WM 23-0009, Financial Assurance Requirements for Decommissioning Nuclear Power Reactors 10 CFR 50.75(f)(1): Difference between revisions

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{{#Wiki_filter:WM 23-0009 Page 2 of 2
{{#Wiki_filter:WM 23-0009 Page 2 of 2 COR/jkt  
 
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==Enclosures:==
==Enclosures:==
I Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 II Wolf Creek Nuclear Operating Corporation Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)
I Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 II Wolf Creek Nuclear Operating Corporation Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)
III Wolf Creek Nuclear Operating Corporation Decommissioning Funds as of December 31, 2022 10 CFR 50.75 (b) and (c)
III Wolf Creek Nuclear Operating Corporation Decommissioning Funds as of December 31, 2022 10 CFR 50.75 (b) and (c) cc:
 
S. S. Lee (NRC), w/e R. J. Lewis (NRC), w/e G. E. Werner (NRC), w/e Senior Resident Inspector (NRC), w/e  
cc: S. S. Lee (NRC), w/e R. J. Lewis (NRC), w/e G. E. Werner (NRC), w/e Senior Resident Inspector (NRC), w/e Enclosure I to WM 23- 0009


Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 (1 page)
Enclosure I to WM 23-0009 Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 (1 page)  
Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 Owned by Kansas Gas & Electric (KGE), Kansas City Power and Light (KCPL) and Kansas Electric Power Cooperative (KEPCo)


Westar Energy Great Plains Energy (KGE, 47% ownership) (KCPL, 47% ownership) KEPCo, 6% ownership TOTAL 10 CFR 50.75(f)(1) Requirement
Westar Energy (KGE, 47% ownership)
: 1) NRC minimum decommissioning estimate pursuant to 10 CFR 50.75( b ) and ( c ) Dollars in Millions. $272.81 $272.81 $34.82 $580.44
Great Plains Energy (KCPL, 47% ownership)
: 2) The amount of accumulated funds at the end of the calendar year preceding the date of the report for items $318.77 $334.54 $33.40 $686.71 included in 10 CFR 50.75 ( b ) and ( c ). Dollars in Millions.
KEPCo, 6% ownership TOTAL 10 CFR 50.75(f)(1) Requirement
: 1) NRC minimum decommissioning estimate pursuant to 10 CFR 50.75( b ) and ( c ) Dollars in Millions.
$272.81  
$272.81  
$34.82  
$580.44
: 2) The amount of accumulated funds at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 ( b ) and ( c ). Dollars in Millions.
$318.77
$334.54
$33.40
$686.71
: 3) A schedule of the annual amounts to be collected; for items in 10 CFR 50.75 ( b ) and ( c ). Dollars in Millions.
: 3) A schedule of the annual amounts to be collected; for items in 10 CFR 50.75 ( b ) and ( c ). Dollars in Millions.
See Attached Schedules $128.45 $73.83 $12.10 $214.38
See Attached Schedules
$128.45  
$73.83  
$12.10  
$214.38
: 4) The assumptions used regarding:
: 4) The assumptions used regarding:
(a)Rates of escalation in decommissioning costs; 3.25% 3.25% 3.25%
(a) Rates of escalation in decommissioning costs; Kansas 3.25%
Kansas Missouri N/A 3.48% N/A
3.25%
3.25%
Missouri N/A 3.48%
N/A (b) Rates of earning on decommissioning funds; Variable. See attached Variable. See attached Variable. See attached (c) Rates of other factors used in funding projections; and 0.00%
0.00%
0.00%
(d) Real rate of return for current period, rate reduces in subsequent years; Kansas 1.47%
2.07%
1.95%
Missouri N/A 1.84%
N/A
: 5) Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v)?
None None None
: 6) Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report?
None None None
: 7) Any material changes to trust agreements?
Yes, effective 4/1/2021 Evergy Kansas South has moved its trustee agreement to BNYM to be consistent with Evergy Metro and the Evergy Pension plans.
None None Other information; estimated corporate tax rate 20.00%
20.00%
Non-taxable Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 Owned by Kansas Gas & Electric (KGE), Kansas City Power and Light (KCPL) and Kansas Electric Power Cooperative (KEPCo)


(b)Rates of earning on decommissioning funds; Variable. See attached Variable. See attached Variable. See attached
Wolf Creek Nuclear Operating Corporation Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)
 
(1 page)
(c)Rates of other factors used in funding projections; and 0.00% 0.00% 0.00%
Enclosure II to WM 23-0009
(d)Real rate of return for current period, rate reduces in subsequent years; 1.47% 2.07% 1.95%
Kansas Missouri N/A 1.84% N/A
: 5) Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v)? None None None
: 6) Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report? None None None
: 7) Any material changes to trust agreements? Yes, effective 4/1/2021 Evergy Kansas South has moved its trustee agreement to BNYM to None None be consistent with Evergy Metro and the Evergy Pension plans.
Other information; estimated corporate tax rate 20.00% 20.00% Non-taxable Enclosure II to WM 23-0009


