ML20151R385
| ML20151R385 | |
| Person / Time | |
|---|---|
| Site: | 05000054 |
| Issue date: | 03/14/1988 |
| From: | Mcgovern J CINTICHEM, INC. |
| To: | Rubenstein L NRC |
| References | |
| NUDOCS 8804270309 | |
| Download: ML20151R385 (5) | |
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4 CINTiCHEM, INC.
a whoilh owned subsidier y of Medi-Physics, Inc.
P.O. BOX 818. TUXEDClNEW YORK 10987 (914] 351-2131 March.14, 1988 Mr. Lester Rubenstein.
U. S. Nuclear Regulatory Commission Washington ~,' DC.20005 DOCKE EO USNRC-
Dear >Mr. Rubenstein:
RULES (P 0,UP OBR
SUBJECT:
Cintichem Inc.
Sterling Forest Reactor 88 A7 :50
'a-Docket No. 50-54 The purpose of this letter is to~ elicit Nuclear Regul tory Commission (NRC)
Staff comments f on the proposed procedure in Section II below by which Cintichem, Inc. would apply for an exemption from the current NRC requirement to convert research reactors using high-enriched uranium (BEU) fuel to low-enriched uranium (LEU) fuel.
I.
Introduction On February 25,
- 1986, the Nuclear Regulatory Commission issued its Final Rule entitled "Limiting the Use of Highly Enriched Uranium in Domestically Licensed Research and Test Reactors",
51 Fed.
Reg.
6514 (1986).
This Final Rule amended NRC regulations to limit the use of highly enriched uranium fuel in research and test (non-powe r) reactors.
For existing licensed non-power
The rule is set out in the NRC regulations at 10 CFR 50.64.
The rule provides that exemptions from the requirement to replace HEU fuel with LEU fuel may be given upon a
determination by the Commission that a non-power reactor has i
a' unique. purpose as defined.in.
101 CPR' 50.2 of the Commission's regulations.
Section 50.2 defines unique purpose as:
... a proj ect, program or commercial activity which cannot reasonably be accomplished without the use of HEU fuel, and may includes (1)
A specific experiment
- program, or commercial activity (typically long-term) that significantly serves the U.S.
national k.
interest and cannot be accomplished without the use of HEU fuel; (2) Reactor physics 1; or reactor development based explicitly 'on the-use of HEU fuel, (3) Research projects. based on neutron flux levels or spectra attainable only with HEU fuel; or (4) a reactor : core of special design that could not perform 'its intended function.without-using HEU' fuel.
10 OSO:
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-CFR 50.2.
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Nuclear Regulatory Commission March 14, 1988 Page 2 The Commissions regulations further provide >at 10 CFRL50'.12 that (a). The' Commission :may, upon - applicati'on:.. by. any interested person' or-upon ' tits 'own- -initiative, grant ' exemptions from' the requi'reuents. of.the.
regulations of this part,.which are -
.(1): Authorized by law, willDnot present an undue risk to the public: health and-
- safety, and are-consistent. with~ the common defense and security.
(2)
The commission ' will not consider granting an exemption un1'ess special.
circumstances are present.
Special circumstances are present whenever -
...(iii) Compliance would result in undue hardship or other' costs that are significantly in ' excess of those
. contemplated'.
when the regulation was~ adopted, or that are significantly -in excess of those incurred by others similarly.
situated, or (iv) The exemption would result in benefit to the public health ~ and safety that compensates. for any decrease in safety that' may. result _
t from-the grant of the exemption, or
...(vi)
There is present any other.
material circumstance not' considered when the regulation'was adopted for which it would be in the public interest to grant..an -
exemption.
If such condition is relied on exclusively for:
i satisfying paragraph (a)
(2) 'for this section, the exemption may not be granted until the-Executive Director for Operations has consulted.with the Commission..
JJM/69B.
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0 U.
S. Nuclear Regulatory Commission March 14, 1988 Page 3 Cintichem, Inc. is licensed pursuant to NRC Licenses R-81 and SNM 639 to own and operate the Sterling Forest Reactor in Tuxedo, New York.
The Sterling Forest Reactor is a five (5) megawatt MTR research reactor used in the manufacture of radiopharmaceutical products.
The isotope production program at the reactor is the
~
sole U.S.
source of~ vital radioisotopes for certain medical applications.
The reactor produces medien1 radioisotopes by irradiating target material in the reactor core.
HEU fuel is currently used to power the reactor.
The radioactive targets are then transferred to the adjoining hot laboratory where desired isotopes are chemically separated and packaged for shipment to hospitals and pharmaceutical firms throughout the world.
The Sterling Forest facility is the only commercial supplier of reactor-produced isotopes in the United States.
It also produces a
substantial share of the world's need for medical radioisotopes.
One in every four patients in U.S.
hospitals benefits from a nuclear diagnostic procedure and seventy percent of all nuclear diagnostic procedures are performed with reactor-produced isotopes, amounting to more than 125 million in vivo and in vitro diagnostic tests conducted yearly in the United States.
Conversion of the Sterling Forest Reactor, as required by 10 CPR 50.64, from the current HEU fuel to LEU fuel will have an adverse impact on the operating characteristics of the reactor.
