ML23089A372

Decommissioning Funding Status Report

ML23089A372
Person / Time
Site:	Millstone
Issue date:	03/30/2023
From:	James Holloway Dominion Energy Nuclear Connecticut
To:	Office of Nuclear Reactor Regulation, Document Control Desk
References
23-063
Download: ML23089A372 (1)

Text

{{#Wiki_filter:Dominion Ene rgy Nuclear Connecticut. Inc. 5000 Dominion Boulevard, Glen A llen, V A 230 60 DominionEnergy.com P Dominion jJ Energy a

March 30, 2023

United States Nuclear Regulatory Commission Serial No.: 23-063 Attention: Document Control Desk NRA/MLW: R2 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. (DENC), 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, 2022 Table II - Decommissioning Funding Status Report for MPS1 Annual Cash Flow Analysis Starting January 1, 2023 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 2023 dollars is 3.96% 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.: 23-063 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 b a la nces shown in this report are market value and after-tax on realized gains and losses. The Trust Fund b a la nces have not been adjusted for unrealized gain or loss positions that are not currently tax a ble.

8. Since the previous annual submittal on March 30, 2022 (Serial No. 22 -048, ADAMS Accession No. ML220189A186) for MPS1 there have been no materia l changes to the Trust agreements established for nuclear decommissioning.

Please contact Mr. Craig D. Sly at (804) 273 -2784 if you have any questions or require additional information.

Sincerely,

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

Atta chment: Decommissioning Funding Status Report for Millstone Power Station Unit 1, Summary Information as of December 31, 2022

Commitments made in this letter: None

cc: U.S. Nuclear Regul a tory Commission Region I 2100 Renaissance Blvd, Suite 100 King of Prussia, Pennsylvania 19406-2713

Karl Sturzebecher NRC Senior Project Manager - Millstone Power Station, Unit 1 U.S. Nuclear Regulatory Commission Washington, D.C. 20555-0001 Serial No.: 23-063 Docket No.: 50-245

Attachment

Decommissioning Funding Status Report for Millstone Power Station Unit 1 Summary Information as of December 31. 2022

Millstone Power Station - Unit 1 Dominion Energy Nuclear Connecticut, Inc. (DENC) Se rial No.: 23-063 Docket No.: 50-245 Attachment, page 1 of 3

T ab le I:

Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2022 10 CFR 50.82 (a)(S)(v)-{vii) (in millions) Decommi s sionin a Trust Fund Balances 10 CFR Reference lso.82(a)(8J(v)(A) lso.82(a)( 8)(vii)(AJ Fund Balance Tvoe of Tru sts Comments

$ 684.7 Unit 1 aualified fund balance Asof: 12/31/2022
$ - Unit 1 non-a ualified fund balance Asof: 12/31/2022
$ 1.8 Less costs incurred but not vet billed to Trust Actual Cost in: 2022 Dollars
$ 682.9 Adiusted decommissionina fund balance Asof: 12/31/2022

Other Financial Assurance Methods Bein g Relied Upon 10 CFR Reference ls0.82(a)(8J(v)(AJ I None

Prior Years Decommissionina Expenditures 10 CFR Reference l50.82(a)(8J(v)(AJ I Total License Term Soent Fuel Mamt Site Restoration Comments

$ 5.1 $ 1.4 $ 3.8 $ - 2022 Cost in: 2022 Dollars
$ 107.0 $ 49.4 $ 57.6 $ - 2001-2021 Cost in: As-Soent Dollars
$ 112.1 $ 50.8 $ 61.4 $ - Total Prior Year in: As-Snent Dollars

Prior Year Decommissioninq Expenditures Variance to Estimated Cost 10 CFR Reference lso.82(a)(8J(v)(B) l Total License Term Soent Fuel Ma mt Site Restoration Comments

$ 5.1 $ - $ - $ - Actual Cost in 2022 Dollars
$ 6.5 $ - $ - $ - NRCAuth$in 2022 Dollars
$ (1.3) $ - $ - $ -