Wolf Creek Nuclear Operating Corporation Minimum Decommissioning Funds Estimate p ursuant to 10 CFR 50.75 (b) and (c)
(1 page)
WOLF CREEK NUCLEAR OPERATING CORPORATION Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)
WOLF CREEK NUCLEAR OPERATING CORPORATION Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)
 
MINIMUM ESTIMATE Table (c)(1) - Jan86 dollars in Millions 105
MINIMUM ESTIMATE
 
Table (c)(1) - Jan86 dollars in Millions $ 105
[Wolf Creek is a PWR licensed for 3,565 MWt]
[Wolf Creek is a PWR licensed for 3,565 MWt]
 
Escalation Factor (see calculation below) 5.528 Minimum estimate - Dec22 dollars in Millions 580.44 Escalation per paragraph (c)(2)
Escalation Factor (see calculation below) 5.528
Escalation Factor = 0.65 Labor + 0.13 Energy + 0.22 Waste Burial Share 4Q '22 Report Labor 65%
 
3.178 2.066 Energy 13%
Minimum estimate - Dec22 dollars in Millions 580.44$
3.428 0.446 Waste Burial 22%
 
13.711 3.016 TOTAL ESCALATION FACTOR 5.528 NOTE: 4Q '22 factors pulled from the NUREG-1307 Revision 19 & Department of Labor Statisitcs.
Escalation per paragraph (c)(2)
Escalation Factor = 0.65 Labor + 0.13 Energy + 0.22 Waste Burial
 
Share 4Q '22 Report Labor 65% 3.178 2.066 Energy 13% 3.428 0.446 Waste Burial 22% 13.711 3.016 TOTAL ESCALATION FACTOR 5.528
 
NOTE: 4Q '22 factors pulled from the NUREG-1307 Revision 19 & Department of Labor Statisitcs.
 
NEW SITE SPECIFIC STUDY (August 2020) (Updated Method)
NEW SITE SPECIFIC STUDY (August 2020) (Updated Method)
Decommissioning Alternative Decon-Alt Cost escalation rate 3.25%
Obtained from KCC Docket 21-WCNE-103-GIE Decon-Alt Period (2020 $s)
Millions (Q1 2023 $s)
Millions (2045 $s)
Millions
% Total Radioactive Systems/Structures and License Termination 1,013.9 1,126.7 2,255.5 94%
Preparation for Decommissioning/Spent Fuel Mgmt 59.7 62.7 132.9 6%
Other Systems/Structures and Site Restoration 0.0 0.0 0%
Subtotal - Not Applicable to NRC Minimum 59.7 62.7 132.9 6%
TOTAL COST ESTIMATE 1,073.6 1,189.4 2,388.4 100%
August 2020 study is approved by the KCC for the Decon Alt method.


Decommissioning Alternative Decon-Alt
Enclosure III to WM 23-0009 Wolf Creek Nuclear Operating Corporation Decommissioning Funds as of December 31, 2022 10 CFR 50.75 (b) and (c)
 
(4 pages)  
Cost escalation rate 3.25%
Obtained from KCC Docket 21-WCNE-103-GIE
 
(2020 $s) (Q1 2023 $s) (2045 $s)
Decon-Alt Period Millions Millions Millions % Total
 
Radioactive Systems/Structures and License Termination $ 1,013.9 $ 1,126.7 $ 2,255.5 94%
 
Preparation for Decommissioning/Spent Fuel Mgmt $ 59.7 $ 62.7 $ 132.9 6%
Other Systems/Structures and Site Restoration $ 0.0 $ 0.0 0%
Subtotal - Not Applicable to NRC Minimum $ 59.7 $ 62.7 $ 132.9 6%
 
TOTAL COST ESTIMATE $ 1,073.6 $ 1,189.4 $ 2,388.4 100%
 
August 2020 study is approved by the KCC for the Decon Alt method.
Enclosure III to WM 23-0009


