ML20118A576

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Application for Amends to Licenses DPR-57 & NPF-5,allowing Southern Nuclear Operating Co,Inc to Possess,Manage,Use, Operate & Maintain Facilities.Certificate of Concurrence from Southern Nuclear Operating Co,Inc Encl
ML20118A576
Person / Time
Site: Hatch  Southern Nuclear icon.png
Issue date: 09/18/1992
From: Beckham J
GEORGIA POWER CO.
To:
Shared Package
ML20118A575 List:
References
NUDOCS 9209220344
Download: ML20118A576 (60)


Text

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ENCLOSURE UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISS70N In the Matter of )

)

GEORGIA POWER COMPANY )

) 'ocket Nos. 50-321

) 50-366 (Edwin I. Hatch Nuclear )

Plant, Unit Nos. 1 and 2) )

APPLICATION TO AMEND FACILITY OPERATING LICENSE NOS. DPR-57 AND NPF-5 This is an application to amend Facility Operating' License Nos.

DPR-57 and NPF-5, currently held by Georgia Power Company, Oglethorpe -

Power Corporation, Municipal Electric Authority of Georgia, and City of Dalton, Georgia. (the Owners) to . allow Southern - Nuclear Operating Company, Inc. (Southern Nuclear) to possess, manage, use, operate-and maintain Units 1 and 2 of the Edwin I'. ~ Hatch Nuclear. Plant -(HNP),

located in Appling County, Georgia. This action involves no change-in.

plant ownership or entitlement to electric power, no significant changei ~

in either nuclear personnel or support organizations (except for-reassignment to Southern Nuclear),- and accordingly qualifies as lui amendment involving no significant hazards considerations.

I. INTRODUCTION Georgia Power Company is a wholly owned subsidiary of The Southern Company, which holds all of the common stock of Georgia Power Company L

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pursuant to the-Public Utility Holding Company Act of 1935. Georgia Power Company, along with the other Owners, are presently the holders of Facility Operating License Nos. DPR-57 for HNP Unit 1 and NPF-5 for HNP Unit 2. Broadly stLted, the terms and conditions of these licenses authorize Georgia Power Company to possess, use and operate and the other Owners to possess but not operate both units at HNP in accordance with the Atomic Energy Act and the rules and regulations of the Nuclear Regulatory Commission (NRC). In its capacity as licensed operator, Georgia Power Company acts for itself and on behalf of the owners.

On December 17, 1990, after receiving the necessary order from the Securities and Exchange Commission (SEC), The Southern Company.

Incorporated Southern Nuclear and acquired all of its common stock. The purpose of incorporating Southern Nuclear was to establish an organization which would consolidato personnel within the Southern electric system engaged in nuclear operations into a single, integrated-organization to pursue higher degrees of performance in multiple-unit nuclear operations.

In January 1991, Southern Nuclear, under Georgia Power Company direction and approval, began to provide nuclear support services, technical services, and administrative services associated with Georg; 1

Power Company's operation of HNP. Similarly,-at the same time under Georgia Power and Alabama Power Compa f direction and approval, Southern Nuclear also began to provide nuclear support services, technical services, and administrativo services to the,Vogtle Electric Generating Plant and the Joseph M. Farley Nuclear Plant, respectively. On December 23, 1991, with- NRC approval, Southern Nuclear became the -- exclusive l

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licensed operator of Alabama Power Company's-Joseph M. Parley Nuclear Plant, Units 1 and 2.

As a part-of its. goal of Southern Nuclear becoming the exclusive licensed operator of the Owners' nuclear facilities, Georgia Power Company, for itself and on behalf of the other Owners, seeks authority for Southern Nuclear to become the licensed operator of HNP and to have exclusive responsibility and control over the physical construction, operation, and maintenance of the facility. A similar application is being filed concurrently on the NRC dockets for the Vogtle - Electric Gerarating Plant. .

Once the requested license amendments are granted, the terms and conditions governing Southern Nuclear serving as the licensed operator for HNP will be embodied in an operating agreement between Georgia Power Company and Southern Nuclear. Generally, this operating agreement will empower Southern Nuclear to be the exclusive entity authorized to-operate HNP and to make all necessary and desirable decisions to this end. Importantly, Southern Nuclear will have no entitlement to power output from.HNP or authority to dispatch, broker or market the-energy generated. The Owners will remain on.the HNP Units 1 and 2 licenses as licensed owners and vill continue to own the assets of the facility in-the same percentages as before the license amandments. The on-site Georgia Power Company nuclear operations organization is currently >

responsible for the physical operation of HNP. The on-site organization responsible. for licensed activities will be transferred intact to

Southern Nuclear.

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II. REORRIED REEUMTORY ACTION 3 This applination requests the NRC to amend Facility Operating License Hos. OPR-57 and HPF-5 to authorizo Southern Nuclear, as the i v

exclusivo licensed gnorator, to possess, manag. uso, operato and maintain NNP Unita 1 and 2. Moro rpecifically, purcuant to 10 CFR 50.90, Georgia l'ower Company requestfs that the Nuclear Regulatory Commission amend Operating Licenso Pos. DPR-57 and HPF-5 to road so thatt (1) ,outhern Nuclear, pursuant tc section 103 of-the Atomic Energy Act of 1954, as amended, (the Act) and 10 CFR Part 50 " Domestic Licensing of Productior. and Utilization

'acilities," is licensed to possess, manago, use, operato sad maintain HNP Units 1 and 2 at the designated location in Appling County, Georgia, in accordance with the procedures and limitations sat forth in the operating licenses; (2) Georgia Power Company, Oglethnepo Power Corporation, Municipal Electric Authority of Georgia, and City of Dalton, Georgia, pursuant to the Act and 10 CFR Part 50, art licensed to possess but not' operate the facility at the designated location in Appling County, Georgia, in accordanco with the procedures and limitations set forth in the licenses; (1) Southern Nuclear, pursuant to the Act and 10 CFR Part 70, is licensed to receivo, possess Md use at any time special nuclear material as reactor fuel, in accordance with the limitations for storago and amounts reguired for reactor operation, as described in the Final Safety Analysis Report, as supplemented and amended; (4) Southorn Nuclear, putsuant to the Act and 10 CFR Parts 30, 40 nnd 70, is licensed to receivo, possess, and use, at any timo, any by-product, source and special nuclear material as sealed neutron sources for reactor start up, sealed sources for reactor instrumentation and radiation monitoring et'2ipment calibration, and as fission detectors in amounts as required; (5) Southern Nuclear, pursuant to the Act and 10 CFR Parts >

30, 40 and 70,_is licensed to receive, possess and uso, in amounts as required, any by-product, source or special

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nuclear matorial without rostriction to chemical or physical form, for samplo analysis or instrument l

calibration or associated with radioactive apparatus or components; and (6) Southern Nuclear, pursuant to the Act and 10 CFR Parts .

30, 40 and 70,.is licensed to possess, but not separato,  !

such hy-product and special nuclear materials as may be  !

produced by the operation of HNP.

Georgia Power Company requests that this application bo ovaluated as involving ", significant hazards consideration. Attachment A to this application includes a "cortificato of concurrenced executed by-Southern Nuclear providing concurrence in and support of the filing of this -

application by Georgia Power Company. Attachment B to this application l J.s Georgia PoWor Company's analysis Conducted pursuant to 10 CFR 50.92.

The licenso amendment changes are noted in Attachment C to this application. Appropriato changes in insurance and indemnity agrooments will _bo achieved prior to the implomentation dato of the propoacd ,

amendments.

III. GENERAL INFORMATION CONCERNING LICENSE AMErIDMENTS A. _ lleaq: Southern Nuclear Operating Company, Inc.

B. Addrosa: Post Offico Box 1295 Birmingham, Alabama 35201-1295 C. Description of Business or OccuDAt.12D Southern Nuclear is a wholly owned s'5sidiary of The Southern Company. Southern Nuclear's Certificate of Incorporatinn authorizes it

to engage in the business of operation of nuclear power plants, to provide associated technical and administrative services, and to provide i

support services in connection with such operations. Currently Southern Nuclear provides nuclear support services to Georgia Power Company and is the licensed operator for Alabama Power Company's Joseph M. Parley Nuclear Plant, Units 1 and 2. Upon the effectivo date of the requested amendments, Southern Nuclear Will be authorized to possess, manage, use, operate and maintain HNP Units 1 and 2. Georgia Power Company, concurrent with this application, has also filed a separate application with the NRC for Southern Nuclear to operate the Vogtle Electric Generating Plant, Units 1 and 2.

D. Oraanization and Manaaoment of Operatino Corooration Southern Nuclear is a corporation organized and existing under the laws of the State of Delaware. Its principal office is located near Birmingham, Alabama. Southern Nuclear is neither owned, controlled nor dominated by an alien or foreign corporation or a foreign government.

All directors and officers of Southern' Nuclear are citizens of the United States. Their names and addresses are provided as follows:.

Directors

! Name Mailina Address E. L. Addison 64 Perimeter Center East Atlanta, Georgia 30346 i

A. W. Dahlberg 333 Piedmont Avenue '

Atlanta, Georgia 30308 6-

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Elmer B. Harris 600 North 18th Stroot Birmingham, Alabama 35291.

Joseph M. Farley Post Offico Box 129b )

Birmingham, Alabama 35201-1295 ,

R. P. Mcdonald Pont Offico Box 1295 Birmingham, Alabama 35201-1295 i H. Allen Franklin 800 Shados Crook PC way Birmingham, Alabama 35209 Chairman and Officero Joseph M. Farley Post Offico Box 1295 Chairman of the Board' Birmingham, Alabama 35201-1295 R. P. Mcdonald i Post Offico Box 1295 President and Birmingham, Alabama 35201-1295 Chief Executive Officer W. G. Hairston, II1 2 Post Offico Box 1295 Executive Vice President Birmingham, Alabama 35201-1295

.J. W. /'erett Post Offico Box 1295 Vice Pr^tident Birmingham, Alabama- 35201-1295 L. B. Long Post Offico Box 1295 Vice President Birmingham, hlabama 35201-1295 4 J. D. Woodard Post Offico Box 1295

  • Vice President Birmingham. Alabama 35201-1295 J. T. Beckham, Jr.3 Post off1@ Mx 1295 Vice President Birmingham, Aaabama: 35201-1295 C. K. McCoy 4 Post Offico Box 1295 Vice President Birmingham, Alabama. 35201-1295 1

Mr. Mcdonald is also currently an Executive Vice President of Georgia Power company.

2 Hr. Haireton is also currently a Senior Vice President of Georgia Power compare.

3 Mr. Beckham is also currently a Vice President of Georgia Power company. s

' Mr. McCoy is also currently a V N President of Georgia Power Company.

