ML21277A192
| ML21277A192 | |
| Person / Time | |
|---|---|
| Site: | Calvert Cliffs, Dresden, Peach Bottom, Salem, Nine Mile Point, Byron, Three Mile Island, Braidwood, Limerick, Ginna, Clinton, Quad Cities, Zion, FitzPatrick, LaSalle, 07200077  |
| Issue date: | 11/16/2021 |
| From: | Shana Helton, John Marshall, Blake Purnell Division of Decommissioning, Uranium Recovery and Waste Programs, Division of Fuel Management, Plant Licensing Branch III |
| To: | NRC/OCM |
| Purnell, B A | |
| Shared Package | |
| ML21277A245 | List: |
| References | |
| EPID L-2021-LLM-0000 | |
| Download: ML21277A192 (10) | |
Text
UNITED STATES OF AMERICA
NUCLEAR REGULATORY COMMISSION
In the Matter of
EXELON GENERATION COMPANY, LLC; EXELON CORPORATION; EXELON FITZPATRICK, LLC; NINE MILE POINT NUCLEAR STATION, LLC; R. E. GINNA NUCLEAR POWER PLANT, LLC; AND CALVERT CLIFFS NUCLEAR POWER PLANT, LLC
(Braidwood Station, Units 1 and 2; Byron Docket Nos. STN 50-456, STN 50-457, Station, Unit Nos. 1 and 2; Calvert Cliffs 72-73, STN 50-454, STN 50-455, 72-68, Nuclear Power Plant, Units 1 and 2; Clinton 50-317, 50-318, 72-8, 50-461, 72-1046, Power Station, Unit No. 1; Dresden Nuclear 50-10, 50-237, 50-249, 72-37, 50-333, Power Station, Units 1, 2, and 3; James A. 72-12, 50-373, 50-374, 72-70, 50-352, FitzPatrick Nuclear Power Plant; LaSalle 50-353, 72-65, 50-220, 50-410, 72-1036, County Station, Units 1 and 2; Limerick 50-171, 50-277, 50-278, 72-29, 50-254, Generating Station, Units 1 and 2; Nine Mile 50-265, 72-53, 50-244, 72-67, 50-272, Point Nuclear Station, Units 1 and 2; Peach 50-311, 72-48, 50-289, 72-77, 50-295, Bottom Atomic Power Station, Units 1, 2, 50-304, and 72-1037 and 3; Quad Cities Nuclear Power Station, Units 1 and 2; R. E. Ginna Nuclear Power License Nos. NPF-72, NPF-77, NPF-37, Plant; Salem Nuclear Generating Station, NPF-66, DPR-53, DPR-69, NPF-62, DPR-2, Unit Nos. 1 and 2; Three Mile Island Nuclear DPR-19, DPR-25, DPR-59, NPF-11, Station, Unit 1; Zion Nuclear Power Station, NPF-18, NPF-39, NPF-85, DPR-63, Units 1 and 2; and the Associated NPF-69, DRP-12, DPR-44, DPR-56, Independent Spent Fuel Storage DPR-29, DPR-30, DPR-18, DPR-70, Installations) DPR-75, DPR-50, DPR-39, DPR-48, and SNM-2505
ORDER APPROVING INDIRECT TRANSFER OF LICENSES AND DRAFT CONFORMING LICENSE AMENDMENTS
I.
This order pertains to the following licenses (collectively, th e Licenses):
Renewed Facility Operating License Nos. NPF-72 and NPF-77 for Braidwood Station
(Braidwood), Units 1 and 2, respectively, and the general licen se for the associated
independent spent fuel storage installation (ISFSI). Braidwood is located in Will County, Illinois, and it is owned and operated by Exelon Genera tion Company, LLC
(EGC). EGC holds the licenses.
