ML20153B297

Withdraws Exemption Request from Certain Insurance Coverage & Financial Protection Requirement Limits of 10CFR50.54(w) & 10CFR140.11.If NRC Disagrees W/Conclusion Contained in Ltr, NRC Should Continue to Process 10CFR140.11 Request

ML20153B297
Person / Time
Site:	Maine Yankee
Issue date:	09/17/1998
From:	Zinke G Maine Yankee
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
References
GAZ-98-50, MN-98-60, NUDOCS 9809230059
Download: ML20153B297 (2)

Text

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MaineYankee P.O. BOX 408

• WISCASSET, MAINE 04578 = (207) 882-6321 September 17,1998 MN-98-60 GAZ-98-50 UNITED STATES NUCLEAR REGULATORY COMMISSION Attention: Document Control Desk Washington, D.C. 20555

References:

(a) License No. DPR-36 (Docket No. 50-309)

(b) Letter: M.B. Sellman to USNRC; Certifications of Permanent Cessation of

- Power Operation and Peimanent Removal of Fuel From The Reactor; MN 89, dated August 7,1997.

-(c) Letter: Michael J. Meisner to USNRC, Request for Exemption From the Financial Protection Requirement ~Limits of 10CFR50.54(w) and 10CFR140.11, MN-98-01, dated January 20,1998.

(d) Proposed Rule: 10 CFR Parts 50 and 140; Financial Protection Requirements i for Permanently Shutdown Nuclear Power Reactors [FR 58690]; October 30, l 1997

Subject:

Withdrawal of Exemption Request From the Financial Protection Requirement Limits of 10CFR140.11.

Gentlemen:

In Reference (b), Maine Yankee infomied the USNRC that the Board of Directors of Maine Yankee had decided to permanently cease operations at the Maine Yankee Plant and that fuel had been

. permanently removed from the reactor. In accordance with 10CFR50.82(a)(2) the certifications in the letter modified the Maine Yankee license to pemianently_ withdraw Maine Yankee's authority to operate the reactor.

In Reference (c), Maine Yankee submitted requests for exemptions from certain insurance coverage and financial protection requirement limits of 10CFR50.54(w) and 10CFR140.11. Maine Yankee is withdrawing the exemption request from 10CFR140.11. The staff should continue to process the g

exemption request from 10CFR50.54(w). O Maine Yankee has concluded that 10CFR140.11 does not apply to a nuclear power plant which has certified " permanent cessation of operations and permanent removal of fuel from the reactor vessel operation" under 10CFR50.82(a)(2). 10CFR140.2 (Scope) (a)(1) states :"To each person who is an l applicant for or holder of a license issued pursuant to 10 CFR parts 50 and 54 of this chapter to operate a nuclear reactor...."(Emphasis added). 10CFR50.82 (Termination oflicense)(a)(2) states M) o

"Upon docketing of the certifications for permanent cessation ofoperations and permanent removal l of fuel from the reactor vessel, or when a final legally effective order to permanently cease j operations has come into effect, the 10 CFR part license no longer authorizes operation of the

! reactor or emplacement or retention of fitel into the reactor vessel." (Emphasis added). Maine Yankee filed the 50.82(a)(2) certification on August 7,1997; therefore,10CFR140.11 no longer  ;

applied as of that date.

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9809230059 990917" PDR ADOCK 05000309 I PDR i

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MaineYankee l

l UNITED STATES NUCLEAR REGULATORY COMMISSION MN-98-60

. Attention: Doctanent Control Desk - Page Two l

l Maine Yankee is aware, via Reference (d), that the staff is proposing to clarify 10CFR140.ll applicability to permanently shutdown Part 50 power reactors, however, we believe that the scope i

of 140.11 as defined by 140.2(a)(1) renders this effort unnecessary.

l The annual premium date for the insurance carried pursuant to 10CFR140.11 is October 1,1998.

Subsequent to this date, Maine Yankee no longer intends to maintain financial protection (in the l form of private liability insurance) pursuant to 10CFR140.ll. Maine Yankee does, for business

, purposes, intend to carry $100 million in primary nuclear liability coverage until such time as such coverage is deemed unnecessary for business purposes.

Should the NRC staff disagree with the conclusions contained in this letter, we request that the staff continue to process the 10CFR140.11 exemption request, and to immediately notify Maine Yankee to this effect.

Please do not hesitate to call should you require additional information.

Very truly yours,

%George A. Zinke, Di or Nuclear Safety and Regulatory Affairs Department 1

c: Mr. H.J. Miller Mr. Michael Webb-Mr. Patrick J. Dostie '

Mr. M. Roberts Mr. Uldis Vanags Mr. Michael T. Masnik j l

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