ML20236J076

Requests Commission Approval of Proposed Response to DOE Re Proposed Subsequent Arrangement Under US-Euratom Agreement for Cooperation to Give Advance Consent to Retransfers of US-obligated Plutonium to Switzerland

ML20236J076
Person / Time
Issue date:	06/10/1998
From:	Stoiber C NRC OFFICE OF INTERNATIONAL PROGRAMS (OIP)
To:
References
SECY-98-133, SECY-98-133-01, SECY-98-133-1, SECY-98-133-R, NUDOCS 9807080033
Download: ML20236J076 (6)

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POLICY ISSUE June 10, 1998 SECY-98-133 Eor:

The Commissioners Erom:

Carlton R. Stoiber, Director Office of International Programs SUBJECT PROPOSED SUBSEQUENT ARRANGEMENT UNDER THE U.S.-EURATOM AGREEMENT FOR COOPERATION TO GIVE ADVANCE CONSENT TO RETRANSFERS OF U.S.-OPLIGATED PLUTONIUM TO SWITZERLAND RURPOSE:

To obtain the Commission's approval of a proposed response to tne Department of Energy (DOE).

BACKGROUND DOE has forwarded for review a proposed Subsequent Arrangement (Attachment 1) under the 1996 U.S.-EURATOM Agreement for Cooperation. The Subsequent Arrangement would provide U.S. advance consent to retransfers of U.S.- obligated plutonium from EURATOM to Switzerland. The U.S. has previously approved such retransfers, and others between Switzerland and EURATOM (Swiss spent fuel to EURATOM for reprocessing, plutonium recovery, and MOX fuel fabrication), on a case-by-case basis over the past 20 years. However, the 1996 U.S.-EURATOM and pending 1998 U.S.-Switzerland Agreements for Cooperation include provisions for the U.S. to give long-term prior approval of these retransfers.

CONTACT: R. Hauber, OIP l

(301) 415-2344

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SECY NOTE:

To be made publicly available when the final SRM is made available L

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. The U.S.-Switzerland Agreement is expected to enter into force in late June 1998, when its 60-day Congressional review period is completed.

DISCUSSION:

In SECY-97-085, the staff described to the Commission the provisions of the proposed U.S.-

Switzerland Agreement for Cooperation which,'in combination with provisions of the 1996 U.S.-

EURATOM Agreement (SECY-95-210), would give advance U.S. approval to retransfers of U.S.-obligated nuclear material between Switzerland and EURATOM as required to reprocess Swiss power reactor spent fuel in EURATOM, to fabricate MOX fuel using the recovered plutonium, and to deliver the MOX fuel to Switzerland for use in its power reactor program.

~ ln SECY-97-085, the staff noted that the advanced approval provision of the new U.S.-

Switzerland Agreement would eliminate the delays experienced by Switzerland under the old agreement in obtaining case-by-case retransfer approvals from the U.S. and that the provision is similar to provisions in the U.S.-Japan and U.S.-EURATOM Agreements. The staff explained that facilities within EURATOM to which the U.S.-obligated material may be transferred for reprocessing and alteration in form and content are specified in an attachment to the Agreed Minute to the U.S.-Switzerland Agreement. Additional facilities may be added to this list only with U.S. agreement.

The staff outlined controls contained in the U.S.-EURATOM Agreement and referenced a side letter presented by the U.S. to the European Commission confirming that the U.S. was then negotiating a new agreement with Switzerland which contained the following commitment:

The U.S. is also prepared... to offer long-term prior consent to EURATOM to the retransfer of Swiss plutonium, including such plutonium contained in MOX fuel elements, subject to the U.S.-EURATOM Agreement, to Switzerland for use in that country's peaceful nuclear program.

- The staff cited the Agreed Minute to the Proposed U.S.-Switzerland Agreement in respect to l

. the following obligatory language.

4 in the case of irradiated nuclear material, subject to the Agreement, retransferred by Switzerland, the U.S. hereby agrees to give its consent, under the applicable agreement l

for cooperation, to the return to Switzerland of nuclear material recovered from that nuclear material so transferred.

l The staff reported it was the intention of the U.S., simultaneous with entry into force of the new Agreement with Switzerland, to give EURATOM its long-term prior consent to retransfer to t

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Switzerland,- U.S.-obligated plutonium recovered from Swiss spent fuel. It is that step which p

_ Agreement.'

DOE is now proposing to take in the form of a Subsequent Arrangement under the 1996 l-l

' COORDINATION:.

EDO concurs in this paper, OGC has no legal objection.

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3 RECOMMENDATION:

That the Commission approve the response to DOE at Attachment 2, indicating no objection to the proposed authorization.

O l hi t,i y Carlton R. Stoiber, Director Office of Intemational Programs l'

Attachments:

1. DOE Draft Federal Register Notice 2.- Proposed Response to DOE -

Commissioners' completed vote sheets / comments should be provided

-directly to the Office of the Secretary by c.o.b. Thursday, i

June 25, 1998.

