ML112351295

2010 DFS Report Analysis for Diablo Canyon Nuclear Power Plant, Unit 2

ML112351295
Person / Time
Site:	Diablo Canyon
Issue date:	11/14/2011
From:	Szabo A Division of Inspection and Regional Support
To:
Szabo, A L, NRR/DPR, 415-1985
References
Download: ML112351295 (7)

Text

Datasheet 1 Plant name: Diablo Canyon Nuclear Power Plant, Unit 2 Docket Number: 50-323 1 The minimum financial assurance (MFA) estimate pursuant to 10 CFR 50.75(b) & (c):1 $580,300,000 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:

Pacific Gas & Electric 100.00% 1 $989,600,000 Total Trust Fund Balance $989,600,000 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 variable variable2 variable2 N N Y Y N Y 5 Any contracts upon which the licensee is relying? (Y/N) N 6 Any modifications to a licensee's method of providing decommissioning funding assurance? (Y/N) N 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.

2 Rates provided are variable because the rates are not consistent throughout the licensee(s) and/or years of operation/decommission Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Spreadsheet created by: Aaron Szabo, Shawn Harwell Secondary Review: Kosmas Lois 7/25/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 Plant name: Diablo Canyon Nuclear Power Plant, Unit 2 Docket Number: 50-323 Month: Day Year:

Date of Operation: 12 31 2010 Termination of Operations: 8 26 2025 Latest Latest BWR/PWR MWth 1986$ ECI Base Lx Lx Px Base Px Fx Base Fx Ex Bx Month Px Month Fx PWR 3411 $105,000,000 112.5 2.06 0.65 2.32 1.676 191.4 114.2 3.049 250.0 82.0 0.13 2.253 0.22 12.28 NRC Minimum: $472,584,981 Site Specific: $546,500,000 Amount of NRC Minimum/Site Licensee:  % Owned: Category Specific: Amount in Trust Fund:

Pacific Gas & Electric 100.00% 1 $546,500,000 $989,600,000 Total Fund Balance: $989,600,000 Step 1:

Earnings Credit:

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

$989,600,000 2% 14.65 $1,322,749,873 YES Step 2:

Accumulation:

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

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

See Total Step 2 See Annuity Sheet N/A $11,647,579 Total Step 1 + Step 2 Does Licensee Pass:

$1,334,397,452 YES Step 3:

Decom Period:

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

$1,334,397,452 2% 7 $99,202,888 Total of Steps 1 thru 3: Does Licensee Pass: Shortfall:

$1,433,600,340 YES NO Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Spreadsheet created by: Aaron Szabo, Shawn Harwell Secondary Review: Kosmas Lois 7/25/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 Plant name: Diablo Canyon Nuclear Power Plant, Unit 2 Docket Number: 50-323 Month: Day Year:

Date of Operation: 12 31 2010 Termination of Operations: 8 26 2025 If licensee is granted greater than 2% RRR Step 4:

Earnings Credit:

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

$989,600,000 See Step 4 Analysis Sheet 14.65 $1,805,576,637 YES Step 5:

Accumulation:

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

See Annuity Sheet See Annuity Sheet 2 See Total Step 4 Years remaining after Total Annuity Real Rate of Return per year annuity Total Step 5 See Total Step 4 See Annuity Sheet N/A $14,079,276 Total Step 4 + Step 5 Does Licensee Pass:

$1,819,655,912 YES Step 6:

Decom Period:

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

$1,819,655,912 2.00% 7 $135,278,377 Total of Steps 4 thru 6: Does Licensee Pass: Shortfall:

$1,954,934,289 YES NO Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Spreadsheet created by: Aaron Szabo, Shawn Harwell Secondary Review: Kosmas Lois 7/25/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 ANNUITY Termination of Operations: 8 26 2025 Real Rate of Total Year Annuity: Return: Accumulation 2011 $4,400,000 2% $5,881,451 2012 $4,400,000 2% $5,766,128 Total: $11,647,579 Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Spreadsheet created by: Aaron Szabo, Shawn Harwell Secondary Review: Kosmas Lois 7/25/2011 Formulas verified by: Clayton Pittiglio

Datasheet 2 ANNUITY Termination of Operations: 8 26 2025 If licensee is granted greater than 2% RRR Beginning year Real Rate of End of year Year contributions Return: contributions 2011 $4,400,000 4.96% $4,618,240 2012 $9,018,240 4.91% $9,461,036 Total: $14,079,276 Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Spreadsheet created by: Aaron Szabo, Shawn Harwell Secondary Review: Kosmas Lois 7/25/2011 Formulas verified by: Clayton Pittiglio

Step 4 Analysis DFS Report Year: 2010 Current Amount Reported in DTF: $989,600,000 RRR Applied During Operation: Variable License Termination: 11/2/2024 Years left in license: 14.65 Site-specific cost-estimate: $583,900,000 Amount in Trust Fund Projected Year-End Year (Expenses) Real Rate of Return at Beginning of Year Trust Fund Amount 2011 $989,600,000 $0 4.96% $1,038,684,160 2012 $1,038,684,160 $0 4.91% $1,089,683,552 2013 $1,089,683,552 $0 4.88% $1,142,860,110 2014 $1,142,860,110 $0 4.85% $1,198,288,825 2015 $1,198,288,825 $0 4.82% $1,256,046,346 2016 $1,256,046,346 $0 4.80% $1,316,336,571 2017 $1,316,336,571 $0 4.78% $1,379,257,459 2018 $1,379,257,459 $0 4.77% $1,445,048,040 2019 $1,445,048,040 $0 4.75% $1,513,687,822 2020 $1,513,687,822 $0 4.37% $1,579,835,979 2021 $1,579,835,979 $0 4.01% $1,643,187,402 2022 $1,643,187,402 $0 3.67% $1,703,492,380 2023 $1,703,492,380 $0 3.35% $1,760,559,375 2024 $1,760,559,375 $0 3.05% $1,805,576,637 Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Secondary Review: Kosmas Lois 7/25/2011

DECON ANALYSIS Name of Unit: Diablo Canyon, Unit 2 Name of Licensee: Pacific Gas & Electric Operations Termination Date: 8 26 2025 End of Operations Balance: $1,805,576,637 Real Rate of Return: 2.00% Post-Shutdown Period Expense Per Year Beginning Trust Year Real Rate End of Year Trust Fund Balance Fund Balance Spent Fuel of Return Plant 2025 $1,805,576,637 $41,900,000 N/A 2.00% $1,799,369,170 2026 $1,799,369,170 $164,100,000 N/A 2.00% $1,669,615,553 2027 $1,669,615,553 $384,200,000 N/A 2.00% $1,314,965,864 2028 $1,314,965,864 $367,200,000 N/A 2.00% $970,393,181 2029 $970,393,181 $222,600,000 N/A 2.00% $764,975,045 2030 $764,975,045 $168,200,000 N/A 2.00% $610,392,546 2031 $610,392,546 $51,800,000 N/A 2.00% $592,144,327 Signature: Michael Purdie and Jo Ann Simpson Date: 07/12/2011 Secondary Review: Kosmas Lois 7/25/2011