ML20244B456

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Memorandum in Support of Motion for Interim Ol.Util Submits That Ample Authority Exists for NRC to Issue Requested License.Certificate of Svc Encl
ML20244B456
Person / Time
Site: Diablo Canyon, 05000000
Issue date: 08/25/1977
From: Crane P
PACIFIC GAS & ELECTRIC CO.
To:
Atomic Safety and Licensing Board Panel
Shared Package
ML20236A877 List: ... further results
References
FOIA-87-214 ZECH, NUDOCS 8104090863
Download: ML20244B456 (17)


Text

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5 UNITED STATES OF AMER 7C.

NUCLEAR REGULATORY COMMISSION BEFORE THE ATOMIC SAFETY AND LICENSING BOARD In the Matter of ) i

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PACIFIC GAS AND ELECTRIC COMPANY )

) Docket No. 50-275 Unit 1 )

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Diablo Canyon Site ) ,

) J MEMORANDUM IN SUPPORT OF MOTION FOR INTERIM OPERATING LICENSE l FACTS

1. The Need for Unit l >

The most recently announced NRC schedule indicates that a 1

decision on issuance of a full term operating license for Unit 1 would not occur until the summer of 1978. However, the power supply available j to serve Northern and Central California is presently seriously inadequate l and could deteriorate further in 1978 without Diablo Canyon Unit 1. For l

the balance of 1977, assuming no major breakdowns of generating units,  ;

PGandE expects to be able to meet the demands of its customers by its own facilities and through purchases of power from neighboring utilities.

If the drought conditions of the past two years continue, even with Diablo Canyon Unit 1 in operation, capacity margins next year would be less than 6% of the peak load during the critical months of July and August and PGandE Would be energy deficient nearly every month. Without Unit 1, those margins would vanish. The 1978 power supply could be further reduced because the current estimates do not reflect the uncertain status of the Humboldt Bay Nuclear Unit (63 MW) nor the likely delay of several months in the expected

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service dates of two new units at The Geysers Power Plant which are currently scheduled for operation on July 1, 1978 (106 MW) and on September 1, 1978 (55 MN). Purchasing more power could improve next year's supply situation but the outlook for buying significant amounts of additional capacity and energy from sources outside the system is not favorable. Without Diablo Canyon Unit 1 service curtailments are almost a certainty in 1978 if drought conditions continue. Detailed )

figures giving 1978 loads and resources with and without Dieblo Canyon )1 Unit 1 are set forth in Exhibit A attached.

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l If average precipitation occurs in Northern and Central i California during the winter of 1977-1978 increased hydro capacity would improve considerably the situation in 1978. Based on preliminary )

i studies which assume a return to average precipitation conditions, the predicted capacity margin in August, the most critical month, is about

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15% with Diablo Canyon Unit 1 but only about 9% without the Unit, which is well below the level required for reliable service. Again these i figures do not take into account the uncertain status of Humboldt Bay and the likely delay in the two Geysers units.

2. Reduction of Air Contaminants Although the most immediate reason for this request for an  !

interim operating license is PGandE's need for power from Unit 1, operation of the Unit also would reduce the amount of oil required to  ;

i generate electricity in the State of California. This in turn would l

reduce emissions of air contaminants consistent with the policy enunci~

ated by the California Air Resources Board. Therefore, even in the absence of the drought-induced electricity shortage there are strong

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reasons for authorizing the operation of this completed Unit on an interim basis so long as there is reasonable assurance that such opera-tion can be condacted without endangering the health and safety of the public .

3. Public Health and Safety The construction permits for the Diablo Canyon units were issued on the basis that this plant would be designed and constructed to wiShetand an earthquake producing a ground acceleration of 0.4g.  !

This earthquake, termed the Double Design Earthquake (DDE), is equiva-lent to the Safe Shutdown Earthquake (SSE) as presently defined in 10 CPR 100, Appendix A. The then AEC Staff, its consultants, the U. S. Geological Survey (USGS), and the Atomic Safety and Licensing Boards considered the seismic design basis for the plant would be acceptable.