Wolf Creek Nuclear Operating Corporation Decommissioning Funds as of December 31, 2022 10 CFR 50.75 (b) and (c)
(4 pages)
WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
(Dollars in Thousands)
(Dollars in Thousands)
TOTAL KGE (47%)
KCPL (47%)
KEPCo (6%)
Market Value of External Sinking Fund as of 12/31/22 686,711.9 318,770.7 334,540.1 33,401.0 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 9,641 5,773 3,318 550 2024 9,641 5,773 3,318 550 2025 9,641 5,773 3,318 550 2026 9,641 5,773 3,318 550 2027 9,641 5,773 3,318 550 2028 9,641 5,773 3,318 550 2029 9,641 5,773 3,318 550 2030 9,641 5,773 3,318 550 2031 9,641 5,773 3,318 550 2032 9,641 5,773 3,318 550 2033 9,641 5,773 3,318 550 2034 9,641 5,773 3,318 550 2035 9,641 5,773 3,318 550 2036 9,641 5,773 3,318 550 2037 9,641 5,773 3,318 550 2038 9,641 5,773 3,318 550 2039 9,641 5,773 3,318 550 2040 9,641 5,773 3,318 550 2041 9,641 5,773 3,318 550 2042 9,641 5,773 3,318 550 2043 9,641 5,773 3,318 550 2044 9,641 5,773 3,318 550 2045 2,273 1,443 830 0
214,379 128,449 73,826 12,104 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Prior Current Prior Current Prior Obtained from KCC Docket 18-WCNE-107-GIE 21-WCNE-103-GIE 18-WCNE-107-GIE 21-WCNE-103-GIE 18-WCNE-107-GIE 2.91%
3.25%
2.91%
3.25%
3.15%
Obtained from MPSC Docket E0-2018-0062 EO-2021-0056 N/A N/A 3.16%
3.48%
N/A After Tax Earnings on Funds Kansas From KCC Docket 21-WCNE-103-GIE 2012 - 2025 5.60%
4.72%
2012 - 2025 0.00%
2018-2084 5.32%
2012 - 2025 6.74%
2026 - 2035 4.83%
decr ~.20%/year 2026 - 2045 0.00%
2052-2060 decr ~.40%/year 2026 - 2035 5.33%
2036 - 2044 3.83%
decr ~.02%/year 2045 - Decommissioning decr ~.13%/year 2060- 2079 decr ~.02%/year 2036 - 2044 4.15%
2045 - Decommissioning 2.31%
0.00%
2045 - Decommissioning 1.93%
Missouri From MPSC Docket EO-2021-0056 2012 - 2025 5.18%
5.07%
2026 - 2045 decr ~.154%/year decr ~.20%/year 2045 - Decommissioning decr ~.022%/year decr ~.02%/year Power sale contracts None None None None None Modifications to method of financial assurance None None None None None Material changes to trust agreements None None None None None


TOTAL KGE (47%) KCPL (47%) KEPCo (6%)
WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
 
Market Value of External Sinking $ 318,770.7686,711.9 $ 334,540.1 $ 33,401.0 Fund as of 12/31/22
 
Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 9,641 5,773 3,318 550 2024 9,641 5,773 3,318 550 2025 9,641 5,773 3,318 550 2026 9,641 5,773 3,318 550 2027 9,641 5,773 3,318 550 2028 9,641 5,773 3,318 550 2029 9,641 5,773 3,318 550 2030 9,641 5,773 3,318 550 2031 9,641 5,773 3,318 550 2032 9,641 5,773 3,318 550 2033 9,641 5,773 3,318 550 2034 9,641 5,773 3,318 550 2035 9,641 5,773 3,318 550 2036 9,641 5,773 3,318 550 2037 9,641 5,773 3,318 550 2038 9,641 5,773 3,318 550 2039 9,641 5,773 3,318 550 2040 9,641 5,773 3,318 550 2041 9,641 5,773 3,318 550 2042 9,641 5,773 3,318 550 2043 9,641 5,773 3,318 550 2044 9,641 5,773 3,318 550 2045 2,273 1,443 830 0 214,379 128,449 73,826 12,104
 
Assumptions re: Rates/Factors specific to Owner and Jurisdiction
 
Cost Escalation Rate Prior Current Prior Current Prior Obtained from KCC Docket 18-WCNE-107-GIE 21-WCNE-103-GIE 18-WCNE-107-GIE 21-WCNE-103-GIE 18-WCNE-107-GIE 2.91% 3.25% 2.91% 3.25% 3.15%
 
Obtained from MPSC Docket E0-2018-0062 EO-2021-0056 N/A N/A 3.16% 3.48% N/A
 
After Tax Earnings on Funds Kansas From KCC Docket 21-WCNE-103-GIE 2012 - 2025 5.60% 4.72% 2012 - 2025 0.00% 2018-2084 5.32% 2012 - 2025 6.74%
2026 - 2035 4.83% decr ~.20%/year 2026 - 2045 0.00% 2052-2060 decr ~.40%/year 2026 - 2035 5.33%
2036 - 2044 3.83% decr ~.02%/year 2045 - Decommissioning decr ~.13%/year 2060- 2079 decr ~.02%/year 2036 - 2044 4.15%
2045 - Decommissioning 2.31% 0.00% 2045 - Decommissioning 1.93%
 
Missouri From MPSC Docket EO-2021-0056
- - 2012 - 2025 5.18% 5.07% -
- - 2026 - 2045 decr ~.154%/year decr ~.20%/year -
2045 - Decommissioning decr ~.022%/year decr ~.02%/year
 