Variance: Underrun to NRC Authorized Expenditures

Remaining Decommissioning Estimated Cost 10 CFR Reference l50.82(a)(8J(v)(B) lso.82(a)(8J(vii)(B) Total License Term Scent Fuel Mamt Site Restoration Comments

$ 567.1 $ 417.9 $ 140.5 $ 8.7 Estimate in: 2023 Dollars Decommissioning Criteria Upon Which the Estimate is Based 10 CFR Reference l50.82(a)(8)(v)(B) T SAFSTOR

Any Mo dification To Method of Providing Financial Assurance 10 CFR Reference [S0.82(a)(8)(v)(C) I None

Any Material Chan a es To TrustA a reementSince Previous Report 10 CFR Reference l50.82(a)(8)(v)(D) I None Need For Add itional Financial Assurance 10 CFR Reference l50.82(a)(8)(vi) l50.82(a)(8J(vii)(C) None See Annual Cash Flow Analvsis in Table II

Inputs to Remaining Cost and Fundinq Analysi s l l 2023 Start year of Remaining Cost and Funding analvsis 3.96% Escalate studv dollars from Studv Year to Start Year of Analvsis usinq an averaae of CPI rates 0.00% Escalation rate 2023 & Bevond 2.00% Fund arowlh rate 2023 & Bevond <Reflects NRC allowed 2% Real Rate of Return) Proiected annu al exoenditures - see Annual Cash Flow Analvsis in Table II

Notes: Table I

1) Previous decommissioning expenditures represent the withdrawals from the nuclear decommissioning trusts made by Dominion Energy Nuclear Connecticut, Inc. These expenditures do not include the withdrawals made by the former owners of MPS1.

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

Serial No.: 23-063 Dock e t No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 2 of 3

T ab le II:

Decommissioning Funding Status Report for MPS1 Annual Cash Flow Analysis Starting January 1, 2023 through End of Decommissioning 10 CFR 50.82 (a)(B){vHvll) (in millions)

