ML20207N706
| ML20207N706 | |
| Person / Time | |
|---|---|
| Site: | Clinton  |
| Issue date: | 10/03/1988 |
| From: | Holahan G Office of Nuclear Reactor Regulation |
| To: | ILLINOIS POWER CO. |
| Shared Package | |
| ML20207N707 | List: |
| References | |
| NUDOCS 8810190312 | |
| Download: ML20207N706 (5) | |
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7590-01 UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION In the matter of THE ILLIN0IS POWEP COMPANY Docket No. 50-461 Clinton Power Station, Unit 1 EXEMPTION 1.
The Illinois Power Company *(IP), Scyland Power Cooperative, Inc. and Western Illinois Power Cooperative Inc. (the licensee) is the holder of Facility Operating License No. NPF-62, which authorizes operation of the (facilityname). The license provides, among other things, that it is subject to all rules, regulations, and orders of the Comission now or hereafter in effect.
The facility consists of a boiling water reactor at the licensee's site located in DeWitt County, Illinois.
II.
On August 5, 1987, the NRC published in the FEDERAL REGISTER a final-rule arnending 10 CFR 50.E4(w).
The rule increased the amount of on-site property damage insurance required to be carried by NRC's power reactor licensees. The
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rule also required these licensees to obtain by October 4,1988 insurance policies that prioritized insurance proceods for stabilization and decontamination after an accident and provided for payment of proceeds to an independent trustee who t
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- Illinois Power Company is authorized to act as agent for Soyland Power Cooperative, Inc. and Western Illinois Power Cooperative, Inc. and has exclusive responsibility and control over the physical construction, operation and maintenance of the facility, pC 8810190312 831003 i
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. would disburse funds for decontamination and cleanup before any other purpose.
Subsequent to publication of the rule, the NRC has been infonned by insurers who offer nuclear property insurance that, despite a good faith effort to obtain trustees required by the rule, the decontamination priority and trusteeship provisions will not be able to be incorporated into policies by the tirre required in the rule.
in response to these comments and related petitions for rulemaking, the Comission has proposed a revision of 10 CFR 50.54(w)(5)(1) extending the implementation schedule for 18 months (53 FR 36338, September 19,1988).
However, because it is unlikely that this rulemaking action will be completed by October 4,1988, the Comission is issuing a temporary exemption from the requirements of 10 CFR 50.54(w)(5)(1) until completion of the pending rulemaking extendingtheimplementationdatespecifiedin10CFR50.54(w)(5)(1),butnot later than April 1, 1989. Upon completion of such rulerraking, the licensee shall comply with the provisions of such rule.
Ill.
Pursuant to 10 CFR 50.12. "The Comission may, upon application by any interested person or upon its own initiative, grant exemptions from the requirements of the regulations of [10 CFR Part 50], which are... Authorized by law, will not present an undue risk to the public health and safety, and are consistent with the coninon defense and security." Further, Section 50.12(a)(2) provides inter alia, "The Comission will not consider granting an exemption unless special circumstances are present. Special circumstances are present whenever... (v) The exemption would provide only temporary relief fran the cpplicable regulation and the licensee has made gooo faith efforts to comply with the regulation."
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. Despite a good faith effort to comply with the provisions of the rule, insurers providing property damage insurance for nuclear power facilities and licensees insured by such insurers have not been able to comply with the regulation and the exemption provides only temporary relief from the applicable regulation.
t As noted by the Comission in the Supplementary Information accompanying the proposed rule, there are serual reasons for concluding that delaying for a reasonable time the implementation of the stabilization and decontamination priority and trusteeship provisions of Section 50.54(w) will tiot adversely affect protection of public health and safety. First, during the period of delay, the licensee will still be required to carry $1.06 billion insurance.
This is a substantial amount of coverage that provides a significant financial
, cushion to licensees to decontaminate and clean up after an accident even without the prioritization and trusteeship provisions. Second, nearly 75% of the required coverage is already prioritized under the decontamination liability and excess property insurance language of the Nuclear Electric Insurance Limited-II policies.
Finally, there is only an extremely small probability of a serious accident occurring during the exe.mption period.
Even if a serious accident giving rise to substantial insurance claims were to occur, NRC would be able to take appropriate enforcement action to assure adequate cleanup to protect public health and safety and the environment.
IV.
t Accordingly, the Comission has determined, pursuant to 10 CFR 50.12(c),
that (1) a temporary exemption as described in Section III. it authorized by law, will not present an undue risk to the public health and safety, and is
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, consistent with the common defense and security and (2) in this case, special circumstances are present as described in Section III. Therefore, the Comission hereby grants the following exemption:
The Illinois Power Company et al. is exempt from the requirenents of 10 CFR 50.54(w)(5)(1) until the completion of the pending rulemaking(1), but extendingtheimplementationdatespecifiedin10CFR50.54(w)(5) not later than April 1,1989. Upon completion of such rulemaking the licensee shall comply with the provisions of such rule.
Pursuant to 10 CFR 51.32, the Comission has determined that the granting of this exemption will not result in any significant environtrental impact (53FR38376).
This exemption is effective upon issuance.
Dated at Rockville, Maryland this 3rd day of October 1988.
FOR THE NUCLEAR REGULATORY COMMISSION Gary M. Holahan, Acting Director Division of Reactor Projects III, IV, V, and Special Projects Office of Nuclear Reactor Regulation 5
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-4 consistent with the comon defense and seu.'ity and (2) in this case, special circumstances are present as described in Section III. Therefore, the Comission hereby grants the following exemption:
The Illir.ois Power Company et al. is exempt from the requirements of 10 CFR 50.54(w)(5)(1) until the completion of the pending rulemaking extendingtheimplementationdatespecifiedin10CFR50,54(w)(5)(1),but not later than April 1,1989. Upon completion of such rulemaking the licensee shall comply with the provisions of such rule.
Pursuant to 10 CFR 51.32, the Commission has detemined that the granting of this exemption will not result in any significant environmental impact (53FR38376).
This exemption is effective upon issuance.
Dated at Rockville, Maryland this 3rd day of October 1988.
FOR THE NUCLEAR REGULATORY COMMISSION Ye lY Gary M. Holahan, Acting Director Division of Reactor Projects III, IV, V, and Special Projects Office of Nuclear Reactor Regulation