ML080600001

Request for Additional Information Related to Request for Exemption from Requirements of 10 CFR 50.82(a)(8)(i), Decommissioning Trust Funds

ML080600001
Person / Time
Site:	South Texas
Issue date:	03/03/2008
From:	Thadani M NRC/NRR/ADRO/DORL/LPLIV
To:	Sheppard J South Texas
Thadani, M C, NRR/DORL/LP4, 415-1476
References
TAC MD6869, TAC MD6870
Download: ML080600001 (6)

Text

March 3, 2008 Mr. James J. Sheppard President and Chief Executive Officer STP Nuclear Operating Company South Texas Project Electric Generating Station P.O. Box 289 Wadsworth, TX 77483

SUBJECT:

SOUTH TEXAS PROJECT, UNITS 1 AND 2 - REQUEST FOR ADDITIONAL INFORMATION RE: REQUEST FOR EXEMPTION FROM REQUIREMENTS OF 10 CFR 50.82(a)(8)(i), DECOMMISSIONING TRUST FUNDS (TAC NOS. MD6869 AND MD6870)

Dear Mr. Sheppard:

The U.S. Nuclear Regulatory Commission (NRC) staff is reviewing the STP Nuclear Operating Company (STPNOC) request for Exemption from Title 10 of the Code of Federal Regulations paragraph 50.82(a)(8)(i), dated September 19, 2007. The NRC staff has determined that additional information is needed to continue the review of your request. The enclosed outlines the NRC staffs request for additional information (RAI).

The need for a prompt response to this RAI was communicated to Mr. Scott Head of your staff on February 28, 2008, with a request that STPNOC provide its response to this RAI within 30 days from the date of this letter. The 30-day response is requested to facilitate NRC staffs timely completion of the review of your request.

If there are any questions, please contact me at (301) 415-1476 or email mct@nrc.gov.

Sincerely,

/RA/

Mohan C. Thadani, Senior Project Manager Plant Licensing Branch IV Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket Nos. 50-498 and 50-499

Enclosures:

As stated cc w/encls: See next page

ML080600001 OFFICE NRR/LPL4/PM NRR/LPL4/LA NRR/LPL4/BC NAME MThadani JBurkhardt THiltz DATE 2/29/08 2/29/08 3/3/08 South Texas Project, Units 1 and 2 12/5/2007 cc:

Senior Resident Inspector C. T. Bowman, General Manager, Oversight U.S. Nuclear Regulatory Commission STP Nuclear Operating Company P.O. Box 289 P.O Box 289 Wadsworth, TX 77483 Wadsworth, TX 77483 C. M. Canady Ms. Marilyn Kistler City of Austin Senior Staff Specialist, Licensing Electric Utility Department STP Nuclear Operating Company 721 Barton Springs Road P.O. Box 289, Mail Code 5014 Austin, TX 78704 Wadsworth, TX 77483 J. J. Nesrsta/R. K. Temple Environmental and Natural Resources E. Alercon/Kevin Pollo Policy Director CPS Energy P.O. Box 12428 P.O. Box 1771 Austin, TX 78711-3189 San Antonio, TX 78296 Mr. Jon C. Wood INPO Cox, Smith, & Matthews Records Center 112 East Pecan, Suite 1800 700 Galleria Parkway San Antonio, TX 78205 Atlanta, GA 30339-3064 Director, Division of Compliance & Inspection Regional Administrator, Region IV Bureau of Radiation Control U.S. Nuclear Regulatory Commission Texas Department of State Health Services 611 Ryan Plaza Drive, Suite 400 1100 West 49th Street Arlington, TX 76011 Austin, TX 78756 Steve Winn/Christie Jacobs Mr. Ted Enos Eddy Daniels/Marty Ryan 4200 South Hulen NRC Energy, Inc. Suite 422 211 Carnegie Center Ft. Worth, TX 76109 Princeton, NJ 08540 Mr. Brian Almon Mr. Nate McDonald Public Utility Commission of Texas County Judge for Matagorda County P.O. Box 13326 th 1700 7 Street, Room 301 Austin, TX 78711-3326 Bay City, TX 77414 Ms. Susan M. Jablonski A. H. Gutterman, Esq. Office of Permitting, Remediation and Registration Morgan, Lewis & Bockius Texas Commission on Environmental Quality 1111 Pennsylvania Avenue, NW MC-122 Washington, DC 20004 P.O. Box 13087 Austin, TX 78711-3087 E. D. Halpin, Site Vice President STP Nuclear Operating Company Mr. Ken Coates, Plant General Manager South Texas Project Electric Generating Station STP Nuclear Operating Company P.O. Box 289 South Texas Project Electric Generating Station Wadsworth, TX 77483 P.O. Box 289 Wadsworth, TX 77483 S. M. Head, Manager, Licensing STP Nuclear Operating Company Mr. Anthony P. Jones, Chief Boiler Inspector P.O. Box 289, Mail Code: N5014 Texas Department of Licensing and Regulation Wadsworth, TX 77483 Boiler Division E.O. Thompson State Office Building P.O. Box 12157 Austin, TX 78711

REQUEST FOR ADDITIONAL INFORMATION BY THE OFFICE OF NUCLEAR REACTOR REGULATION EXEMPTION FROM 10 CFR 50.82(A)(8)(I)

DECOMMISSIONING TRUST FUNDS SOUTH TEXAS NUCLEAR OPERATING COMPANY SOUTH TEXAS PROJECT, UNITS 1 AND 2 DOCKET NOS. STN 50-498 AND 50-499

1. The STP Nuclear Operating Company (STPNOC, licensee) stated that the cost to construct an on-site storage mausoleum would be $1.4 million. In addition, STPNOC stated that the mausoleum also resulted in an annual cost to maintain it, and the eventual cost to decommission it. These costs are part of the basis for the exemption request. Please provide a detailed cost for the mausoleum as well as the associated maintenance and decommissioning costs.

2. STPNOC stated that the purpose of the exemption request is to permit the use of the decommissioning trust funds, not to exceed $20.0 million per unit, for the prompt disposal of certain major radioactive components (MRCs). Please provide a detailed cost breakdown of the projected cost of decommissioning MRCs, up to $20.0 million per unit, including the type and number of components that would be disposed. If the costs exceed $20.0 million, provide details of how STPNOC will fund any additional costs.

3. The licensee stated that STP currently has eight steam generators currently being stored on site resulting from the 2000 and 2002 steam generators replacements. Please describe in detail the $10,000.00 per year annual costs, and how these steam generators are currently being stored on site. The submittal also stated that STPNOC constructed a separate facility to store these steam generators; please provide a description and the cost of this storage facility. In addition, provide an estimate of the additional annual cost to store the MRCs as a result of replacement of the vessel heads during 2009 and 2010 outages, if the MRCs are not immediately sent for disposal.

4. STPNOC stated that the decommissioning trust balances as of December 31, 2006, totaled $364.9 million for Unit 1 and $445.8 million for Unit 2. This is the amount that STP submitted to the NRC for compliance with 10 CFR 50.75(f) to demonstrate that STP exceeded the NRC minimum requirements for radiological decommissioning. In addition, STP stated that the decommissioning site-specific cost estimates included not only radiological cleanup required by NRC, but the costs of dismantling the facilities and restoring the site, as well as the cost for storage and monitoring the spent fuel until the U.S. Department of Energy takes custody of the fuel. STPNOC needs to identify the source of the funds to support these additional non-radiological activities.