During review of PGandE's application for an operating license the USGS recommended that the facility be evaluated for a 7.5M earthquake on the Hosgri Fault considering ground motion for near site events, as set forth in Table 2 of USGS Circular 672. Based upon this recommenda-l tion the NRC Staff consultant on structural design recommended, and the i

l Staff concurred, that an effective horizontal ground acceleration of l 0.75g be used for the development of design response spectra for the plant. Although PGandE and its consultants believe, on the basis of independent investigations, that the magnitude of the postulated Hosgri event and resulting ground acceleration at the site are excessive, PGandE has undertaken to make the required evaluation. The first phase of the evaluation has been filed as Amendment No. 50 to the operating license 3

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application and demonstrates that, with some modifications (see S 5 l

below) structures, systems, and components required to shut down and maintain the plant in a safe condition will be available following )

the postulated Hosgri earthquake. The second phase of the evaluation, which will be filed on or about October 1, 1977, will demonstrate that i with some additional modifications the remainder of the Design Class I )

i structures, systems and components are capable of withstanding the Hosgri event. '

I 4_ .: Probabilistic Studv i

In support of this motion for an interim operating license l PGandE has prepared a report entitled

" Analysis of the Risk to the Public From Possible Damage To the Diab)o Canyon Nuclear Power Station From Seismic Events" This report is being filed separately as Amendment No. 52 to the operating license application for the Diablo Canyon Units, and it is based on the assumption that an earthquake of 7.5 Richter magnitude could occur on the Hosgri Fault.

The results of the previous studies filed with the Nuclear Regulatory Commission have shown that, even assuming the Hosgri Fault were capable of a 7.5M event, an earthquake causing an effective ground acceleration of 0.75g or greater at the plant site would be expected to occur no more often than once every 50,000 years. This present study includes the possibility of even higher effective ground accelerations, although such accelerations may not be physically realizable at the site.

Nevertheless, even including the impact on the plant of such unreasonably high accelerations far in excess of 0.75g, the maximum the NRC asked PGandE 4

4 to consider, the risk to the health and safety of the public from radi-ation emissions caused by possible earthquake damage to the plant was found to be extremely remote. As an illustration, the probability of an individual in the closest community to the site (Avila Beach) being exposed to as much as 25 Rem of radiation to the whole body is only about one in seven million per year. (Exposures below 25 Rem - a ,

l federal emergency radiation guideline - rarely result in any noticeable clinical effect on humans.) For effective ground accelerations up to 0.75g, the risk of 25 Rem exposure drops to only one in 400 million per year. calculations for other communities show even lower risk of exposure to radiation.

l The principal reasons that the risk of radiation exposure is so low are as follows:

1. The extreme rarity of earthquakes of sufficient size to cause major damage to the plant,
2. The effectiveness of the plant satety systems in preventing major damage to key plant components.
3. The effectiveness of plant backup safety systems in reducing radiation releases, even if major damage occurs.
4. The rarity of combinations of atmospheric conditions and wind directions which would tend to result in significant exposures to the population. i i

In addition to these factors, the very low population density in the l vicinity of the site, one of the most remote sites for such plants in the world, results in a low risk of population exposure.

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The study also concluded that the completion of proposed major modifications to the turbine building for the purpose of raising the seismic qualification level would not result in further significant l reduction of the public health risk. It was also concluded that inevi-  ;

1 table health effects, however small, due to increased air pollution, would be associated with providing alternate sources of electric power, whether generated by PGandE or purchased, if the Diablo Canyon Units were delayed for modifications.

As a result of this study and others filed previously, PGandE concludes that the Diablo Canyon Power Plant, with or without modifica-tions, can be operated safely and without undue risk to the health and safety of the public.

5. Modifications and commitment To Make Changes PGandE is proceeding with modifications to the plant required for the Hosgri seismic event. However, the risk analysis referred to under S 4 above demonstrates that the risk to the health and safety of the public due to operation of Unit i during the period of an interim license would be acceptably low, even without these modifications. I Although PGandE is proceeding to make the required modifications at the earliest possible time, some or all of the modifications could be made l l

after initial operation without significantly increasing the risk to the public.

Certain of the modifications required for the Hosgri event would be difficult to make after operation, primarily because the modifications require working for extended periods in areas where significant exposure of workers to radioactivity might be required. ,,

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Modifications in this category would be limited to those inside the containment and to some systems and components in the auxiliary building which are associated with radwaste systems, the chemical and volume control system, and the residual heat removal system. PGandE will complete all such modifications prior to commencing operation of the Diablo Canyon Units.

6. Technical and Financial Qualifications The Atomic Energy Commission has previously found PGandE technically and financially qualified to operate nuclear power plants (4 AEC 89,447). A copy of its Annual Report for the year 1976 containing certified financial statements is currently on file with the commission.

PGandE and the Commission have entered into indemnity agreements pursu-ant to 10 CFR 140 to cover receipt of fuel at the site, and the agreement for Unit 1 can be amended to reflect the increased insurance coverage required when the Unit goes into operation.

