ML20205R720

Town of Hampton Contention on Applicant Plan to Fund Decommissioning Costs of Seabrook Station.* Supporting Documentation & Certificate of Svc Encl

ML20205R720
Person / Time
Site:	Seabrook
Issue date:	11/02/1988
From:	Brock M HAMPTON, NH, SHAINES & MCEACHERN
To:	NRC COMMISSION (OCM)
Shared Package
ML20205R684	List: ML20205R679 ML20205R720
References
CLI-88-07, CLI-88-7, OL-1, NUDOCS 8811100106
Download: ML20205R720 (11)

Text

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f UNITED STATES OF AMERICA '

NUCLEAR REGULATORY COMMISSION  ;

Before j l Lando W. Zech, Chairman i Thomas M. Roberts Kenneth M. Carr  !

Kenneth C. Rogers  !

j  !

L [

) November 2, 1988 I In the Matter of ) (

) Docket Nos. 50-443-OL-1 l PUBLIC SERVICE COMPANY OF ) 50-444-OL -1 i

! HEW HAMPSHIRE, et al, ) [

} On-Site Emergency Planning e (Seabrook Station, Units 1 and 2) ) & Safety Issues

[

l ) (

)  !

i TOWN OF HAMPTON CONTENTION ON APPLICANTS' PLAN TO FUND f DECOMMISSIONING COSTS OF SEAMROOK STATION l

NOW COMES the Town of Hampton, pursuant to CLI-88-07, and submits l t

the following contention on Applicants' plan to provide reasonable j assurance that adequate funds will be available to safely decommission  !

Seabrook Station in the event that low power operation has occurred and a full power license is not granted (Plan). ,

l TOH P-1 -

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Applicants' Plan fails to include an assessment of the current situatiort with regard to disposal of high level and low level i

radioactive waste, fails to provide an assessment of other site specific factors which could affect decommissioning planning and cost, fails to reasonably assure that there is adequate and safe off-site ,

f disposal capacity for Applicants' radioactive waste generated through (

low power operation, fails to reasonably assure that adequate funding i 8811100106 001102 PDR ADOCK 05000443 r C PDR j r

I wards a. nA.t ace motsww a nwc-erw I - u. ,.- , , s .- . .,.o. ....e f

is available for safe storage of the waste on site, or for delayed decommissioning, fails to reasonably assure adequate funds are available for completion of decommissioning, or for necessary expenses to lawfully and safely terminate the license, and fails to reasonably assure that the facility and site will be suitable for release fer unrestricted use. Applicants' Plan therefore violates 10 CFR 550.33(k), 50.75(a) and (f), and 50.82.

Bases A. Pursuant to 10 C.F.R. 150.75(a) and (f), the licensee is required to provide reasonable assurance that funds will be available for decommissioning through a decommissioning plan assessing all major technical factors that could affect planning for decommissioning.

Factors to be considered in the plan include "the current situation with regard to disposal of high-level and low-level radioactive waste." 550.75(f)(3). To adequately assess the waste disposal situation necessarily requires identification of sites, with adequate available disposal capacity, where Apolicants' radioactive vaste may-be safely stored. Without this detailed assessment, the Plan cannot provide reasonable assurance that decommissioning will be timely or that the site will be made suitable for unrestricted use. 10 C.F.R. 550.2.

Licensees will have to assess the situation with regard to waste disposal as part of the decommissioning plan which they submit according to the requirements of 10 C.F.R. 30.36, 40.42, 50.82, 70.38 and 72.38. In addition, the rule amendments require that at or about five years

[

prior to the projected end of operation, each reactor licensee submit a preliminary decommissioning plan containing a cost estimate 2

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for decommissioning and up to date assessment of the action necessary for decommissioning. The supplementary information of the proposed rule indicated that this requirement would assure that consideration be given to relevant, up to date information which could be important to adequate planning and funding for decommissioning well before decommissioning actually begins. These considerations include an assessnent of the current waste disnosal conditions. If for any reason disposal capacity for decommissioninn wastes were unavailable, there are orovisions in E50.82 to allow delav in connletion of decommissionino which would nernit temnorary safe storace of decornissioninc waste. In addition, E50.82. contains renuirements to ensure that adecuate fundino is available for connletion of delaved decommissionina.

53 Fed. Reg. at 24041 (6/27/88). (Emphasis supplied).

Contrary to the cited regulations, Applicants' plan is devoid of any consideration of "up to date . . . current waste disposal conditions" or an assessment of available disposal capacity for the radioactive waste. If, as Applicants may be suggesting, the high-level nuclear waste generated through low power operation will be permanently disposed of off site,1 Applicants have failed to provide reasonable assurance that there is adequate and available disposal

' capacity in France, or elsewhere, to permanently and safely store this vaste.2 1

"For the purpose of this study, the fuel will be shipped overseas to Europe for reprocessing." Plan, p. 9-2.