Column 1 Column2 Column 3 Column4 Column5 Column 6 Column7 Beginning Earnings Remaining Remaining Remaining Remaining End of on License Termination Spent Fuel Mgmt Site Restoration SAFSTOR of Year Trust Funds Expenditures Expenditures Expenditures Expenditures Year Year Balance (Reflects 2"/o RRoRJ (Reflects O"k Es:) (Reflects 0% Escl (Reflects O"/o Est) !Reflects O"/o Escl Balance 2023 $ 682.9 $ 13.6 $ 4.3 $ 4.9 $ - $ 9.2 $ 687.3 2024 $ 687.3 $ 13.7 $ 1.7 $ 4.3 $ - s 6.0 $ 695.0 2025 $ 695.0 $ 13.8 $ 1.7 $ 4.3 $ - $ 6.0 $ 702.9 2026 $ 702.9 $ 14.0 $ 1.1 s 4.2 $ - $ 5.3 $ 711.7 2027 $ 711.7 $ 14.2 $ 1.1 $ 4.2 $ - $ 5.3 $ 720.6 2028 $ 720.6 $ 14.4 $ 1.1 $ 4.2 $ - $ 5.3 $ 729.7 2029 $ 729.7 $ 14.5 $ 1.1 $ 4.2 $ - $ 5.3 $ 738.9 2030 s 738.9 $ 14.7 $ 1.1 $ 4.2 $ - $ 5.3 $ 748.4 2031 s 748.4 $ 14.9 $ 1.1 $ 4.2 $ - $ 5.3 $ 758.0 2032 $ 758.0 $ 15. 1 $ 1.1 $ 4.2 $ - $ 5.3 $ 767.8 2033 $ 767.8 $ 15.3 $ 1.1 $ 4.2 $ - s 5.3 $ 777.8 2034 $ 777.8 $ 15.3 s 1.8 $ 25.3 $ - $ 27. 1 $ 766.0 2035 $ 766.0 $ 15.1 $ 1.8 $ 24.8 $ - $ 26.5 $ 754.6 2036 s 754.6 $ 15.0 $ - $ 13.2 $ - $ 13.2 $ 756.3 2037 $ 756.3 $ 15.0 $ - $ 12.2 $ - $ 12.2 $ 759.1 2038 $ 759.1 $ 15.1 $ - $ 11.4 $ - $ 11.4 $ 762.8 2039 $ 762.8 $ 15.2 s 0.8 $ 1.0 $ - $ 1.8 $ 776.2 2040 $ 776.2 $ 15.5 s 0.8 $ 1.0 s - s 1.8 $ 789.9 2041 $ 789.9 $ 15.8 $ 0.8 $ 1.0 $ - $ 1.8 $ 803.9 2042 $ 803.9 $ 16.1 $ 0.8 $ 1.0 $ - $ 1.8 $ 818.1 2043 $ 818.1 $ 16.3 $ 0.8 $ 1.0 $ - $ 1.8 s 832.6 2044 s 832.6 $ 16.6 $ 0.8 $ 1.0 $ - $ 1.8 $ 847.4 2045 $ 847.4 $ 16.9 $ 6.6 $ 1.0 s - $ 7.6 $ 856.8 2046 $ 856.8 s 16.9 s 23.6 s - $ - $ 23.6 $ 850.0 2047 $ 850.0 $ 16.3 $ 66.3 $ - s - $ 66.3 $ 800.0 2048 $ 800.0 $ 15.3 $ 67.1 $ - $ - s 67.1 $ 748.2 2049 $ 748.2 $ 14.2 $ 80.4 $ - $ 0.1 s 80.5 s 681.9 2050 s 681.9 $ 13.1 $ 56.7 $ - $ 1.0 $ 57.7 $ 637.2 2051 $ 637.2 s 12.4 $ 34.1 $ - $ 2.6 $ 36.7 $ 612.9 2052 $ 612.9 $ 12.0 $ 26.7 $ - $ 2.8 $ 29.5 $ 595.4 2053 $ 595.4 $ 11.7 $ 18.4 $ - $ 1.6 $ 20.1 $ 587.1 2054 $ 587.1 $ 11.7 s 4.8 $ - $ 0.5 $ 5.4 $ 593.4 2055 $ 593.4 $ 11.8 $ 1.8 $ - $ 0.1 $ 1.9 $ 603.4 2056 $ 603.4 $ 12.1 $ - $ - $ - s - $ 615.4 2057 $ 615.4 $ 12.3 $ - $ - $ - s - $ 627.7 2058 s 627.7 $ 12.6 s - $ - $ - $ - s 640.3 2059 s 640.3 $ 12.8 s - s - $ - $ - s 653.1 2060 s 653.1 $ 13.1 $ - $ - $ - $ - $ 666.2 2061 $ 666.2 s 13.3 $ - $ - $ - $ - $ 679.5 2062 $ 679.5 s 13.6 $ - s - s - $ - $ 693.1 2063 $ 693.1 s 13.9 $ - $ - $ - $ - $ 706.9 2064 $ 706.9 $ 14.1 $ - $ - $ - $ - $ 721.1 2065 $ 721.1 $ 14.4 s - $ - $ - $ - $ 735.5 2066 $ 735.5 $ 14.7 s - $ - $ - s - s 750.2 2067 $ 750.2 $ 15.0 s - $ - $ - s - $ 765.2 2068 $ 765.2 $ 15.3 s - $ - $ - $ - $ 780.5 2069 $ 780.5 s 15.6 $ - $ - $ - $ - s 796.1 2070 $ 796.1 s 15.9 $ 6.1 $ - $ - $ 6.1 s 805.8 Remaining $ In 2023 Dollars $ 417.9 $ 140.5 $ 8.7 $ 567.1 Est. Fund Balance (end of Decomm issioning) (In Future $ escalated at 0.0% & 2.0% Real Rate of Return Fund Growth Rate) $ 805.8 Est. Fund Balance (end of Decommissioning) discounted to 2023 Dollars Discount Rate = 2.00% $ 317.7 Serial No.: 23-063 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 2023 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, 2022, 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 MPS1 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.}}