Renewed Facility Operating License Nos. NPF-37 and NPF-66 for Byron Station
(Byron), Unit Nos. 1 and 2, respectively, and the general licen se for the associated
ISFSI. Byron is located in Ogle County, Illinois, and it is ow ned and operated by
Renewed Facility Operating License Nos. DPR-53 and DPR-69 for Calvert Cliffs
Nuclear Power Plant (Calvert Cliffs), Units 1 and 2, respectively, and Renewed
Materials License No. SNM-2505 for the associated ISFSI. Calve rt Cliffs is located
in Calvert County, Maryland, and it is owned by Calvert Cliffs Nuclear Power Plant,
LLC (Calvert LLC) and operated by EGC. Calvert LLC and EGC hol d the licenses.
Facility Operating License No. NPF-62 for Clinton Power Station (Clinton), Unit
No. 1, and the general license for the associated ISFSI. Clint on is located in DeWitt
County, Illinois, and it is owned and operated by EGC. EGC hol ds the licenses.
Facility Operating License No. DPR-2 and Renewed Facility Oper ating License
Nos. DPR-19 and DPR-25 for Dresden Nuclear Power Station (Dresden), Units 1, 2,
and 3, respectively, and the general license for the associated ISFSI. Dresden is
located in Grundy County, Illinois, and it is owned by EGC. Dresden, Unit 1, has
permanently ceased operation and is no longer authorized to ope rate, and EGC is
only authorized to perform certain activities (e.g., decommissi oning) at the facility.
EGC operates Dresden, Units 2 and 3. EGC holds the licenses.
Renewed Facility Operating License No. DPR-59 for James A. FitzPatrick Nuclear
Power Plant (FitzPatrick), and the general license for the associated ISFSI.
FitzPatrick is located in Oswego County, New York, and it is ow ned by Exelon
2 FitzPatrick, LLC and operated by EGC. Exelon FitzPatrick, LLC and EGC hold the
licenses.
Renewed Facility Operating License Nos. NPF-11 and NPF-18 for LaSalle County
Station (LaSalle), Units 1 and 2, respectively, and the general license for the
associated ISFSI. LaSalle is located in LaSalle County, Illinois, and it is owned and
operated by EGC. EGC holds the licenses.
Renewed Facility Operating License Nos. NPF-39 and NPF-85 for Limerick
Generating Station (Limerick), Units 1 and 2, respectively, and the general license for
the associated ISFSI. Limerick is located in Montgomery Count y, Pennsylvania, and
it is owned and operated by EGC. EGC holds the licenses.
Renewed Facility Operating License Nos. DPR-63 and NPF-69 for Nine Mile Point
Nuclear Station (NMP), Units 1 and 2, respectively, and the gen eral license for the
associated ISFSI. NMP is located in Oswego County, New York, a nd it is operated
by EGC. Nine Mile Point Nuclear Station, LLC (NMP LLC) owns NM P, Unit 1, and
holds the license with EGC. NMP LLC and Long Island Lighting C ompany own
NMP, Unit 2, and hold the license with EGC.
Facility Operating License No. DPR-12 and Subsequent Renewed F acility Operating
License Nos. DPR-44 and DPR-56 for Peach Bottom Atomic Power St ation (Peach
Bottom), Units 1, 2, and 3, respectively, and the general licen se for the associated
ISFSI. Peach Bottom is located in York and Lancaster Counties, Pennsylvania.
Peach Bottom, Unit 1, has permanently ceased operation and is no longer
authorized to operate, and EGC is only authorized to perform certain activities (e.g.,
decommissioning) at the facility. EGC owns and holds the license for Peach Bottom,
Unit 1. Peach Bottom, Units 2 and 3, are owned by PSEG Nuclear, LLC (PSEG) and
3 EGC and operated by EGC. PSEG and EGC hold the licenses for Pe ach Bottom,
Units 2 and 3.
Renewed Facility Operating License Nos. DPR-29 and DPR-30 for Quad Cities
Nuclear Power Station (Quad Cities), Units 1 and 2, respectivel y, and the associated
general license for the ISFSI. Quad Cities is located in Rock Island County, Illinois,
and it is owned by EGC and MidAmerican Energy Company and opera ted by EGC.
