ML20236X521
| ML20236X521 | |
| Person / Time | |
|---|---|
| Issue date: | 07/06/1998 |
| From: | Jack Cushing NRC (Affiliation Not Assigned) |
| To: | James Heller AFFILIATION NOT ASSIGNED |
| References | |
| NUDOCS 9808100065 | |
| Download: ML20236X521 (4) | |
Text
{{#Wiki_filter:July 6, 1998 ) Mr. James A. Heller, President l East Hampton Power & Light Corporation P.O. Box 5007 East Hampton, NY 11937 I
Dear Mr. Heller:
I am responding to yourletter to Mr. Bruce A. Boger, dated April 15,1998. Enclosed is our response to your letter _ The answers to your questions provide a broad overview. Where appropriate I have referenced the part of the Code of Federal Regulations that applies to your question. The Code will provide greater detail of the requirements. If you have any further l questions, please call me on 301-415-1424. , Sincerely, t un/ Jack Cushing, P/oject Manager Project Directorate 1-1 Division of Reactor Projects - 1/11 Office ot Nuclear Reactor Regulation
Enclosure:
As stated / DISTRIBUTION: } ki' File J Cushing PDI-1 R/F ACRS ' } \\' O, A J. Zwolinski (A) C. Hehl, Region I -{' S. Bajwa S. Little DOCUMENT NAME:G:\\E-HAMPTO\\E. HAM To re:elve a copy of this document, ind:cate in the box: "C" = Copy without attachment / enclosure "E" = Copy with attachment / enclosure "N" = No copy OFFICE PM:PDI 1 lE LA:PDI-1.0\\L I D:PDI 1,, A l I l l l__ NAME JCushing lec % Slittle V $8ajwe /08A MTE 07/ / /98 U 07/l /98 07/ 6 /98 07/ /98 07/ /98 Official Record Copy g$l$ cc'%%Q .3 D wm ,1 se<v v \\\\]vN 3 ? 9808100065 980706 PDR Ga0 NRRA PDR
f*":% y t UNITED STATES g j NUCLEAR REGULATORY COMMISSION 2 g WASHINGTON, D.C. SAe6-0001 %,.....,o July 6,1998 Mr. James A. Heller, President East Hampton Pov er & Light Corporation P.O. Box 5007 - East Hampton, NY 11937 l
Dear Mr. Heller:
I am responding to your letter to Mr. Bruce A. Bog.er, dated April 15,1998. Enclosed is sur response to your letter. The answers to your questions provice a broad overview. Where appropriate I have referenced the part of the Code of Federal Regulations that applies to your . question. The Code will provide greater detail of the requirements. If you have any further k questions, please call me on 301-415-1424. l Sincerely, 4 Jack Cushing, Project Manager Project Directorate I-1 Division of Reactor Projects - 1/11 Office of Nuclear Reactor Regulation
Enclosure:
As stated l
1 I 4 INFORMATION ON LICENSING NEW NUCLEAR GENERATING PLANTS AND SPENT FUEL REPROCESSING FACILITIES
- 1. Does the Nuclear Re0ulatory Comrnission have an opinion on the short term future for the nuclear generating system?
Response
It would be inappropriate for a regulatory agency to comment on the future of the industry it regulates.
- 2. What is the status of the Nuclear waste disposal site?
Response
The Department of Energy has not presented a license submittal to the Nuclear Regulatory Commission (NRC). Therefore, at present the NRC does not have an active role. I suggest that you contact the Department of Energy Public Affairs Department at 202-586-5806 to determine the present status of the disposal cite.
- 3. What are the insurance assessments and requirements of a part owner and when are wa obligated to pay a proportionate share of any such assessment? When prior to actual construction or operation is this payment due?
Response
A licensee is required to enter into an indemnity agreement with the NRC when a Special Nuclear Materiallicense is issued. This is when cold fuel is brought on site. At this time the licensee is l required to maintain $1 million in primary insurance. When an operating license is issued, the licensee must maintain $200 million in primary insurance and participate in the secondary retrospective premium system. Under this plan, the licensee is required to pay up to $75.5 million, to be raised to $83.9 million on August 1,1998, per reactor per incident. This is a joint . and several liability obligation although a partial owner would expect to pay a proportionate share. Licensees must also demonstrate to the Commission annually that they can pay this retrospective premium if called upon. Licensees must also purchase on site nuclear liability property insurance pursuant to 10 CFR 50.54w. This is a minimum of $1.06 billion, but most licensees are currenity buying close to $3 billion.
- 4. In order for us to obtain fuel for use at our new unit, we rnust obtain supplies of uranium
. concentrates and secure contracts for these concentrated to go thiough the processes of conversion, enrichment and fabrication of nuclear fuel assemblies. What are the current directives in existence today? l Rasponse: In order to receive new fuel for the facility, you will need to obtain a 10 CFR Part 70 license from our Office of Nuclear Material Safety and Safeguards. A draft standard review plan, NUREG-1520, is available to assist in the preparation of the application. This license will be terminated and incorporated into the Part 50 license after the facility is authorized to operate. Enclosure o
1 l 2 It is not necessary to receive a 10 CFR Part 40 (source mrterial license) or a Part 70 license for the urtnlum ore concentrate thmugh the process of the conversion, enrichment and fuel fabrication steps, since these services will be contracted with organizations who possess the appropriate license to receive and process the material. There is a general license to own the material already contained in NRC regulations.
- 5. Finally, there are no spent fuel reprocessing or disposal facilities currently operating in the United States - what then, if any, are the procedures and the requirements of NRC for a private company to establish such a service?
Response
Information on licensing of reprocessing plants is contained in Appendix F of Part 50 and waste disposal regulations are contained in 10 CFR Part 60.
- 6. The statement that you will require guidelines to prevent cost overruns caused by the factors you cite are beyond the control of the NRC and is a risk that has to be bome by the corporation that builds or invests in nuclear generating facility.
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