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J. O. Hoier Post Offico Box 1295 Vice President and Socrotary Birmingham, Alabama 35201-1295 R. M. Gilbert, 7r. Post Offico Box 1295 Comptroller and Treasurer Birmingham, Alabama 35201-1295 W. E. Boston 64 Porimotor Contor East Assistant Socrotary and Atlanta, Georgia 30346 Assistant Treasurer F. D. Kuoster 1 Wall Stroot, 42nd Floor Assistant Socrotary and Now York, Now York 10005 Assistant Treacurer After the amendments becomo offectivo, Southern Nuclear will have:

throo internal organizations dedicated to pursuing safo plant operations: Nuclear Operations, Technical Services, and Administrativo Services. Each organization will report to the President and Chief Executivo officer. The IINP Nuclear Operations organization will consist principally of the on-sito personnel and some direct support personnel at corporato headquarters. Technical Services also will be located at.

corporato headquarters, and will consist of specialized, technical functions supporting ilNP and the other nuclear plants in the Southern electric system. similarly, the Administrativo services organization will bo at corporate headquarters and will provido administrativo support for.HNP and other nuclear plants. The proposed organizational ~

chart is provided on the following page. The technical-qualifications of Southern Nuclear and a brief description of each organization is

provided below:

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(1) Technical Oua11fications ,

The technical qualifications of Southern Nuclear to fulfill its ,

responsibilities under the proposed amended operating licenses are consistent with the present technical qualifications of Georgia Power company because thoso amendments involvo no change in poisonnel assigned i responsibilitios for licensed activities. On January 1, 1991, the off-sito support organization for ilNP becamo employees of Southern Nuclear.  !

Because Georgia Power Company was solely responsible for licensed activities, the of f-site line management (i.e. , the of ficers between the HNP sito General Manager and the Georgia Power - Company President) remained officers of Georgia Power Company, as well as became officers '

of Southern !!uclear . When this application is granted and these amendments become of fectivo, the on-sito nuclear operation organization will be transferred intact from Georgia Power Company to Southern Nuclear. Southern Nuclear will then employ, or contract as necessary, all of the technically qualified personnel necessary to becomo f responsible for possessicn, management, operation, use and maintenance of HNP. Therefore, after these amendments becomo offective the technical qualifications of both the on-site and off-site organizations will be equivalent to those currently existing, ,

(2) Nuclear Onerations The Nuclear Operations organization of Southern Nuclear is based.

upon a project concept which provides HNP with a dedicated support organization. Each nuclear sito reports to a project Vice President who 1- has responsibility for operations of that particular site. All <

dedicated support functions for Nuclear Operations report to this Vice L

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I President, who-reports to the Executive Vice President, who ultimately reports to the President and Chief Executive Officer. Those are the

.i officers responsible for the safe, rollable, and economic operation of  ;

!!NP. Soveral significant advantages result from the project conenpts (1) It provides clear 11nos of authority and responsibility while ensuring that essential corporato support functions which are dodicated to the project report to a single responsible executivo (i.e., the project Vice President).

(2) The offectivonoon of project quality assuranco is enhanced by integration with other aspects of project management under the ,

direction of a single executivo (i.e., the project Vico i President). i (3) The project structura providos the project executive tho ,

flexibility necessary for managing his-resources _ to achiavo '

optimal results.

(4) The project structuro providos managomont of Southern tiuclear the flexibility necessary to adapt to different procedures and methods used at each nuclear plant within the Southern-electric system.

(5) The effectiveness of a dedicated corporate project support organization is enhanced by identification with and sharing of common goals.and objectives.

(3) Technical Servig_gs and Administrative Services In addition to the project support group, there are Technical Services and Administrativo Services . organizations. 'The Technical- '

Services organization providos support to the Nuclear Operations organization in areas such as in-corvico inspection, nuclear fuel management, regulatory support (e.g., probabilistic risk assessment, radiological safety and generic licensing), and corporato quality services. Technical Services currently provides technical support to ilNP , as well as to the Vogtle and Farley . f acilities, in a resourco-officient manner. The Administrative Services organization currently

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provides financial servicos; handles personnel matters, . procurement services, labor relations, and employee compensation and benefits; t'

provides corporate training; and performs other duties of an administrative naturo. As with Technical Services, . Administrative Services performs those dution for multiple nuclear plants in a  !

resourco-officient manner.

E. Orcanization of the lif1P Proioct (1) on-Site OraanizatioD After amendment of the facility operating licensos as requested in this application, no change in the !!!1p on-sito nuclear operatioh-organization is anticipated except for the change of employer from Georgia Power Company to Southern Nuclear and, where appropriate, title:

changes reflecting the exclusive operating statun of Southern Nuclear.

With respect to the regulations concerning unrestricted access authorization for nuclear personnel, existing Georgia Power Company.

personnel who, under: the provisions of 10_ CFR 73.56(c) (1), woro granted continued unescorted access authorization for llNP will continue to have unescorted access authorization without further evaluation after Southern Nuclear becomes the exclusive licensed operator of IINP. The intention is that these employcos-will retain their unescorted access to llNP without further ovaluation after they are reassigned to Southern Nuclear.- For those employcos, Southern Nuclear becoming the licensed operator will not change the charactor or location of their work or interrupt employment at the site, and therefore further evaluation is

- not considered necessary.

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l (2) off-site orcanizati.ga For the off-site organization, the proposed structure will consist of the aforementioned litiP support and quality assurance organizations. >

Functional areas for the llNP support group will include administrative, emergency planning, licensing, engineering, and maintenance support.

The HNP Manager-Safety Audit and Engineering Review (MSAER) will report to the litiP Vice ProJident, who will be-the final management ,

authority responsible for developing, implementing, reviewing, and amending the Edwin I. llatch Quality Assurance Manual (QAM). (The SAER IINP supervisor reports to the MSAER and will conduct periodic audits of on-site activities required by Technical Specifications, the FSAR and other regulations). The MSAER will also conduct periodic audits of the off-site HNP support organization. The llNP MSAER will be the secretary of the llNP off-site Safety Review Board (SRB). The QAM will continue to be implemented as currently described in Chapter 17 of the FSAR.

A project-specific SRB will continue to provide independent review of appropriate activities. The SRB function, _ composition and requirements regarding the use of alternates and consultants, meeting frequency, quorum requirements, review responsibilities, and requirements for recordkeeping will be unchanged. Of course, appropriate title changes will be made to reflect Southern Nuclear's status as the licensed operator.

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F. Benefits of Proposed Amendment i

Authorizing Southern Nuclear to become the licensed operator for HNP will be a positive step toward an integrated nuclear operating j company with operating responsibility for multiple nuclear energy plants. Benefits from such a multi-plant, single-focus organization ,

include the followings (1) As a result of the formation of Southern Nuclear as a nuclear operating company, management is devoted to the business of nuclear power operations. Such single-purpose management will be able to pursue overall excellence in nuclear power plant operations without distractions from the requirements and duties of other areas of the <

electric utility business.

(2) Southern Nuclear will be a repository of nuclear operating and management expertise and experience. Consolidation of nuclear operations talent into one nuclear operating company will have a-synergistic effect. The change will enhance both public safety and economic plant operation.

(3) Southern Nuclear will be better able to provide a consistent vision for the philosophy of operation of multiple nuclear units. This common vision will allow development of.a company philosophy which can be specifically designed for nuclear plant operations. This focused philosophy can be effectively used to achieve excellence in all aspects of nuclear operations more so than the broadly stated philosophies of the separate utilities.

(4) As a result of the consolidation of of f-site support organizations, there will be more effective communication and use of nuclear operating experience. For example, " lessons learned" by Southern-Nuclear from multiple plant operations can be shared promptly, efficiently, and consistently.

(5) Certain corporate support functions, such as administration and corporate communication functions, will become specialized and focused on the requirements of .uf nuclear operating company and will thereby be more effective in their support of all nuclear plants Southern Nuclear may operate.

(6) . Southern Nuclear becoming the licensed operator will _ lead to a broader base'and more competitive environment for upper management-candidates who are specialized in nuclear. power operation.

Furthermore, it will provide an environment in which employees will be highly motivated toward high performance. Southern Nuclear, as l

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an NRC licensed operator, will provide greater opportunity for career progression and thus greater opportunity to retain valued employees.

(7) More specifically, one result from amending the licenses as requested is that salary structures, career path policies and t procedures for nuclear employees of Southern Nuclear will be i separate and distinct from Georgia Power Company's non-nuclear employees. This will permit nuclear managers to focus upon the special needs, qualifications, and requirements of nuclear employees. Human resource and compensation policies tailored to nuclear operations will allow Southern Nuclear to be competitive in the market for skilled nuclear professionals without directly influencing, or being bound by, personnel policies and procedures governing non-nuc3 ear personnel. The ability to attract superior nuclear talent and to retain quality individuals, once recruited, '

will have a direct and positive impact on the quality of overall nucicar plant operations.

The result sought by these license amendment requests is thus consistent with the views and perspective of the Nuclear Regulatory Commission in recent years, calling for strong and focused management of nuclear power plant operations.

G. Financial Appocts As discussed below, Southern Nuclear will be an " electric utility" as that term is defined by 10 CFR 50.2. Therefore, under 10 CFR 50.33(f), a full financial qualificatiene review of this application to amend the licenses is not necessary. The following brief discussion of the pertinent corporate and contractual relationships is provided:

1. Southern Nuclear will not have any ownership interest in HHP, the nuclear facilities or fuel. However, pursuant to the operating agreement, Southern Nuclear will be authorized to exercise overall responsibility for plant operations, including exclusive responsibility for safety _

decisions. The ultimate authority for Southern Nuclear's policies will be the Board of Directors of Southern Nuclear.

2. By contract, Georgia Power Company and Southern Nuclear will establish responsibility for plant costs. Those costs experienced directly by Southern Nuclear in the

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operation of IINP will be reimbursed by Georgia Power Company pursuant to the operating agreement. Other expenses of Southern Nuclear which are not direct charges to a specific plant will be allocated to Georgia Power Company and othern for whom such expenses are incurred, as appropriate. Responsibility for reimbursement by Georgia Power Company of these costs will be absolute.

Georgia Power Company will, in turn, be reimbursed by the other Owners for their proportionate shares of these costo pursuant to existing agreements. Because the owners are entitled to the entire electric generation from HNP and do not purchase electric generation from Southern Nuclear, the costs will not be " rates" subject to regulatory review and approval except as items of costs to the Owners.

