Press Release-96-089, NRC Staff Reminds Licensees of Requirements to GET Approval for License Transfer, Inform Agency About Decommissioning Funds: Difference between revisions
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{{Adams | |||
| number = ML003710099 | |||
| issue date = 06/24/1996 | |||
| title = Press Release-96-089, NRC Staff Reminds Licensees of Requirements to GET Approval for License Transfer, Inform Agency About Decommissioning Funds | |||
| author name = | |||
| author affiliation = NRC/OPA | |||
| addressee name = | |||
| addressee affiliation = | |||
| docket = | |||
| license number = | |||
| contact person = | |||
| document report number = Press Release-96-089 | |||
| document type = Press Release | |||
| page count = 4 | |||
| newsletter region = | |||
| newsletter year = 2096 | |||
| newsletter integer = 89 | |||
}} | |||
=Text= | |||
{{#Wiki_filter:UnitedStatesNuclearRegulatoryCommissionOfficeofPublicAffairsWashington,DC20555Phone301-415-8200Fax301-415-2234 Internet:opa@nrc.govNo.96-89FORIMMEDIATERELEASE(Monday,June24,1996)NRCSTAFFREMINDSLICENSEESOFREQUIREMENTSTOGETAPPROVALFORLICENSETRANSFER,INFORMAGENCYABOUTDECOMMISSIONINGFUNDSTheNuclearRegulatoryCommissionstaffhasremindednuclearpowerplantlicenseesoftheirobligationtoobtainpriorwritten consentfromtheNRCforanychangesthatwouldconstitute transferoftheirNRClicense.Thestaffhasfurthertoldthemtheyshouldpromptlyreportanynewinformationconcerningtheirfinancialqualificationsand decommissioningfundingthatcouldhaveasignificantimplication forpublichealthandsafety.TheseremindersareinanNRCadministrativelettersentJune21toallholdersofnuclearpowerplantoperatinglicenses orconstructionpermits.TheletterresultsfromanNRCstaff actionplanlaunchedearlierthisyearinresponseto deregulationoftheelectricpowerindustry.Theadministrativeletternotesthatincreasedcompetitionresultingfromderegulationmayinducepowercompaniestosplit theirsystemsintofunctionalareas,formingseparate subsidiariesforelectricalgeneration.Otherpossiblescenarios includeutilityrestructuring,mergersorcorporatespinoffs.NRC'sconcernisthatlicensedentitiesremainingaftersuchreorganizationsmusthaveaccesstoadequatefundsforsafe reactoroperationandfordecommissioning.Acopyoftheadministrativeletterisattached. | |||
#Attachment UNITEDSTATESNUCLEARREGULATORYCOMMISSIONOFFICEOFNUCLEARREACTORREGULATIONWASHINGTON,D.C.20555-0001June21,1996NRCADMINISTRATIVELETTER96-02:LICENSEERESPONSIBILITIESRELATEDTOFINANCIAL | |||
QUALIFICATIONS AddresseesAllholdersofoperatinglicensesorconstructionpermitsfornuclearpowerreactors. | |||
PurposeTheU.S.NuclearRegulatoryCommission(NRC)isissuingthisadministrativelettertoremindaddresseesoftheirongoing responsibilitytoinform,andobtainadvanceapprovalfromthe NRCforanychangesthatwouldconstituteatransferofthe license,directlyorindirectly,throughtransferofcontrolof theNRClicensetoanypersonpursuanttoSection50.80ofTitle 10oftheCodeofFederalRegulations(10CFR50.80),"Transferoflicenses."Additionally,thisadministrativeletterreminds addresseesoftheirresponsibilitytoassurethatinformation regardinglicenseefinancialqualificationsanddecommissioning fundingassurancethatmayhaveasignificantimplicationfor publichealthandsafetyispromptlyreportedtotheNRC. | |||
Lastly,thisadministrativeletterpointsoutthedesirabilityof providingtheNRCadvancenoticeofanyplansforsuchchangesso thatstaffreviewresourcescanbeallocatedandNRCdecisions arenotunnecessarilydelayed.Thisadministra-tiveletterdoes nottransmitorimplyanyneworchangedrequirementorstaff positions.Thesubmittalofadvancenoticeofyourplanningin thisareaisstrictlyvoluntary;therefore,nospecificactionor writtenresponseisrequired. | |||