Power sale contracts None None None None None
 
Modifications to method of financial assurance None None None None None
 
Material changes to trust agreements None None None None None WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
(Dollars in Thousands)
(Dollars in Thousands)
Kansas FERC TOTAL KGE Market Value of External Sinking Fund as of 12/31/22 318,770.7 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 5,507,454 265,246 5,772,700 5,773 2024 5,507,454 265,246 5,772,700 5,773 2025 5,507,454 265,246 5,772,700 5,773 2026 5,507,454 265,246 5,772,700 5,773 2027 5,507,454 265,246 5,772,700 5,773 2028 5,507,454 265,246 5,772,700 5,773 2029 5,507,454 265,246 5,772,700 5,773 2030 5,507,454 265,246 5,772,700 5,773 2031 5,507,454 265,246 5,772,700 5,773 2032 5,507,454 265,246 5,772,700 5,773 2033 5,507,454 265,246 5,772,700 5,773 2034 5,507,454 265,246 5,772,700 5,773 2035 5,507,454 265,246 5,772,700 5,773 2036 5,507,454 265,246 5,772,700 5,773 2037 5,507,454 265,246 5,772,700 5,773 2038 5,507,454 265,246 5,772,700 5,773 2039 5,507,454 265,246 5,772,700 5,773 2040 5,507,454 265,246 5,772,700 5,773 2041 5,507,454 265,246 5,772,700 5,773 2042 5,507,454 265,246 5,772,700 5,773 2043 5,507,454 265,246 5,772,700 5,773 2044 5,507,454 265,246 5,772,700 5,773 2045 1,369,319 73,857 1,443,176 1,443 128,449 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 2.91%
Obtained from KCC Docket 21-WCNE-103-GIE 3.25%
Missouri N/A N/A After Tax Earnings on Funds Kansas 2012 - 2025 5.60%
4.72%
2026 - 2035 4.83%
decr ~.20%/year 2036 - 2044 3.83%
decr ~.02%/year 2045 - Decommissioning 2.31%
0.00%
Missouri Power sale contracts None None Modifications to method of financial assurance None None Material changes to trust agreements None None


Kansas FERC TOTAL KGE
WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
 
Market Value of External Sinking $ 318,770.7 Fund as of 12/31/22
 
Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 5,507,454 265,246 5,772,700 5,773 2024 5,507,454 265,246 5,772,700 5,773 2025 5,507,454 265,246 5,772,700 5,773 2026 5,507,454 265,246 5,772,700 5,773 2027 5,507,454 265,246 5,772,700 5,773 2028 5,507,454 265,246 5,772,700 5,773 2029 5,507,454 265,246 5,772,700 5,773 2030 5,507,454 265,246 5,772,700 5,773 2031 5,507,454 265,246 5,772,700 5,773 2032 5,507,454 265,246 5,772,700 5,773 2033 5,507,454 265,246 5,772,700 5,773 2034 5,507,454 265,246 5,772,700 5,773 2035 5,507,454 265,246 5,772,700 5,773 2036 5,507,454 265,246 5,772,700 5,773 2037 5,507,454 265,246 5,772,700 5,773 2038 5,507,454 265,246 5,772,700 5,773 2039 5,507,454 265,246 5,772,700 5,773 2040 5,507,454 265,246 5,772,700 5,773 2041 5,507,454 265,246 5,772,700 5,773 2042 5,507,454 265,246 5,772,700 5,773 2043 5,507,454 265,246 5,772,700 5,773 2044 5,507,454 265,246 5,772,700 5,773 2045 1,369,319 73,857 1,443,176 1,443 128,449
 
Assumptions re: Rates/Factors specific to Owner and Jurisdiction
 
Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 2.91% Obtained from KCC Docket 21-WCNE-103-GIE 3.25%
Missouri N/A N/A
 
After Tax Earnings on Funds Kansas 2012 - 2025 5.60% 4.72%
2026 - 2035 4.83% decr ~.20%/year 2036 - 2044 3.83% decr ~.02%/year 2045 - Decommissioning 2.31% 0.00%
 