3. Georgia Power Company is subject to the jurisdiction of two economic regulatory authorities, the Georgia Public Service Commission and the Federal Energy Regulatory Commission, and will include its proportionate share of the aforementioned costs as capital expenditures and expenses of power production for rate making purposes before these authoritico. The other owners (oglethorpe Power Corporation, Municipal Electric Authority of Georgia, City of Dalton) wul recover their costs through the rates they charge for electricity.
4. As explained above in item 2, with Southern Nuclear as the licensed plant operator, Georgia Power Company will commit to provide all funds necessary for the safe operation, construction, maintenance, repair, decontamination and decommissioning 5 incurred or accrued by Southern Nuclear. Thus, the various. contractual obligations, and retention of full ownership interest by the Owners as well as the owners' entitlement to all electrical output from the plant, assure that the same level of financial qualifications will exist after these license amendments become effective.
5. The Owners will retain authority to direct through their agent, Georgia Power company, that the plant be shut down in an orderly fashion by Southern Nuclear (and in accordance with Southern Nuclear's safety judgment) rather than make specific capital modifications or other major expenditures. This retained authority ultimately 5

More specifically, with regard to decommissioning funding, the owners will remain responsible for those funds in accordance with their obligations and certifications to the NRC, dated July 25, 1990, as amended by Georgia Power Company letter dated July 30, 1992, pursuant to 10 CFR 50.75.

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will limit Southern Nuclear's spending authority, but will not encumber Southern Nuclear's abi'ity to make operational safety decisions and will have .o impact on safe operation of the plant.

11 . Antitrust Considerations Southern Nuclear's operation of HNP will not alter the existing plant ownership or entitlement to power output. Because of this fact, the proposed amendments will have no offect on any commercial activity that may be related to nuclear plant ownership or control. These license amendments have no significance to any activity that may give rise to antitrust concern. Further, the propored license amendments ta designate Southern Nuclear as the entity authorized to operate llNP Units 1 and 2 will not alter any of the existing antitrust license conditions applicable to Georgia Power Company. Therefore, the proposed license amendments do not require antitrust review pursuant to Section 105 of the Atomic Energy Act and 10 CFR 2.101(c).

Notwithstanding this lack of applicability of the antitrust review procedure to the present application, Georgia Power Company and Southern Nuclear agree to the addition of the following language to the antitrust conditions of the HNP licenses:

Unit 1: Southern Nuclear shall not market or broker power or energy from Edwin I. 11atch Nuclear Plant, Unit 1.

Unit 2: Southern Nuclear shall not market or broker power or energy from Edwin I. Ilatch Nuclear Plant, Unit 2. Georgia Power Company shall continue to ba responsible for compliance with the obligations imposed on it in its antitrust license conditions.

Georgia Power Company is responsible and accountable for the actions of Southern Nuclear, to the extent that Southern Nuclear's actions may, in any way, contraveno the existing antitrust license conditions.

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i I. Restricted Data This application does not contain any " Restricted Data," as that term is defined in the Atomic Energy Act of 1954, as amended, or other defense information, and it is not expected that any such information will become involved in the licensed activities. However, in the event  !

that such information does become involved, Southern 11uclear agrees that it will appropriately safeguard such information and it will not permit any individual to have access to Restricted Data until the office of Personnel Management shall have made an-investigation and report to the Nuclear Regulatory Commission on the character, associations and loyalty -

of such individual, and the Nuclear Regulatory Commission shall have determined that permitting such person to have access to Restricted Data will not endanger the common defense and security.

IV. RPECIfIC INFORM 7(TION _11FfiARDING ADRITION_Ab ISSUEJ r

A. Emeraency Plauning Upon approval of the proposed licenso amendments, Southern iluclear will become responsible and have the authority for all functions necessary to fulfill the emergency planning requirements specified in 10 CFR 50.47 (b) and Part 50, Appendix E. plans and agreements will-be established to ensure that all support described in the existing emergency plan will be maintained.

Control over existing agreements for support from off-site organizations and agencies will be assigned-or delegated by Georgia Power Company to Southern Nuo ear. This will be accomplished by letter from Georgie Power. Company to, or by execution of revised contracts

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l with, each organization and agency. Those changes will be offectivo on i i

the date wnich Southern lluelear becomes the licensed plant operator.

Following the reassignment of operating responsibility to Southern fluclear, a significant amount of of f-sito einergency planning support, l 1

including communication with the public, will bo provided by Georgia ]

Power Company. These activities are being reviewed and the required 7 support will be assured by service plans betwoon Southern liuclear~and Georgia Power company, as necessary.

In sum, the proposed licenso amendments will not alter H!iP's  ;

compliance with the omorgency planning requirements. Transferring the omorgency plan responsibilities to Southern lluclear will be accomplished ,

without decreasing the offectiveness of the plan. Because the effectiveness of the emergency plan will not be decreased, specific emergency plan and procedure changes will be submitted to the llRC within 30 days after the changes are mado, pursuant to 10 CFR 50.54(q) and 10 CFR Part 50, Appendix E, Section V.

i B. General Dys,Lgn Critarion 11 The amendments to authorize Southern 11uclear to become the exclusive licensed operator involve no changes in the ownership or design of the off-sito power system for HliP , or in its operation,.

L . maintenance ,r testing. Upon approval of the amendments, Georgia power-I company will continue to fulfill its current responsibilities - with L

! respect to compliance with General Design Critorion (GDC) 17.

GDC 17 specifically requires that there be an assured source of off-sito power to _the plant. -Pursuant to this requirement, Southern ,

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Nuclear will criter into agreements eith Georgia Power Company specifying: (1) the arrangements for provision of a continued pource of off-site power, (2) the arrangements for controlling operation, maintenance, repair, and other activities with respuct to the transmission lines and the switchyard in the Exclusion Area, and (3) a requirement that Georgia Power Company obtain approval from Southern Nuclear prior to implementing any changes to the equipment located in the Exclusion Area. The agreements essentially will provide for the --

continuation of current arrangements respecting the switchyard and associated transmission facilities. Based on the foregoing, there is adequate assuranc2 that independent sources of off-site power will continue to be provided.

C. DigJ3plp11_br.ch Upon approval of the amendments providing for Southern Nuclear to become the licensed operator of 11NP , Southern Nuclear will have authority to deterr.ine all activities within the !!NP " Exclusion Area,"

as that term in defined in the HNP Pinal Safety Analysis Report.

The Owners possess the entire plant Exclusion Area in fee simple, including mineral rights. Pursuant to the operating agreement between Southern Nuclear and Georgia Power Company, Southern Nuclear will have unrestricted access to the real property constituting the HNP plant site, including the facilities, equipment, switchyard and personal 2

property located on the site.6 Also, Southern Nuclear will have uuthority to exercise complete control over the Exclusion Area and to determine all activities within that area, including all areas of the plant and the switchyard. This authority allows Southern Nuclear to control ingress and ogress and to affect an evacuation if necessary.

Southern Nuclear will become responsible for the emergency plan and procedures as discussed above.

D. Eqc11ritY The proposed license amendments will not alter HNP's compliance with the physical security requirements rf 10 CFR Part 73 as set forth in the Plant !!atch Physical Security Plan and Guard Training and Qualification Plan. Upon becoming the licensed operator, Southern Nuclear will become responsible for implementation of all aspects of the present security program. Control over existing agreements for support from off-site organizations and agencies will be assigned or delegated by Georgia Power company to Southern Nuclear.- This will be acc iplished by letter from Georgia Power Company to, or by execution of revised contracts with, each such support organization or agency to be effective-upon Southern Nuclear becoming the plant licensed operator. Changes to the plans to reflect this transition will not decrease the effectiveness.

of the plans but will be submitted to the NRC within two months after the changes are made, in accordance with 10 CFR 50.54 (p) .

6 Purnuant to the operating agreement, Southern Nuclear will also have unrestricted aceoas to certain real property off-site, such as the environmental monitoring stations, which are necessary to support plant operations.

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.__._________-..___ ____ ._ _ __-_ _ -_._.__.m_._._ _ _

t E. Quality Assurance Proaram l

The propocod licenso amendments will not alter !!NP's complianco L

with the quality assuranco requiro'nonts of 10 CFR Part 50, Appendix !),

nor will they reduce thn cominitments in the quality assuranco program description previously accepted by the NRC for ilNP. Upon Southern  !

Nuclear becoming the licensed operator, Southern Nuclear will becomo responsible for present functions associated with the !!NP quality I i

assurance program. The function -and structure of the HNP quality assurance organization will not be af fected by those license amendments. ,

Changes to reflect the transition, which will be processed in accordance

. With 10 CFR 50.54(a), will not reduce the commitments in the quality I

assuranco program description.

F. Trainina The proposed licenso amendments will not alter llNP's compliance with the operatcr re-qualification program requirements of 10 CFR 50.54 s

and related sections, nor maintenance of the Institute of Nuclear Power operations' accreditation for licensed and non-licensed training. Upon -

Southern Nuclear becoming the licensed operator of HNP, Southern Nuclear-will becomo responsible for implomontation of present- training programs.

Changes to the programs to reflect the transition will not decrease the e scope of the approved operator re-qualification program without the specific authorization of the NRC in accordance with 10 CFR 50.54(1-1).

i

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l V. CORREAPSNDIH;E On the offectivo dato of the licenue amendmento, all 11RC

- correspondence related to Docket 11on . 50-321 and 50-366 abould be directed to Southern iluclear as all applicable correspondonco related to L

lil1P will be transmitted by southern 11uclear. This includes licenno '

amendment requents, wnich woro submitted earlier than and remain outstanding on the oftoctivo dato. Southern lluclear will notify 11RC in writing of any exceptione, to this polimy.

VI. ggyJRONMENT M _hME U MENT llo changes resulting from the proposed licenso amendments (including the Environmental Technical Specificationn) are anticipated in the on-sito nuclear operating organization, except that the on-sito nuclear operating organization would becomo employoon of Southern '

lluclear and, where appropriato, titles would be changed to reflect the exclusivo licenced operator status of Southern "" clear. The nff-sito corporato organizations will continue to provido support and quality assurance for !!!1P . The corporato support responsibility for the environmental program will be annigned to the Southern 11uclear Manager-Environmental Services. Southern tiuclear Environmental Services will be complomonted with cortain support servicco provided by Georgia Power Company. There will be no other c.% ng e n to the facility or to the operating, maintenance, engincoring, or other nuclear-related personnel which might a f f oc.t the environmental program an a result of those proposed licenso amendments. This proposed action would result in no radiological or nonradiological impact. Since those amendments involve

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no significant hazards considerations, involve no change in the types or increase in the amotnts of offluents that may be released offsite, and there is no increasa 3 individual or cumulative occupational radiation exposure, this change will have no effect on the environment.

Therefore, in accordance with 10 CFR 51.22(c) (9), this change qualifies as a categorical exclusion and neither an environmental asselsment nor an environmental impact statement is required.

VII. EyJJCTIVE_DATE Georgia Power Company requests that the NRC complete their review and approval process of this application within 60 days of the date of this submittal. In addition to the NRC approval, other activities must be completed before Southern Nuclear will be ready to become the exclusive licensed operator of IINP. Accordingly, Georgia Power Company _

requests that these license amendments be mado effective as of their date of issuance with the provision that the license conditions be implemented within 180 days of the date of issuance _ and upon the_

official transfer of responsibilities between Georgia Power Company and Southern Nuclear. Georgia Power Company will separately notify the NRC at such time as all other requirements hnye been satisfied and Southern Nuclear is ready to become the licensed operator of IINP . _This is expected to occur within 60 days af ter NRC approval of this application.

