ML21292A149
| ML21292A149 | |
| Person / Time | |
|---|---|
| Site: | Palisades, Big Rock Point File:Consumers Energy icon.png |
| Issue date: | 12/13/2021 |
| From: | Shana Helton, Mark King Office of Nuclear Material Safety and Safeguards, Office of Nuclear Reactor Regulation |
| To: | Entergy Nuclear Operations |
| Wall S | |
| Shared Package | |
| ML21292A155 | List: |
| References | |
| EPID L-2020-LLM-0003, NRC-2021-0211 | |
| Download: ML21292A149 (11) | |
Text
[7590-01-P]
NUCLEAR REGULATORY COMMISSION
[Docket Nos. 50-155, 50-255,72-007, and 72-043; NRC-2021-0211]
In the Matter of Entergy Nuclear Operations, Inc.
Entergy Nuclear Palisades, LLC
Holtec International and Holtec Decommissioning International, LLC
Big Rock Point Plant and Palisades Nuclear Plant
AGENCY: Nuclear Regulatory Commission.
ACTION: Transfer of licenses; order.
SUMMARY
- The U.S. Nuclear Regulatory Commission (NRC) is issuing an or der
approving the transfer of Renewed Facility Operating License No. DPR-20 for the
Palisades Nuclear Plant (Palisades), the general license for th e Palisades Independent
Spent Fuel Storage Installation (ISFSI), Facility Operating Lic ense No. DPR-6 for Big
Rock Point Plant (Big Rock Point), and the general license for the Big Rock Point ISFSI
(referred to collectively as the Sites and the licenses) to a H oltec International (Holtec)
subsidiary to be known as Holtec Palisades, LLC (Holtec Palisad es). The order also
approves the transfer of operating authority from the currently licensed operator, Entergy
Nuclear Operations, Inc. (ENOI), to Holtec Decommissioning Inte rnational, LLC (HDI).
The NRC is also issuing draft conforming amendments to the faci lity operating licenses
for administrative purposes to reflect the transfer of the lice nses from ENOI to HDI and
the planned name change for Entergy Nuclear Palisades, LLC to H oltec Palisades.
DATES: The order was issued on December 13, 2021, and is effective f or 1 year.
ADDRESSES: Please refer to Docket ID NRC-2021-0211 when contacting the NRC
about the availability of information regarding this document. You may obtain publicly
available information related to this document by using any of the following methods:
- Federal Rulemaking Website: Go to https://www.regulations.gov and
search for Docket ID NRC-2021-0211. Address questions about Dockets IDs in
Regulations.gov to Stacy Schumann; telephone: 301-415-0624; em ail:
Stacy.Schumann@nrc.gov. For technical questions, contact the i ndividual listed in the
FOR FURTHER INFORMATION CONTACT section of this document.
- NRCs Agencywide Documents Access and Management System
(ADAMS): You may obtain publicly available documents online in the ADA MS Public
Documents collection at https://www.nrc.gov/reading-rm/adams.ht ml. To begin the
search, select Begin Web-based ADAMS Search. For problems wi th ADAMS, please
contact the NRCs Public Document Room (PDR) reference staff at 1-800-397-4209,
301-415-4737, or by email to PDR.Resource@nrc.gov. The license transfer order, the
NRC safety evaluation supporting the staffs findings, and the draft conforming license
amendments are available in ADAMS under Package Accession No. M L21292A155.
- NRCs PDR: You may examine and purchase copies of public documents,
by appointment, at the NRCs PDR, Room P1 B35, One White Flint North, 11555
Rockville Pike, Rockville, Maryland 20852. To make an appointm ent to visit the PDR,
please send an email to PDR.Resource@nrc.gov or call 1-800-397-4209 or 301-415-
4737, between 8:00 a.m. and 4:00 p.m. (ET), Monday through Frid ay, except Federal
holidays.
FOR FURTHER INFORMATION CONTACT: Scott P. Wall, Office of Nuclear Reactor
Regulation, U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001;
telephone: 301-415-2855; email: Scott.Wall@nrc.gov.
