ML22089A186

Decommissioning Fund Status Report

ML22089A186
Person / Time
Site:	Millstone
Issue date:	03/30/2022
From:	Lawrence D Dominion Energy Nuclear Connecticut
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
22-048
Download: ML22089A186 (6)

Text

Dominion Energy Nuclea r Connecticut , Inc.

5000 Dominion Boul evard, Glen A llen, VA 23060 ~ Dominion DominionEnergy.com ;iiiiii"' Energy March 30, 2022 United States Nuclear Regulatory Commission Serial No.: 22-048 Attention: Document Control Desk NRA/ENC: RO Washington, D. C. 20555-0001 Docket No.: 50-245 License No.: DPR-21 DOMINION ENERGY NUCLEAR CONNECTICUT, INC.

MILLSTONE POWER STATION UNIT 1 DECOMMISSIONING FUNDING STATUS REPORT Pursuant to 10 CFR 50.75(f)(1) and 10 CFR 50.82(a)(8)(v)-(vii), Dominion Energy Nuclear Connecticut, Inc. (DENG), is providing this report on the status of decommissioning funding for Millstone Power Station Unit 1 (MPS1 ). provides the following information for MPS1:

Table I - Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2021 Table II - Decommissioning Funding Status Report for MPS1 Annual Cash Flow Analysis Starting January 1, 2022 Through End of Decommissioning The following information is provided in support and as part of this filing:

1. The escalation of decommissioning costs from the Cost Study's 2019 dollars to 2022 dollars is 3.14% and is based upon the average of CPI-U rates, Bureau of Labor Statistics, FCPIU.US CPI: Consumer Price Index for All Urban Consumers, (Index 1982-84=100, SA) for that period.

2. The escalation rate of decommissioning costs, shown in Table II is 0% based on assuming a 2% Real Rate of Return.

3. The growth rate on Trust Funds is the allowed 2% Real Rate of Return over the escalation rate.

4. No rate regulatory authority citation for MPS1 is referenced because MPS1 is a merchant unit.

5. There are no contracts upon which DENG is relying under paragraph 10 CFR 50.75(e)(1)(v) and there were no modifications to the current method of providing financial assurance since the last submitted report.

Serial No.: 22-048 Docket No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 2 of 2

6. There are no annual funding amounts for MPS1.

7. Trust Fund balances shown in this report are market value and after-tax on realized gains and losses. The Trust Fund balances have not been adjusted for unrealized gain or loss positions that are not currently taxable.

8. Since the previous annual submittal on March 25, 2021 (Serial No.21-080, ADAMS Accession No. ML2108A577) for MPS1 there have been no material changes to the Trust agreements established for nuclear decommissioning.

Please contact Ms. Erica N. Combs at (804) 273-3386 if you have any questions or require additional information.

Sincerely,

. Lawrence Vice President - Nuclear Engineering & Fleet Support Dominion Energy Nuclear Connecticut, Inc.

Attachment:

Decommissioning Funding Status Report for MPS1, Summary Information as of December 31, 2021 Commitments made in this letter: None cc: U.S. Nuclear Regulatory Commission, Region I 2100 Renaissance Blvd, Suite 100 King of Prussia, Pennsylvania 19406-2713 Ms. Amy Snyder NRC Senior Project Manager - Millstone Power Station, Unit 1 U.S. Nuclear Regulatory Commission Mail Stop T-5A 10 Washington, D.C. 20555-0001

Serial No.: 22-048 Docket No.: 50-245 Attachment Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2021 Millstone Power Station - Unit 1 Dominion Energy Nuclear Connecticut, Inc. (DENC)

Serial No.: 22-048 Docket No.: 50-245 Attachment 1 Page 1 of 3 Table I. Decommissioning Funding Status Report for M PS1: Summary Information as of December 31, 2021 (10 CFR 50.82 (a)(8)(v)-(vii)]

(in millions of dollars)

DECOMMISSIONING TRUST FUND BALANCES 10 CFR Reference(s): 50.82(a}(B}(v}(A); 50.82(a)(B)(vi1)(A)

