ML20245G666

Environ Assessment Supporting Need for Proposed Action Exempting Licensee from Current Requirement for Property Damage Insurance,Per 10CFR50.54(w))

ML20245G666
Person / Time
Site:	Humboldt Bay
Issue date:	08/11/1989
From:	Bell M NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS)
To:
Shared Package
ML20245G646	List: ML20245G642 ML20245G666
References
NUDOCS 8908160152
Download: ML20245G666 (3)

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• UNITED STATES NUCLEAR REGULATORY COMMISSION ENVIRONMENTAL ASSESSMENT AND FINDING OF NO SIGNIFICANT IMPACT REGARDING AN EXEMPTION FROM THE REQUIREMENTS OF 10 CFR 50.54(w)

PACIFIC GAS AND ELECTRIC COMPANY HUMBOLDT BAY POWER PLANT, UNIT 3 DOCKET NO. 50-133 The U.S. Nuclear Regulatory Commission (the Commission) is considering issuance of an exemption from the requirements of 10 CFR 50.54(w) to Pacific Gas and Electric Company (the licensee), for Humboldt Bay Power Plant, Unit 3, located in Humboldt County, California.

ENVIRONMENTAL ASSESSMENT Identification of Proposed Action: By application dated June 9, 1989, Pacific Gas and Electric Company requested an exemption. The exemption will reduce the current requirement for minimum primary property damage insurance for the permanently shut down Humboldt Bay Power Plant, Unit 3, from $100,000,000 to

$63,160,000.

The Need for the Proposed Action: The licensee is requesting an exemption from the current requirement for primary property damage insurance, in order to reduce the amount of insurance coverage required, and the associated premium payments.

Humboldt Bay Unit 3 was shut down on July 2,1976 and all spent fuel was subsequently transferred to the spent fuel pool. The operating license was modified to possess-but-not-operate status on July 16, 1985. On July 19, 1988 8908160152 890811 I DR ADOCK 0500 3

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the NRC ~ approved a decommissioning plan that required safe storage of spent fuel on-site until a Federal repository was available to receive it.

On November 3,1982, the Connission granted, at'the request of the licensee, a previous exemption'to the requirements of 10 CFR 50.54(w) provided 1

a' minimum of $100,000,000 of primary property damage insurance was maintained. The licensee now asks for a further reduction of the minimum property damage insurance coverage to $63,160,000 and states that the cost of-maintaining the insurance will be reduced by about $94,000 per year. The licensee believes the reduced minimum coverage amount to be adequate to cover costs of on-site cleanup following accidents because the reactor may not be

. operated and all fuel is . stored on-site such that a nuclear criticality accident is not credible.

Environmental Impact of the Proposed Action: The proposed action is administrative only and will have no environmental impact since an adequate amount of insurance is being retained to cover on-site recovery from accidents.

Alternative Use of Resources: This action does not involve the use of resources.

Agencies and Persons Consulted: The NRC staff is reviewing the licensee's' request. No other agencies or persons were consulted.

FINDING OF NO SIGNIFICANT IMPACT

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The Commission has determined not to prepare an environmental impact statement for the proposed exemption.

Based upon the foregoing environmental assessment, the Cor.nission concludes that the proposed action will not have a significant effect on the quality of the human environment.

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For further details with respect to this action, see the licensee's-application dated June 9, 1989 which is available in the Commission's Public Document Room, 2120 L Street, N.W., Washington, D.C. 20555 and at the Eureka-Humboldt County Library, 421 I Street, Eureka, California.

Dated at Rockville, Maryland this lith day of August,1989.

FOR THE NUCLEAR REGULATORY COMMISSION Sf Michael J. Bell, Chief Regulatory Branch Division of Low-Level Waste Management and Decommissioning Office Of Nuclear material Safety and Safeguards l.