to assess and ' justify their own designs '

without commensurate expense. -

I The parametric analyses performed and their evaluation represent -

a considerable amount of highly qualified development effort.  !

This work was contingent upon a design method development pro- ,

gram which has been underway during the past two years.

Altogether, a substantial amount of money and effort has been '

expended by Westinghouse which.could only be duplicated by a competitor if he were to invest similar sums of money and pro-vided he had the appropriate talent available.

Further the deponent sayeth not.

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