ML23284A291

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Notification of Significant Licensing Action Proposed Issuance of an Order Approving a License Transfer Application for Which a Hearing Has Been Requested
ML23284A291
Person / Time
Site: South Texas, 07201041  STP Nuclear Operating Company icon.png
Issue date: 10/23/2023
From: Dennis Galvin
Plant Licensing Branch IV
To:
Galvin D
References
EPID L-2023-LLM-0004
Download: ML23284A291 (1)


Text

October 23, 2023 OFFICE OF NUCLEAR REACTOR REGULATION NOTIFICATION OF SIGNIFICANT LICENSING ACTION LICENSEE:

STP Nuclear Operating Company and NRG South Texas LP South Texas Project, Units 1 and 2 License Nos. NPF-76 and NPF-80 and its generally licensed ISFSI Docket Nos. 50-498, 50-499, and 72-1041

SUBJECT:

PROPOSED ISSUANCE OF AN ORDER APPROVING A LICENSE TRANSFER APPLICATION FOR WHICH A HEARING HAS BEEN REQUESTED (EPID L-2023-LLM-0004)

This is to inform the Commission that an order approving the indirect transfer of licenses and conforming license amendments will be issued on or about October 30, 2023, to STP Nuclear Operating Company (STPNOC), acting on behalf of Constellation Energy Generation, LLC (CEG) and NRG South Texas LP (NRG South Texas) and its parent companies. This action is being taken in response to the application dated June 12, 2023 (Agencywide Documents Access and Management System Accession No. ML23163A176), as supplemented by letters dated August 31, 2023, and October 5, 2023 (ML23243B056 and ML23279A138, respectively).

The application requests that the U.S. Nuclear Regulatory Commission (NRC) consent to the indirect transfer of the possession-only non-operating interests in the operating licenses for South Texas Project, Units 1 and 2 and its generally licensed independent spent fuel storage installation (collectively, the Facility) from NRG South Texas to CEG and to conforming administrative amendments to the operating licenses to reflect the proposed license transfer.

NRG South Texas is one of three licensed owners of the Facility, owning a 44 percent share of the Facility and holding possession-only rights in the NRC licenses. STPNOC is the licensed operator of the Facility.

As discussed in the application, CEG and NRG South Texas and its parent companies have entered into a purchase agreement whereby CEG would acquire NRG South Texas, including its 44 percent interest in the Facility. Following the closing of the proposed transaction, NRG South Texas would be converted under Texas law into a limited liability company and change its name to Constellation South Texas, LLC (Constellation South Texas). Following the closing of the proposed transaction, Constellation South Texas would continue to participate in the management of STPNOC.

CONTACT: Dennis J. Galvin, NRR/DORL 301-415-6256 On July 19, 2023, the NRC published a notice of consideration of approval of the application in the Federal Register (88 FR 46192). This notice provided an opportunity to comment, request a hearing, and petition for leave to intervene on the application. The NRC did not receive any written comments in response to the notice. On July 31, 2023 (ML23212B247), the City of San Antonio, TX acting by and through the City Public Service Board of San Antonio, a Texas municipally-owned utility, and the City of Austin, TX (Austin), the other two licensed owners of the Facility, submitted a motion to dismiss the license transfer application, a motion to stay the proceedings and suspend NRC review of the application, and a petition to intervene and request for hearing. These motions and hearing request remain pending before the Commission. Any granting of the motions or hearing request will take place after the approval of the license transfer application. The order approving the application includes a condition that the 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 transfer application. See Susquehanna Nuclear, LLC (Susquehanna Steam Electric Station, Units 1 and 2), CLI-17-4, 85 NRC 59, 61 n.5 (2017); Power Auth. of the State of N.Y. (James A.

FitzPatrick Nuclear Power Plant), CLI-01-14, 53 NRC 488, 502, 55455 (2001) (citing Long Island Lighting Co. (Shoreham Nuclear Power Station, Unit 1), CLI-92-4, 35 NRC 69, 80 n.7 (1992)). The NRC staff reviewed and considered the filings related to the motions and hearing request as part of its evaluation of the application.

In accordance with the Commissions regulations, on October 4, 2023, the NRC staff notified the State official of the proposed indirect license transfer and issuance of draft conforming amendments. The official did not provide any comments.

NOTE: Information to be added after the order is issued.

Date order issued: October 30, 2023 Date received by licensee: October 30, 2023 Date the parties to the proceeding were notified: October 30, 2023

ML23284A291 ADM-012 OFFICE NRR/DORL/LPL4/PM NRR/DORL/LPL4/LA OGC/NLO NAME DGalvin PBlechman JWachutka DATE 10/11/2023 10/11/2023 10/18/2023 OFFICE NRR/DORL/LPL4/BC NRR/DORL/D NRR/D NAME JDixon-Herrity BPham AVeil (MKing for)

DATE 10/13/2023 10/16/2023 10/18/2023 OFFICE EDO NAME DDorman DATE 10/23/2023