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VIII. NOTICES Any notices, questions or correspondence in connection with this filing should be directed to:

Mr. J. T. Beckham, Jr. l Vice President - Hatch Project Georgia Power Company Post Office Box 1295 Birmingham, Alabama 35201-1295 With a copy to:

Arthur H. Domby, Esq.

Troutman Sanders 600 Peachtree Street, N.E.

Suite 5200 Atlanta, Georgia 30308-2216 The service lists identifying the required distribution of correspondence addressed to the NRC will initially remain unchanged except that the Georgia Power Company employees identified ~ on the distribution list will be Southern Nuclear employees.

IX. CONCLUSION Based on the information provided herein, Georgia Power Company, for itself and on behalf of Oglethorpe Power Corporation, Municipal Electric Authority of Georgia and the City of Dalton, Georgia, respectfully. ,

requests that this application for an amendment to Facility Operating License Nos. DPR-57 and NPF-5 be granted.

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'JFIRMATIOli I, J. T. Dockham, Jr., being duly sworn, state that I am Vice President of Georgia Power Company; that on behalf of Georgia Power Company I am authorized by Georgia Power Company to sign and file with the 11uclear Regulatory Commission, this application for amendmont of the Operating Licensos of the Edwin I. Itatch 11uclear Plant; that I signed this application as Vice President of Georgia Power company; and that '

the statomonts made and the matters set forth thorcin are true and correct to the best of my knowledge, information and beliot.

GEORGIA POWER COMPAliY BY:

L.,- V

_. .o J T. Beckham, Jr. /

Sworn to and subscribed before me this / [ day of j2N/f.g 1992.

, d b . kW 14ob'ary Public L  % % p y.ei c ney, k My Commission Expiro: Mre - %drueP4 4 1964 i

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e ATTACHMENT A CERTIflCATE OF CONCURRENCE Of SOUTHERN NUCLEAR OPERATING COMPANY, INC.

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ATTACHMENT A UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISDION In the Matter of )

)

GEORGIA POWER COMPANY )

) Docket Hos. 50-321

) 50-366 (Edwin I. ' latch Nuclear

)

Plant, Unit Hos. 1 and 2) )

CERTIFICATE OF CONCURRENCE OF pp_U_THERN U NUCLEAR OPFAAT_ING COMPANL INC.

Southern Nuclear Operating Company, Inc. (Southern Nuclear) concurs in and aupporto the filing of the " Application to Amend Facility Operating License Nos. CPR-57 and NPF-5" by Georgia Power Company.

SOUTHERN NUCLEAR OPERATING COMPANY, .NC.

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') ,ff By:(~ ' b-  ;

'R. P. Mcdonald President and Chief Executive Officer

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. . ATTACHMENT B SIGNIFICANT HAZARDS CONSIDERATION EVALUATION s y - ~ e , .y , ., - - , . - . - , -,e.,,

ATTACHMENT D plgEIFICANT HARARps CONSIPIRATJ_QN EVALUATION PURSUANT TO 10 CFR 50.92 A. Prooosed Chance The proposed amendments to Facility Operating License Hos. DPR-57 and NPF-5 tor Units 1 and 2 of the Edwin I. llatch Nuclear Plant will result in licensing Southern Nuclear Operating Company, Inc. (Southern Nuclear) as the exclusive operating authority for this facility with responsibility for, and control over, the physical possession, management, use, operation, and maintenance.

B. Backarottnd Southern Nuclear is a wholly owned subsidiary of The Southern Company, which also owns all of the commen stock of Georgia Power Company. One of the purposes for incorporating Southern Nuclear was for it to be authorized by the NRC to possess, manage, use, operate and maintain Unita 1 and 2 of the Edwin I. Hatch Nuclear Plant (HNP). Currently, these responsibilities are held by Georgia Power Company, who acts for itself and on behalf of Oglethorpe Power Corporation, Municipal Electric Authority of Georgia, and City of Dalton, Georgia (the Owners) . In l

addition-to Georgia Power Company, the other Owners are authorized by the NRC to possess Units 1 and 2 of !!NP . Under the terms of the proposed amendments, the operating licenses will designate Southern Nuclear as the legal entity which will provide the technical and managerial resources for the continued safe operation of the facility and as the entity with_ exclusive responsibility and control over the physical construction, operation and mair '

  • nance of tne facility. The

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i proposed license amendments involve no change in the ownership of the j facility, no physical changes to the plant or any change to the entitlement to its power output.

All of the current license conditions will remain in effect and the Limiting Conditions for Operation, Limiting Safety System settings, and Safety Limits specified in the Technical Specifications will remain unchanged. While the emergency plan, security plan, and the plant '

procedures related to those plans will require some administrative changes to reflect the new operating company, no changes will be made that decrease the effectiveness of these plans and procedures.

Contractual agreements between Southern Nuclear and Georgia Power Company will also clearly ensure continued compliance with General Design Criterion 17. Similarly, contractual agreements will ensure that Southern Nuclear has authority to determine all activities within the exclusion area.

The technical qualifications of Southern Nuclear to carry out its responsibilities under the operat ing license, as amended, will be consistent with the present technical qualifications of Georgia Power Company. Since the creation of Southern Nuclear, Georgia Power Company has continued to act as the operatt_- of HNP Units 1 and 2. When the  ;

. amendments become effective, the present HNP on-site nuclear operation organization will be transferred intact to Southern Nuclear. The off-site nuclear'r wretion organization of Georgia-Power Company and the associated nuclear service organizations of Southern Company' Services, l:

Inc. have already been consolidated into functional areas of expertise within Southern Nuclear. Thus, technical qualifications of the HNP 2 -

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project organization of Southern Nuclear will be equivalent to those of the existing orgdnization.

Authorizing Southern Nuclear to accomo the licensed operator for HNP will bc a positive stop toward an integrated nuclear operating company with operating responsibil m for multiple nuclear energy plants.

Benorits from such a multi-plant, sing 1c-focus organization includo the following:

1 (1) As a result of the formation of Southern Nuclear as a nuclear operating company, management is devoted to the business of nuclear power operations. Such single-purpose management wil) be able to pursue overall excellence in nuclear power plant operations without distractions f rom the requirements and duties of other areas of the electric utility business.

.(2) Southern Nuclear will be a repository of nuclear operating and management expertino end experience, consolidation of nuclear operations talent 'ne nuclear operating company will have a synergistic ef fect, me change will enhance both public safety and economic plant operation.

(3) southern Nuclear will be better able to prov ! r'n a consistent vision for the philosophy of operation of mult'W nuclear units.

This common vision will allow development of a wvany philosophy which can be specifically designed for nuclear plant operations.

This focused philosophy can be offectively used to achieve excellence in all aspects of nuclear operations more so than the broadly stated philosophics of the separate utilities.

(4) As a result of the consolidation of off-sito support-organizations, there will be more effective communication and use of nuclear operating-experience. For example, " lessons learned" by Southern Nuclear from multiple plant operations can be shared promptly, efficiently, and consistently, i (5) Certain corporate support functions, such as administration and i

' corporate _commun' cation functions, will become specialized and-focused.on the requirements of a nuclear operating company and will thereby be more effective in their support of all reactors Southern Nuclear may operate.

(6) . Southern Nuclear becoming the licensed operator will lead to a k; broader base and more competitive environment for upper management candidates who are specialized in nuclear . power operation. Furthermore, it will provide an environment in which m.

employees will be highly - motivated toward high _ performance.

Southern Nuclear, as an NRC licensed operator, will provide l greater _ opportunity L for career progression and thus greater opportunity to retain valued employees.

(7): More 'specifically, one result - from amen

  • ng ' the license as; requested is that salary structures,- 'ca! e path policies and procedures for nuclear emplopes of So) Wr Nuclear will be separate and distinct from Georgia Power Cegany's!non-nuclear-employees. This will permit nuclear mana9cis to focus upon the opecial needs, qualifications, .and requirements -of nuclear employees. Human resource and compensation policies tailored to nuclear operations will allow Southern Nuclear to be competitive in the market for skilled nuclear professionals without directly influencing, or being bound by, personnel policies and-procedures governing non-nuclear personnel. The ability to attract superior nuclear talent and to retain quality individuals, once recruited,.

will have a direct and positive impact on the quality of overall nuclear plant operations.

The result sought by these license amendment requests is. thus consistent with the views and perspective of the Nuclear Regulatory Commission in recent years, calling for strong and focused management of-nuclear power plant operations.

C. Analysis The following discussion provides a more specific analysis of the proposed amendments which addresses the three no significant hazards consideration standards delineated in 10 CFR 50.92(c):-

1. The proposed change will not involve a significant increase in the probability or consequences of an accident previously evaluated. Southern Nuclear will employ, or contract as necessary, all techn_ically qualified personnel necessary to L become responsible for possession, _ management, operation, use, and maintenance at HNP. Therefore, it follows'that the technical qualifications of employees of_ Southern ~ Nuclear' and. its contractors will _ be consistent with those of Georgia - Power company presently. Personnel qualifications will remain the same E

as those discussed in the Technical. Specifications and the FSAR.

The Georgia Power Company employees engaged in the operation of the plant will be reassigned to Southern Nuclear. The organizational structure _- of Southern Nuclear will provide for clear management control and effective lines of-authority and l

l' communication' between the organizational-units involved in the management, operation, and technical support for the. operation of the facility.

As-a result of the proposed changes, there also will be no physical changes to the f acility and all Limiting Conditions-for operation, Limiting Safety System Settings, and Safety Limits specified in the Technical Specifications wil] remain unchanged.

With the exception of administrative changes to reflect- the organization of Southern Nuclear, the emergency plan, security plan, QA program and training program will be unaffected.

Provisions will also be made for an orderly transfer of emergency preparedne ' and security. support agreements. Contractual agreements- til ensure continued compliance with General Design Criterion l's as well as Southern Nuclear control over all $

activities within the exclusion area. }

Therefore, the proposed change will not significantly increase ,

the probability or consequences of an accident previously  !

evaluated. In fact, due to the- opportunity for increased management focus on nuclear operations afforded by this proposed amendment, the amendment will actually enhance public safety.

2. The proposed change will not create the possibility of a new or different kind of accident from any accident previously evaluated. The design and design bases of the plant remain the same. Therefore, the current plant safety analysis remains complete and accurate in addressing-the licensing basis events and analyzing plant response and. consequences.

The Limiting Conditions for Operation,- Limiting Safety: System  :

Settings, and Safety Limits. are not affected by the proposed l change. With the exception of administrative changes to reflect the organization _ of Southern Nuclear, plant operating and emergency procedures are unaffected. As such, the plant conditions for which the design basis accident analyses have been performed are still valid. Therefore, the proposed change will.

not create the possibility of a new or different kind of accident than those previously evaluated.