Fund Balance Type of Trusts Comments s 803.2 Unit 1 qualified fund balance As of: 12/31/2021

$ - Unit 1 non-qualified fund balance As of: 12/31/2021

$ 1.4 Less costs incurred but not yet billed to Trust Actual Cost in: 2021 Dollars s 801.8 Adjusted decommissioning fund balance As of: 12/31/2021 OTHER FINANCIAL ASSURANCE METHODS BEING RELIED UPON 10 CFR Reference(s): 50.82(a)(B)(v)(A)

None PRIOR YEARS DECOMMISSIONING EXPENDITURES 10 CFR Reference(s): 50.82(a)(B)(v)(A)

Total License Term Spent Fuel Mgmt Site Restoration Comments s 4.5 $ 0.5 s 4.0 s - 2021 Cost in: 2021 Dollars

$ 102.5 $ 48.9 s 53.6 s - 2001-2020 Cost in: As-Spent Dollars s 107.0 s 49.4 $ 57.6 s - Total Prior Year in: As-Spent Dollars PRIOR YEAR DECOMMISSIONING ExPENDITURES VARIANCE TO ESTIMATED COST 10 CFR Reference(s): 50.82(a)(8}(v)(B)

Total License Term Spent Fuel Mgmt Site Restoration Comments s 4.5 $ - $ - s - Actual Cost in 2021 Dollars

$ 6.0 $ - $ - $ - NRCAuth $ in 2021 Dollars s (1 .6) $ - $ - $ -

Variance: Underrun to NRC Authorized Expenditures RE MAINING DECOMMISSIONING ESTIMATED COST 10 CFR Reference(s): 50.82(a)(B)(v)(B); 50.82(a)(B)(vi1J(B)

Total License Term Spent Fuel Mgmt Site Restoration Comments s 536.5 s 389.4 $ 138.9 $ 8.2 Estimate in : 2022 Dollars DECOMMISSIONING CRITERIA UPON WHICH THE ESTIMATE IS BASED 10 CFR Reference(s): 50.82(a)(8)(v)(B)

SAFSTOR ANY MODIFICATION To METHOD OF PROVIDING FINANCIAL ASSURANCE 10 CFR Reference(s): 50.82(a)(B)(v)(C)

None ANY MATERIAL CHANGES To TRUST AGREEMENT SINCE PREVIOUS REPORT 10 CFR Reference(s): 50.82(a)(8)(v)(D)

None NEED FOR ADDITIONAL FINANCIAL ASSURANCE 10 CFR Reference(s): 50.82(a)(B)(vi); 50.82(a)(B)(vii}(C)

None See Annual Cash Flow Analysis in Table II INPUTS TO REMAINING COST AND FUNDING ANALYSIS 2022 Start year of Remaining Cost and Funding analysis 3.14% Escalate study dollars from Study Year to Start Year of Analysis using an average of CPI rates 0.00% Escalation rate 2022 & Beyond 2.00% Fund growth rate 2022 & Beyond (Reflects NRC allowed 2% Real Rate of Return)

Projected annual expenditures - see Annual Cash Flow Analysis in Table II NOTES:

1) Previous decommissioning expenditures represent the withdrawals from the nuclear decommissioning trusts made by DENC. These expenditures do not include the withdrawals made by the former owners of MPS 1.

2) Expenditures include withdrawals for spent fuel management, consistent with DENC's previous notices to the NRC, as well as allowed ordinary administrative costs.

Serial No.: 22-048 Docket No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 2 of 3 Table 2. Decommissioning Funding Status Report for MPS1:

Annual Cash Flow Analysis Starting January 1, 2022 through End of Decommissioning

[10 CFR 50.82 (a)(B)(v)-(vii)]

(in millions of dollars)

