NOC-AE-18003548, Notice Regarding Withdrawal of Funds from Nuclear Decommissioning Trust Subaccounts

Notice Regarding Withdrawal of Funds from Nuclear Decommissioning Trust Subaccounts

ML18043A925
Person / Time
Site:	South Texas
Issue date:	02/07/2018
From:	Harrison G South Texas
To:	Document Control Desk, Office of Nuclear Material Safety and Safeguards, Office of Nuclear Reactor Regulation
References
NOC-AE-18003548
Download: ML18043A925 (3)

Text

Nuclear Operating Company South Texas Project Electric Generating Station RO. Box 2 89 Wadsworth. Texas 77483 February 7, 2018 NOC-AE-18003548 File No.: D57, G25 10CFR50.75(h)

STI:34597874 U.S. Nuclear Regulatory Commission ATTN: Office of Nuclear Material Safety and Safeguard Washington, D.C. 20555-000 South Texas Project Units 1 and 2 Docket Nos. STN 50-498 and STN 50-499 NoticeReflardina Withdrawal of Funds fromJsJuclearDecommissionina Trust Subaccounts Reference(s): (1) Letter from G.R. Harrison to NRC Document Control Desk, "Supplement 2 to Notice Regarding Withdrawal of Funds from Nuclear Decommissioning Trust Subaccounts," dated February 11, 2010 (NOC-AE-10002519) (ML100501159)

(2) Letter from J.G. Glitter to E.D. Halpin, "Notice of Planned Withdrawal of Funds from NRG South Texas Nuclear Decommissioning Trust Fund Subaccounts (TAG NOS. ME3296 and ME3297)," dated July 6, 2010 (ML101580250)

STP Nuclear Operating Company ("STPNOC"), acting on behalf of NRG South Texas LP ("NRG South Texas"), hereby provides Notice of planned withdrawals of up to $ 7 million from NRG South Texas spent fuel management subaccounts in its nuclear decommissioning trust funds (NDTs) in order to pay for NRG South Texas share of spent fuel management expenses incurred through December 31, 2018.

In accordance with conditions imposed by prior Order of the U.S. Nuclear Regulatory Commission ("NRC"), Section 2.04 of the trust agreements governing the NRG South Texas NDTs requires that Notice be provided to the NRC at least thirty days prior to any disbursement from the NDTs, other than disbursements to pay administrative costs. NRG South Texas created the spent fuel management subaccounts pursuant to the terms of an Order issued by the Public Utility Commission of Texas on October 10, 2008. Further details regarding the spent fuel management subaccounts were provided in Reference 1, and these subaccounts were evaluated by the NRC staff in Reference 2, in connection with a prior notice of planned withdrawals from NRG South Texas large component disposal subaccounts.

NRG South Texas now desires to withdraw funds to pay for spent fuel management expenses.

Notice is hereby given that monthly or quarterly withdrawals are planned in order to fund the spent fuel management expenses incurred through the calendar year of 2018. NRG South Texas currently expects to make withdrawals on a quarterly basis, and therefore, its first withdrawal is expected to be made in April 2018, with subsequent withdrawals to follow in July 2018, October 2018 and January 2019.

NOC-AE-18003548 Page 2 of 3 STPNOC plans to make further annual Notices to NRC regarding planned withdrawals for spent fuel management expenses incurred in 2019 and other future years. The proposed amounts of withdrawals will likely vary from year to year, due to a variety of factors such as annual fluctuations in expenses, the expected recoveries of certain costs from the U.S. Department of Energy (DOE), and the timing of payments made by DOE, which are expected to provide a further source of funding for ongoing spent fuel management activities.

Provided that the NRC staff has no objection to the planned withdrawals, no further action by the NRC is required. Under the terms of the trust agreements, NRG South Texas will be authorized to make such withdrawals unless the NRC staff makes a written objection to the Trustee within 30 days after this Notice or prior to any actual disbursement.

This letter contains no new commitments.

If NRC requires additional information concerning this request, please contact Kimberly Harshaw at (361) 972-4778 or Marilyn Kistler at (361) 972-8385.

George R. Harrison Executive Vice President and Chief Financial Officer

NOC-AE-18003548 Page 3 of 3 ec: (electronic copy)

(paper copy) Morgan, Lewis & Bockius LLP Paul Bessette Regional Administrator, Region IV U.S. Nuclear Regulatory Commission U.S. Nuclear Reaul atorv Corn m ission 1600 East Lamar Boulevard Lisa M. Regner Arlington, TX 76011-4511 NRG South Texas LP Lisa M. Regner Kevin Malcarney Senior Project Manager Jim von Suskil U.S. Nuclear Regulatory Commission Skip Zahn One White Flint North (08H04) 11555RockvillePike CPS Energy Rockville, MD 20852 Kevin Polio Cris Eugster NRC Resident Inspector L. D. Blaylock U. S. Nuclear Regulatory Commission P. 0. Box 289, Mail Code: MN116 Cjtv of Austin Wadsworth,TX 77483 Elaina Ball John Wester Attention: Document Control Desk U. S. Nuclear Regulatory Commission Texas Dept. of State Health Services Washington, DC 20555-0001 Helen Watkins Robert Free