The resulting reduction of thermal flux from LEU fuel, the change in the neutron energy spectrum and the anticipated reduction in core excess reactivity will be detrimental to the isotope production program at Cintichem and thus to the continued and continuous supply of these short-lived radioisotopes to medical facilities.
In particular, conversion of LEU fuel is expected to result in an approximately 10% reduction in isotope production capacity and concomitantly in an approximately eighteen (18) percent increase in reactor operating costs.
Moreover, initial core conversion costs are expected to be substantial.
All of these adverse effects on the Cintichem operation were explained in detail in its application for special purpose exemption in 1986.
Funding for conversions to LEU fuel was the subject of comment by licensees prior to the publication of the final rule.
In the Statement of Considerations accompanying the adoption of 10 CPR 50.64 ("Section I-Background") the following is set forth:
In publishing the proposed rule for public comments, the Commission indicated in the Supplementary Information section that it shares the licensees' expressed views that conversion costs should largely or entirely be financed by the Federal Government.
- And, JJM/69B l
U.
S. Nuclear Regulatory Commission March 14, 1988 Page 4 After reviewing these comments, the Commission is of the view that conversion costs of all domestic non-power reactors directed to convert should be financed fully by the Federal Government...
Such financing would allow the Commission to impose only the minimum amount of regulation on non-power reactor licensees to fulfill its obligations under this Act to promote the common defense and security and to protect the health and safety of the public and will permit the continued conduct of widespread and diverse research and development activities by these licensees.
(Emphasis as in original text) 51 Fed. Reg. 6514 et. sea (19 86).
Additionally, the Commission added in its definitions section at 10 CPR 50.2 a statement that Federal Government funding for conversion means funds appropriated to DOE or another Federal Agency to directly pay for or to reimburse non-power reactor licensees for conversion costs.
I In accordance with the stated intent of the Commission, Cintichem applied to the U.S.
Department of Energy (DOE) for funding for conversion to LEU fuel.
By letter dated February 11, 1987, DOE i
notified Cintichem that not only would conversion funds be unavailable during Fiscal Year 1987, but that DOE plans include funding for conversion of university reactors alone.
l II.
Proposed Procedure for Exemption from 10 CFR 50.64 of the Nuclear Requlatory Commission's Regulations As noted above, the Commission's regulations provide for exemptions from the requirements of 10 CPR Part 50.
Cintichem, Inc. proposes that it file with the NRC Staff a request for exemptians from the requirements in 10 CFR 50.64 that the Sterling Forest Research Reactor convert f rom HEU fuel to LEU fuel.
Such request would be made pursuant to 10 CFR 50.12 (a)
(2)
(iii), which addresses those situations where compliance would result in undue hardship or other costs significantly in excess of those contemplated when the regulation was adopted or significantly in excess of those l
costs incurred by others similarly situated.
Cintichem would set out the unusual circumstances that set it apart from other research reactors.
See In the Matter of Duke Power Company (Catawba Nuclear Station, Units 1 and 2) CLI-75-9, 2 NRC 180 (1975).
Cintichem would also file its exemption request pursuant to the provisions of 10 CFR 50.12 (a)
(2)
(iv), which is meant to address situations where benefits to health and safety from the exemption would compensate for any decrease in safety that may result from the grant of the exemption, and may also seek relief under the terms of 10 CFR 50.12 (a) (2) (vi),
which provides for equitable relief in circumstances not foreseen in promulgating Sections 50.12 (a) (2) (1) thorough 50.12 (a) (2) (v).
JJM/69B
U.
S. Nuclear Regulatory Commission March 14, 1988 Page 5 Since the Sterling Forest Research Reactor is unique among research reactors in its role of providing reactor-produced radioisotopes for use in the medical community, it is unlikely that an exemption, if granted, would apply to any other research reactor's circumstances.
Use of 10 CFR 50.12 as a ve'aicle for requesting an exemption f rom 10 CFR Part 50 requirements on the basis of financial hardship is within the Commission's authority to consider that unusual difficulties or economic hardship may justify an exemption.
In the Matter of Cleveland Electric Illuminating Company et.
al.
(Perry Nuclear Power Plant, Units 1 and 2) LBP-85-33, 22 NRC 442, 445 (1985).
Cintichem, Inc.
is prepared to show that, in its good faith efforts to comply with 10 CFR 50.64, studies have been conducted at Cintichems expense that show the deleterious effects of LEU fuel on medical radioisotope production.
Cintichem would file with the NRC Staff a written. request for exemption accompanied by all necessary supporting affidavits.
Alternatively, Cintichem would file for an exemption to 10 CFR 50.64 in accordance with the unique purpose exemption as stated in 10 CFR 50.2, on the basis that reactor operation, as discussed
- above, could not reasonably be accomplished if LEU fuel were required for the Sterling Forest Reactor.
Cintichem requests that the NRC Staff review the procedures proposed herein and return its comments thereon to the undersigned.
Respectfully submitted,
/?<^ s ames McGovern Plant Manager JJMcG/bjc l
JJM/69B
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