BackgroundTheelectricutilityindustryisenteringaperiodofeconomicderegulationandrestructuringwhichwillleadtoincreased competitionintheindustry.Increasingcompetitionmayforce integratedpowersystemstoseparate(or"disaggregate")their systemsintofunctionalareas.Thus,somelicenseesmaydivest electricalgenerationassetsfromtransmissionanddistribution assetsbyformingseparatecompaniesorseparatesubsidiariesfor electricalgenerationwithinlargerholdingcompanies. | |||
Disaggregationmayinvolveutilityrestructuring,mergers,and corporatespinoffsthatleadtochangesinownersoroperatorsoflicensedpowerreactorsandothermaterialchanges.TheNRCconcernisthattheremaininglicensedentitieshaveaccesstoadequatefunds,suchthatfundsareavailableforsafe reactoroperationanddecommissioning.TheNRChasdistinguished betweenan"electricutility"andotherlicenseesinthisregard. | |||
Asdefinedin10CFR50.2,an"electricutility"isanentity thatgeneratesordistributeselectricityforwhichthecostsare recoveredbyratessetbytheentityorbyaseparateregulatory authority.Rateregulatorsallowanelectricutilitytorecover prudentlyincurredcostsofgenerating,transmitting,and distributingelectricservices.Corporaterestructuringthat changesthe"electricutility"statusofapowerreactorlicensee orotherwisealtersthebasisunderwhichalicenseereceivedan operatinglicenseforapowerreactorshouldbebroughttoNRC attentioninatimelyfashion. | |||
DiscussionThisadministrativeletterremindsallpowerreactorlicenseesoftheirongoingobligationtoseekandobtainpriorwrittenconsent fromtheNRCforanychangesthatwouldconstitutetransferoftheNRClicense,directlyorindirectly,throughtransferof controlofthelicensepursuantto10CFR50.80andSection184 oftheAtomicEnergyActasamended.Inaddition,licensees shouldassurethatinformationregardingtheirfinancial qualificationsanddecommissioningfundingassurancethatmay haveasignificantimplicationforpublichealthandsafetyis promptlyreportedtotheNRC.TheNRChasconsideredmergers,theformationofholdingcompanies,andtheoutrightsalesoffacilities,orportionsof facilities,torequireNRCnotificationandpriorapprovalin accordancewith10CFR50.80soastoensurethatthetransferee isappropriatelyqualified.Forexample,theNRCdetermines whetherthesurvivingorganizationwillremainan"electric utility"asdefinedin10CFR50.2.Forsalesofinterestsin powerreactors,theNRCreviewsaresimilartothoseformergers orformationofholdingcompanies.Whilesomerestructuringplansoccurwithlittlewarning,manyareanticipatedwellinadvanceofthedesiredimplementation date.Licenseesshouldconsiderprovidingadvancenotification ofsuchplanstotheNRCsothatthestaffcanschedulethe appropriateresourcesforreview.Becausethenumberofstaff reviewsinthisareaareexpectedtoincreasesignificantlyin thefuture,licenseesthatwaituntilshortlybeforeadecision isneededmayfindthestaffunabletomeettheirdesired | |||
schedule.Toaddresschangesthatmayresultfromeconomicderegulation,theNRCissued,onApril8,1996,anAdvanceNoticeofProposed Rulemaking(61FR15427)thatseekscommentonderegulationissuesastheymayaffectNRCdecommissioningfundingassurance requirements.TheNRChasalsodevelopedanActionPlanthat outlinesadditionalstepstheNRCintendstotaketorespondto economicderegulationofitspowerreactorlicensees.Until theseactionsarecom-plete,ourcurrentregulationsare governing.However,youshouldbeawarethattheNRCstaffwill consultwiththeCommissionwhenanyneworunusual restructuringsalteryouroriginallicensingbasis.Thisadministrativeletterrequiresnospecificactionorwrittenresponse.Ifyouhaveanyquestionsaboutthisletter,please contactoneofthepersonslistedbelowortheappropriateOffice ofNuclearReactorRegulation(NRR)projectmanager.signedbyBrianK.Grimes,ActingDirectorDivisionofReactorProgram ManagementOfficeofNuclearReactor RegulationContacts:RobertWood,NRR(301)415-1255 | |||
