ML21091A036
| ML21091A036 | |
| Person / Time | |
|---|---|
| Site: | Quad Cities  |
| Issue date: | 03/30/2021 |
| From: | Cindy Montgomery MidAmerican Energy Co |
| To: | Document Control Desk, Office of Nuclear Material Safety and Safeguards, Office of Nuclear Reactor Regulation |
| References | |
| Download: ML21091A036 (9) | |
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OBSESSIVB.Y, RELENTLESSLY ID' \\"OUR S8RVJC&.
VIA EXPRESS MAIL March 30, 2021 U.S. Nuclear Regulatory Commission Attention: Document Control Desk Mail Stop O-Pl-17 One White Flint North 11555 Rockville Pike Rockville, MD 20852-2738 MtdAmeocan Energy 666 Grand Ave., Suite 2700 Des Moines, Iowa 50309 515 281-2976 Te!eph0!19 515 242-4398 Fax chuck rmntmmerv@rTRdamerlcan.com Charles R. Montgomery Ml!llll!llng Senior Attorney Re :
Decommissioning Funding Status Report Pursuant to 10 CFR
§50.75(+/-)(1), including ISFSI Decommissioning Funding (10 CFR §72.30)
Document Control Desk:
Enclosed is a signed original version of Mid.American Energy Company's Decommissioning Funding Status Report (Report) for Mid.American's twenty-five (25) percent share of the Quad Cities Nuclear Power Station, submitted pursuant to 10 CFR
§50.75(+/-)(1). The attached Report also includes the decommissioning funding plan for ISFSI, pursuant to 10 CFR §72.30.
If you have any questions regarding this submission, please contact the undersigned.
Respectfully submitted, c.Q.
Charles R. Montg Managing Senior A-ttome, Mid.American Energy Company 666 Grand Ave., Suite 2700 Des Moines, Iowa 50309 Phone: (515) 281-2976 Fax: (515) 242-4398 e-mail: chuck.montgomery@midamerican.com
2020 DECOMMISSIONING FUNDING STATUS REPORT 10 CFR 50.75(f)(l)
(For The Year Ending December 31, 2020)
QUAD CITIES NUCLEAR POWER STATION, UNITS 1 & 2 Submitted by Mid.American Energy Company Dated March 30, 2021
OVERVIEW This Decommissioning Funding Status Report is being submitted pursuant to 10 CFR 50.75(f)(l) by MidAmerican Energy Company (MEC), a twenty-five percent owner of Quad Cities Nuclear Power Station, Units 1 & 2 (Quad Cities).
ADDITTONAL INFORMATION 1.) Amount of decommissioning funds estimated to be required pursuant to 10 CFR 50.75(b) and (c).
Determined in accord with 10 CFR 50.75(b) and applicable formulas in 10 CFR 50.75(c) and reported in end of year 2020 dollars.
NRCMinimum Unit 1
$163,292,887 Unit2
$163,292,887 Totals
$326,585,773 2.) Amount accumulated to the end of the calendar year preceding the date of the report.
As of December 31, 2020, MEC had an accumulated after-tax balance of$676,363,784.
External Trust Fund Balance (Fair Market value)
Unit 1
$338,080,229 Unit2
$338,283,555 Totals
$676,363,784 3.) Schedule of the annual amount remaining to be collected.
Within the meaning of 10 CFR 50.75(e)(l)(ii)(A), MEC collects the estimated total cost of decommissioning through rates established by "cost of service" or similar ratemaking regulation. Pursuant to the Iowa Utilities Board's rate case decision in Docket No. RPU-2013-0004, MidAmerican Energy Company's annual Iowa jurisdictional decommissioning cost included in the cost of service is $1,595,964, divided equally between the two Quad Cities Units. MidAmerican plans to continue customer collections at that same level through the operating license period of the plant. The Illinois Commerce Commission has not authorized any current, ongoing collections for decommissioning from MEC's Illinois ratepayers. On October 28, 2004 the NRC issued renewed facility operating licenses for Quad Cities Nuclear Power Station Unit 1 (License No. DPR-29) and Unit 2 (License No. DPR-30) effective as of the date of 2
issuance and which shall expire at midnight on December 14, 2032, in effect extending the licenses an additional twenty years.
4.) Assumptions used regarding rates of escalation in decommissioning costs, rates of earnings on decommissioning funds, and rates of other factors used in funding projections.