EGC and MidAmerican Energy Company hold the licenses.
Renewed Facility Operating License No. DPR-18 for R. E. Ginna Nuclear Power
Plant (Ginna), and the general license for the associated ISFSI. Ginna is located in
Wayne County, New York, and it is owned by R. E. Ginna Nuclear Power Plant, LLC
(Ginna LLC) and operated by EGC. Ginna LLC and EGC hold the license.
Renewed Facility Operating License Nos. DPR-70 and DPR-75 for Salem Nuclear
Generating Station (Salem), Unit Nos. 1 and 2, respectively, and the general license
for the associated ISFSI. Salem is located in Salem County, Ne w Jersey, and it is
owned by PSEG and EGC and operated by PSEG. PSEG and EGC hold the
licenses.
Renewed Facility License No. DPR-50 for Three Mile Island Nucl ear Station (TMI),
Unit 1, and the general license for the associated ISFSI. TMI is located in Dauphin
County, Pennsylvania. TMI, Unit 1, has permanently ceased oper ation and is no
longer authorized to operate, and EGC is only authorized to perform certain activities
(e.g., decommissioning) at the facility. EGC owns and holds th e license for TMI,
Unit 1.
Facility Operating License Nos. DPR-39 and DPR-48 for Zion Nuclear Power Station
(Zion), Units 1 and 2, respectively, and the general license fo r the associated ISFSI.
Zion is located in Lake County, Illinois, and it is owned by EGC. Radiological
4 decommissioning of the Zion units has been completed such that the only licensed
activities that EGC may perform at the site are associated with the ISFSI operation
and maintenance. EGC holds the licenses.
II.
By application dated February 25, 2021 (Agencywide Documents Ac cess and
Management System (ADAMS) Accessi on No. ML21057A273), as supplemented by letters
dated March 25, June 11, September 16, and September 29, 2021 (ADAMS Accession
Nos. ML21084A165, ML21162A292, ML21259A040, and ML21272A276 (pa ckage),
respectively), EGC, on behalf of itself and Exelon Corporation; Exelon FitzPatrick, LLC;
NMP LLC; Ginna LLC; and Calvert LLC (collectively, the Applican ts) requested, pursuant to
Section 184 of the Atomic Energy Act of 1954, as amended (the A ct), and Title 10 of the Code
of Federal Regulations (10 CFR) Sections 50.80, Transfer of licenses, and 72.50, Tr ansfer of
license, that the U.S. Nuclear Regulatory Commission (NRC, the Commission) consent to the
indirect transfer of control of the Licenses.
Specifically, the Applicants requested that the NRC consent to the indirect transfer of
control of the Licenses to support a proposed transaction (referred to as the spin transaction) in
which Exelon Corporation will transfer its 100 percent ownershi p of EGC to a newly-created
subsidiary that will then be spun off to Exelon Corporation sha reholders, becoming EGCs new
ultimate parent company. Once the spin transaction is complete d, the new ultimate parent
company, EGC, and its subsidiaries will no longer be affiliated with Exelon Corporation. EGC
will remain the same Pennsylvania limited liability company as before the spin transaction and
will continue to own and/or operate the aforementioned reactor units and associated ISFSIs
(collectively, the facilities), as applicable, and hold the Lic enses, but it will be reorganized and
renamed. The name for the new ultimate parent company and the new name for EGC have not
yet been determined; therefore, they are identified herein as HoldCo and SpinCo, respectively.
5 The Applicants further requested that the NRC consent to the in direct transfer of control
of the licenses for the FitzPatrick, NMP, and Ginna facilities to support the reorganization of
EGC. As part of the reorganization, Exelon FitzPatrick, LLC; N MP LLC; Ginna LLC; and, as
applicable, their parent entities, will become subsidiaries of a newly-created, wholly-owned
subsidiary of SpinCo. In addition, Exelon FitzPatrick, LLC wil l be renamed. The name for this
new subsidiary of SpinCo and the new name for Exelon FitzPatric k, LLC have not yet been
determined; therefore, they are identified herein as New York HoldCo and New FitzPatrick, LLC,
respectively.