2. The proposed change will not involve a significant reduction in a margin of safety. Since there will be no change to the

' physical design or operation of the plant, there will be no change to any margins. Further, the only changes to the l

Technical Specifications which have been proposed are to reflect.

the organization of Southern - Nuclear. The proposed amendment therefore will not involve a significant reduction in a margin l of cafety.

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D. Conclusion-Based upon the r!.alysis provided heroin, the proposed amendments will

- not involve a= significant increaso in the probability or consequences of an accident previously evaluated, creato the possibility of a new or different kind of accident from any-accident previously evaluatod', or-involve a significant reduction in a margin of safety. Thorofore, the-proposed amendments moot the coquiromonts of 10 CFR 50.92(c) and do not involvo a significant hazards consideration.

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ATTACHMENT C CilANGES TO OPERATING LICENSES (INCLUDING TECHNICAL SPECIFICATIONS, ENVIRONMENTAL TECHNICAL SPECIFICATIONS, PROPOSED OPERATING LICENSES, PROPOSED TECilNICAL SPECIFICATIONS CHANGED PAGES, AND PROPOSED ETS CHANGED PAGES)

Attachment C De w ription of Changes to the Operating Licenses ,

This section provides a general description of the changes to the operating-licenses being proposed. The proposed revisions to the operating licenses, including Appendices A and B, are provided immediately following this description.

OPERATING LICENSES The proposed operating license changes were created using the following criteria:

1. Southern Nuclear will be the operator and have exclusive responsibility and control over the physical construction, operation, and maintenance of the facility.
2. Georgia Power Company, Oglethorpe Power Corporation, Municipal Electric Authority of Georgia and the City of Dalton, Georgia will be the owners of the facility.
3. Many license conditions required certain information be supplied to the NRC or certain activities be performed within certain time frames.

Where license conditions were historical only and were required to be.

implemented during the time interval that only Georgia Power Company was authorized to possess, use, and operate the facility, Georgia Power Company is identified as the responsible party for that activity.

4. For clarification of the responsibilities between Southern Nuclear, Georgia Power Company and the other Owners of the facility, the use of the term " licensee" was generally avoided in modifying the operating licenses. In those places where the tern licensee remains in the-Technical Specifications and the Environmental Technical Specifications, unless otherwise noted, the. reference is to Southern Nuclear.
5. Becau.:e Southern Nuclear will not own the assets of the facility, the financial provisions of Section 170 of the Atomic Energy Act of 1954 will apply only to the Owners and not to Southern Nuclear.
6. The Unit 2 license antitrust conditions were changed to remove the-term licensee and to insert Georgia Power Company in the existing antitrust conditions. In addition, new sections were added stating that Southern Nuclear will not market or broker power or energy from the Edwin-I. Hatch Nuclear Plant, Units 1 or 2.

Attachment C Cnanges to the Operating Licenses 1[CHNICAL SPECIFICATIONS (APPENDIX A TO THE OPERATING LICENSES)

The Technical Specifications identifies responsibilities of the licensee and utility in several places. In order to maintain consistency in terminology, the term licensee will be utilized as indicated in the operating license discussion above. Additionally, the title page of both the Unit I and Unit 2 Technical Specifications has been revised to reflect Southern Nuclear. In addition, a typographical error was corrected in the definition of " SITE BOUNDARY" in the Unit 1 Technical Specifications.

[RU.BONMENTAL TECHNIC.Al SPECIFICATIONS (APPENDIX B 10 THE OPERATING LICENSES)

When Southern Nuclear becomes the Edwin I. Hatch Nuclear Plant Units 1 and 2 licensed operator, Southern Nuclear also will become responsible for compliance with the Environmental Technical Specifications (ETS) and will enter into the necessary contractual arrangements to accomplish this task.

As a part of this responsibility, the NPDES Permit and other environmental authorizations will be transferred or amended to designate Southern Nuclear as the holder. The NRC will be notified when this occurs.

Changes are being recommended to the ETS for Edwin 1. Hatch Nuclear Plant, Units 1 and 2 as follows:

1. Since Southern Nuclear will become responsible for compliance with the ETS of each unit, the cover sheets for both Unit 1 and Unit 2 ETSs should be changed accordingly.
2. As indicated in the operating license section, within the ETS the term licensee will refer to Southern Nuclear. A definition has been added on Page 1-1 for both Units 1 and Unit 2 ETSs providing this clarification.
3. On page 1-1 foi both Unit I and Unit 2 ETSs, references to Georgia Power Company in the definition of the NPDES permit have been revised to denote the licensee.

4 On pages 5-2 and 5-9 for both Unit I and Unit 2 ETSs, the title of the Manager-Environmental Affairs has been changed to the appropriate Southern Nuclear position and title: Manager-Environmental Services.

l 5. On page 5-3 for both Unit I and Unit 2 ETSs, section 5.3.2.1 should be

revised due to the changes of responsibilities as noted in the l Environmental Assessment section of the Application. This revision
will provide that a description of the organization structure utilized l

,_. _. - _ _ .- _ __ _ .._ _ _ .__ . ~ . ... . . - . , _ _ . .- - .. . _

Attachment C Changes to the Operating Licenses to achieve' an; independent review will be maintained and made available for inspection. _The proposed wording is similar to the Vogtle Electric Generating Plant Environmental Protection Plan previously approved by the NRC.

- 6. On page 5-3: for both Unit 1-and Unit 2 ETSs, the references regarding where procedures are- kept are being removed. -Similarly, on page 5-9 for both Unit I and Unit 2 ETSs, references-regarding where records

~

are stored are being removed. Procedures and records will continue to be kept and stored, as appropriate, under the control of the-responsible-organization. -These revisions are due to the. changes of responsibilities as noted in the Environmental Assessment section of '

the Application.

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OPERATING LICENSE CHANGES (EXCLUDINGAPPENDICES)

MARKED-UP VERSIONS L

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UNITED STATES

' ATOMIC ENERGY COMMIS$10N -

was moron,o.c. a m u

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20THERN N0tLUlR OPERATINf3 CIMPANY dN.ET@RPE TMER CMDbRATtSN GEORGIA POWER COMPANY nlJmufat f1ffiUc.fWTHt41TV & GEMAIA r " noCxET No, 50 321 C_lTV oQhlTbN. MbEGI A s -(Edwin 1. Hatch Nuclear Plant Unit 1)

FACILITY OPERATING LICENSE License - No. ' ' DPR .

1. The Atomic Energy Commission (the Commission) having found' that:

A. . The application for license filed by the Georgia Power Company I' (th; !!:: :: ! complies with the standards and requirements of the Atomic Energy Act of 1954, as amended (the Act), and the r Commission's rules and regulations set forth in 10 CFR Chapter I and all required notifications to other agencies or bodies have been duly mades .

B. Construction of the Edwin 1. Hatch Nuclear Plant Unit 1 (facility) has been substantially completed in conformity with Construction --

Permit No. CPPR 65 and the application, as amended, the provisionsi-of the Act and the rules and regulations of the Commissions .

C. The facility will operate in conformity with the application. . . .

as amended. the provisions of the Act, and the rules and regulations of the Commission; -

D. There is reasonable assurances (1) that the activities authorized- +

by this operating license can be conducted without endangering the health and safety of the public, and (ii) that such activities '

will be conducted in compliance w

  • d Jhe Commission: '

%dken Nxleu Opero%g ..

Op(4"j'8*ith n Cherdn'calltJ the rules an 6fbm NucicAtI.

E. Th; li;;r.;;; is technicallpand financially qualified to engage in the activities authorized by this operating license in accordance--

with the rules and regulations of the Commission; -

,4cyke, SaAcen thdear M h Ownen are.

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L Sec. %16.4 3 pje. We 6A.4es)

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-i A'Following the initial filing of the application for license Oglethorpe Power Corporation, the Municipal Electric Authority of Georgia and The City of Dalton,

, Georgia became co-owners with Georgia Power Company (GPC) of the Edwin I. Hatch -

! Nuclear Plant, Unit 1, and together with GPC are hereinafter referred to as the.

Owners.

I i

2. Southern Nuclear Operating Company succeeds Georgia Power Company as the operator of the Edwin 1. Hatch Nuclear Plant, Unit 1. Southern Nuclear-is authorized by the Owners to exercise exclusive responsibility and control over the physical construction, operation and maintenance of the facility. ,

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Anw. but, .

l The m::::: En satisfied the applicable provisions of 10 CFR :

F.-- Part 143, " Financial Protection licquirements anti indemnity-Agreements," of the Commission's regulations:

9 G. The issuance of this operating license will rot be ' inimical . -

. to the common defense and security or to the health and safety ~

of the publics H. Af ter weighing the environmental, economic. technical, and J -

~ other benefits of the facillt) against environmental costs .

and considerin; availabic alternatives, tne issuance of

' Facility Operating License No.-DPR-57 is in accorcance with 10 CFR Part 50, Appendix D.' of the CommissionN regulations and all' applicable requirements of said Appendix D have been satisfied; and 1.

The receipt.- possession, and use of source, byproonet and I- special nuclear material as authorized by this license will

';- be in accordance with the Commission's regulations in 10 CFR30.33.'40.32,:

' Parts 30. 40, and 70, including 10 CFR Sections 7

70.23 and 70.31.

2. . racility Operating License No. DPR-57 is hereby issued to ther -

%bn klJck.a.c,fhe,--. Georgia Power Company.' the Oglethorpe Power Co

' Georgia to read as followst This licer.se' applies to the Edwin~ I/ Hatch Nuclear Plant . Unit A', s ~f' J No,1,.4 direct cycle boiling water reactor.and associated = I Lequtoment (the facility), owned by the Georgia Power Company.

~

the Oglethorpe Power Corporation..The Municipal Electric Authorit*y

-of Georgia and the City of 0 alton,-Georgia, The f acility .is locatea eleven miles north of Baxley in Appling County,' Georgia, udpM h SAN Naltar. ano is described in the ' Final Safety Analysis Report' as Le.

supplemented anc. amenced ( Amenoments 9- througn 46) and the: . .R-Environmental Report as supplemented.and' amenced '(Supplement 1 and Amenoment 1),

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3. Subject to the conditions and reouirements incorocrated herein,j~Il b the Cormntsien nereoy licenses: e g* mMnMn - .. , .

.y r~%tkun blutleer .

d 0 CFR Part 50,;

(1) +/ursuant to Sectfon 104b of

't.icensing of Proouction and UtilJi the Act' t1 - Fa ci li ties ,- ,,,.

t E r S = y to,cossess, ruse, and operate.the .*

Cee,$ityatthedesignated'locationinApplingCounty,:

faci Georgia..in accorcance with the procedures and limitations- , ,e -

set forth in this licenset and the Georgia. Power Comoany.-

the Oglethoroe Power Corporation. The Municipals Electric-Authority of Georgia -and the City of Dalton, Georgia to -

possess,the facility in accorda9Ce with-the proceoures and = 4 g g , igg limitations set fortn in this licenset ~

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(2) ursuant to the Act and 10 CFR Part 70. Storgts

,;uer C:=my. to receive. possess and use at any time special nucicar material as reactor fuel, in accordance with the limitations for storage and amounts required for reactor operation, as described in the final !afety Analysis Report, as upplemented and amenced; wn tiodear, (3) E ursuant to the Act and 10 CFR Parts 30, 40 and 70,'eergie ree:r C:=ry to receive.