2 As the attached article from the Boston Globe indicates, there is, in some quarters, strong opposition to disposal of "American nuclear garbage" in France. See attached. In view of this vehement opposition, it is only prudent that Applicants provide sore greater assurance of adequate and safe off site storage.

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B. Although Applicants appear to claim that the spent fuel, with associated radioactive waste, will be oermanentiv shipped off site within 49 months,3 the plan itself questions this assertion by providing for return of the fuel from France to Seabrook Station.

Plan, p. 9-3. Whether the plan thereby contemplates the return, and on-site storage, of radioactive vaste following fuel reprocessing remains uncertain. The Plan further fails to provide any means for funding to meet this contin,gency. Applicants therefore fail to provide reasonable assurance that decommissioning will be completed on a timely basis, that there is adequate funding for on site waste storage, if required, following fuel reprocessing, or that the facility and site will be suitable for release for unrestricted use.

c. At a minimum, Applicants' plan assumes that high-level nuclear waste will be stored on site for approximately 49 months.

Letter, p. 3. Since completion of decommissioning will be delayed during this period of more than four years, Applicants' plan must provide that funds needed to complete decommissioning will be placed in an account segregated from licensee assets and outside the licensee's administrative control during on-site storage, or otherwise comply with the requirements to reasonably assure adequate funding.

10 C.F.R. 550.82(c). Applicants' plan is deficient for failure to comply with these funding regulations.

i I 3 j Egg, Letter of Edward A. Brown t _ the commission, October 20, 1 1988, p. 3, re: response to CLI-88-07. (Hereinafter Letter.)

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D. Applicants' plan provides utterly n2 assurance that there are adequate funds to meet expenses, including disposal of fuel, that must be incurred by the joint owners before they may lawfully terminate their participation in Seabrook Station. Applicants themselves estimate these costs "in the range of $320 Million to $390 Million in 1988 dollars."4 Applicants' plan, therefore, violates 10 C.F.R. 550.75(f)(3) and (5) for failure to provide an adequate assessment, including an assessment of available funds to assure safe fuel disposal. In addition to fuel disposal costs, Applicants' plan is silent as to how the balance of the $320 to $390 Million in identified costs would be paid. See, N. 4, supra.

Given the Commission's overriding mandate to protect the public safety, and the "unique and unusual circumstances of this case," CLI-88-07, p. 2, Applicants should not be permitted to avoid providing reasonable assurance of its financial qualification to meet all necessary costs associated with lawfully terminating the license.

4 "There are costs, not included, that would be incurred by the joint owners in any event if the project was ter.ninated before low power testing such as: contract termination costs, project accounting, claim settlements, severance pay, property tax settlements, disposal of fuel, non-nuclear related insurance, or the costs of demolition and removal of non-radioactive structures or materials or preparations for total abandonment of the site. (Indeed, if total termination of the project were to occur today prior to any low power testing, the total costs, including those listed herein, are estimated to be in the range of $320 Million to $390 Million in 1988 dollars.)" Letter, p. 6.

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Indeed, to require less would invite default and inadequate funding. As Applicants acknowledge, each joint owner typically is billed for its proportionate share of all expenditures incurred. Egg, Letter, p. 8. Given their respective proportionate shares in seabrook, therefore, and adopting Applicants' estimate of $350 Million for necessary expenses to lawfully terminate the license, joint owners MMWEC and EUA would be required to pay more than four times the $10 Million each presently has set aside for decommissioning. Es.c. ,

Letter, p. 9.6 The Plan provides no assurance, however, that these joint owners have available this additional funding for these necessary expenses.

Respectfully submitted, TOWN OF HAMPTON By Its Attorneys SHAINES & McEACHERN Pro.Leussional Association-i

• N Dated: November 27 1988 - --By __

Matthew T. Brock P

6 MMWEC's share: 11.5934% x $350 Million = $40,576,900.00 EUA's share: 12.1324% x $350 Million = $42,463,400.00 6

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n. e-* t h artive fuel to Irnrwe if the flew fisel f,s 1.3 llag >e. Franwe, trien SrabrookN top official. **1he rent citruth to Scatne.>k% to n=e 11. f chin y. Page II j flampmhtse plant r'ats a low gmwer shtpg Ing it back to line (Jnttal thry woisld Incur uneler this SEA!!HOUK. Page Iti iltense but ,mt s full gw>wer par- Stausin: rar .e. , scheme ts f ar g. eater than the rost

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!i Plan to saip Seaarook fuel .to France hit-i port beense."

l$ QSEABROOK but the NRC sand 1.ast month that beabrmk's Imancial situa- kotert backus. an attorney for l 5L Continued from Page I added.