The Applicants also requested NRC approval to replace existing nuclear operating
services agreements and financial support agreements associated with the ownership and
operation of the Calvert Cliffs, NMP, Ginna, and FitzPatrick fa cilities. The Applicants requested
NRC approval to transfer the qualified and non-qualified trusts for FitzPatrick from Exelon
Generation Consolidation, LLC (a subsidiary of EGC) to New FitzPatrick, LLC.
Pursuant to 10 CFR 50.90, Application for amendment of license, construction permit,
or early site permit, and 72.56, Application for amendment of license, the Applicants
requested conforming amendments to the Licenses to reflect the proposed transfer. In addition,
the Applicants requested that the conforming amendments to the licenses for Calvert Cliffs,
Units 1 and 2; NMP, Units 1 and 2; and Ginna delete conditions referencing the Constellation
Energy Nuclear Group, LLC (a subsidiary of EGC) Board and its operating agreement to reflect
the internal reorganization of EGC described in the application.
On May 3, 2021, the NRC published a notice of consideration of approval of the
proposed license transfer and conforming license amendments in the Federal Register
(86 FR 23437). This notice provided an opportunity to comment, request a hearing, and petition
for leave to intervene on the application. On June 2, 2021 (86 FR 29599), the comment period
was extended to June 23, 2021.
6 Separate requests for a hearing on the application were filed b y Eric Epstein, on behalf
of himself and Three Mile Island Alert, Inc., on June 14, 2021 (ADAMS Accession No.
ML21165A196); EDF Inc. on June 14, 2021 (ADAMS Accession No. ML 21165A295); the
Environmental Law and Policy Center on June 23, 2021 (ADAMS Acc ession No.
ML21174A320); and the State of Illinois on July 12, 2021 (ADAMS Accession No.
ML21193A326). EDF Inc. withdrew its request for a hearing on August 9, 2021 (ADAMS
Accession No. ML21221A153). The remaining hearing requests are pending before the
Commission. The NRC also received written comments regarding t he application. The
comments within the scope of the NRC staffs review of the application are addressed in the
NRC staffs safety evaluation of the application.
Pursuant to 10 CFR 50.80, no license for a production or utiliz ation facility, or any right
thereunder, shall be transferred, either voluntarily or involun tarily, directly or indirectly, through
transfer of control of the license to any person, unless the Commission gives its consent in
writing. Pursuant to 10 CFR 72.50, no license or any part included in a license issued under 10
CFR Part 72 for an ISFSI shall be transferred, either voluntari ly or involuntarily, directly or
indirectly, through transfer of control of the license to any p erson, unless the Commission gives
its consent in writing. Upon review of the information in the application, as supplemented, and
other information before the Commission, the NRC staff has determined that SpinCo; Calvert
LLC, New FitzPatrick, LLC; NMP LLC; and Ginna LLC are qualified to hold the Licenses to the
extent proposed in the application, as supplemented, to permit the spin transaction and
reorganization of EGC, and that transfer of the Licenses is otherwise consistent with applicable
provisions of law, regulations, and orders issued by the Commission pursuant thereto, subject to
the conditions set forth below.
Upon review of the application, as supplemented, for conforming license amendments to
reflect the transfer, the NRC staff has determined that:
7 (1) The application, as supplemented, complies with the standards a nd requirements
of the Act and the Commissions rules and regulations set forth in 10 CFR
Chapter I.
(2) The facilities will operate in conformity with the application, as supplemented, the
provisions of the Act, and the rules and regulations of the Com mission.
(3) There is reasonable assurance that the activities authorized by the amendments
can be conducted without endangering the health and safety of the public and
that such activities will be conducted in compliance with the Commissions
regulations.
(4) The issuance of the amendments will not be inimical to the comm on defense and
security or to the health and safety of the public.