Commission staff office comments, if any, should be submitted to the Commissioners NLT Thursday, June 18, 1998, with an information copy to SECY.

If the paper is of such a. nature that~it requires additional review and comment, the Commissioners and the Secretariat should be apprised of when commerts may be

. expected.

DISTRIBUTION:

Commissioners OGC OIG OPA E

OIP.

.OCA'

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CIO CFO EDO REGIONS i-SECY f-o L. -

2025862323

..6 06/03/98 Tt'E 14 :31 FAI 2025862323 NN-4r

@ 001 ATTACHMENT 1 o

UNITED STATES GOVERNMENT DEPARTMENT OF ENERGY memorandum Date:

June 2,1998 From:

Terri T. Lee, NN-42

Subject:

Request for Subsequent Arrangement Under NNPA of 1978 To:

Distribution This is a notice of correction to an error in my May 27 cover memo on the proposed subsequent arrangement on US-Euratom prior consent. I mistakenly stated in the cover memo that the US.

Euratom Peaceful Nuclear Cooperation Agreement will soon be brought into force. The correct bilateral agreement that will soon come into force is between the U.S. and Switzerland, NOT EURATOM. I apologize for any confusion.

Ifyou have any questions, please cor. tact me at (202) $2 - 745 or fax me at

)

(202) 586-2323/6789. Thank you.

j i

Distribution:

j Mr. Joseph Chuchla '

Mr. Michael Johnson Office of Technology and Policy Analysis OSD/ISP/ Negotiations and Implementation Department of Commerce Department of Defense OTPA Room 4069A 2500 Defense Pentagon Washington D.C.20230 Washington, D.C. 20301-2600 Tel:(202) 482-4188 Tel:(703)693 8917 Fax: (202) 482-4145-Fax:(723)693 7812 Mr. Robin DeLabarre LTC Jonathan Fox PM/NE Defense Special Weapons Agency Department of State 6801 Telegraph Road Washington. D.C. 20520 Alexandria, VA 22310-3398 Te1:(202) 647 3978 Tel:(703) 325 7358 Fax:(202) 647-0775 Fax: (703) 325-2953 Mr. Ronald D. Hauber Mr. Michael D. Rosenthal Office ofInternational Programs Arms Control and Disarmament Agency Nuclear Regulatory Commission NWC/INA, Room 4678 Washington, D.C. 20555 Washington, D.C. 20555 Tel:(301) 415-2344 Tel:(202) 647 2832 (Mark Goodman)

Fax:(30l)415 2395 Fax:(202) 736-4336 l

202 586 6789 98 WED 14:3s FAI 203 s86 6789

.NN-40 NAT'L SECURITY 2002 i

BILLING CODE 6450-01-P DEPARTMENT OF ENERGY.

Office of Arms Control and Nonproliferation Policy PROPOSED SUBSEQUENT ARRANGEMENT

~ AGENCY:

DEPARTMENT OF ENERGY ACTION:

SUBSEQUENTARRANGEMENT

SUMMARY

Pursuant to Section 131 of the Atomic Energy Act of 1954, as amended (42 U.S..C. 2160), notice is hereby given of a proposed " subsequent arrangement" under the Agreement for Cooperation in the Peaceful Uses of Nuclear Energy Between the Governm:nt o the United States of America and the European Atomic Energy Community (EURATOM).

The subsequent arrangement to be carried out under the above-mentioned agreement involve approval for prior consent for retransfers of US-obligated nuclear material from Euratom to Switzerland. Pursuant to Article 8.1.(C).(i) and 8.l(C).(iii) of the US-Eumtom Agreement, Switzerland will be able to receive retransfers of certain US-obligated nuclear items from Euratom on an advance, long-tenn basis. Article 8.l(C).(iii) further specifies that prior consen applici only to US-obligated plutonium in Euratom that will be returned to Switzerland.

Henceforth, no additional US-obligated plutonium, beyond the original plutonium that was contained in the Swiss spent fuel, which was sent to Euratom for reprocessing, will be give prior consent for retransfer to Switzerland.

In accordance with Section 131 of the Atomic Energy Act of 1954, as amended,it has been determined that this subsequent arrangement will not be inimical to the common defense and security.

This subsequent arrangement will take effect no sooner than fifteen days after the date of publication of this notice.

DATED:

For the Department ofEnergy Cherie P. Fitzgerald Director Intemational Policy and Analysis Division Otlice of Anns Control and Nonproliferation

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DRAFT l

l Ms. Cherie P. Fitzgerald Director Intemational Policy and Analysis Division, NN-42 Office of Arms Control and Nonproliferation Department of Energy Washington, D.C. 20585

Dear Ms. Fitzgerald:

The Nuclear Regulatory Commission has reviewed and does not object to the Department of Energy entering into a Subsequent Arrangement under the 1996 U.S.-

EURATOM Agreement to provide long-term prior consent for retransfers of U.S.-obligated nuclear materials from EURATOM to Switzerland.

Sincerely, Ronald D. Hauber, Director Nonproliferation, Exports and -

Multilateral Relations Office of international Programs

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