ML20148G145

Informs That WCAP-11671, Point Beach Unit 2 Steam Generator Tube Fatigue Presentation Will Be Withheld from Public Disclosure (Ref 10CFR2.790(b)(5)),per 871124 Request,Due to Listed Reasons

ML20148G145
Person / Time
Site:	Point Beach
Issue date:	03/18/1988
From:	Wagner D Office of Nuclear Reactor Regulation
To:	Fay C WISCONSIN ELECTRIC POWER CO.
References
NUDOCS 8803290047
Download: ML20148G145 (6)

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~,, UNITED STATES

! n NUCLEAR REGULATORY COMMISSION h $ WASHINGTON, D. C. 20555

'**** March 18, 1988 Docket No. 50-301 Mr. C. W. Fay, Vice President Huc' ear Power Departrient Wisconsin Electric Power Company 231 W. Michigan Street, Room 308 Milwaukee, Wisconsin 53201

SUBJECT:

REQUEST FOR WITHHOLDING INFORMATION FROM PUBLIC DISCLOSURE By your application dated November 24, 1987, you submitted the Westinghouse report, "Point Beach Unit 2 Steam Generator Tube Fatigue Presentation,"

(WCAP-11671) November 1587, and requested that it be withheld from public disclosure pursuant to 10 CFR 2.790.

A letter and an affidavit from Westinghouse, the owner of the infomation, was included in your application. In the letter, Westinghcuse stated that the submitted information should be considered exempt from :randatory public disclosure for the following reasons:

"1. The information sought to be withheld from public disclosure is owned and has been held in confidence by Westinghouse.

"2. The information is of a type customarily held in confidence by Westinghouse and not 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 detemine when and whether to hold certain types of infomation in confidence.

The application of that system and the substance of that i system constitutes Westinghouse policy and provides the rational basis required.  !

"Under that system, infomation 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 component, structure, tool, method, etc.)

where prevention of its use by any of Westinghouse's J l

competitors without license from Westinghouse consti- I tutes a competitive economic advantage over other corrpanies.

%k32 DO O P i l

Mr. C. W. Fay -E-

"(b) It consists of supporting data, including test data, relative to a process (or component, structure, tool, method,etc.),theapplicationofwhichdatasecuresa competitive economic advantage, e.g., by optimization or improved narketability.

"(c) Its use by a competitor 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 desirat'le.

"(g) It is not the property of Westinghouse, but must be treated as proprietary by Westinghouse according to agreements with the owner.

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

"(a) The use of such information by Westinghouse gives Westinghouse a competitive advantage over its com-petitors. It is, therefore, withheld from disclosure to protect the Westinghouse competitive position.

"(b) It is information which is marketable ir many ways.

The extent to which such infomation is available to ccmpetitors diminishes the Westinghouse ability to sell products and services involving the use of the inforn ation.

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

"(d) Each component of proprietary infomation pertinent to a particular competitive advantage is potentially as valuable as the total competitive advantage. If competi-tors acquire components of proprietary information, any one component may be the key to the entire puzzle, thereby depriving Westinghouse of a competitive advantage.

r Mr. C. W. Fay "(e) Unrestricted disclosure would jeopardize the position of prominence of Westinghouse in the world market, and thereby give a market advantage to the competition in ' se countries.

"(f) The Westinghouse capacity to invest corporate assets in research and developtrent depends upon the success in obtaining and maintaining a competitive advantage.

"3. The infortnation is being transmitted to the Comission in confidence and, under the provisions of 10 CFR Section 2.790, it is to be received in confidence by the Comission.

"4. The infomation sought 4to be protected is rot available in public sources or available infomation has not been pre-  ;

vicusly employed in the same original manner or t.ethod to the best of our knowledge and belief.

"5. The proprietary infomation sought to be withheld in this l submittal is that which is [ identified above]... ,

l "This information is part of that which will enable Westing-house to i

"(a) Provide documentation of the analyses, method and test- I ing for determining plugging margin. )

1

"(b) Establish the minimum wall thickness in compliance with l Regulatory Guide 1.121.

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"(c) Establish the stress limits versus thinning of the remaining tube wall.

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"(d)Establishthemaximumallowableleakageinsupportof j the leak-before-break-ctiteria. 4 1

"(e)AssistthecustomertoobtainNRCapproval. i "Further this infomation has substantial commercial value I as follows: l

"(a) Westinghouse plans to sell similar infomation to its customers for purposes of meeting NRC requirements for licensing documentation.

"(b) Westinghouse can sell support and defense of the tech-nology to its customers in the licensing process.

"Public disclosure of this information is likely to cause substantial harm to the competitive position of Westinghouse because it would enhance the ability of competitors to pro-vide similar analytical documentation and licensing defense

Mr. C. W. Fay '

services for conmercial power reactors without commensurate expenses. Also, public disclosure of the infomation would enable others to use the information to meet NRC requirements for licensing documentation without purchasing the right to use the information.

"The development of the technology described in part by the information is the result of applying the results of many years of experience in an intensive Westinghouse effort and the expenditure of a considerable sum of money.

"In order for competitors of Westinghouse to duplicate this information, similar technical programs would have to be perforned and a significant manpewer effort, having the requisite talent and experience, would have to be expended for system design software development."

i We have reviewed your application and the material based on the requirements and criteria of 10 CFR 2.790 and, on the basis of Westinghouse's statements, have determined that the submitted information sought to be withheld contains trade secrets or proprietary comercial information.

I Therefore, the version of the submitted information marked as pro will be withheld from public disclosure pursuant to 10 CFR 2.790(prietaryb)(5)and Section 103(b) of the Atomic Energy Act of 1954, as amended. '

Withholding from public inspection shall not affect the right, if any, of persons properly and directly concerned to inspect the docun.ents. If the need arises, we may send copies of this information to uur consultants working in this area. We will, of course, ensure that the censultants have signed the appropriate agreements for handling proprietary infomation.

If 19 t' asis for withholding this information from public inspec; ion should change in the future such that the information cculd then be rade available for public inspectio1, you should promptly notify the NRC. You should also understa.:d that the NRC may have cause to review this determination in the future, such cs if the scope of a Freedom of Infonration Act request includes your information. In all review situations, if the NRC makes a deternination adverse to the above, you will be notified in advance of any public disclosure.

Sincerely, hI David H. Wagner, Project Manager  :

Project Directorate III-3 i

Division of Reactor Projects  ;

i cc: See next page Office: L Dy l-3 FM/PDIII-3 PD/Nh-3 ,

Surname: P trtrer 0 Wagner /r1 KEPefbins i Date: 1 /3j /87 12/5(/87 3/pg/g 1 /q/

Ehoma(ker j l

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Mr. C. W. Fay Point Beach Nuclear Plant Wisconsin Electric Power Company Units 1 and 2 cc:

Mr. Bruce Churchill, Esq.

Shaw, Pittman, Potts and Trowbridge p W i g on DC 5b37 Mr. James J. Zach, Manager '

Poit: Beach Nuclear Plant Wisconsin Electric Power Company 6610 Nuclear Road Two Rivers, Wisconsin 54241 Town' Chairman ,

Town of Two Creeks Route 3 Two Rivers, Wisconsin 54241 Chairman Public Service Commission of Wisconsin Hills Farms State Office Building Madison, Wisconsin 53702 Regional Administrator, Region III U.S. Nuclear Regulatory Commission Office of Executive Director for Operations i 799 Roosevelt Road Glen Ellyn, Illinois 60137  !

Resident Inspector's Office U.S. Nuclear Regulatory Conmission 6612 Nuclear Road )

i Two Rivers, Wisconsin 54241 S

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