(5) The issuance of the amendments will be in accordance with 10 CF R Part 51 of
the Commissions regulations and all applicable requirements ha ve been
satisfied. The findings set forth above are supported by an NRC staff safety
evaluation dated the same date as this order, which is available at ADAMS
Accession No. ML21277A248 (non-proprietary).
III.
Accordingly, pursuant to Sections 161b, 161i, and 184 of the Ac t, 42 U.S.C. §§ 2201(b),
2201(i), and 2234, and 10 CFR 50.80, 10 CFR 72.50, 10 CFR 50.90, and 10 CFR 72.56, IT IS
HEREBY ORDERED that the license transfer application, as descri bed herein, is approved,
subject to the following conditions:
- 1. SpinCo and New FitzPatrick, LLC shall provide satisfactory d ocumentary
evidence to the Director of the Office of Nuclear Reactor Regul ation that, as of
the date of the indirect license transfer, the licensees reflec ted in the amended
licenses have obtained the appropriate amount of insurance required of a
licensee under 10 CFR Part 140 and 10 CFR 50.54(w).
8
Zion, Units 1 and 2, respectively, and the general license for the Zion ISFSI at
the time of the closing of the spin transaction, then these lic enses shall not be
transferred to SpinCo as part the spin transaction.
- 3. At least 5 business days before the closing of the spin transaction, the Applicants
shall submit, signed under oath or affirmation, the following i nformation to the
NRC in accordance with 10 CFR Parts 50 and 72: (1) the final l egal entity names
of HoldCo, SpinCo, New York HoldCo, and New FitzPatrick, LLC; ( 2) the state of
incorporation and address for HoldCo; (3) the address for New York HoldCo; and
(4) the names, addresses, and citizenship of the directors and principal officers of
HoldCo and New York HoldCo.
- 4. The NRC staffs approval of the license transfer is subject to the Commissions
authority to rescind, modify, or condition the approved transfer based on the
outcome of any post-effectiveness hearing on the license transf er application.
IT IS FURTHER ORDERED that after receipt of all required regula tory approvals of the
proposed indirect license transfer, the Applicants shall inform the Directors of the Office of
Nuclear Reactor Regulation and the Office of Nuclear Material Safety and Safeguards in writing
of such receipt no later than 5 business days prior to the date of the closing of the transfer.
Should the proposed license transfer not be completed within 1 year of the date of this order,
this order shall become null and void, provided, however, that upon written application and for
good cause shown, such date may be extended by order. The cond itions of this order may be
amended upon application by the Applicants and approval by the NRC.
IT IS FURTHER ORDERED that consistent with 10 CFR 2.1315(b), th e license
amendments that make changes, as indicated in Enclosure 2 to the letter forwarding this order,
to reflect the subject license transfer, are approved. The amendments shall be issued and
made effective at the time the proposed transfer actions are co mpleted.
9 This order is effective upon issuance.
For further details with respect to this order, see the application dated February 25,
2021, as supplemented by letters dated March 25, June 11, Septe mber 16, and September 29,
2021, and the associated NRC staff safety evaluation dated the same date as this order.
Publicly available documents created or received at the NRC are accessible electronically
through ADAMS in the NRC Library at https://www.nrc.gov/reading-rm/adams.html. Persons
who do not have access to ADAMS or who encounter problems acces sing the documents
located in ADAMS should contact the NRC Public Document Room re ference staff by telephone
at 1-800-397-4209 or 301-415-4737 or by e-mail to pdr.resource@nrc.gov.
Dated: November 16, 2021.
FOR THE NUCLEAR REGULATORY COMMISSION.
Bo M. Pham, Director, Division of Operating Reactor Licensing, Office of Nuclear Reactor Regulation.
Jane E. Marshall, Director, Division of Decommissioning, Uranium Recovery, and Waste Programs, Office of Nuclear Material Safety and Safeguards.
Shana R. Helton, Director, Division of Fuel Management, Office of Nuclear Material Safety and Safeguards.
10