ML20126K085

Responds to to President Reagan Urging Careful Consideration of Safety Issues in Licensing Facilities in Ca.Nrc Conducts Detailed Review of All CP & OL Applications

ML20126K085
Person / Time
Site:	Diablo Canyon, San Onofre
Issue date:	05/04/1981
From:	Dircks W NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO)
To:	Mills J CALIFORNIA, STATE OF
Shared Package
ML20126K089	List: ML20126K085 ML20126K091
References
NUDOCS 8105110252
Download: ML20126K085 (6)

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The Honorable James R. Mills

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Dear Mr. tiills:

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i, Your March 4,1981 letter to President Reagan urging the careful s1 of safety issues in the licensing for nuclear power plants in Califo and specifically the licensing of Diablo Canyon, Units 1 and 2 and the San Onofre, Units 2 and 3 has been referred to me for response.

l The Atomic Energy Act of 1954, as amended, and the Energy Reorganization Act l

of 1974 establishes the autnority of the kRC to license and regulate nuclear power plants. To carry out this responsibilitys the NRC conducts a detailec review of all applications for licenses to construct and operate nuclear power plants.

The purpose of this detailed review, as required by the Atomic Energy Act, is to assure that the proposed facilities can be built and operated safely at the proposed locations and tnat all structures, systems, and cccponents important to safety will be designed to withstand the effects of accidents, l

without posing an undue risk to the health and safety of the public. Such cetailed reviews were conducted for both Diablo Canyon, Units 1 and 2 and San Onofre Units 2 and 3, prior to the issuance of their respective construction permi ts. As required by the Atomic Energy Act further detailed reviews for both these projects are being conducted in connection with their application for operating licenses.

With regard to the licensing of the Diablo Canyon, Units 1 and 2, as you no doubt are aware, since docketing of its operating license application in late i

1973 there have been major plant improvements that have been made as the result of a seismic reevaluation of the facility and as the result of applying the lessons learned from the Three Mile Island (TMI) accident.

Pacific Gas and Electric Company filed a motion last year with the Atomic Safety ano Licensing Boara (ASLB) for authorization to load fuel ano concuct i

low power testing prior to final Comission action with respect to PGaE's i

application for a full-ters operating license. The NRC staff subsequently 1ssued suppleeents to the Diablo Canyon Safety Evaluation Report which acdressed additional issues related to fuel load and low power issues arising i

from the Three Mile Island (THI) accident. Intervenors and Governor Brown have sought to re-open the record on Diablo Canyon with respect to these matte rs. The ASLB has acsnitted scee issues as a result of Intervenors' arguments and has scheculed hearings on TMI-related issues to comence on May 19,1981. Assuming that existing Comission procecures remain unchanged, a decision is not expected until Decemoer of 1981.

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• Early in 1980, the Atomic Safety and Licensing appeal Boarc (ASLAB) reopened the record on earthquake design and facility security issues.

The Appeal Board conducted evidentiary hearings on these matters in October and November 1980 and is expected to issue a decision on those issues in tne near future.

With regard to the full power license, in early April the NRC issued supplecents l

to the Diablo Canyon Safety Evaluation Report on TMI issues related to full power and several remaining other issues.

This essentially completes the MC staff actions with respect to full power license.

A Connission decision on full power operation is not expected before March cf next year.

With regard to the licensing of the San Cnofre Units 2 and 3, which was decketed for operating license review in Narch 1977, the staff has completed the major part of its review.

Staff safety evaluations were issued on December 31, 1980,

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February 6,1981 and February 25, 1981. The review of the San Cnofre Units 2 and 3 by the Advisory Connittee on Reactor Safeguards was completed "aren 1951.

A safety evaluation report addressing issues identified by the AC's5 anc the remaining outstanding issues is in prepara:1on and is scheculed to be issued

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in May. We anticipate the hearings on this project to concence in June or July.

l Thus, the post-TMI picture of tne licensing process is tnat the process is returning to predictability at a considerably enhanced level of safety.

Hcwever, the implementation of this enhanced level of safety nas raised a nurter of potential new issues in the contested hearings for both operating licenses and construction permits around the country.

Some of these units were substantially complete at the time of the Three Hile Island accident or have been ecmpletea since then (such as Diaolo Canyon and San Cnofre).

Thus, we do face a situation in which, for tne first time, our hearings are or will be continuing for a significant nuceer of plants that will be complete anc ready to operate cefore the hearings conclude. As a result, we are worxing to find ways to accelerate the hearings on these plants, i

To that end, major improvements in the licensing process are uncersay or being consi dered. These improvements include:

Expedited and rescheduled review by the NRC staff for plants in tne short tern category--those presently complete and tnose to be cocpleted in 1981 and 1982.

Increased efficiency of the hearing process and subsequent Cornission and Appeals Board review. The time now being taken between issuance of the supplemental staff evaluation report and initial decisions by licensing boards averages 18 months. The NRC believes it can compress that time to about 10 months by tightening up the times allowed for each part of tre prehearing process and by providing firmer time management of the whole process. The Cormission has published for public cement preposec chances to its rules wnich would accomplish this.

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! Changes in the review process the Comission itself exercises over these cases. The Comission is considering two alternatives to shorten this review period which could save at least two months in each case that has been in hearing.

Early completion of NRC staff review for plants to be completed in 1983 and I

beyond. This will recuire better scheduling of reviews and increased staff resources applied to casework. Some staff resources can be redirected-by deferring lower priority work and shifting some work to other NRC offices.

Before making such a change, the Comission will carefully review the impact on other essential safety-related activities.

One further step to be considered is legislation to authorize the Comission to issue limited, interim operating licenses before completion of hearings where all applicable safety recuirements have been met.

2 In summary, we are confident the actions we have taken and thos2 we will take will provide major improvements in licensing schedules without comprcmising the regulatory requirements for safety.

We appreciate your interest in the Diablo Canyon and San Onofre projects.

Please be assured that while the NRC is taking reasonable steps to expedite the licensing process, the steps are totally consistent with our comitment to ensure the public health and safety.

j Sincerely, (Sipe:D Mllam J. Dircks William J. Dircks, Executive Director for Operations l

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i ACTION CONTROL DATES CONTRO L NC10371 PROM:

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OESCRiPTION O LETTEa C MEMc C REPORT C CTHER SPECIALINSTBUCTIONS OR REMARKS N.

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