Internet:rsw@nrc.govBillLambe,NRR(301)415-1277 | |||
Internet:wml@nrc.gov}} | |||
Revision as of 11:50, 14 July 2019
| ML003710099 | |
| Person / Time | |
|---|---|
| Issue date: | 06/24/1996 |
| From: | Office of Public Affairs |
| To: | |
| References | |
| Press Release-96-089 | |
| Download: ML003710099 (4) | |
Text
UnitedStatesNuclearRegulatoryCommissionOfficeofPublicAffairsWashington,DC20555Phone301-415-8200Fax301-415-2234 Internet:opa@nrc.govNo.96-89FORIMMEDIATERELEASE(Monday,June24,1996)NRCSTAFFREMINDSLICENSEESOFREQUIREMENTSTOGETAPPROVALFORLICENSETRANSFER,INFORMAGENCYABOUTDECOMMISSIONINGFUNDSTheNuclearRegulatoryCommissionstaffhasremindednuclearpowerplantlicenseesoftheirobligationtoobtainpriorwritten consentfromtheNRCforanychangesthatwouldconstitute transferoftheirNRClicense.Thestaffhasfurthertoldthemtheyshouldpromptlyreportanynewinformationconcerningtheirfinancialqualificationsand decommissioningfundingthatcouldhaveasignificantimplication forpublichealthandsafety.TheseremindersareinanNRCadministrativelettersentJune21toallholdersofnuclearpowerplantoperatinglicenses orconstructionpermits.TheletterresultsfromanNRCstaff actionplanlaunchedearlierthisyearinresponseto deregulationoftheelectricpowerindustry.Theadministrativeletternotesthatincreasedcompetitionresultingfromderegulationmayinducepowercompaniestosplit theirsystemsintofunctionalareas,formingseparate subsidiariesforelectricalgeneration.Otherpossiblescenarios includeutilityrestructuring,mergersorcorporatespinoffs.NRC'sconcernisthatlicensedentitiesremainingaftersuchreorganizationsmusthaveaccesstoadequatefundsforsafe reactoroperationandfordecommissioning.Acopyoftheadministrativeletterisattached.
- Attachment UNITEDSTATESNUCLEARREGULATORYCOMMISSIONOFFICEOFNUCLEARREACTORREGULATIONWASHINGTON,D.C.20555-0001June21,1996NRCADMINISTRATIVELETTER96-02:LICENSEERESPONSIBILITIESRELATEDTOFINANCIAL
QUALIFICATIONS AddresseesAllholdersofoperatinglicensesorconstructionpermitsfornuclearpowerreactors.
PurposeTheU.S.NuclearRegulatoryCommission(NRC)isissuingthisadministrativelettertoremindaddresseesoftheirongoing responsibilitytoinform,andobtainadvanceapprovalfromthe NRCforanychangesthatwouldconstituteatransferofthe license,directlyorindirectly,throughtransferofcontrolof theNRClicensetoanypersonpursuanttoSection50.80ofTitle 10oftheCodeofFederalRegulations(10CFR50.80),"Transferoflicenses."Additionally,thisadministrativeletterreminds addresseesoftheirresponsibilitytoassurethatinformation regardinglicenseefinancialqualificationsanddecommissioning fundingassurancethatmayhaveasignificantimplicationfor publichealthandsafetyispromptlyreportedtotheNRC.
Lastly,thisadministrativeletterpointsoutthedesirabilityof providingtheNRCadvancenoticeofanyplansforsuchchangesso thatstaffreviewresourcescanbeallocatedandNRCdecisions arenotunnecessarilydelayed.Thisadministra-tiveletterdoes nottransmitorimplyanyneworchangedrequirementorstaff positions.Thesubmittalofadvancenoticeofyourplanningin thisareaisstrictlyvoluntary;therefore,nospecificactionor writtenresponseisrequired.