Missouri
 
Power sale contracts None None
 
Modifications to method of financial assurance None None
 
Material changes to trust agreements None None WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
(Dollars in Thousands)
(Dollars in Thousands)
Kansas Missouri TOTAL KCPL Market Value of External Sinking Fund as of 12/31/22 334,540.1 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 2,036,766 1,281,264 3,318,030 3,318 2024 2,036,766 1,281,264 3,318,030 3,318 2025 2,036,766 1,281,264 3,318,030 3,318 2026 2,036,766 1,281,264 3,318,030 3,318 2027 2,036,766 1,281,264 3,318,030 3,318 2028 2,036,766 1,281,264 3,318,030 3,318 2029 2,036,766 1,281,264 3,318,030 3,318 2030 2,036,766 1,281,264 3,318,030 3,318 2031 2,036,766 1,281,264 3,318,030 3,318 2032 2,036,766 1,281,264 3,318,030 3,318 2033 2,036,766 1,281,264 3,318,030 3,318 2034 2,036,766 1,281,264 3,318,030 3,318 2035 2,036,766 1,281,264 3,318,030 3,318 2036 2,036,766 1,281,264 3,318,030 3,318 2037 2,036,766 1,281,264 3,318,030 3,318 2038 2,036,766 1,281,264 3,318,030 3,318 2039 2,036,766 1,281,264 3,318,030 3,318 2040 2,036,766 1,281,264 3,318,030 3,318 2041 2,036,766 1,281,264 3,318,030 3,318 2042 2,036,766 1,281,264 3,318,030 3,318 2043 2,036,766 1,281,264 3,318,030 3,318 2044 2,036,766 1,281,264 3,318,030 3,318 2045 509,192 320,316 829,508 830 73,826 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 2.91%
Obtained from KCC Docket 18-WCNE-107-GIE 3.25%
Obtained from MPSC Docket E0-2018-0062 Missouri 3.16%
Obtained from MPSC Docket EO-2021-0056 3.48%
After Tax Earnings on Funds Kansas 2012 - 2025 0.00%
2018-2051 5.32%
2026 - 2045 0.00%
2052-2060 decr ~.40%/year 2045 - Decommissioning decr ~.13%/year 2060- 2079 decr ~.02%/year 2080 - Decommissioning 0.00%
Missouri 2018 - 2027 5.18%
5.07%
2028 - 2047 decr ~.154%/year decr ~.20%/year 2048 - Decommissioning decr ~.022%/year decr ~.02%/year Power sale contracts None None Modifications to method of financial assurance None None Material changes to trust agreements None None


Kansas Missouri TOTAL KCPL
WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
 
Market Value of External Sinking $ 334,540.1 Fund as of 12/31/22
 
Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 2,036,766 1,281,264 3,318,030 3,318 2024 2,036,766 1,281,264 3,318,030 3,318 2025 2,036,766 1,281,264 3,318,030 3,318 2026 2,036,766 1,281,264 3,318,030 3,318 2027 2,036,766 1,281,264 3,318,030 3,318 2028 2,036,766 1,281,264 3,318,030 3,318 2029 2,036,766 1,281,264 3,318,030 3,318 2030 2,036,766 1,281,264 3,318,030 3,318 2031 2,036,766 1,281,264 3,318,030 3,318 2032 2,036,766 1,281,264 3,318,030 3,318 2033 2,036,766 1,281,264 3,318,030 3,318 2034 2,036,766 1,281,264 3,318,030 3,318 2035 2,036,766 1,281,264 3,318,030 3,318 2036 2,036,766 1,281,264 3,318,030 3,318 2037 2,036,766 1,281,264 3,318,030 3,318 2038 2,036,766 1,281,264 3,318,030 3,318 2039 2,036,766 1,281,264 3,318,030 3,318 2040 2,036,766 1,281,264 3,318,030 3,318 2041 2,036,766 1,281,264 3,318,030 3,318 2042 2,036,766 1,281,264 3,318,030 3,318 2043 2,036,766 1,281,264 3,318,030 3,318 2044 2,036,766 1,281,264 3,318,030 3,318 2045 509,192 320,316 829,508 830 73,826
 
Assumptions re: Rates/Factors specific to Owner and Jurisdiction
 
Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 2.91% Obtained from KCC Docket 18-WCNE-107-GIE 3.25%
 
Obtained from MPSC Docket E0-2018-0062 Missouri 3.16% Obtained from MPSC Docket EO-2021-0056 3.48%
 
After Tax Earnings on Funds Kansas 2012 - 2025 0.00% 2018-2051 5.32%
2026 - 2045 0.00% 2052-2060 decr ~.40%/year 2045 - Decommissioning decr ~.13%/year 2060- 2079 decr ~.02%/year 2080 - Decommissioning 0.00%
 
Missouri 2018 - 2027 5.18% 5.07%
2028 - 2047 decr ~.154%/year decr ~.20%/year 2048 - Decommissioning decr ~.022%/year decr ~.02%/year
 
Power sale contracts None None
 
Modifications to method of financial assurance None None
 
Material changes to trust agreements None None WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)
(Dollars in Thousands)
(Dollars in Thousands)
 
KEPCo Market Value of External Sinking Fund as of 12/31/22 33,401.0 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 550 2024 550 2025 550 2026 550 2027 550 2028 550 2029 550 2030 550 2031 550 2032 550 2033 550 2034 550 2035 550 2036 550 2037 550 2038 550 2039 550 2040 550 2041 550 2042 550 2043 550 2044 550 2045 0
KEPCo
12,104 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 3.15%
 
