RA-19-0159, Stations - Biennial Decommissioning Financial Assurance Reports

Stations - Biennial Decommissioning Financial Assurance Reports

ML19087A162
Person / Time
Site:	Oconee, Mcguire, Catawba, Harris, Brunswick, Robinson, McGuire
Issue date:	03/28/2019
From:	Nolan M Duke Energy Corp
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
RA-19-0159
Download: ML19087A162 (22)

Text

M. CHRISTOPHER NOLAN Vice President

( ~ DUKE ENERGY Nuclear Regulatory Affairs, Policy &

Emergency Preparedness 526 South Church Street, EC-07C Charlotte, NC 28202 980-382-7426 Chris.Nolan@duke-energy.com Serial: RA-19-0159 10 CFR 50.75(f)(1)

March 28, 2019 10 CFR 50.4 U.S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, D.C. 20555-001 BRUNSWICK STEAM ELECTRIC PLANT, UNITS 1 AND 2, DOCKET NOS. 50-325, 50-324 CATAWBA NUCLEAR STATION, UNITS 1 AND 2, DOCKET NOS. 50-413, 50-414 MCGUIRE NUCLEAR STATION, UNITS 1 AND 2, DOCKET NOS. 50-369, 50-370 OCONEE NUCLEAR STATION, UNITS 1, 2 AND 3, DOCKET NOS. 50-269, 50-270, 50-287 H.B. ROBINSON STEAM ELECTRIC PLANT, UNIT 2, DOCKET NO. 50-261 SHEARON HARRIS NUCLEAR POWER PLANT, UNIT 1, DOCKET NO. 50-400

SUBJECT:

BIENNIAL DECOMMISSIONING FINANCIAL ASSURANCE REPORTS Ladies and Gentlemen:

Pursuant to 10 CFR 50.75(f)(1), Duke Energy Progress, LLC and Duke Energy Carolinas, LLC, collectively referred to henceforth as Duke Energy, is submitting the required Decommissioning Financial Assurance reports for H.B. Robinson Steam Electric Plant, Unit 2; Brunswick Steam Electric Plant, Units 1 and 2; Shearon Harris Nuclear Power Plant, Unit 1; Catawba Nuclear Station, Units 1 and 2; McGuire Nuclear Station, Units 1 and 2; and Oconee Nuclear Station, Units 1, 2 and 3. Enclosed are the required reports. The report for each nuclear plant contains the following information:

(1) Amount of decommissioning funds estimated to be required pursuant to 10 CFR 50.75(b) and (c).

(2) Amount accumulated to the end of the calendar year preceding the date of the report.

(3) Schedule of annual amounts remaining to be collected.

(4) Assumptions used regarding rates of escalation in decommissioning costs, rates of earnings on decommissioning funds and rates of other factors used in funding projections.

(5) Contracts upon which the licensee is relying pursuant to paragraph 10 CFR 50.75(e)(1)(v).

(6) Modifications occurring to a licensees current method of providing financial assurance since the last submitted report.

(7) Material changes to trust agreements.

U.S. Nuclear Regulatory Commission March 28, 2019 Page 2 The adjustment factors for labor rates and energy costs used in Item (1) for the calculation in 10 CFR 50. 75(c)(2) are determined using the latest available 2018 indices from the U.S.

Department of Labor, Bureau of Labor Statistics. The adjustment factor for the cost of low-level waste burial charges used in Item (1) for the calculation in 10 CFR 50.75(c)(2) is determined using NUREG-1307, Revision 17.

As a convenience to the NRC, the biennial Financial Assurance reports from each co-owner for funding the decommissioning of Catawba Nuclear Station Units 1 and 2 are identified within each unit's report. However, none of the co-owners assumes any responsibility for the information contained in any other co-owner's report.

There are no regulatory commitments associated with this letter. If you have additional questions, please contact Art Zaremba at (980) 373-2062.

Since~1/4_-

M. Christopher Nolan Vice President - Nuclear Regulatory Affairs, Policy & Emergency Planning

Enclosure:

NRC Decommissioning Funding Status Reports as of December 31, 2018

U.S. Nuclear Regulatory Commission March 28, 2019 Page 3 xc (with enclosure):

C. Haney, USNRC Region II - Regional Administrator J. D. Austin, USNRC Senior Resident Inspector - CNS G. A. Hutto, USNRC Senior Resident Inspector - MNS J. Zeiler, USNRC Senior Resident Inspector - HNP J. Hammon, USNRC Senior Resident Inspector - RNP G. Smith, USNRC Senior Resident Inspector - BNP E. L. Crowe, USNRC Senior Resident Inspector - ONS M. C. Barillas, NRR Project Manager - HNP D. Galvin, NRR Project Manager - RNP M. Mahoney, NRR Project Manager - CNS & MNS A. L. Hon, NRR Project Manager - BNP A. L. Klett, NRR Project Manager - ONS