COLUMN 1 COLUMN2 COLUMN3 COLUMN4 COLUMNS COLUMNS COLUMN7 Earnings Remaining Beginning Remaining Remaining Remaining End Year of on License Spent Fuel Mgmt Site Restoration SAFSTOR of Trust Funds Termination Year Expenditures Expenditures Expenditures Year (Reflecls 2% Expenditures Balance (Reflecls 0% Esc) (Reflects 0% Esc) (Re0ecls 0% Esc) Balance RRoR) (Reflects 0% Esc) 2022 $ 801 .8 $ 16.0 $ 1.0 $ 4.6 s - $ 5.7 s 812.1 2023 $ 812.1 $ 16.2 s 1.0 $ 5.7 $ - $ 6 .7 $ 821.6 2024 $ 821 .6 s 16.4 s 1.0 $ 4.6 $ - $ 5.7 $ 832.3 2025 $ 832.3 s 16.6 s 1.0 $ 4.6 $ - $ 5.7 $ 843.2 2026 $ 843.2 $ 16.8 s 1.0 $ 3.9 $ - $ 4.9 $ 855.1 2027 $ 855.1 $ 17.1 s 1.0 $ 3.9 $ - $ 4.9 $ 867.2 2028 $ 867.2 $ 17.3 s 1.0 $ 3.9 $ - s 4.9 s 879.5 2029 $ 879.5 s 17.5 $ 1.0 $ 3.9 s - s 4.9 s 892.1 2030 $ 892.1 s 17.8 s 1.0 $ 3.9 $ - s 4.9 s 905.0 2031 s 905.0 s 18.0 s 1.0 s 3.9 s - s 4.9 $ 918.1 2032 $ 918.1 s 18.3 s 1.1 $ 3.9 s - $ 5.0 $ 931.4 2033 $ 931.4 $ 18.6 s 1.1 $ 3.9 $ - $ 5 .0 s 945.0 2034 s 945.0 $ 18.6 $ 1.7 $ 23.8 $ - $ 25.4 $ 938.2 2035 $ 938.2 $ 18.5 $ 1.7 $ 23.2 s - $ 24.9 s 931.8 2036 s 931.8 s 18.5 s - $ 12.4 s - $ 12.4 $ 937.9 2037 $ 937.9 $ 18.6 $ - $ 11.4 $ . $ 11 .4 s 945.1 2038 $ 945.1 $ 18.8 $ - $ 10.7 s - $ 10.7 s 953.2 2039 $ 953.2 s 19.0 s 0.8 $ 0.9 $ - $ 1.7 s 970.5 2040 $ 970.5 s 19.4 s 0.8 $ 0.9 $ - $ 1.7 s 988.2 2041 $ 988.2 $ 19.7 $ 0.8 s 0.9 $ - s 1.7 s 1,006.3 2042 s 1,006.3 s 20.1 $ 0.8 s 0.9 $ - s 1.7 s 1,024.7 2043 s 1,024.7 $ 20.5 s 0.8 $ 0.9 $ . s 1.7 s 1,043.4 2044 s 1,043.4 s 20.9 s 0.8 $ 0.9 $ - s 1.7 s 1,062.6 2045 $ 1,062.6 s 21.2 s 6.2 $ 0.9 $ - s 7.1 $ 1,076.7 2046 $ 1,076.7 s 21.3 $ 22.2 $ . $ - s 22.2 $ 1,075.8 2047 $ 1,075.8 $ 20.9 $ 62.3 $ - $ - $ 62.3 $ 1,034.4 2048 $ 1,034.4 $ 20.1 $ 63.0 $ - $ - s 63.0 $ 991.4 2049 $ 991 .4 $ 19.1 $ 75.5 $ - $ 0.1 s 75.6 $ 934.8 2050 s 934.8 $ 18.2 s 53.2 s - $ 0.9 s 54.2 s 898.8 2051 s 898.8 $ 17.6 s 32.0 $ - s 2.4 s 34.5 s 881.9 2052 s 881.9 s 17.4 $ 25.1 s - s 2.6 s 27.7 $ 871.6 2053 s 871.6 $ 17.2 $ 17.3 s - s 1.5 s 18.8 $ 870.0 2054 $ 870.0 $ 17.4 $ 4.5 s - s 0.5 s 5.0 s 882.4 2055 s 882.4 $ 17.6 $ 1.7 s - s 0.1 $ 1.8 s 898.2 2056 s 898.2 s 18.0 $ - s - s - s - $ 916.2 2057 $ 916.2 s 18.3 s - s . s - $ - $ 934.5 2058 $ 934.5 s 18.7 s - $ . $ - $ - $ 953.2 2059 s 953.2 s 19.1 s - $ - $ - s - $ 972.3 2060 $ 972.3 $ 19.4 s - $ - $ - s . s 991 .7 2061 $ 991.7 s 19.8 s - s - $ - s - s 1,011 .5 2062 $ 1,011.5 s 20.2 s - s - s - s - $ 1,031 .8 2063 $ 1,031.8 $ 20.6 $ - s - s - $ - $ 1,052.4 2064 $ 1,052.4 $ 21.0 $ - $ - $ - s - $ 1,073.5 2065 s 1,073.5 s 21.5 $ - s - $ - s - $ 1,094.9 2066 s 1,094.9 $ 21.9 $ - s - $ - $ - $ 1,116.8 2067 s 1,116.8 s 22.3 $ - $ - s - $ - s 1,139.2 2068 s 1,139.2 $ 22.8 s - $ - $ - $ - $ 1,161.9 2069 s 1,161 .9 $ 23.2 $ - s . $ - $ - $ 1,185.2 2070 s 1,185.2 $ 23.6 s 5.8 s . $ . $ 5.8 s 1,203.1 Remaining S in 2022 Dollars $ 389.4 $ 138.9 $ 8.2 $ 536.5 Est Fund Balance (end of Decommissioning) (in Future S escalated at 0.0"/o & 2.0"/o Real Rate of Return Fund Growth Rate) $ 1,203.1 Est FIXld 8alarx:e (end a Decanmissioring) discounted to 2022 Dollars Disoount Rate = 2.00% $ 465.0