2 SUPPLEMENTARY INFORMATION: The text of the order is attached.
Dated: December 13, 2021.
For the Nuclear Regulatory Commission.
/RA/
Scott P. Wall, Senior Project Manager, Plant Licensing Branch III, Division of Operating Reactor Licensing, Office of Nuclear Reactor Regulation.
3 Attachment - Order Approving Transfer of Licenses and Draft Conforming Administrative License Amendments
UNITED STATES OF AMERICA
NUCLEAR REGULATORY COMMISSION
IntheMatterof )
)
Entergy Nuclear Operations, Inc. )
Entergy Nuclear Palisades, LLC )
)
Big Rock Point Plant and ISFSI ) Docket Nos. 50-155, 50-255, 7 2-
)
ORDER APPROVING TRANSFER OF LICENSES AND DRAFT CONFORMING ADMINISTRATIVE LICENSE AMENDMENTS
I.
Entergy Nuclear Operations, Inc. (ENOI) and Entergy Nuclear Pal isades, LLC
(ENP) are the holders of the U.S. Nuclear Regulatory Commission (NRC, the
Commission) Facility Operating License No. DPR-6 for Big Rock P oint Plant (Big Rock
Point), Renewed Facility Operating License No. DPR-20 for Palis ades Nuclear Plant
(Palisades), and the general licenses for the Big Rock Point an d the Palisades
independent spent fuel storage installations (ISFSIs) (collecti vely, the Sites and the
licenses). Big Rock Point permanently ceased operations on Aug ust 29, 1997, and
ENOI has certified to the NRC its decision to permanently cease operations at Palisades
no later than May 31, 2022. Big Rock Point is located in Hayes, Michigan, in Charlevoix
County, on the northern shore of Michigans Lower Peninsula. P alisades is located in
Covert, Michigan, in Van Buren County, on the eastern shore of Lake Michigan.
II.
ENOI, on behalf of itself, ENP, Holtec International (Holtec), and Holtec
Decommissioning International, LLC (HDI) (collectively, the App licants), requested that
the NRC consent to the transfer of control of the licenses to a Holtec subsidiary to be
known as Holtec Palisades, LLC (Holtec Palisades). The applica tion, dated
December 23, 2020 (Agencywide Documents Access and Management S ystem
(ADAMS) Accession No. ML20358A075), as supplemented by informat ion in letters from
HDI dated December 23, 2020, December 23, 2020, and October 29, 2021 (ADAMS
Accession Nos. ML20358A232, ML20358A239, and ML21302A064, respe ctively), made
the request under Section 184, Inalienability of Licenses, of the Atomic Energy Act of
1954, as amended (AEA), and Title 10 of the Code of Federal Regulations (10 CFR)
Section 50.80, Transfer of licenses, and 10 CFR 72.50, Trans fer of license. The
Applicants also requested that the NRC consent to the transfer of ENOIs operating
authority (i.e., its authority to conduct licensed activities a t Big Rock Point and Palisades)
to HDI. Finally, the Applicants requested that the NRC approve conforming
administrative amendments to the licenses to reflect the propos ed license transfer and
the planned name change from ENP to Holtec Palisades in accorda nce with
10 CFR 50.90, Application for amendment of license, constructi on permit, or early site
permit.
Upon an NRC approval of the license transfer application and th e consummation
of the proposed transfer transaction, Holtec Palisades would be the licensed owner for
Big Rock Point and Palisades. Holtec Palisades would also own each sites associated
assets and real estate, including the Palisades decommissioning trust fund (DTF), title to
spent nuclear fuel, and rights under the terms of the Standard Contract for Disposal of
Spent Nuclear Fuel and/or High-Level Radioactive Waste with the U.S. Department of
2 Energy. A wholly-owned subsidiary of Holtec, Nuclear Asset Man agement Company,
LLC, would acquire all equity interests in the parent companies owning the Sites and
would emerge as the direct parent company owner of Holtec Palis ades.