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In 19f46. Williams added, a testing permit plant ou ners Brown testified that Seabrook must prove they can afford to shut rrany questions. Ilme what's going lh 'could" nell the fuel to US plants. the plant safety if they do not pet 'o hapren to the waste fr.sm the i

l an orerating herme. katetok's reprtressing - ts that poing Io l)

I "That's not a g{uarantec . . . loon'tknow how he Atkins) got that a commitmenL" cy in January and others have stay as in Franct?

LarpestWhat'sowner going happen to the fuel af ter repmcru-to declared bannrupt.

I The tuue of how to hand!! con. had Imancial troutnes.

Ing? Is it conststent with the coals, kabmok filed a plan a week and Toltetes of the huelear hong If taminated fuel would become pruitf eration Act. which wanted to .

- moot tf kabrook gets a km power ago say1ng the emt of dismantilng licenne and a fulbpower permit, the reactor after kw poutr oper- matntain nuclear materials in the' t United States" *;

,{ which would te more likely if the attoft would te 121 million, and next president is Vice President the money is avattable. That emt backus also disagreed with-George Bush, a strong plant sup- did not include dispaing of radio- Seabrook's stand that it is not re!

porter,in that case,it would sim- settve fuel: Williams said the NRC quired to net aside money to hani l 7 ply keep burning fuel trradtated does not require adding in that ex- die fuel shipments and disposal.

• i during low power tests..which pense, and that melling the fuel Rotert Pollard. a former NR6 l

'< Seabrook hopes to begin early should cover any cuts im ohtd. staffer now working for the Union j next year. . The plan calls for sending the of Concerned klentists, which it, ,

fuel by inat. In 32 shipments. to a critical of the nuclear industry, repricesstng plant in La Itague, said fuel reproceu.ed in Franet

',...A.. . , France..with each round inp tak. would contatn too many impurt- l'

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.[ 4 , . Ing 36 dag. In La Hague. Wlb ties to te reused in US reactors. "If I .

s llams said the fuel would be 11 comes tack to us with the gar-(m.wh, ;.: ... , . strtpred of radbactive debris and bage in it who would buy it*/" he

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bage hert." Jataues Picquery, a wk,g., j -y . . , , .-.-., There would then te two op-tions. Wilhams said: Ship the fuel horman potter and president .of .~

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. . % ,. ,, . Ity, as tahed for in the plan, or sell Anti Nuclestre de FlamanvilleQ it to a foreign reactor operator; s.ald in a tekphone interview.'

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AMt-w-- Shtpping the fuel abroad ior re- already get tI from Gerr.any and-.

. 6 proctssing cuid te a first for a Japan. ' iou Americans shound ask e '*v- - US uuhty, said Robert Newhn. an yoursches wnether it's moral to '

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NRC spokesman. "They would send other people things you can't g.y.g . have to get an export license to do deal wi6h at home" e

• ' .,,*.rg( , this and we would censult with Correspondent Clare Mittredpe

',', the State Department on that ca- contrtbuted to this report, p i -

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.  ;-t l CERTIFICATE OF SERVICE '88 NOV -3 P1 :52 I, Matthew T. Brock, one of the attorneys for tho Town of,Hampton herein, hereby certify that on November 2, 1988, I hadelservice of the foregoing do?.uments, TOWN OF HAMPTON MOTION TO ADMIT' LATE-FILED CONTENTION AND REOPEN THE RECORD ON APPLICANTS' FINANCIAL QUALIFICATION TO DECOMMISSION SEABROOK STATION and TOWN OF HAMPTON CONTENTION ON APPLICANTS' PLAN TO FUND DECOMMISSIONING COSTS OF SEABROOK STATION by depositi 3g copics thereof in the United States Mail, first class postage prepaid for delivery (or, where indicated, by Express Mail, prepaid) addressed to:

• Ivan Smith, Esq., Chairman *Dr. Jerry Harbour Atomic Safety & Licensing Board Atomic Safety & Licensing Board i (Off-Site) (Off-site)

U.S. Nuclear Regulatory Commission U.S. Nuclear Regulatory Comm.

East West Towers Building East West Towers Building  ;

4350 Erft West Highway 4350 East West Highway l Bethesda, MD 20814 Bethesda, MD 20814

• Judge Gustavo A. Linenberger, Jr.

• Atomic Safety & Licensing Atomic Safety & Licensing Board Appeal Board Panel  :

(Off-Site) U.S. Nuclear Regulatory Comm.

U.S. Nuclear Regulatory Commission Washington, DC 20555 East West Towers Building 4350 East West Highway

• Thomas Dignan, Esq.

l Bethesda, MD 20814 George H. Lewald, Esq. ,

Kathryn A. Selleck, Esq.

• Adjudicatory File Ropes & Gray Atomic Safety & Licensing Board 225 Frankin Street ,

Panel Docket (2 copies) Boston, MA 02110 U.S. Nuclear Regulatory Commission East West Towers Building

• Carol S. Sneider, Esq.