Serial No.: 22-048 Docket No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 3 of 3 Table II Definitions:

Column 1: Beginning of Year Balance:

Reflects the beginning-of-year Trust Fund balance at a 0.0% cost escalation rate and a 2.0% Real Rate of Return (RRoR) on fund growth.

Column 2: Earnings on Trust Funds:

Reflects earnings on funds remaining in the trust. A 2.0% RRoR Fund growth rate is used for 2022 through 2070 which reflects the allowed 2.0% RRoR over a 0.0% cost escalation rate. The annual 2.0% RRoR earnings are calculated on the beginning balance less 50%

of the projected annual expenditure for each year.

Column 3: Remaining License Termination Expenditures:

Reflects the annual License Termination Plan cost portion at a 0.0% escalation rate from the Site-Specific Estimate.

Column 4: Remaining Spent Fuel Management Expenditures:

Reflects the annual Irradiated Fuel Management Plan cost portion at a 0.0% escalation rate from the Site-Specific Estimate. This column provides funding information for managing irradiated fuel as required by 10 CFR 50.82(a)(8)(vii).

Column 5: Remaining Site Restoration Expenditures:

Reflects the annual Site Restoration Plan cost portion at a 0.0% escalation rate from the Site-Specific Estimate.

Column 6: Remaining SAFSTOR Expenditures:

Reflects the annual SAFSTOR Decommissioning Plan cost at a 0.0% escalation rate from the Site-Specific Cost Estimate.

Column 7: End of Year Balance:

Reflects the end of year Trust Fund balance after projected earnings are added and projected expenditures are deducted for the year specified at a 0.0% escalation rate and a 2.0% RRoR on fund growth.

Tables I and II General Notes: (Any minor differences in totals are due to rounding.)

1) Trust Fund balance reflects market value on December 31, 2021, net of taxes on realized gains and losses.

2) The 2.0% RRoR is based on the rate allowed by 10 CFR 50.75(e)(1)(i) and 10 CFR 50.82(a)(8)(vi).

3) The funding method for providing financial assurance for decommissioning MPS 1 remains prepayment. The cash flow analysis in Table II demonstrates that the amounts accumulated in the Trust are sufficient, with credited earnings at a 2.0% RRoR, to cover the estimated cost of radiological decommissioning, spent fuel management and site restoration.