Holtec Palisades would enter into an operating agreement for de commissioning
services with HDI, which would act as its agent, and Holtec Pal isades would pay for
HDIs decommissioning, spent fuel management, and site restorat ion costs incurred at
Big Rock Point and Palisades; HDI would be the licensed operato r for Big Rock Point
and Palisades. HDI would assume responsibility for compliance with NRC regulations
and the current licensing bases, including regulatory commitmen ts that exist at the
consummation of the proposed transfer transaction, and would im plement any changes
under applicable regulatory requirements and practices. Compre hensive
Decommissioning International, LLC, a general contractor to HDI, would perform day-to-
day activities at Big Rock Point and Palisades, including decom missioning activities,
under a general contractor agreement between it and HDI, subjec t to HDIs direct
oversight and control as the licensed operator.
Nuclear Asset Management Company, LLC and HDI would be direct, wholly-
owned subsidiaries of Holtec Power, Inc., which is a direct, wh olly-owned subsidiary of
Holtec.
On February 4, 2021, the NRC published in the Federal Register (86 FR 8225)
the notice of consideration of approval of the license transfer application and of
conforming amendments to the licenses to reflect the proposed t ransfer. This notice
provided an opportunity to request a hearing within 20 days and an opportunity to
comment within 30 days.
In response, separate hearing requests were filed by: (1) the S tate of Michigan
(ADAMS Accession No. ML21055A888); (2) the Environmental Law an d Policy Center
3 (ADAMS Accession No. ML21055A914); (3) Beyond Nuclear, Michigan Safe Energy
Future, and Dont Waste Michigan (ADAMS Accession No. ML21055A9 53); and (4)
Mark Muhich (ADAMS Accession No. ML21083A134). These hearing r equests are
pending before the Commission. The NRC also received public co mments on the
license transfer application, the general topics of which are p rovided in the NRC staffs
safety evaluation of the application. The NRC staff reviewed t he hearing requests and
comment submissions and considered them as part of its evaluati on of the application.
The letter from HDI, dated December 23, 2020, requested, in sup port of the
license transfer application, an exemption from 10 CFR 50.82(a) (8)(i)(A) and
10 CFR 50.75(h)(1)(iv) to allow the use of funds from the Palis ades DTF for spent fuel
management and site restoration activities at Palisades and to allow disbursements from
the Palisades DTF for these activities to be made without prior notice, similar to
withdrawals in accordance with 10 CFR 50.82(a)(8). Separate fr om this order, the NRC
staff reviewed and approved the exemption request (ADAMS Access ion
No. ML21286A581). The staff is issuing its approval of the exe mption request
concurrent with its approval of the license transfer applicatio n; the exemption is effective
immediately but will only apply to Holtec Palisades and HDI if and when the proposed
transfer transaction is consummated.
In accordance with 10 CFR 50.80, no license for a production or utilization
facility, or any right thereunder, shall be transferred, either voluntarily or involuntarily,
directly or indirectly, through transfer of control of the lice nse to any person, unless the
Commission gives its consent in writing. In accordance with 10 CFR 72.50, no license
or any part included in a license for an ISFSI shall be transfe rred, either voluntarily or
involuntarily, directly or indirectly, through transfer of cont rol of the license to any person,
unless the Commission gives its consent in writing. Upon revie w of the information in
4 the license transfer application, as supplemented, and other in formation before the
Commission, and relying upon the representations and agreements contained in the
application, the NRC staff has determined that Holtec Palisades and HDI are qualified to
be the holders of the licenses and that the transfer of the lic enses, as described in the
application, is otherwise consistent with applicable provisions of law, regulations, and
orders issued by the Commission pursuant thereto, subject to th e conditions set forth
below.
Upon review of the application, as supplemented, for conforming administrative
amendments to the licenses to reflect the transfer, the NRC staff has determined the
following:
(1) The application for amendments complies with the standards and requirements
of the AEA and the Commissions rules and regulations set forth in
10 CFR Chapter I.
(2) The facility will operate in conformity with the applicatio n, the provisions of the
AEA, and the rules and regulations of the Commission.
(3) There is reasonable assurance that the activities authorize d by the amendments
can be conducted without endangering the public health and safe ty and that such
activities will be conducted in compliance with the Commission s regulations.
(4) The issuance of the amendments will not be inimical to the common defense and
security or to the public health and safety.