4350 East West Highway Stephen H. Oleskey, Esq.

Bethesda, MD 20814 Allan R. Fierce, Esq.

Department of the Atty. General

.

• Stephen E. Merrill, Esq. One Ashburton Place i George Dana Bisbee, Esq. Boston, MA 02108 office of the Attorney General State House

• Diane Curran, Esq.

Concord, NH 03301 Andrea C. Ferster, Esq.

Harmon, Curran & Tousley

2001 S Street, N.W., Suite 430 '

• Sherwin E. Turk, Esq. Washington, DC 20009-1125

]

Office of General Counsel ,

U.S. Nuclear Regulatory Commission

• Richard R. Donovan 15th Floor - One White Flint North Federal Emergency Mgmt. Agency 11555 Rockville Pike Federal Regional Center  !

Rockville, MD 20852 130 228th Street, S.W. )

Bothell, WA 98021-9796 [

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Philip Ahrens, Esquire Robert A. Backus, Esq.

Assistant Attorney General Backus, Meyer & Solomon Office of the Attorney General 111 Lowell Street State House, Station 6 Manchester, NH 03105 Augusta, ME 04333 Jane Doughty Richard A. Hampo, Esquire Seacoast Anti-Pollution League Hampe and McNicholas 5 Market Street 35 Pleasant Street portsmouth, NH 03801 Concord, NH 03301 William S. Lord, Chairman Charles P. Graham, Esquire Board of Selectmen Murphy & Graham Town of Amesbury 33 Low Street Town Hall, Friend Street Newburyport, MA 01950 Amesbury, MA 01913 R. Sct'.t Hill-Whilton, Esquire H. Joseph Flynn, Esq.

Lagoulj s, Clerk, Hill-Whilton office of General Counrel

& McGuire Federal Emergency Mgnt. Agency 79 State Street 500 C Street, S.W., Rn. 840 Newburyport, MA 01950 Washington, DC 20472 Ashod N. Amirian, Esquire Judith H. Mizner, Esquire 376 Main F,treet 79 State Street Haverhill, MA 01830 2nd Floor Newburyport, MA 01950 Senator Gordon J. Humphrey Senator Gordon J. Humphrey U.S. Senate One Eagle Square, Suite 507 Washington, DC 20510 Concord, NH 03301 (Attnt Tom Burack) (Attn: Herb Boynton)

Beverly Ho!iingworth

• Robert R. Pierce, Esq. -

20f Winnacuitnet Road Atoric Safety & Licensing s Hampton, NH 03E42 Board Panel U.S. Nuclear Regulatory Comm.

Leonard Kopelman, Esquire East West Towers Building Barbara J. Saint Andre, Esquire 4350 East West Highway Kopelman & Paigo, P.C. Bethesda, MD 20814 77 Franklin Street Boston, MA 02110 John H. Frye, III Alternate Chairman Atomic Safety & Licensing

• Alan S. Rosenthal, Chairman Board Panel Atomic Safety & Licensing U.S. Nuclear Regulatory Comm.

Appeal Board Washington, DC 20555 U.S. Nuclear Regulatory Comm.

East West Towers Building Third Floor Mailroom 4350 East West Highway Bethesda, MD 20814 2

• Thomas Moore Atomic Safety & Licensing

• Howard A. Wilber Appeal Board Atomic Safety & Licensing U.S. Nuclear Regulatory Comm. ,

Appeal Board East West Towers Building U.S. Nuclear Regulatory Co) e. Third Floor Mailroom East West Towers Building 4350 East West Highway Third Floor Mailroom Bethesda, MD 20814 4350 East West Highway Bethesda, MD 20814

• Gheldon J. Wolfe, Chairman

• Administrative Judge Atomic Safety & Licensing Emmoth A. Luebke Board (On-Site) 4515 Willard Avenue U.S. Nuclear Regulatory Comm. Chevy Chase, MD 20015 East West Towers Building 4350 East West Highway

• Thomas M. Roberts Bethesda, MD 20814 U.S. Nuclear Regulatory Comm.

Washington, DC 20555

• Administrative Judge Sheldon J. Wolfe *Kenneth M. Carr '

1110 Wimbledon Drive U.S. Nuclear Regulatory Comm.

McLean, VA 22101 Washington, DC 20555

• Lando W. Zech, Jr., Chairman James H. Carpenter U.S. Nuclear Regulatory Comm. Alternate Technical Member Washington, DC 20555 Atomic Safety & Licensing Board Panel

• Kenneth C. Rogers U.S. Nuclear Regulatory Comm.

U.S. Nuclear Regulatory Comm. Washington, DC 20555 Washington, DC 20555 t n? ~.

) r .&%s Matthew T. Brock

• UPS Next Day Air f 3

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