4 possess and use at any time any byproeuct, source and special nuclear material as sealed neutron sources for reactor startuo. sealed sources for reactor instrumentation and radiation nonitoring equipment calibratien, and as fission cetectcrs in amounts as recuiredt rSJen Nacht, (4) '/ursuant to the Act and 10 CTR Parts 30, 40 and 70. Cecrgu P ::- Cc ni to receive, possess and use in amounts as recuired any byproduct, source or special nuclear material without restriction to enemical or chysical .

fom. for sacole analysis or instrument  ::-

m calibration or associated with racioactive apparatus or emponents; y BoAcen 6chr, (5)[fursuant to the Act and 10 CFR Parts 30 and 70 .

Geee94a . - . - ..., to possess, but not separate, such byproouct and special nuclear

  • d materials as may be procuced by the operation of the facility. e y

.iii C. This license shall be deemed to centain ano is suoject to the s conditions specified in the following Ccmission ri- iations in j 10 CFR Chapter I: . Part 20. Sectien 30 34 of Part .. Section 40.41 of Part 40. Sections 50-54 and 50 59 of Part 504 anc Section 70.32 of Part 70; is subjact to all apolicaole provisions of the Act and to the rules, regulations ano orcers of the Cc:mssion now or -

hereaf ter in effect; and is subject 'n the aoditional c:nditions3 -

specified or incorporated below:

(1) - Maximum pewer tevel -

SnAhun tJacita.c Th d ee,W e 0;,ar Cec..;ery is authorized to operate the facility at steady _ state reactor ;

core power levels not in excess of 2436 megawatts thermal. ,

(2) Technical Seeciffections

! The Technical !cecifications contained in Appendices .

' A and B, as revisec tr.reuen Amenc ent No. r93 are M6 hereoy incorporateo in tr.e license. le I;cem:0 gg shall ocerate the facility in accordance witn the l Technical 5:ecifications.

3 h o/gnti liccot u_ a A wn u d 4. voa s % , ast L J o p t 4ke, Mt = cm3N %3 s ci n a pc 4 a uta a na w e,i .

rdvenua +o GPC run n. A IJ.use, wAh.

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4 (3) rSrwhn y Geece: PHsdru

= C:.. }:ny sna11 imolement and maintain in effect all '~

provisions of th fire protection program, which is referenced in the Final $4fety Ana ysis Report for tne facility, as centained in the D

~

updated Edwin I Hatch Nuclear Plant Units 1 ano 2 Fire Harares Analysis ana Fire Protec]1on Program, originally suomittes by a letter catea July -

22, 1986. -he-44tensee may make changes to the fire protection program -

without crier approval of the Cor:nission enly if the changes would not adversely affect the ability to acnteve and maintain safe snutdown in i.

the event of a fire.  ;

b b

_ _ _ _ _ . _ _ - . _ _ _ _ _ _ _ . - L. -m.--.. . - - -_ e - D - - - - -" " - - " - - - - ~ - - - - - - ^ - - - - - - - - - ~ - - - ' --

'1

-4a -

2.C.(4) Physical Protection Sovhun Modew -

Geocyd- fx *: r; shall fully isolesens and estatain in effect all provisions of the Commission-approved physteal security, guard tratatag and quellfication, and safeguares contingency plans including amenements mese pursuant to provtsions of the Miscellaneous Amenesents and Search:

- Reevtrements authertty of 10 CFRrevisions 50.90 and 10toCFR 10 50.54(p).

CFR 73.55 (51 FR 27817 and 27822)

The plans antch contain Safeguares Information protected unser 10 CFR 73.21, are e,ntitled: 'Edwin- d-=

1. Hatch Deceeper Physical Security Plan," with revisions submitted through -tt.

14,1984: 'terin 1. hatch Guard Training and Qualtf tcatten Plan' "

with revisions subettted through October 24, 19864 and 'Edwin 1. Haten Safeguards 1988 contingency Plan.' with revisions sutaitted througn July 21, ,

.s Changes asse in accareance with 10 CFR 73.55 shall be teeleenntes -

in accoreance with ths schedule set forth theretn. -

2 e

I e

t 2

E' Cato g h ?s & Csm p a y .

2.C.(5) T The-14eemee.shall submit, for the cosaission's review and approval, plans for inspection and/or E modification curing the next refueling outage (following= .

- Cycle 7 operation and prior to startuo for Cycle 8 - 'E4 obrration) of the Recirculation and Reactor Heat Removal -

Systems piping. - These plans shall be sucetttee to the- $.

Coenission at least three months prior to the start of JJ the next refueling outage.

1' S.dh cn Nudau. thall not ,.wke.t r broke < ' poi w =<- 3" -

my Scom Wn L Hakch Nu&^fPIna>UnW1-3 o g, This license is effective as of the cate of issuance and shall {

expire at midnight, August 6, _2014. - -

FOR THE ATOMIC ENERGY COMMISSION $

a Ortsinal siseed by y Esser i Berd g Glambusso, Deputy Director for Reactor Projects Directorate of Licensing

)

Attacam ent:

Appendices A & B - Technical Specificatien's

.5 w *

,e

  • t** *- ' " ' * " ~ ~' ~~

.'"'N.,

umito statts NVCLEAR RtGULATORY COMWssioN

. , ;; j wAsmwct04 0 e aests

6. y! .

SDOTs MHAR ofnATi% UANNY O

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M b A M M-..~ , . rv v..,%WIA

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Muh KlEAL iLiCTh W D ]T OF G{QG;,

CitV 0F D AL TGh_, 5bEGI A ~

00Cr.[T NO. 50 2H-

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  • 4ATCW 40Ct!A9 DLAN* U:il' 40, I rACIL:?Y C !DL?!'i'i t:CEN5!'

g L : c e'.ss h:.. '. r .!

1, ine tr.cle ar eegdatory Comission (ine Comisst n) naving founc tr.at. 3 s

A. The application for license filed by Georgia ower s Comenny, Ogletnerpe Power Corporation Municical Electru Autnority of '.C Georgia, And'the City of Calton, Georgia (the M entees) com.

plies with tne stancaros anc recuirements of the Atomic Energy- S Act of 1954, as amenced (tne tct), ano the Comission's rules u ,

, and regulations set forth in 10 CFR Chapter 1 and all reouired *  !

notifications to other agencies or bocies have been duly mace;

5. Construction of the Eawin 1. Haten 'uclear Plant Unit rio. 2 (the f acility) nas been suostantially conpletec in confomity witn Construction Permit No. CPPP.90 anc the acclication, as anencec, the orovisions of
  • ne Act anc the rules anc re;ulM1ons of tne Comission; C. The f acility reovires exenotions from certain.recu1rements cf (1) Section 50.55atg)(2) of 10 CFR Part 50, (2) Criterion 2 of Accencia A to 10 CFR Part 50, (3) Criterion 50 of Accenoix  ;

A to 10 CFR Part 50, anc (a) Appencices G anc H to 10 CFR Part i

50. These exemettons are oescr10ec in the Of fice et Nuclear Reactor Regulation's safety evaluations suDCorting the granting of these exemptions wnien are enclosec in the letter catec June 13,1978 transmitting this license. These exem;tions are authorizec by law and will not encanger life or procerty or the comon defense and security anc are otherwise in tne puolic-interest.

The exemptions are, therefore, herecy granteJ. With the granting of tnese exemetions, Ine f acility will operate in confomity with the application, as J enced, the provisions of the Act, and the rules and regulations of tne Comission; D. see is reasonaole assurance: (1) th t the activ1 ties author 12ec ey tht 5 ogerating license can be conouctec witnout encangering the nealth and safety of the public, anc (11) Inat suen activities will oe conouctec in cc oitance witn the rules anc regulations of tne Comission; y u -

2 bou4httn Odcht Opd bf b @

(. +6eorveJ+weeemeany is tecnnically cualifiec to engage in the act1vittes authoritec Dy this operating license in accordance with the rules anc reoulattons of the Comission;

[%+kun Nudt.u ad +6 Donen , i etW.  :

F, t Geocen, %r Comoany, 041sthero owet.hrecr4tto%Mette 2 E4ect : kthers ty of-.Geocqu - "= N '" M UMorGeorgia !i are 'inancially cualified to engage in the activities authorized '

by ints cperating license in accorcance with tee rules and

  • egulations of the Commission;  ;

Qwne.r5 d 3, we ameee r. ave satisfies tne acclicac,ie :rovisions of 10 CFR Dart 90 "'Mancial Protect on Aeout rements anc Incemnity -5 Agree-ents, :f :ne Comission's regulations; y i

H. The itsaance of this operating license wilt not te inimical to 4 ine c: mon cefense ano security or to the nealth and safety of the cwolic;

1. Af ter weigning the environmental, econumic, tectinical and other benefits of tne f acility against environmental ano other costs and considering available alterftatives, the thuante of Facility Goerat'ng t,1 cense No. NPF.5 suoject to the conattlons for protection cf the environment set f orth nerein, is in accorcance with 10 CFR eart il of tne Comission's regulations ano all aopitcaole recu)reaents rave eten satisfieQ; ano J. *he rece1ct, ;;ssession, and use of swurce, :yprecuct and sceClal nuclear caterial as autner1:ec by if>15 l t:ense will be in accorcance with tre Comisston's regulations in 10 CFR Larts 30, 40 ano 70, incluo.ng 10 CFR Sections 20.33, 40.32, ';.;; anc 10.31, 5.outton ModeAr*,
2. Facility Ocerating L* cense No. NPF 51s nereoy itsueo]to Georgial Cower Cc:cany Ogletnor:e Power C:rceration, ,Wnict:al Elactric '

Authority of Georgia, and the City of Calton, Georgia to reed as

':nw s : 4 C

1, , the license 'acolies to the Edwin 1, Maten Nucleaa Plant, Unit "

No. , , a *. oiling water reactor ano assoc 1ateo ecui: ment (the ,

facility) ewned by Georgia Fewer Comcany, Ogletnorce Power ~

Corocration, Municipal Electric Authority of Georgia, and the City of Dalton, Georcia , The facility is located in Acolino

&d opmked h Setbun Notlear. County, Geor9ia, ano3 cescribed in 'the Final Safety Analysis i Report as supplemented ano amenced (Amencrents 13 througn 45) ;3 anc the Environmental :ecort as s *ic enteo ano amenoec i?