(5) The issuance of the amendments is in accordance with 10 CFR Part 51,
Environmental Protection Regulations for Domestic Licensing and Related
Regulatory Functions, of the Commissions regulations and all applicable
requirements have been satisfied.
5 The findings set forth above are supported by an NRC staff safe ty evaluation
dated December 13, 2021, which is available at ADAMS Accession No. ML21292A148.
III.
Accordingly, pursuant to Sections 161b, 161i, and 184 of the A EA; 42 U.S.C.
Sections 2201(b), 2201(i), and 2234; and 10 CFR 50.80, 10 CFR 7 2.50, and
10 CFR 50.90, IT IS HEREBY ORDERED that the license transfer ap plication, as
described herein, be approved, subject to the following conditi ons:
(1) At least 2 business days before the planned closing date of the purchase and
sale transaction, HDI shall provide the Directors of the NRCs Office of Nuclear
Material Safety and Safeguards (NMSS) and Office of Nuclear Rea ctor
Regulation (NRR) satisfactory documentary evidence that Holtec Palisades and
HDI will enter into a decommissioning operator services agreeme nt that provides
for HDI to act as the agent for Holtec Palisades and for Holtec Palisades to pay
HDIs costs of post-shutdown operations, including decommission ing and spent
fuel management costs.
(2) At least 2 business days before the planned closing date of the purchase and
sale transaction, HDI shall provide the Directors of NMSS and N RR satisfactory
documentary evidence that the appropriate amount of insurance r equired of a
licensee under 10 CFR 140.11(a)(4) and 10 CFR 50.54(w) has been obtained.
(3) At least 2 business days before the planned closing date of the purchase and
sale transaction, HDI shall provide the Directors of NMSS and N RR satisfactory
documentary evidence that, for the Big Rock Point ISFSI, a fund satisfying the
prepayment method of 10 CFR 72.30(e)(1) for decommissioning has been
established.
6 (4) At least 2 business days before the planned closing date of the purchase and
sale transaction, HDI shall provide the Directors of NMSS and N RR satisfactory
documentary evidence that, for the Big Rock Point ISFSI, a fund containing one
years worth of estimated operating costs, along with a parent support agreement
to continually maintain that fund with one years worth of esti mated operating
costs, has been established.
(5) The NRC staffs approval of this license transfer is subjec t to the Commissions
authority to rescind, modify, or condition the approved transfe r based on the
outcome of any post-effectiveness hearing on the license transf er application.
IT IS FURTHER ORDERED that, consistent with 10 CFR 2.1315(b), the license
amendments that make changes, as indicated in Enclosure 2 to th e letter transmitting
this order, to reflect the subject license transfer are approve d. The amendments shall be
issued and made effective at the time the proposed transfer act ions are completed.
IT IS FURTHER ORDERED that at least 2 business days before the planned
closing date of the purchase and sale transaction, ENOI shall p rovide the Directors of
NMSS and NRR with notice of the planned closing date of the pur chase and sale
transaction. Should the proposed transfer not be completed wit hin 1 year of the date of
this order, this order shall become null and void; provided, ho wever, that upon written
application and for good cause shown, such date may be extended by order. The
conditions of this order may be amended upon application by the Applicants and
approval by the NRC.
This order is effective upon issuance.
For further details with respect to this order, see the applic ation dated
December 23, 2020, as supplemented by information in letters fr om HDI dated
December 23, 2020, December 23, 2020, and October 29, 2021, and the associated
7 NRC staff safety evaluation dated December 13, 2021, which are available for public
inspection 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 a ccessing the documents located in ADAMS should
contact the NRC Public Document Room reference staff by telepho ne at
1-800-397-4209 or 301-415-4737 or by e-mail to pdr.resource@nrc.gov.
Dated: December 13, 2021.
FOR THE NUCLEAR REGULATORY COMMISSION.
/RA/
Shana R. Helton, Director, Division of Fuel Management, Office of Nuclear Material Safety and Safeguards.
/RA/
Michael F. King, Deputy Director, Office of Nuclear Reactor Regulation.
8