ML20155G945

Forwards Rev 1 to M01-1258-002, Decommissioning Cost Analysis for Myaps, Detailing Study of Decommissioning Costs.Rev 1 to Post-Shutdown Decommissioning Rept, Encl. Info Is Submitted as Required by 10CFR50.82(a)(8)(iii)

ML20155G945
Person / Time
Site:	Maine Yankee
Issue date:	11/03/1998
From:	Zinke G Maine Yankee
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
Shared Package
ML20155G948	List: ML20155G945 ML20155G951 ML20155G959
References
GAZ-98-55, MN-98-65, NUDOCS 9811090264
Download: ML20155G945 (4)

Text

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l L MaineYankee P.O. BOX 408

• WISCASSET, MAINE 04578 + (207) 882-6321 I

l November 3,1998

! MN-98-65 GA Z-98-55 L

UNITED STATES NUCLEAR REGULATORY COMMISSION Attention: Document Control Desk 1 Washington, DC 20555 i

References:

(a) License No. DPR-36 (Docket No. 50-309) l* (b) Letter: M. B. Sellman to USNRC; Certifications of Permanent Cessation of Power Operation and That Fuel Has Been Permanently Removed From the Reactor; MN-97-89 dated August 7,1997 (c) Letter: .M.Meisner to USNRC; Post Shutdown Decommissioning Activities Report; MN-97-99 dated August 27,1997 (d) Draft Regulatory Guide DG-1067; " Decommissioning of Nuclear Power Reactors" June 1997.

(e) Draft Regulatory Guide DG-1071; " Standard Format And Contents for Post-Shutdown Decommissioning Activities Report"; December 1997.

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Subject:

10CFR Part 50.82(a)(8)(iii) Site-Specific Decommissioning Cost Estimate and PSDAR Update Gentlemen: j i

As required by 10CFR Part 50.82(a/f)(iii), Maine Yankee is submitting the Site-Specific i Decommissioning Cost Estimate and an updated summary of the decommissioning cost originally )

submitted in reference (c).

- Attachment A," Decommissioning Cost Analysis for the Maine Yankee Atomic Power Station" prepared for Maine Yankee by TLG Services, Inc. and dated October 28,1997, is a detailed study of the decommissioning costs and was included in our November 5,1997 submittal to the Federal Energy Regulatory Commission. This cost estimate meets the level of detail specified in section 11 ofreference (d) and as such will be referred to as the Maine Yankee " Site-Specific Decommissioning l Cost Estimate". The format of the estimate does not however break down the costs into the I

categories ofdecommissioning costs as defined in the Post Shutdown Decommissioning Activities Report (PSDAR) i.e. (Radiological) Plant Dismantlement, Spent Fuel Management, and Site Restoration (Green fielding). Consequently we are also submitting a revision to the PSDAR l Summary of Decommissioning Costs as Attachment B to this letter. I 9811090264 981103 8 pcb\ .

PDR ADOCK 05000309 is  !

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MaineYankee UNITED STATES NUCLEAR REGULATORY COMMISSION MN-98-65 Attention: Document Control Desk Page Two Attachment B, is a revision to the decommissioning cost estimate presented in the Maine Yankee l Post Shutdown Decommissioning Activities Report (PSDAR) and is derived from the data contained l in Attachment A; however it is organized into the cost categories specified in reference (e). Fo-

! example, Maine Yankee apportioned staffing, tax, insurance, security and other costs identified in l Attachment A to the Dismantlement, Fuel Management, and Site Restoration categories discussed

! in the PSDAR.

Within the last several months, and after the completion of the Site-Specific Cost Estimate, Maine l Yankee has contractually engaged a Decommissioning Contractor (DOC), and asbestos abatement ,

contractor, and has completed the initial site characterization. The known and estimated fixed costs i of these contracts and other items have been factored into recent estimates ofdecommissioning costs i and have been presented to intervenors of Maine Yankee's Federal Energy Regulatory Commission I

(FERC) rate case.

The projections presented to FERC, less the costs of the Texas Compact, total $531M in 1998 l dollars assuming a 4.5% escalation rate.

This projection compares very favorably with the enclosed Site-Specific Cost Estimate, (Attachment I A), which when escalated from 1997 to 1998 dollars at 4.5%, also totals $531M. The two estimates, derived by different techniques, validate both the Site-Specific Cost Estimate and the projections  !

presented in conjuction with the rate setting proceedings. i 1

As decommissioning activities are initiated and completed, the actual costs will be compared against the estimates submitted in Attachments A and B. Maine Yankee will update the PSDAR in accordance with 10 CFR 50.82 for changes which significantly increase the decommissioning cost (i.e. using the guidance contained in section 10 of reference (d)- a new estimated cost greater than 20 percent above the PSDAR estimate or a 25 percent increase above a major milestone cost estimate).

Please contact us should you have any questions or desire additional im, anation.

Very truly yours, George A. Zinke Director, Nuclear Safety and Regulatory Affairs i

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Attachments c: Mr. H. J. Miller Mr. M.K. Webb Mr. M. Masnik Mr. M. Roberts Mr. Patrick J. Dostie Mr. R. Bellamy i

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ATTACHMENT A DECOMMISSIONING COST ANALYSIS for the MAINE YANKEE ATOMIC POWER STATION Prepared by: TLG Services,Inc.

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