ML112371832

2010 DFS Report Analysis for Salem Nuclear Generating Station, Unit 1

ML112371832
Person / Time
Site:	Salem
Issue date:	11/14/2011
From:	Szabo A Division of Inspection and Regional Support
To:
Szabo, A L, NRR/DPR, 415-1985
References
Download: ML112371832 (5)

Text

Datasheet 1 Plant name: Salem Nuclear Generating Station, Unit 1 Docket Number: 50-272 1 The minimum financial assurance (MFA) estimate pursuant to 10 CFR 50.75(b) & (c):1 $155,915,933 Did the licensee identify the amount of estimated radiological funds? (Y/N) Y 2 The total amount of dollars accumulated at the end of the appropriate year: (see below)

Licensee:  % Owned: Category: Amount in Trust Fund:

Exelon Generation 42.59% 1 $157,676,000 Company, LLC PSEG 57.41% 1 $251,954,000 Total Trust Fund Balance $409,630,000 3 Schedule of the annual amounts remaining to be collected: (provided/none) provided 4 Assumptions used in determining rates of escalation in decommissioning costs, rates of earnings on decommissioning funds, and rates of other factors used in funding projections: (see below)

Post-RAI Rate of Rate(s) of PUC RAI PUC Allowed Rates Escalation Real Rate Allowed through Decom Return on Other Verified Needed Verified through Determined Rate of Return (Y/N)

Earnings Factors (Y/N) (Y/N) (Y/N) Decom (Y/N) (Y/N) 2 2 variable variable Y N N 5 Any contracts upon which the licensee is relying? (Y/N) N 3

6 Any modifications to a licensee's method of providing decommissioning funding assurance? (Y/N) Y 7 Any material changes to trust agreements? (Y/N) N If a change has occurred, the reviewer will document on this sheet that a change has occurred and identify the reviewer who will evaluate the change: (see below) 1 Licensee calculated MFA higher than NRC calculations. Justification, including factors used, were provided to NRC for review. No further review required.

2 Rates provided are variable because the rates are not consistent throughout the licensee(s) and/or years of operation/decommission 3

EGC- financial assurance provided by external sinking fund method coupled with an external trust fund; PSEG - prepayment method. No further review required.

Signature: Shawn Harwell Date: 8/5/2011 Signature: Aaron L. Szabo Spreadsheet created by: Aaron Szabo, Shawn Harwell Date: 8/16/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 Plant name: Salem Nuclear Generating Station, Unit 1 Docket Number: 50-272 Month: Day Year:

Date of Operation: 12 31 2010 Termination of Operations: 8 13 2016 Latest Latest BWR/PWR MWth 1986$ ECI Base Lx Lx Px Base Px Fx Base Fx Ex Bx Month Px Month Fx PWR 3459 $105,000,000 113.6 2.16 0.65 2.45 1.676 191.4 114.2 3.049 250.0 82.0 0.13 2.253 0.22 12.28 NRC Minimum: $481,884,726 Site Specific:

Amount of NRC Minimum/Site Licensee:  % Owned: Category Specific: Amount in Trust Fund:

Exelon Generation 42.59% 1 $205,234,705 $157,676,000 Company, LLC PSEG 57.41% 1 $276,650,021 $251,954,000 Total Fund Balance: $409,630,000 Step 1:

Earnings Credit:

Real Rate of Return Years Left Trust Fund Balance: per year in License Total Earnings: Does Licensee Pass:

$409,630,000 2% 5.62 $457,827,572 NO Step 2:

Accumulation:

Value of Annuity per year (amount/See Annuity Real Rate of Return Number of Annual Sheet) per year Payments: Total Annuity:

see annuity sheet See Annuity Sheet 0 See Total Step 2 Real Rate of Return Years remaining after Total Annuity per year annuity Total Step 2:

See Total Step 2 See Annuity Sheet N/A $26,013,511 Total Step 1 + Step 2 Does Licensee Pass:

$483,841,083 YES Step 3:

Decom Period:

Real Rate of Return Decom Total Earnings for Total Earnings: per year Period: Decom:

$483,841,083 2% 7 $35,970,117 Total of Steps 1 thru 3: Does Licensee Pass: Shortfall:

$519,811,200 YES NO Signature: Shawn Harwell Date: 8/5/2011 Signature: Aaron L. Szabo Spreadsheet created by: Aaron Szabo, Shawn Harwell Date: 8/16/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 Plant name: Salem Nuclear Generating Station, Unit 1 Docket Number: 50-272 Month: Day Year:

Date of Operation: 12 31 2010 Termination of Operations: 8 13 2016 If licensee is granted greater than 2% RRR Step 4:

Earnings Credit:

Real Rate Years Licensee: Trust Fund Balance: of Return Left in Total Earnings: Does Licensee Pass:

Exelon Generation Co $157,676,000 3.00% 5.62 $467,755,116 NO PSEG $251,954,000 2.00%

Step 5:

Accumulation:

Real Rate of Return Number of Annual Value of Annuity per year per year Payments: Total Annuity:

see annuity sheet See Annuity Sheet 0 See Total Step 4 Real Rate of Return Years remaining after Total Annuity per year annuity Total Step 5 See Total Step 4 See Annuity Sheet N/A $26,961,357 Total Step 4 + Step 5 Does Licensee Pass:

$494,716,473 YES Step 6:

Decom Period:

Real Rate of Return Decom Total Earnings for Total Earnings: per year Period: Decom:

$494,716,473 2.00% 7 $36,778,625 Total of Steps 4 thru 6: Does Licensee Pass: Shortfall:

$531,495,097 YES NO Signature: Shawn Harwell Date: 8/5/2011 Signature: Aaron L. Szabo Spreadsheet created by: Aaron Szabo, Shawn Harwell Date: 8/16/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 ANNUITY Termination of Operations: 8 13 2016 Real Rate Total Year Annuity: of Return: Accumulation 2011 $4,841,000 2% $5,410,769 2012 $4,841,000 2% $5,304,676 2013 $4,841,000 2% $5,200,663 2014 $4,841,000 2% $5,098,689 2015 $4,841,000 2% $4,998,714 2016 2% $0 Total: $26,013,511 Signature: Shawn Harwell Date: 8/5/2011 Signature: Aaron L. Szabo Spreadsheet created by: Aaron Szabo, Shawn Harwell Date: 8/16/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 ANNUITY Termination of Operations: 8 13 2016 If licensee is granted greater than 2% RRR Real Rate Total Year Annuity: of Return: Accumulation 2011 $4,841,000 3.00% $5,715,665 2012 $4,841,000 3.00% $5,549,190 2013 $4,841,000 3.00% $5,387,563 2014 $4,841,000 3.00% $5,230,644 2015 $4,841,000 3.00% $5,078,295 2016 $0 3.00% $0 Total: $26,961,357 Signature: Shawn Harwell Date: 8/5/2011 Signature: Aaron L. Szabo Spreadsheet created by: Aaron Szabo, Shawn Harwell Date: 8/16/2011 Formulas verified by: Clayton Pittiglio