ML23046A029
| ML23046A029 | |
| Person / Time | |
|---|---|
| Site: | Diablo Canyon  |
| Issue date: | 02/23/2023 |
| From: | Andrea Veil NRC/NRR/DNRL/NLRP |
| To: | Jeff Baran, Annie Caputo, Crowell B, Christopher Hanson, David Wright NRC/Chairman, NRC/OCM |
| References | |
| Download: ML23046A029 (1) | |
Text
OFFICIAL USE ONLYSENSITIVE INTERNAL INFORMATION February 23, 2023 MEMORANDUM TO:
Chair Hanson Commissioner Baran Commissioner Caputo Commissioner Wright Commissioner Crowell FROM:
Andrea D. Veil, Director Office of Nuclear Reactor Regulation Kock, Andrea signing on behalf of Veil, Andrea on 02/23/23
SUBJECT:
DIABLO CANYON POWER PLANT, UNITS 1 AND 2NOTICE OF EXEMPTION FROM THE REQUIREMENTS RELATED TO SUBMISSION OF A LICENSE RENEWAL APPLICATION The staff intends to issue an exemption from specific requirements of Title 10 of the Code of Federal Regulations (10 CFR) 2.109(b) for Diablo Canyon Power Plant (DCPP), Units 1 and 2.
This action is in response to an October 31, 2022, letter from Pacific Gas and Electric (PG&E, the licensee) (Agencywide Documents Access and Management System Accession No. ML22304A691). In this letter, PG&E requested that the U.S. Nuclear Regulatory Commission (NRC) resume its review of the previously submitted and subsequently withdrawn license renewal application or, in the alternative, grant an exemption from 10 CFR 2.109(b).1 Specifically, PG&E requested that the staff find it in timely renewal under 10 CFR 2.109(b) if it submitted a license renewal application for DCPP Units 1 and 2 no later than December 31, 2023.
The NRC staff intends to grant this exemption, which would allow the submittal of a license renewal application for DCPP Units 1 and 2 less than 5 years before the expiration of the operating licenses and still place the licenses in timely renewal under NRC regulations.2 The staff is informing the Commission that it plans to issue the exemption for DCPP Units 1 and 2 on or about March 2, 2023 [5 days from date of notice]. The staff is providing this notice to fulfill the Commission consultation requirements of 10 CFR 50.12(a)(2)(vi). A draft copy of the exemption has been provided as an enclosure to this notice.
CONTACT:
Brian Harris, NRR/DNRL 301-415-2277 1
The NRC staff responded to PG&Es request to resume the review of the withdrawn application by letter dated January 24, 2023.
2 The current operating licenses for DCPP Units 1 and 2 expire on November 2, 2024, and August 26, 2025, respectively.
OFFICIAL USE ONLYSENSITIVE INTERNAL INFORMATION The Commissioners Under 10 CFR 54.17(a), an application for a renewed license must be filed in accordance with Subpart A, Procedure for Issuance, Amendment, Transfer, or Renewal of a License, and Standard Design Approval, of 10 CFR Part 2, Agency Rules of Practice and Procedure, which includes 10 CFR 2.109(b) on the effect of a timely renewal application.3 As provided in 10 CFR 54.15, Specific exemptions, exemptions from the requirements of 10 CFR Part 54, Requirements for Renewal of Operating Licenses for Nuclear Power Plants, are governed by 10 CFR 50.12, Specific Exemptions. Pursuant to 10 CFR 50.12, the Commission may, upon application by any interested person or upon its own initiative, grant exemptions when (1) the exemptions are authorized by law, will not present an undue risk to public health or safety, and are consistent with the common defense and security; and (2) special circumstances are present, as defined in 10 CFR 50.12(a)(2). Specifically, 10 CFR 50.12(a)(2)(vi) details the special circumstance where [t]here is present any other material circumstance not considered when the regulation was adopted for which it would be in the public interest to grant an exemption.