Obtained from KCC Docket 21-WCNE-103-GIE 3.25%
Market Value of External Sinking 33,401.0 Fund as of 12/31/22
Missouri N/A N/A After Tax Earnings on Funds Kansas 2015 - 2025 6.74%
 
5.20%
Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 550 2024 550 2025 550 2026 550 2027 550 2028 550 2029 550 2030 550 2031 550 2032 550 2033 550 2034 550 2035 550 2036 550 2037 550 2038 550 2039 550 2040 550 2041 550 2042 550 2043 550 2044 550 2045 0 12,104
 
Assumptions re: Rates/Factors specific to Owner and Jurisdiction
 
Cost Escalation Rate
 
Obtained from KCC Docket 18-WCNE-107-GIE Kansas 3.15% Obtained from KCC Docket 21-WCNE-103-GIE 3.25%
Missouri N/A N/A
 
After Tax Earnings on Funds Kansas 2015 - 2025 6.74% 5.20%
2026 - 2035 5.33%
2026 - 2035 5.33%
2036 - 2043 4.15%
2036 - 2043 4.15%
2044 - Decommissioning 1.93%
2044 - Decommissioning 1.93%
 
Missouri Power sale contracts None None Modifications to method of financial assurance None None Material changes to trust agreements None None}}
Missouri
 
Power sale contracts None None
 
Modifications to method of financial assurance None None
 
Material changes to trust agreements None None}}

Latest revision as of 05:52, 27 November 2024

Financial Assurance Requirements for Decommissioning Nuclear Power Reactors 10 CFR 50.75(f)(1)
ML23130A305
Person / Time
Site: Peach Bottom, Wolf Creek  
Issue date: 05/10/2023
From: Reasoner C
Wolf Creek
To:
Office of Nuclear Material Safety and Safeguards, Document Control Desk, Office of Nuclear Reactor Regulation
References
WM 23-0009
Download: ML23130A305 (1)
v • d • e


Text

WM 23-0009 Page 2 of 2 COR/jkt

Enclosures:

I Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 II Wolf Creek Nuclear Operating Corporation Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)

III Wolf Creek Nuclear Operating Corporation Decommissioning Funds as of December 31, 2022 10 CFR 50.75 (b) and (c) cc:

S. S. Lee (NRC), w/e R. J. Lewis (NRC), w/e G. E. Werner (NRC), w/e Senior Resident Inspector (NRC), w/e

Enclosure I to WM 23-0009 Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 (1 page)

Westar Energy (KGE, 47% ownership)

Great Plains Energy (KCPL, 47% ownership)

KEPCo, 6% ownership TOTAL 10 CFR 50.75(f)(1) Requirement

1) NRC minimum decommissioning estimate pursuant to 10 CFR 50.75( b ) and ( c ) Dollars in Millions.

$272.81

$272.81

$34.82

$580.44

2) The amount of accumulated funds at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 ( b ) and ( c ). Dollars in Millions.

$318.77

$334.54

$33.40

$686.71

3) A schedule of the annual amounts to be collected; for items in 10 CFR 50.75 ( b ) and ( c ). Dollars in Millions.

See Attached Schedules

$128.45

$73.83

$12.10

$214.38

4) The assumptions used regarding:

(a) Rates of escalation in decommissioning costs; Kansas 3.25%

3.25%

3.25%

Missouri N/A 3.48%

N/A (b) Rates of earning on decommissioning funds; Variable. See attached Variable. See attached Variable. See attached (c) Rates of other factors used in funding projections; and 0.00%

0.00%

0.00%

(d) Real rate of return for current period, rate reduces in subsequent years; Kansas 1.47%

2.07%

1.95%

Missouri N/A 1.84%

N/A

5) Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v)?

None None None

6) Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report?

None None None

7) Any material changes to trust agreements?

Yes, effective 4/1/2021 Evergy Kansas South has moved its trustee agreement to BNYM to be consistent with Evergy Metro and the Evergy Pension plans.

None None Other information; estimated corporate tax rate 20.00%

20.00%

Non-taxable Wolf Creek Nuclear Operating Corporation Decommissioning Funding Status Report as of 3/31/2023 Owned by Kansas Gas & Electric (KGE), Kansas City Power and Light (KCPL) and Kansas Electric Power Cooperative (KEPCo)

Wolf Creek Nuclear Operating Corporation Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)

(1 page)

Enclosure II to WM 23-0009

WOLF CREEK NUCLEAR OPERATING CORPORATION Minimum Decommissioning Funds Estimate pursuant to 10 CFR 50.75 (b) and (c)

MINIMUM ESTIMATE Table (c)(1) - Jan86 dollars in Millions 105

[Wolf Creek is a PWR licensed for 3,565 MWt]

Escalation Factor (see calculation below) 5.528 Minimum estimate - Dec22 dollars in Millions 580.44 Escalation per paragraph (c)(2)

Escalation Factor = 0.65 Labor + 0.13 Energy + 0.22 Waste Burial Share 4Q '22 Report Labor 65%

3.178 2.066 Energy 13%

3.428 0.446 Waste Burial 22%

13.711 3.016 TOTAL ESCALATION FACTOR 5.528 NOTE: 4Q '22 factors pulled from the NUREG-1307 Revision 19 & Department of Labor Statisitcs.