(Succlements 1 and 2 ano Anenement i). j

' Lh Nudtar Operdin3 Cmpuj s e eds Gep Th Cepuj oS cpedor ol +kt h 1. Ahb Nsdw Tbt , U4 't . 6tten Noden a adhormed by he Quane.rs to cerds e- exdaae respawly aad twirel e<u tk Th4hl const,tetion, cpation, cud nudnemote R

% Whh, s

. 3 8

=

C B. Subject to the conditions and recuirements incorporated herein, the Cornission hereby licenses

  • 0corci: 31 .,

ro r C:rpontW 5:rt:-:rg;,gg:;th:

emt ri m r4r a m ,4tm e g g, ,

7;;

the-0ity of hit 0", he g':: j

[Sodhern NatifM ,

(1)*/ /ursuant to Section 103 of the Act and 10 CFR Part 50, j

t.icensing of Procuction and Utilization f acilities,a to 45:

D1&nAJC, ressess.*me use. sand Osc,;.e

~

.m,

-m a operate the g;n{gy [ f acility at the designated location in Appling County, Georgia .

tn aCCorCance with the procedures and limitations sat forth in this license;

$, AkAn Noclex, g)v/ursuant to the Act and 10 CFR Part 70, to receive, possess and use at any time special nuclear material as reactor _ fuel, 3 in accorcance with the limitations for storage and amounts reoutrea for reactor operation, as descrioed in the Final Safety Analysis Report, as supplemented and amended;

(/)+r%Ahern Vursuant NutitAt',

t.o tne Act of 10 CFR Parts 30, 40 and 70 to receive, q possess ar.d use at any tine any byproduct, source and special nuclear naterial as sealed neutron sources for reactor startup,'

sealed sources for reactor instrunentation and radiation moni.

toring eculpcent calibration, and as fission cetectors in amounts as required; 5

(/)f autWa Nuclevsifursuant to the Act and 10 CFR Parts 30, 4 g possess and use in amounts as reoutred any Dyproduct, source or special nuclear material without restriction to chemical or pnysical form, for samole analysis or instrument calibration or associated with radioactive apparatus or ccmponents; and Sookern NoticAG (jf)[fursuant to the Act and 10 CFR Parts 30 and 70, to possess, but not separata, such byproauct and special nuclear materials o as may be produced by the operation of the facility, C. This )icense snal'1 be deemea to contain and is suoject to' the -

conditions spec 1fied in the following Comission regulations in 10 CFR Chapter 1: Part 20, Section 30.34 of Part 30, Section 40,41 of Part 40, Sections 50.54 and 50.59 of Part 50, ana section .70.32 of Part 70; and is subject to all applicaole provtsions of the Act and to the rules, regulations, and orcers of the Cormission now or hereafter in effect; and is subject to the additional conditions 3-specified or incorporated below:

- L2) Georjia Power Compg . 03 kihorg . Ner C,wpwoM , Floniup! Cedeit Mkwii3 ol .tr36 wo Ae. Cib d bib,Cvorio , Persomt to 4hr ac.t l

ud to efR thri 50, fa possess bA nei gerde. 4he facW)dk d 4k

+he.

agnet.d locab in Applin3Cawi 3, Geor3% in accor be. w '

eroadures aul limiMonc sd foe & u 4ki. hecase.)

G k l Lu Comm CCJC3. Conse.0,utnitig, Cedain h3 toned rf.Verences 4o CJC. ream in bt heate_ cond%ns.

4 e

a.

. 4 (1) P.astnae Fo.,cr tevel Shn No beerpe Ie .c,learr Ce..pr.y is authortzeo to operate the f acility

-st steady state reactor core power levels not in excess of 2436 regewatts thermal in accordance with the conditions

.specified herein and in Attachment 2 to this license.

Attachment 2 is an integral part of this license.

(2) Technical Specifications.

The Technical Specifications containet in Appendices A'and S, as-revised through Amendment No. % are hereoy incer.-

I'-

h: ' k:-- ---shall operate the

}'

porated facility ininaccordance/wi the license.f'th the Tec..nical Specifications.

A S e c<v1 Muc.le.Ar (3) yditional Conditions' The matters specified in the following conditions shall be completed to the satisfaction of the Cornission within the stated time periods f ollowing the issuance of the license or within the operational restrictions indicated. The removal of these conditions shall be made by an amenoment'-

to the license supported by a f avorable evaluation by the -

Commission.

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.n _ -

cL&un Fluclear - 7 (b) + Geee9&e-eeweMwey-snell implement and maintain in effect all 2

provisions of the ire protection program, which is referenced in the Final Safety Anal sis Report for the facility, as contained in the Q

! updated Edwin I, etch Nuclear Plant Units 1 and 2 Fire Hazards Analysis i and Fire Protee on Program, originally submitted by a letter dated July e 22, 1986. Th: '::n::: may make changes to the fire itection program ,

without prior approval of the Commission only if the hanges would not g.

adverselyaffecttheabilitytoachieveandmaintainjsafeshutdownin ,

the event of a fire. /  :

- 4ti. .}

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__ _ _ __ ___' T

.LJL uc ::: -- '5 (f) lnitial fest Procram Georgia Power. Company shall Cofiduct the cost-fuel-loading.

Inittal test program that has been reviewed and approvec ey the Comnission at the time of. issuance of this license witnout making major changess to this progran. Major changes are aeened to involve unreviewed safety questions under Section 50.59 of 10 CFR Part 50 and are definea es:

(1) Elimination of any test identified in Section 14 of the Final- Safety Analysis Report as essential..

(2) Modification of test oojectives. netnocs or -

. accectance cr1teria for any test Menttfied in~

Section 14' of the Final Safety Analysis Report as -

essential.

(3) Perfomance of' any test 1dentifiea min. Section 14 of the Final Safety Analysts Recort as essential at a power leve! different _oy more t. man five (5) percent of ratec cower deem snat cesertoeo.

(4) Failure to ccmolete all tests included in tne -

cescriceo prograr ;;lanneo cr..stnecaleo.for power levels up;to tne autnertzec cower level) prior to exceecing a core ournuo of one nuncrea and twenty

- (120) effective full :ower oays. -

i e

m- . . - . . . . . , . . .,

m , .m

< e i

. 7 2.0.  ?!!Lical Protection, _

h8fh.D

~

E--W shall fully implement and maintatn in effect"all provisions of the Cosmiission approved physical security guard training- ,

and qualification, and safeguards contingency plans including amenements made pursuant to provisions of the Miscellaneous Amendments and Search -

Requirements revisions to 10 CFR 73.55 (51 FR 27817 and 27822) and to the -

authority-of 10 CFR S0.90 and 10 CFR 50.54(p).- The plans, which contain :

Safeguards-Information protected under 10 CFR 73.21,.are entitled :'Edwin .. '-:

1. Hatch Physical Security Plan,* with revisions submitted throughm Deceseer 14,19883-"Edwin -1. Ha:ch Guard Training and Qualification-Plan" -

with revisions submitted through October 24,1988r and "Edwin 1. Hatch Safeguards Contingency Plan," with revisions submitted through July' 21,--

1988. Changes made in_accordance with:10 CFR 73.55 shall be isplemented ; ~

in accordance with the schedule set forth therein. g*

.3-

.T k

5

+

I. This license'is subject to the following additional condition ; *

- for the protection of the environment: - ' .

Before engaging.in additional construction or operational--

Mbih.es > aeW441es which may result _in a significant adverse environ .

mental: impact that was not evaluated or that is significantly <

greater than that evaluated in the Final Environmental Statement:

-,t (NUREG-041D = , ----

ector ' Office shall: provide of Nuclear Reactor written notification .

Regulation. j

- SovNorn Mut\e.at

- F. This license is subject to the following antitrust conditions:

(1) ' As used herein:

(a) " Entity

  • means any financially responsible person,-

private or-public corporation,' municipality, county, coperative, association,- joint stock association or -

c.21 ness trust, owning, operating or proposing to_ own -

w- - - - , ., r-...- _

v4 %-tG* - ' + #s

  • _'n

=; auw <- - +4 v.

t- + w - ek '

-e -

pe seeg.,

8 or operate ecut rent or f acilities within the State of-Georgia (otner tnan Chatham, Effingnam, f anntn, Towns ano Union Counties) for the generation, transmission or ot stribution of electricity ,-proviceo that , except for mun1C1Calities, Counties, or rural electric coo 0 era atives.

  • entity
  • 15 restrictes to those wnich are or will De public utilities under tne laws of the State-of Georgia or unoer the laws of the United States, ano are or will De previoing retail electric service unoer a contract or rate schecule on file with and suoject to tne regulation of the Puolic Service Connission of tne State of Georgia or any regulatory agency of the United f.atew, and, provideo f urtner, that as to munic'-

palities , counties or rural electric cooperatives,

" entity" 15 restricted to those whien provice electri-city to the ouDlic at retail witnin the State of Georgia (other than Chatham, Ef fingnan, Fanntn, Towns and Unit,n -

Counties) or to responsible ano legally ovalifieo organ.

12ations of such municipalities, counties anof or coopen atives in the State of- Georgia (other tnan Chatham, Ef fingnam, Fannin, Towns ano Union Coun.ttes) to tne exten; they may bind their memoers.

( :. ) " Power Comoany" means Georgia Power Comcany, any successor, assignee of this license, or assignee of all or suo.

stantially all of Georgia Power Comoany's assets. anc any af filiate or suosiotary of Georgia Power Comoany to the extent it engages in the ownershio of any buit power supply generation or transmssion resource in tne State of Georgia (but soecifically not incluotng (1) floco rights and other land rignts accu 1rea in the State of Georgia incidental to nyorcelectric generatien f acilities located in another state ano (2) f acilities located west of the thread of the strean on (nat.part of the Chattanoccnee River serving as the bouncary eetween the States of Georgia ano Alacanal.

(2 )

Power Company recognizes that it is often in tne puolic interest for those engagtng in bulk power supply ano curenases to interconnect, coordinate for reliability and econony, and engage in bulk power supply transactions in order to

.ncrease interconnected system reliability ano reouce the costs of electric cower. Such arrangements must provice

l l

.g.

for Power Company's costs (including 6 reasonaole return) in connection therewith and allow other carticitating entitles full access to the benefits available from interconnected culk power supply operations and riust provide net benefits to Power Contany. In entering into such arrangements neither Power Company nor any other partici; ant snould be required to violate tne princ1ples of souno engineering practice or .

f orego a reasonaoly contemporaneous alternative arrangement with anotner, develoceo in good f attn in arms length nego-t1ations (but not inclucing arrangements cetween Power Ccmpany ano its af filiates or suosiciaries wnicn tnoate entities' rignts nereunder tiore than they would ce imo41 red were sucn arrangements nace in good faith Detween Power Compary ano a non-affiliate or nwsuostdiary) wnich affords it greater Denefi t s. Any such arrangement must prcvide f or adequate notice and joint planning procedures consistent with sound engtneering practice, and nust relieve Power Company f rom coligations uncertaken ey it in the event such procedures are not folkwed by any participating entity.