ARGUMEtTP 10 CFR 50.57(c) clearly and explicitly authorizes the Nuclear Regulatory Commission, in connection with a pending proceeding, to issue an interim operating license l

. . . authorizing low-power testing . . .

and further operations short of full power operation."

The fact that PGandE has committed to make certain modifications to the Diablo Canyon facility is no obstacle to issuance of the requested license since 10 CFR 50.57 (b) expressly provides for issuance of operating licenses with

. . . appropriate provisions with respect to any uncompleted items of construction and such limita-tions or conditions as are required to assure that operation during the period of the completion of such items will not endanger public health and safety."

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Finally, 10 CPR 50.57(c) provides that the Licensing Board or the Director of Nuclear Reactor Regulation must make the findings on all i

matters specified in 50.57 (a), which include, among other things, 4 reasonable assurance

". . . that the activities authorized by the operating license can be conducted without endangering the health and safety of the public . . .

At the hearing on this motion PGandE will show that it complies with all parts of 10 CFR 50.57 and that issuance of the re- l quested interim license is necessary for the protection of the public health and safety. By its motion PGandE is not requesting a novei form of relief short cutting the protective provisions of the Atomic Energy Act of 1354, as amended, and the regulations issued thereunder, but rather relief which is entirely consistent vith the Act and NRC regula-tions, and which Licensing Boards have granted in the past (see, for l

example, 3 NRC 711 (based in part upon a probability analysis and com-mitment by the applicant to install a backup to the primary intake system), 2 NRC 27, 1 NRC 431).

It is clear that under the applicable statutes Congress has left it essentially to the Commission to make the basic judgments as to what is necessary to fulfill the requirement of " adequate protection to the health and safety of the public" (42 USC 2133, 2232; 6 AEC 1003, 1009). Moreover, the standard to be applied by the Commission in making this determination is not one of " absolute certainty" and "no risk" but 8

instead one of " reasonable assurance" or " low probability." Thus 42 USC 2133 authorizes the Commission to issue licenses to persons

". . . who are equipped to observe and who agree to observe such safety standards to protect health and to minimize danger to life or property . . .

and . . . who agree to make available to the Com-mission such technical information and data . . .

as the Commission may determine necessary to promote the common defense and security and to protect the health and safety of the public. " (emphasis added) 42 USC 2232 requires applicants to furnish

". . . such other information as the Commission may . . . deem necessary . . . to enable it to i

find that the utilization of special nuclear material . . . will provide adequate protection to the health and safety of the public." (emphasis added) -

Similarly under the regulations only reasonable assurance that the l

health and safety of the public will not be endangered is required.

Thus, in addition to 10 CFR 50.57(a) already cited, 10 CFR 2. lO4 (c) provides that the issues to be considered in deciding applications for operating licenses include

"(3) Whether there is reasonable assurance (i) that the activities to be authorized by the operating license can be conducted without endangering the health and safety of the public

~( d) ~ Whether issuance of the license will be l inimical to the common defense and security or to the health and safety of the public . . ."

Similar language is found in 10 CFR 50.35 (c) and 10 CFR 50, App. A. ,

Introduction. 10 CFR 50.40(a) provides that in determining whether to issue a license 9

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". . . the commission will be guided by the follow-ing considerations:

(a) The processes to be performed, . . . the Lc; of the facility . . . provide reasonable assurance . . . that the health and safety of the public will not be endangered . . .

(c) The issuance of a license to the applicant'  !

will not, in the opinion of the Commission, be inimical to the common defense and security or to the health and safety of the public. "

(emphasis added) l Finally,10 CFR 100.10 in discussing the factors to be considered when evaluating sites provides "It is expected that reactors will reflect through their design, construction and operation an extremely

! low probability for accidents that could result in l release of significant quantities of radioactive I

fission products. In addition, the site location and the engineered features included as safeguards against the hazardous consequences of an accident, I should one occur, should insure a low risk of I public exposure." (emphasis added)

This standard of " reasonable assurance" has been recognized 3 l l i

by the predecessor to the Nuclear Regulatory Commission. In a memorandum j l

and order dated August 29, 1973, Docket RM-50-8, (6 AEC 1069) , which was

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issued in response to a petition by Ralph Nader and others seeking the shutdown of twenty licensed reactors, the Commission stated as follows:

" Petitioners' case rests upon the assertion that plants should be shut down because compliance with the IAC does not ' assure' ECCS effectiveness. l l Neither the statute nor the Commission regulations l in issue, however, require such an unattainable guarantee of risk - free operation . . . We do l not live in a riskless society, nor could modern i technological societies exist on that basis. We '

are, of course, aware of the potential risks in nuclear matters if safety is not given the very '

close attention it deserves . . . It is precisely because of this perceived risk that we have always imposed stringent and overlapping protective measures 1 in implementing the concept of defense in depth.