BackgroundTheelectricutilityindustryisenteringaperiodofeconomicderegulationandrestructuringwhichwillleadtoincreased competitionintheindustry.Increasingcompetitionmayforce integratedpowersystemstoseparate(or"disaggregate")their systemsintofunctionalareas.Thus,somelicenseesmaydivest electricalgenerationassetsfromtransmissionanddistribution assetsbyformingseparatecompaniesorseparatesubsidiariesfor electricalgenerationwithinlargerholdingcompanies.
Disaggregationmayinvolveutilityrestructuring,mergers,and corporatespinoffsthatleadtochangesinownersoroperatorsoflicensedpowerreactorsandothermaterialchanges.TheNRCconcernisthattheremaininglicensedentitieshaveaccesstoadequatefunds,suchthatfundsareavailableforsafe reactoroperationanddecommissioning.TheNRChasdistinguished betweenan"electricutility"andotherlicenseesinthisregard.
Asdefinedin10CFR50.2,an"electricutility"isanentity thatgeneratesordistributeselectricityforwhichthecostsare recoveredbyratessetbytheentityorbyaseparateregulatory authority.Rateregulatorsallowanelectricutilitytorecover prudentlyincurredcostsofgenerating,transmitting,and distributingelectricservices.Corporaterestructuringthat changesthe"electricutility"statusofapowerreactorlicensee orotherwisealtersthebasisunderwhichalicenseereceivedan operatinglicenseforapowerreactorshouldbebroughttoNRC attentioninatimelyfashion.
DiscussionThisadministrativeletterremindsallpowerreactorlicenseesoftheirongoingobligationtoseekandobtainpriorwrittenconsent fromtheNRCforanychangesthatwouldconstitutetransferoftheNRClicense,directlyorindirectly,throughtransferof controlofthelicensepursuantto10CFR50.80andSection184 oftheAtomicEnergyActasamended.Inaddition,licensees shouldassurethatinformationregardingtheirfinancial qualificationsanddecommissioningfundingassurancethatmay haveasignificantimplicationforpublichealthandsafetyis promptlyreportedtotheNRC.TheNRChasconsideredmergers,theformationofholdingcompanies,andtheoutrightsalesoffacilities,orportionsof facilities,torequireNRCnotificationandpriorapprovalin accordancewith10CFR50.80soastoensurethatthetransferee isappropriatelyqualified.Forexample,theNRCdetermines whetherthesurvivingorganizationwillremainan"electric utility"asdefinedin10CFR50.2.Forsalesofinterestsin powerreactors,theNRCreviewsaresimilartothoseformergers orformationofholdingcompanies.Whilesomerestructuringplansoccurwithlittlewarning,manyareanticipatedwellinadvanceofthedesiredimplementation date.Licenseesshouldconsiderprovidingadvancenotification ofsuchplanstotheNRCsothatthestaffcanschedulethe appropriateresourcesforreview.Becausethenumberofstaff reviewsinthisareaareexpectedtoincreasesignificantlyin thefuture,licenseesthatwaituntilshortlybeforeadecision isneededmayfindthestaffunabletomeettheirdesired
schedule.Toaddresschangesthatmayresultfromeconomicderegulation,theNRCissued,onApril8,1996,anAdvanceNoticeofProposed Rulemaking(61FR15427)thatseekscommentonderegulationissuesastheymayaffectNRCdecommissioningfundingassurance requirements.TheNRChasalsodevelopedanActionPlanthat outlinesadditionalstepstheNRCintendstotaketorespondto economicderegulationofitspowerreactorlicensees.Until theseactionsarecom-plete,ourcurrentregulationsare governing.However,youshouldbeawarethattheNRCstaffwill consultwiththeCommissionwhenanyneworunusual restructuringsalteryouroriginallicensingbasis.Thisadministrativeletterrequiresnospecificactionorwrittenresponse.Ifyouhaveanyquestionsaboutthisletter,please contactoneofthepersonslistedbelowortheappropriateOffice ofNuclearReactorRegulation(NRR)projectmanager.signedbyBrianK.Grimes,ActingDirectorDivisionofReactorProgram ManagementOfficeofNuclearReactor RegulationContacts:RobertWood,NRR(301)415-1255
Internet:rsw@nrc.govBillLambe,NRR(301)415-1277
Internet:wml@nrc.gov