The NRC staff finds that PG&E has provided several factors in support of its exemption request that demonstrate that special circumstances not considered when the Commission promulgated 10 CFR 2.109(b) are present and that it would be in the public interest to grant this limited, one-time exemption. PG&E submitted an application for license renewal for DCPP Units 1 and 2 in 2009. PG&E subsequently requested to withdraw this application in 2018 based on the determination by the State of California and the California Public Utilities Commission that continued baseload operation of the two DCPP units beyond their currently approved operating periods would not be necessary to meet Californias projected energy demand requirements (ML18066A937). Since that time, however, Californias projected energy demands have changed. To respond to those changes, the State of California enacted Senate Bill No. 846 (SB 846), which invalidated and reversed the 2018 California Public Utilities Commission decision to approve termination of PG&Es license renewal application and retirement of DCPP Units 1 and 2. SB 846 was signed by the Governor of California on September 2, 2022. In its October 31, 2022, letter, PG&E stated that it submitted its request to reinstate its previously withdrawn license renewal application or obtain an exemption from the 5-year time period specified in 10 CFR 2.109(b) so that it could file an updated application, pursuant to the direction in [California] Senate Bill No. (SB) 846. The recent efforts by the State of California to keep DCPP Units 1 and 2 operating based, in part, on climate change impacts and serious electricity reliability challenges, constitute material circumstances that were not specifically considered when the NRC revised 10 CFR 2.109(b) in 1991.4 The staff finds these factors 3
The regulation in 10 CFR 2.109(b) states, If the licensee of a nuclear power plant licensed under 10 CFR 50.21(b) or 50.22 files a sufficient application for renewal of either an operating license or a combined license at least five years before the expiration of the existing license, the existing license will not be deemed to have expired until the application has been finally determined. The regulations in 10 CFR 2.109, Effects of Timely Renewal Application, implement section 9(b) of the Administrative Procedure Act (5 U.S.C. 558(c)). The 5-year time period specified in 10 CFR 2.109(b) is the result of a discretionary agency rulemaking under sections 161 and 181 of the Atomic Energy Act of 1954, as amended, and is not required by the Administrative Procedure Act.
4 See California Senate Bill No. 846, Diablo Canyon powerplant: extension of operations, section 9(q)
(September 2, 2022) https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=202120220SB846 (stating the purpose of the extension of the Diablo Canyon powerplant operations is to protect the state against significant uncertainty in future demand resulting from the states greenhouse-gas-reduction efforts involving electrification of transportation and building energy end uses and regional climate-related weather phenomenon, and to address the risk that currently ordered procurement will be insufficient to meet this supply or that there may be delays in bringing the ordered resources online on schedule.), and the Senate Bill 846 signing message (September 2, 2022) https://www.gov.ca.gov/wp-content/uploads/2022/09/SB-846-Signing-Message.pdf?emrc=9e526b (stating [c]limate change is causing unprecedented stress on
OFFICIAL USE ONLYSENSITIVE INTERNAL INFORMATION The Commissioners compelling, that they demonstrate that the special circumstances required by 10 CFR 50.12(a)(2)(vi) are present, and that it would be in the public interest to grant this exemption.
Because the staff finds PG&E has demonstrated that special circumstances are present, as described above and for the reasons explained in the enclosure, the division director of the Division of New and Renewed Licenses intends to grant the licensee a one-time exemption from 10 CFR 2.109(b) for DCPP Units 1 and 2, to grant timely renewal protection if PG&E submits a license renewal application for DCPP Units 1 and 2 no later than December 31, 2023.
SECY-please track.
Docket Nos. 50-275 and 50-323
Enclosure:
Enclosure Attorney Client Privileged Diablo Canyon Exemption cc: SECY EDO OGC OCA OPA CFO Californias energy system).
ML23046A029 NRR-106 OFFICE NRR/DNRL/NLRP: PM QTE NRR/DNRL/NLRP: BC NMSS/REFS: BC NAME BHarris J Dougherty LGibson TSmith DATE 2/16/2023 2/21/2023 2/22/2023 2/22/2023 OFFICE OGC/NLO NRR/DNRL: D NRR: D NAME JEzell BSmith AVeil DATE 2/22/2023 2/22/2023 2/23/2023