However we cannot - and do not - claim ' assurance' as an absolute.

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" Resting upon an assumed (but impossible) standard of 100 percent assurance, petitioners build their case upon what they claim is the ' undisputed in- l adequacy of the Interim Acceptance Criteria.' But j the IAC can be viewed as ' inadequate' only if petitioners' notion of absolute risklessness is accepted. Ne reject petitioners' attempt to bootstrap their theory into a conclusion of inadequacy.

"Rather, the regulatory process turns upon the concept of ' reasonable assurance' to public health and safety . . ."

For the above reasons PGandE submits there is ample authority for the Commission to issue the license requested.

Respectfully submitted, l JOHN C. MORRISSEY MALCOLM H. FURBUSH ,

PHILIP A. CRANE, JR. l Pacific Gas and Electric Company l 77 Beale Street I San Francisco, California 94106 (415) 781-4211 ARTHUR C. GEHR Snell & Wilmer 4 3100 Valley Center i Phoenix, Arizona 85073 (602) 257-7288 BRUCE NORTON l Suite 202, 3216 North Third Street Phoenix, Arizona 85012 (602) 264-0033 Attorneys for Pac' l' ;as and Ele ric or pany

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Dated: August 25, 1977 11 i

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UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSIUN In the Matter of )

)

PACIFIC GAS AND ELECTRIC COMPANY ) Docket Nos. 50-275-OL

) 50-323-OL Units 1 and 2 )

)

Diablo Canyon Site )

)

CERTIFICATE OF SERVICE i l

The ' foregoing document (z) of Pacific Gas and Electric Company I has (haxet been served today on the following by deposit in the United I States mail, properly stamped and addressed : l Elizabeth S. Bowers, Esq. Mrs. Sandra A. Silver Chairman 425 Luneta Drive l Atomic Safety and Licensing Board San Luis Obispo, California 93401 l l U. S. !uclear Regulatory Commission Washington, D. C. 20555 Mr. Gordon Silver 425 Luncta Drive Mr. Glenn O. Bright San Luis Obispo, California 93401 Atomic Safety and Licensing Board U. S. ::uclear Regulatory Commission Brent Rushforth, Esq.

Washington, D. C. 20555 Center for Law in the Public Interest i 10203 Santa Monica Drive Dr. William E. Martin Los Angeles, California 90067 Atomic Safety and Licensing Board Senior Ecologist "eil Goldberg, Esci .

Battelle Memorial Institute Wilmer, Cutler & Pickering  !

Columbu s , Ohio 43201 1666 K Street, N.W.

Washington D. C. 20006 Mrs. Elizabeth Apfelberg 1415 Cazaderc David F. Fleischaker, Esq. l San Luis Obispo, California 93401 1025 15th Street, N.W.

5th Floor Janice E. Kerr, Esq. Washington, D. C. 20005 Public Utilities Commission of the State of California Arthur C. Gehr, Esq.

5246 State Building Snell & Wilmer ,

350 McAllister Street 3100 Valley Center i San Francisco, California 94102 Phoenix, Arizona 85073 Mrs. Raye Fleming Bruce Norton, Esq. l 17 46 Chorro Street 3216 North Tnird Street I San Luis Obispo, California 9340] Suite 202 Phoenix, Arizona 85012 Mr. Frederick Eissler Scenic Shoreline Preservation Chairman I Conference, Inc. Atomic Safety and Licensing Board I

4623 Nore Mesa Drive Panel Santa Barbara, California 92105 U. S. Nuclear Regulatory Commission Washington, D. C. 20555 l

L-----.------_____-.____________--_-----_______________ l

)

Chairman Atomic Safety and Licensing Appeal Panel U. S. I;uclear Regulatory Commission Washington, D. C. 20555 Secretary U. S. Iuclear Regulatory Commission Washington, D.' C. 20555 Attn.: Docketing and Service Section James R. Tourtellotte, Esq.

l Office of Executive Legal Director l BETH 042 U. S. ?!uclear Regulatory Commission l Washington, D. C. 20555 i

l Paul C. Valentine, Esq.

400 Channing Avenue Palo Alto, California 94301 Yale I. Jones, Esq.

100 Van Ness Avenue 19th Floor San Francisco, California 94102 l

l V /

10

  • S ~ Ip A . Cra e, Jr.

A, j

Attorne i Pacific as and Elec ic Company l 1

Dated: August 2 5, 1977 i

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