NEW SITE SPECIFIC STUDY (August 2020) (Updated Method)

Decommissioning Alternative Decon-Alt Cost escalation rate 3.25%

Obtained from KCC Docket 21-WCNE-103-GIE Decon-Alt Period (2020 $s)

Millions (Q1 2023 $s)

Millions (2045 $s)

Millions

% Total Radioactive Systems/Structures and License Termination 1,013.9 1,126.7 2,255.5 94%

Preparation for Decommissioning/Spent Fuel Mgmt 59.7 62.7 132.9 6%

Other Systems/Structures and Site Restoration 0.0 0.0 0%

Subtotal - Not Applicable to NRC Minimum 59.7 62.7 132.9 6%

TOTAL COST ESTIMATE 1,073.6 1,189.4 2,388.4 100%

August 2020 study is approved by the KCC for the Decon Alt method.

Enclosure III to WM 23-0009 Wolf Creek Nuclear Operating Corporation Decommissioning Funds as of December 31, 2022 10 CFR 50.75 (b) and (c)

(4 pages)

WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)

(Dollars in Thousands)

TOTAL KGE (47%)

KCPL (47%)

KEPCo (6%)

Market Value of External Sinking Fund as of 12/31/22 686,711.9 318,770.7 334,540.1 33,401.0 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 9,641 5,773 3,318 550 2024 9,641 5,773 3,318 550 2025 9,641 5,773 3,318 550 2026 9,641 5,773 3,318 550 2027 9,641 5,773 3,318 550 2028 9,641 5,773 3,318 550 2029 9,641 5,773 3,318 550 2030 9,641 5,773 3,318 550 2031 9,641 5,773 3,318 550 2032 9,641 5,773 3,318 550 2033 9,641 5,773 3,318 550 2034 9,641 5,773 3,318 550 2035 9,641 5,773 3,318 550 2036 9,641 5,773 3,318 550 2037 9,641 5,773 3,318 550 2038 9,641 5,773 3,318 550 2039 9,641 5,773 3,318 550 2040 9,641 5,773 3,318 550 2041 9,641 5,773 3,318 550 2042 9,641 5,773 3,318 550 2043 9,641 5,773 3,318 550 2044 9,641 5,773 3,318 550 2045 2,273 1,443 830 0

214,379 128,449 73,826 12,104 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Prior Current Prior Current Prior Obtained from KCC Docket 18-WCNE-107-GIE 21-WCNE-103-GIE 18-WCNE-107-GIE 21-WCNE-103-GIE 18-WCNE-107-GIE 2.91%

3.25%

2.91%

3.25%

3.15%

Obtained from MPSC Docket E0-2018-0062 EO-2021-0056 N/A N/A 3.16%

3.48%

N/A After Tax Earnings on Funds Kansas From KCC Docket 21-WCNE-103-GIE 2012 - 2025 5.60%

4.72%

2012 - 2025 0.00%

2018-2084 5.32%

2012 - 2025 6.74%

2026 - 2035 4.83%

decr ~.20%/year 2026 - 2045 0.00%

2052-2060 decr ~.40%/year 2026 - 2035 5.33%

2036 - 2044 3.83%

decr ~.02%/year 2045 - Decommissioning decr ~.13%/year 2060- 2079 decr ~.02%/year 2036 - 2044 4.15%

2045 - Decommissioning 2.31%

0.00%

2045 - Decommissioning 1.93%

Missouri From MPSC Docket EO-2021-0056 2012 - 2025 5.18%

5.07%

2026 - 2045 decr ~.154%/year decr ~.20%/year 2045 - Decommissioning decr ~.022%/year decr ~.02%/year Power sale contracts None None None None None Modifications to method of financial assurance None None None None None Material changes to trust agreements None None None None None

WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)

(Dollars in Thousands)

Kansas FERC TOTAL KGE Market Value of External Sinking Fund as of 12/31/22 318,770.7 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 5,507,454 265,246 5,772,700 5,773 2024 5,507,454 265,246 5,772,700 5,773 2025 5,507,454 265,246 5,772,700 5,773 2026 5,507,454 265,246 5,772,700 5,773 2027 5,507,454 265,246 5,772,700 5,773 2028 5,507,454 265,246 5,772,700 5,773 2029 5,507,454 265,246 5,772,700 5,773 2030 5,507,454 265,246 5,772,700 5,773 2031 5,507,454 265,246 5,772,700 5,773 2032 5,507,454 265,246 5,772,700 5,773 2033 5,507,454 265,246 5,772,700 5,773 2034 5,507,454 265,246 5,772,700 5,773 2035 5,507,454 265,246 5,772,700 5,773 2036 5,507,454 265,246 5,772,700 5,773 2037 5,507,454 265,246 5,772,700 5,773 2038 5,507,454 265,246 5,772,700 5,773 2039 5,507,454 265,246 5,772,700 5,773 2040 5,507,454 265,246 5,772,700 5,773 2041 5,507,454 265,246 5,772,700 5,773 2042 5,507,454 265,246 5,772,700 5,773 2043 5,507,454 265,246 5,772,700 5,773 2044 5,507,454 265,246 5,772,700 5,773 2045 1,369,319 73,857 1,443,176 1,443 128,449 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 2.91%

