NL-24-0098, Report on Status of Decommissioning Funding
| ML24088A290 | |
| Person / Time | |
|---|---|
| Site: | Vogtle  |
| Issue date: | 03/28/2024 |
| From: | Coleman J Southern Nuclear Operating Co |
| To: | Office of Nuclear Reactor Regulation, Document Control Desk |
| References | |
| NL-24-0098 | |
| Download: ML24088A290 (1) | |
Text
>. Southern Nuclear March 28, 2024 Docket Nos.: 52-026 U. S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, D. C. 20555-0001 Regulatory Affairs Vogtle Electric Generating Plant Unit 4 Report on Status of Decommissioning Funding Ladies and Gentlemen:
3535 Colonnade Parkway Birmingham, AL 35243 205 992 5000 NL-24-0098 Pursuant to 10 CFR 50.75(e)(3) and 10 CFR 50.75 (f)(1 ), Southern Nuclear Operating Company (SNC), on behalf of itself and Georgia Power Company (GPC), Oglethorpe Power Corporation (OPC), Municipal Electric Authority of Georgia (MEAG) and the City of Dalton ("Dalton Utilities"),
co-owners of Vogtle Electric Generating Plant (Vogtle), submits this report on the status of decommissioning funding for Vogtle Unit 4.
In accordance with 10 CFR 50.75(e)(1 )(ii), owners of Vogtle Unit 4 provide financial assurance by establishing external sinking funds in the form of trusts in which the total amount of funds will be sufficient to pay decommissioning costs at the time permanent termination of operations is expected.
As substantiated by the enclosed report, SNC certifies that the bulk of funds necessary for the safe decommissioning of the referenced reactor will be set aside and will be sufficient to pay decommissioning costs at the time permanent termination of operations is expected.
This letter contains no NRC commitments. If you have any questions, please contact Ryan Joyce at 205.992.6468.
Respectfully submitted,
. ~
~an Regulatory Affairs Director efb/rdh/cmg
Enclosure:
Vogtle Unit 4 Decommissioning Financial Assurance Report
SNC Report on Status of Decommissioning Funding NL-24-0098 Page 2 cc:
Regional Administrator - Region II NRR Project Manager - Vogtle Unit 4 Senior Resident Inspector - Vogtle Unit 4 SNC Record RType: PP1.001
Vogtle Electric Generating Plant Unit 4 Report on Status of Decommissioning Funding Enclosure Vogtle Unit 4 Decommissioning Financial Assurance Report
NL-24-0098 Enclosure Vogtle 4 Decommissioning Financial Assurance Report Georgia Power Company Ownership Percentage - 45. 7%
10 CFR 50. 75(f)(1) Requirements Unit 4 The NRC minimum decommissioning
$266,900,000 estimate per 1 O CFR 50.75(c)
The amount of trust funds accumulated as
$7,466,000 of December 31, 2023 The amounts scheduled to be collected
$7,144,000 annually over the life of the plant The amount of trust funds projected to be
$863,010,000 accumulated at license termination.
The amount of trust funds projected to be
$794,308,000 needed to meet the NRC minimum Surplus funds available for
$68,702,000 decommissioning
- The NRC minimum decommissioning estimate is based on NUREG-1307, Rev. 19, for the burial factor, the 4th quarter 2023 BLS ECI South Region index for labor, and the Sept. 2023 indices for energy. Georgia Power assumes a cost escalation of 2.76% for Unit 4 with a 2% real rate of return for after-tax earnings growth. No material changes have been made to the trust agreements or methods of providing assurance.
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NL-24-0098 Enclosure Vogtle 4 Decommissioning Financial Assurance Report Oglethorpe Power Corporation Ownership Percentage - 30%
10 CFR 50.75(f)(1) Requirements Unit 4 The NRC minimum decommissioning
$175,205,000 estimate per 1 O CFR 50.75(c)
The amount of trust funds accumulated as
$2,849,512 of December 31, 2023 The amounts scheduled to be collected
$5,179,996 annually over the life of the plant The amount of trust funds projected to be
$596,424,249 accumulated at license termination The amount of trust funds projected to be
$521,418,594 needed to meet the NRC minimum Surplus funds available for
$75,005,655 decommissioning
- The NRC minimum decommissioning estimate is based on NUREG-1307, Rev. 19, for the burial factor, the 4th quarter 2023 BLS ECI South Region index for labor, and the Sept. 2023 indices for energy. Oglethorpe Power assumes a cost escalation of 2.764% for Unit 4 and a 2% real rate of return on growth of the funds. Annual contributions will be prorated at the beginning and end of the plant life as appropriate based on actual start/end dates. No material changes have been made to the trust agreements or methods of providing assurance.
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NL-24-0098 Enclosure Vogtle 4 Decommissioning Financial Assurance Report Municipal Electric Authority of Georgia Ownership Percentage - 22.7%
10 CFR 50. 75(f)(1) Requirements Unit 4 The NRC minimum decommissioning
$132,575,000 estimate per 1 O CFR 50.75(c)
The amount of trust funds accumulated as
$0 of December 31, 2023 The average amounts scheduled to be
$6,178,332 collected annually over the remaining life of the plant The amount of trust funds projected to be
$583, 125,884 accumulated at license termination The amount of trust funds projected to be
$355,972,338 needed to meet the NRC minimum Surplus funds available for
$227,153,546 decommissioning
- The NRC minimum decommissioning estimate is based on NUREG-1307, Rev. 19, for the burial factor, the 4th quarter 2023 BLS ECI South Region index for labor, and the Sept. 2023 indices for energy. MEAG assumes a cost escalation of 2.764% and a rate of earnings of 4.764%. No material changes have been made to the trust agreements or methods of providing assurance.
MEAG is using an inflation-adjusted funding methodology for Vogtle Units 3 and 4.
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NL-24-0098 Enclosure Vogtle 4 Decommissioning Financial Assurance Report Dalton Utilities Ownership Percentage - 1.6%
10 CFR 50. 75(f)(1) Requirements Unit 4 The NRC minimum decommissioning
$9,345,000 estimate per 1 O CFR 50.75(c)
The amount of trust funds accumulated as
$0 of December 31, 2023 The amounts scheduled to be collected
$300,000 annually over the life of the plant The amount of trust funds projected to be
$34,219,313 accumulated at license termination The amount of trust funds projected to be
$27,811,174 needed to meet the NRC minimum Surplus funds available for
$6,408,139 decommissionino
- The NRC minimum decommissioning estimate is based on NUREG-1307, Rev. 19, for the burial factor, the 4th quarter 2023 BLS ECI South Region index for labor, and the Sept. 2023 indices for energy. Dalton assumes a cost escalation of 2.764% for Unit 4 and a real rate of return of 2.00%.
No material changes have been made to the trust agreements or methods of providing assurance.
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