In filings with the IUB, MEC periodically utilizes appropriate assumptions for decommissioning cost escalations and earnings rates. Solely for purposes of meeting NRC's minimum requirements, MEC has calculated that the current fund balances and annual funding levels, together with earnings at a 2 percent annual real rate of return as permitted by 10 CFR 50.75(e)(l)(ii), satisfy NRC's minimum funding assurance requirements. Given the current fund balances, anticipated earnings on the funds, and planned future contributions, MEC expects that fully adequate funding will be available for each unit at the time of decommissioning.
5.) Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(l)(v).
MEC is not relying upon any contract for purposes of providing decommissioning funding within the meaning of 10 CFR 50.75(e)(l)(v).
6.) Any modifications occurring to a licensee's current method of providing financial assurance since the last submitted report.
- MEC continues to use the external sinking fund method of providing decommissioning funding assurance.
7.) Any material changes to trust agreements.
No material changes were made to the trust agreements since Mid.American's last Decommissioning Funding Status Report, in 2019, and no additional material changes were needed for compliance with 10 CFR 50.75(h)(2). The following table identifies the current Trustee and Investment Manager for each fund.
Trust Trustee Investment Manager Unit 1, Qualified The Banlc of New York NISA Investment Advisors Mellon Unit 1, Non-Qualified The Bank ofNew York NISA Investment Advisors Mellon 3
Unit 2, Qualified The Bank of New York NISA Investment Advisors Mellon Unit 2, Non-Qualified The Bank of New York NISA Investment Advisors Mellon 8.) ISFSI Decommissioning Funding Plan.
See Attachment No. 1.
MIDAMERICAN ENERGY COMP ANY By:
C.Q Charles R. Montgomery,.JT-1-UJ..J.UF,LalF, Senior Attorney MidAmerican Energy mpany 666 Grand A venue, S te 2700 Des Moines, Iowa 503 Phone: (515) 281-2976 Email: chuck.montgomery@midamerican.com 4
ATTACHMENT No. 1 ISFSI Decommissioning funding Plan 1.0
SUMMARY
DESCRIPTION MidAmerican Energy Company (Mid.American) is a minority owner, with a 25%
ownership share, of Quad Cities Nuclear Power Station (QCNPS) Units 1 and 2.
MidAmerican co-owns QCNPS with Exelon Generation Company, LLC (Exelon).
Exelon owns a 75% share of Units 1 and 2 and operates both units as well. Exelon and MidAmerican maintain decommissioning cost estimates for QCNPS, which are periodically updated. Imbedded in these decommissioning cost estimates are the costs associated with decommissioning the Independent Spent Fuel Storage Installation (ISFSI) located at QCNPS. The decommissioning cost estimate for the ISFSI has been extracted from the decommissioning cost estimate and is provided herein.
As Exelon has noted in its own 10 CFR 72.30(b) filing, the radiological decommissioning costs for an ISFSI typically consist of the costs associated with removing and disposing of small volumes of neutron-activated concrete and certain structural steel components.
Exelon has indicated that no impact is expected upon soil and groundwater at the QCNPS site during the storage period contemplated in the decommissioning cost estimate for the site. Exelon has also noted that induced radioactivity at the QCNPS ISFSI is not expected to result in residual radioactivity in excess of 25 mRem/yr in an unrestricted release scenario, were no action to be taken to remediate the site.
Finally, Exelon has noted that it anticipates small, but measurable amounts of induced radioactivity to be present, and release of this material from the QCNPS site will require it to be disposed of at a NRC-licensed radioactive waste disposal facility. Therefore, Exelon has included the costs of this disposal in the decommissioning cost estimates.
2.0 DETAILED DESCRIPTION 2.1 Reasonable Assurance of Funds Availability MidAmerican's trust fund balances for QCNPS Units 1 and 2 currently exceed the costs required for radiological decommissioning-see Tables 1 and 2, below. The excess assets will be used to decommission the on-site ISFSI. Table 1, below, shows the costs estimated for radiological decommissioning under 10 CFR 50.75(b) and (c), using the NRC Minimum formulas, and Table 2 shows MidAmerican's trust fund balances as of December 31, 2020. Both the radiological decommissioning costs and the trust fund balances are stated in 2020 dollars and are adjusted for Mid.American's 25% ownership share.
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2.2 Detailed Cost Estimate Table 3, below, which is based upon the TLG decommissioning cost estimate for QCNPS, details the costs ofISFSI decommissioning in 2020 dollars (i.e., 2017 dollars escalated at an aggregate rate of2.04%). Table 3 shows the costs of performing this work (discussed further in the assumptions below), with an adequate contingency factor, to meet the 10 CFR 20.1402 criteria for unrestricted use. The cost of performing this ISFSI decommissioning work is approximately
$2,046,000 ($4,092,000 x 1/2 = $2,046,000 per Table 3, see the "Total Costs" column) per unit for Mid.American's 25% share.