Obtained from KCC Docket 21-WCNE-103-GIE 3.25%

Missouri N/A N/A After Tax Earnings on Funds Kansas 2012 - 2025 5.60%

4.72%

2026 - 2035 4.83%

decr ~.20%/year 2036 - 2044 3.83%

decr ~.02%/year 2045 - Decommissioning 2.31%

0.00%

Missouri Power sale contracts None None Modifications to method of financial assurance None None Material changes to trust agreements None None

WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)

(Dollars in Thousands)

Kansas Missouri TOTAL KCPL Market Value of External Sinking Fund as of 12/31/22 334,540.1 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 2,036,766 1,281,264 3,318,030 3,318 2024 2,036,766 1,281,264 3,318,030 3,318 2025 2,036,766 1,281,264 3,318,030 3,318 2026 2,036,766 1,281,264 3,318,030 3,318 2027 2,036,766 1,281,264 3,318,030 3,318 2028 2,036,766 1,281,264 3,318,030 3,318 2029 2,036,766 1,281,264 3,318,030 3,318 2030 2,036,766 1,281,264 3,318,030 3,318 2031 2,036,766 1,281,264 3,318,030 3,318 2032 2,036,766 1,281,264 3,318,030 3,318 2033 2,036,766 1,281,264 3,318,030 3,318 2034 2,036,766 1,281,264 3,318,030 3,318 2035 2,036,766 1,281,264 3,318,030 3,318 2036 2,036,766 1,281,264 3,318,030 3,318 2037 2,036,766 1,281,264 3,318,030 3,318 2038 2,036,766 1,281,264 3,318,030 3,318 2039 2,036,766 1,281,264 3,318,030 3,318 2040 2,036,766 1,281,264 3,318,030 3,318 2041 2,036,766 1,281,264 3,318,030 3,318 2042 2,036,766 1,281,264 3,318,030 3,318 2043 2,036,766 1,281,264 3,318,030 3,318 2044 2,036,766 1,281,264 3,318,030 3,318 2045 509,192 320,316 829,508 830 73,826 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 2.91%

Obtained from KCC Docket 18-WCNE-107-GIE 3.25%

Obtained from MPSC Docket E0-2018-0062 Missouri 3.16%

Obtained from MPSC Docket EO-2021-0056 3.48%

After Tax Earnings on Funds Kansas 2012 - 2025 0.00%

2018-2051 5.32%

2026 - 2045 0.00%

2052-2060 decr ~.40%/year 2045 - Decommissioning decr ~.13%/year 2060- 2079 decr ~.02%/year 2080 - Decommissioning 0.00%

Missouri 2018 - 2027 5.18%

5.07%

2028 - 2047 decr ~.154%/year decr ~.20%/year 2048 - Decommissioning decr ~.022%/year decr ~.02%/year Power sale contracts None None Modifications to method of financial assurance None None Material changes to trust agreements None None

WOLF CREEK NUCLEAR OPERATING CORPORATION Decommissioning Funding Status Report as of December 31, 2022 10 CFR 50.75 (b) and (c)

(Dollars in Thousands)

KEPCo Market Value of External Sinking Fund as of 12/31/22 33,401.0 Schedule of Amounts to be Collected (as approved by rate-setting authorities based on Site Specific Study) 2023 550 2024 550 2025 550 2026 550 2027 550 2028 550 2029 550 2030 550 2031 550 2032 550 2033 550 2034 550 2035 550 2036 550 2037 550 2038 550 2039 550 2040 550 2041 550 2042 550 2043 550 2044 550 2045 0

12,104 Assumptions re: Rates/Factors specific to Owner and Jurisdiction Cost Escalation Rate Obtained from KCC Docket 18-WCNE-107-GIE Kansas 3.15%

Obtained from KCC Docket 21-WCNE-103-GIE 3.25%

Missouri N/A N/A After Tax Earnings on Funds Kansas 2015 - 2025 6.74%

5.20%

2026 - 2035 5.33%

2036 - 2043 4.15%

2044 - Decommissioning 1.93%

Missouri Power sale contracts None None Modifications to method of financial assurance None None Material changes to trust agreements None None

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