Power Company recognizes that each entity may acoutre sa'te or all of its cult power supg,1y f rom sources other than Power Company.

In ne implementation of the coligations stateo in the suc- p ceeing paragrapas %wer C:coany ano entitles shall act an accorcance with the foregoing princteles, ano these crinciples are concitions to eacn of Power Cc::ipany's coligations herein uncertaken.

(3) Power Company snall interconnect with any entity wnich crovides, or wnich has undertaken firn contractual coligations to provide, some or all of its culk cwer sucol., f ron sources other than Power Ccncany on tems to ce ir .'ad in an interconnection agreement wnich shall provice for accrocriate allocation of the costs of interconnection f n115tles; :rovided newever, that if an entity uncertakes to negottate sucn a firm contractual coligation, the Power Cccoany snall, in gooo faith, negotiate with such entity concerning any procosec interconnection.

Such interconnection agreement shall provide, without undue preference or aiscrimination, for the following among other things, insof ar as consistent with the acerating necessities of Power Company's ano any participating entity's systeats:

- - _ - _ - _ - _ _ _ -------m_ .___.__ . _ . _ . . . _ _ . , _ _ _ _ _ _ _ _ _ _ _

l' l

l

3) maintenance and cooroination of reserves, including, wnere appropriate, tne purchase ano sale thereof ,

fM emers enc y 5 uocort ,

ic) naint enance succort ,

! econoiny energy excnanges,

,e)

grcha se a nc :a l e o r f t rn a no no n. n em c a caci t y ano energy, (f) economic oiscaten of power resources within the State Of Georgia,
rov toea, however, Inat in no event shall such arrangements moose a nigner cercentage of reserve reoutrement s on the artict;ating entity than that maintaireo ey Power Company for s1milar resources.

(4 ) Power Company snall sell f ull recutrements ;ower to any entity.

Power C ncany shall sell partial requirements power to any ent'ty. Such sales snall be made cursuant tc rates on f tle ,

with tre Federal Power C mtssion, or any successor regulatory agency, ano sucject to reasonaole tems Anc ::noittons.

'5) (a) Power Ccncany snall transnit ;" transmission service")

oulk power over its systen to any entity or entities witn wnicn it is interconnecteo, :ursuant to rate schedules on file with tne Federai :ower ;;mmission wnten will fully compensate Dower C;=cany for the use of its system. to the extent inat s.cn arrangements can be accer.rlocatea frca a f unctional eagineering stanocotnt ano to tre ex*.ent tNat Power Ontany has surcius i:ne :a:ac1t f r

  • u sanaciy 4,4'iaole funos to finance new construct *on for tnis ur:ose. To the extent tne entity or entitles are tole, trey snall recterocally provice transmission service to Power Caipany. Transmission service will be crovided unoer this suecarMraen for the delivery of :ower to an entity for it s or it s memoers' consunction anc retail c1strioution or f or casual resale .s fnotner entity for (1) its consunct1on or Q) its ret il ois-trio ut t on. 'iotning centaine1 merein snall reoutre tre ;ower umoany to trait-t t :uik :ower so as

to have the effeet of making the Tennessee Valley .

Authority ("TVA") or its at stributors , trectly or indirectly, a source of cower suoply outside the area determined by the TVA Board of Directors cy resolution of May 16.1965 to ce tne area f or wnien ne.TVA or its.

distriouters were the prmary source of cower supply on Lly 1,1957, sne cate scecif teo in the Revenue Bond Act

f 1959,16 USC E31 n 4
o) 0wer Comoany snall transmit over 't
s yn.en f ron any entity or entities witn wnicn it is Interconnecteo, Oursuant to rate scheoules on file with the Federal Power Comission wnicn will f ully compensate Power Comcany f or tne use of its system. Dulk oower wnich -

results from any sucn entity having excess capacity availaDie f rom self owned generating resources in the State of Georgia, to the extent such excess necessarily results f rom economic unit st ring or f rom failure to forecast 1o40 accurately or from sucn nenerating resources becoming ocerational earlier than the clannec in. service date, to the extent that such arrangenents can be accorn.

mecated f rom a - f unctional engineering stancootnt , and to the extent Power Comcany has surplus line capacity

' avail aol e, (6) upon reauest, Power Comcany snail : rov:ce service.to any entity purcnasing partial reautrements service.' full reautre-ments service or transmission service from Power Concany at a oelivery voltage appropriate for loacs served by sucn entity, ccnmensurate with Power Lomoany's availaDie~ trans.

mission facilities, Sales of sucn service snail be t' tace pursuant to rates on file with tne f ederal Dower Commstion-or any successor regulator e agency, ano suolect to reasonaole terms and condittons.

U) Ocon reasonaole notice, ?cwer umcany snai; ant any entity the c?portunity to purcnase an accrocriate share in -

the ownerrnic of,'or, at the octton of the entity, to our-chase an appropriate snare of unit tower fron each of 'the -

following nuclear generating units at power Comoany's costs, to the extent the sane are construct:c anc operatec: Haten

0. Vogtle 1, Vogtle 2, Vogtle 3, Vogtle a; ano any otner nuclear generating unit constructea oy Power Cx:Dany in the State of Georgia whten, in the acolication filed with tne USAEC or its successor agency, is scneouled for corriercial coeratton crice to January i . 'o39.

h An entity's request for a share must h5ve regare for the economic size of such nuclear unit (s), for tne entity's.

Ioaa size, growth ana characteristics, ano for demands upon Power Company's system from otner entitles and Power Company's retail custoners, all in accorcance with sound engineering practice. Executory agreenents- to accomplish ine f oregoing snall contain cr1 visions reasonaoly'specif ted oy Aower Ccnoany reautring tne entity to consurvete and :

ay for sucn purcnase oy an early cate or cates certain.

For :Jrposes of this provision, ' n1t : wer ' shall mean .

Cacacity ano associatea energy tren a s:eciftea generattng- -

unt t,4 e

/) 70 ef fect the foregoing conc 1tions, the following steps

/ snall De taken:

h ta) ower Company snall file with the accrocriate regulatory I authoritles and thereaf ter flainta1n in force as needed I

an accrocriate transmission tariff availaole to any L

5 entity ;

l i

! ( D)- power Company snall file with the appropriate regulatory

' authorities and thereafter maintain'in force as needed

' an acoropriate partial reautrenents tariff avallaule to any entity; Power Comoany snall have its liability limited to the partial recuirements service actually contracteo for ana tne entity snail :e nace responsicle for the security of the culk oower sucoly resources acoutred oy tne entity frem sources otner than the power Cocipany; i

(c) Power Comoany shall ameno the general terms and l

! condition 9 of its current Federal Power Corrt15ston.

i l, tariff au thereaftee *aintatn in force as neeoed 1

' provisions to enaole any entity to receive oulk power at transntssion voltage at 3:orceriste rates; (c) Power Canoany snali not nave tne'unila'teral right to

(  ! cefeat the intenoeo _ access'oy eecn entity to' alternative soun:es of bulk cow er sucoly crevicea oy tne concittons to this license; but Power.Concany snail retatn the

.right to seek regulatory accroval of enanges in its tarif fs to the ena that t t De aceouately concensatert --

for services' t ;rovices , scecifically including, :ut l

- not limited to. the provisions of Section 205 of tne Federal Power act;

[23 EcVilders Mlle# dhall rJM toufkti g i)(crker po,d- er enggg {rarn Eisn 1 % h Nutb r ? hnt, Uni) 7. . C,.eargL< Compng hl1

mbnu a hr. refonutz. he unpihme. 4 h. oblgos..ns imposd en a
n its arshutt hnav cWh. Cv.t.Me.bu C.c+3 o rep 364lc ha new,gele. Le ue. acri-as ei b ,Lan Mu1Ar, b W n Heh M d So h n Akus o.cf;ce+ ny in a,3 q. copiravue ec. Ehn3 whst ' Ou.u. a,,cih 3( -

k P

5 V

. 13

.(e) Power Coccany shall use its best efforts to amend ary outstanding contract to which it..is a party:

that contains provistons which are-inconststent.with i the concittons of thi s license; . .

.( f) Power Ccmpany affirms that no-consents are or.will ..

become necessary from Power Company'5' parent affiliates 1 6 cr suos1diartes to enaole Power Comoany to carry out -its -

m ooligadons nereuncer or to enaole the entities to>

their rights hereuncer; m-(g) - All provisions of these conditions Mall be subject." .4

- to and implementeo in accordance with the laws of '~*

-the unitec States and of the Statc '7f Georgia, as - ~-

applicaole, and with rules, regulations and orders.- *'

of _ agencies of both, as applicable. ;j: 1 G. This license is effective as of the date of issuance and shall i expire'at midnight, June- 13, 2018 _

Qc .

FOR THE NUCLEAR REGULATORY CGTtlSISON -

t er 5. yd ,' Director g Division of. Project Ma em n -

0ffice of Nuclear Reactor Regulation ,

' Attaennent s:

1. Appendices A and B - Technical

.Spectfications.

2. 1.tems to be' Completed Prior to Opening Main Steamlsolation

-Valves

.04te of !ssuance: JUN 13 sm e

T' 9

ATTACHVlNT_2, IT[M5 70 til COMPLET[0 PRIOR TO OPENING MAIN STEAM' 150LAfl0f1 VALVI$ DUR. it$ REACTOR OrtRAfl0N. .-

Z Georgia Power Company shall prior to opening the main steam isolation .-

valves curing reactor operation, complete to the satisfaction of the-- L R1 Comission, the testing and stgnificant incomplete work list items whict. . w-affect the operabtitty of the following systems j 1 - 2C91 3610 ' PROCESS COMPUTER SYSTEM . .

- 2. 2011 3510- 0FF GA5 RADIATION MONITORif4G SYSTEM 5-

3. 2012 4510 T!P 5YSTEM  %

4 2G11 3510C RA0 WASTE ~. SOLIO:- J

5. 2G11 35100 RADWASTE . CHEMICAL 6, 2G11 3510E RADWA$tt . CONVEYOR $' -

7, 2H21 3510 CONDENSATt 5Y57EM- -5.

8.- 2N21 3520 REACTOR Ftt0 WATER SYSTEM *-

9. 2N30 3510 TUR81NE & AUKILIARits . .

10, 2N36 3510 EXTRACTION STEAM & Ft[0 WATER HEATER b

11. 2:461 3510- CONDINSER & AUXILIARIE5 *l 12.-- 2N62 3510 0FF GAS SYSTEM  ?-d
13. 2M71 3510 -CONDEN5ER CIRCULATING WATER SYSTEM --- $. - g ;

i,-2P33 3510 SAMPLING SYSTEM & : It,

... TP70 3510 DRYWELL' PNEUMATICS SYSTEM. 'y'-.

16. tW24 3510 COOLING TOWER SYSTEM..

G%rgia Power Company shall not1 0 pen the main steam isolation valves {'w *h '

curing reactor operation without prior written author 128 tion from the.

Conmission. ,

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