2.3 Assumptions Mid.American has made the following assumptions with respect to ISFSI decommissioning:
- 1. Decommissioning costs in Table 3 are in 2020 dollars (i.e., 2017 dollars, from the TLG study, escalated at an aggregate rate of2.04%).
- 2. All values in Tables 1 - 4 are stated at MidAmerican's 25% ownership share for QCNPS. Costs for ISFSI decommissioning have been equally split between the two (2) units at QCNPS.
- 3. The costs for ISFSI decommissioning are expected to be incurred in the year in which DOE has accepted all spent fuel from the QCNPS site for disposal.
2.4 Method of Assurance In accordance with 10 CFR 72.30(b)(4), Tables 1 - 3 demonstrate the method of assuring funds for ISFSI decommissioning, from 10 CFR 72.30(e). Exelon and Mid.American periodically update the decommissioning cost estimate for QCNPS, and MidAmerican adjusts the funding levels, as necessary, in accordance with 10 CFR 50.75. (Mid.American's annual Iowa jurisdictional decommissioning cost included in the cost of service is $1,595,964, per the Iowa Utilities Board's rate case decision in Docket No. RPU-2013-0004. The lliinois Commerce Commission has not authorized any current, ongoing collection from Mid.American's Illinois ratepayers.)
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I 2.5 Volume of Subsurface Residual Radioactivity Requiring Remediation Per review of site-specific 10 CFR 50. 75(g) logs, Exelon indicates it has not identified any onsite, subsurface material containing residual radioactivity at the ISFSI located at QCNPS.
2.6 Certification of Financial Assurance In accordance with 10 CFR 72.30(b ), financial assurance, for decommissioning, has been provided in an amount that meets or exceeds the requirements of 10 CFR 50.75(b). As demonstrated in Tables 1 - 4, this provides the requisite financial assurance for the ISFSI decommissioning costs.
Table 1 NRC Minimum as of 12/31/20, in 2020 Dollars Un it 1
$163,292,887 Unit2
$163,292,887 Totals
$326,585,773 Table 2 External Trust Fund Balance (Fair Market Value) as of 12/31/20 Unit 1
$338,080,229 Unit 2
$338,283,555 Totals
$676,363,784 Table 3 (ISFSI Decommissioning Costs)
($ l,000s)
MidAmerican's Ownership Share Unit 1 LLRW
& Unit 2 Removal Packaging Transport Disposal 1(2020 Dollars)
Costs Costs Cost Costs ISFSI License Termination 173 98 388 1,299 Insurance Property Taxes Heavy Equipment Rental 78 Plant Energy Budget Securrty Staff Cost Utilrty Staff Cost Total 251 98 388 1,299 Cu.FT Burial I Utility and Other Total Total Class A Processed Craft Contractor Costs Contingency Costs LLRW Weight (lbs) Manhours Manhours 954 728 3,639 29,308 1,589,603 7,778 540 35 8
44 87 22 109 20 98 13 3
16 61 15 76 1,239 88 22 110 940 1,238 819 4,092 29,308 1,589,603 7,778 2,720 7
Table 4 (Total Decommissioning Costs per NRC Minimum Formulas)
(2020 Dollars)
REACTOR TYPE:
BASE COST (1986 Cost)
($104 + 0.009P (in MW!))
Escalation Factors Labor Energy Pov.er (P)
Fuel (F)
Waste Burial (B)
Calculation Labor Factor (L)
Energy Factor (E)
Waste Factor (8)
Total Escalation Factor:
BWR 130,613,000 12/31/2020 139.1 232.7 209.8 12.837 2.89 2.28 12.84 Total Minimum Assurance Unit 1 & 2 (100%):
MidAmerican Minimum Assurance (25%):
MidAmerican Energy Company Quad Cities, Units 1 & 2 2,957 MWt As of 12/31/2020 Base Factor Base Year Source:
2.08 2005 Bureau of Labor Statistics: Series CIU20100000002301 114.2 1986 Bureau of Labor Statistics: Series WPU0543 82.0 1986 Bureau of Labor Statistics: Series WPU0573 NUREG-1307, Rev 18, Table 2-1 Labor Formula: L=Labor_CwrentYear Factor
- X 0.65 =
1.88 Labor Base Factor Energy Formula: E =
- 0. 54*(Pov.er__ CurrentYearFactor/Pov.er_Base Year)+
X 0.13 =
0.30 0. 46*(Fue/ CurrentYearFactor/Fuel Base Year X 0.22 =
2.82 5.00 Total Escalation Formula: 0.65L + 0. 13E + 0.228 I $ 1,306,343,0941 326,585,773 8