U.S. Nuclear Regulatory Commission March 28, 2019 Page 4 bxc (with enclosure):

Chris Nolan Art Zaremba Steve Snider Rounette Nader File: (Corporate)

Electronic Licensing Library (ELL)

Tanya Hamilton Brian McCabe Ernie Kapopoulos Kevin Ellis Randy Gideon Jerry Pierce Tom Simril Mandy Hare North Carolina Municipal Power Agency No. 1 (NCMPA)

Electronic copy preferred: CatawbaContracts@electricities.org Piedmont Municipal Power Agency (PMPA)

Electronic copy preferred: Catawba_RegulatoryDox@pmpa.com North Carolina Electric Membership Corporation (NCEMC)

Electronic copy preferred: Catawba.Manager@ncemcs.com Ed Burchfield Sheila Dalton Tom Ray Alex Smith

ENCLOSURE NRC DECOMMISSIONING FUNDING STATUS REPORTS AS OF DECEMBER 31, 2018

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Progress, LLC Robinson Nuclear Station 100% Ownership Unit #2 Robinson Unit 2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 436,460,684

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1,2 $ 607,412,391 $ 18,278,766

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ $ -

amounts remaining to be collected can include items beyond those 2020 $ $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ $ -

transmitting the report provides a total cost estimate and 2022 $ $ -

indicates what portion of that estimate is for items that are not 2023 $ $ -

included in 10 CFR 50.75 (b) and (c). 2 2024 $ $ -

2025 $ $ -

2026 $ $ -

2027 $ $ -

2028 $ $ -

2029 $ $ -

2030 $ $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.61% inflation cost, rates of earnings on decommissioning funds, and rates of 4.65% qualified rate of return other factors used in funding projections; 2.71% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations 2 The amounts accumulated and the annual amounts remaining to be collected, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Progress, LLC Brunswick Nuclear Station 100% Ownership Unit #1 Brunswick Unit 1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 647,473,719

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1,2 $ 416,751,978 $ 139,420,684

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c).2 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

2035 $ - $ -

2036 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.70% inflation cost, rates of earnings on decommissioning funds, and rates of 5.11% qualified rate of return other factors used in funding projections; 2.71% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations 2

The amounts accumulated and the annual amounts remaining to be collected, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Progress, LLC Brunswick Nuclear Station 100% Ownership Unit #2 Brunswick Unit 2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 647,473,719

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 469,732,708 $ 142,396,039

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.68% inflation cost, rates of earnings on decommissioning funds, and rates of 5.06% qualified rate of return other factors used in funding projections; 2.71% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Progress, LLC Harris Nuclear Station 100% Ownership Unit #1 Harris Unit 1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 488,602,680

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 462,604,182 $ 82,462,957

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

2035 $ - $ -

2036 $ - $ -

2037 $ - $ -

2038 $ - $ -

2039 $ - $ -

2040 $ - $ -

2041 $ - $ -

2042 $ - $ -

2043 $ - $ -

2044 $ - $ -

2045 $ - $ -

2046 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.50% inflation cost, rates of earnings on decommissioning funds, and rates of 4.94% qualified rate of return other factors used in funding projections; 2.71% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC Oconee Nuclear Station 100% Ownership Unit #1 Oconee Unit 1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 445,662,673

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 423,546,718 $ 25,436,960

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c)). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC Oconee Nuclear Station 100% Ownership Unit #2 Oconee Unit 2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 445,662,673

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 425,818,977 $ 20,519,669

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c)). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC Oconee Nuclear Station 100% Ownership Unit #3 Oconee Unit 3

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 445,662,673

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1,2 $ 578,152,547 $ 5,816,671

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c)). 2 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations 2

The amounts accumulated, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC McGuire Nuclear Station 100% Ownership Unit #1 McGuire Unit 1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 508,243,131

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 538,589,993 $ 1,839,549

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c)). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

2035 $ - $ -

2036 $ - $ -

2037 $ - $ -

2038 $ - $ -

2039 $ - $ -

2040 $ - $ -

2041 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC McGuire Nuclear Station 100% Ownership Unit #2 McGuire Unit 2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 508,243,131

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1,2 $ 591,619,169 $ -

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

2 included in 10 CFR 50.75 (b) and (c)). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

2035 $ - $ -

2036 $ - $ -

2037 $ - $ -

2038 $ - $ -

2039 $ - $ -

2040 $ - $ -

2041 $ - $ -

2042 $ - $ -

2043 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations 2

The amounts accumulated, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC Catawba Nuclear Station 19.246% Ownership Unit #1 Catawba Unit 1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 92,276,974

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified 1

for items not included in 10 CFR 50.75 (b) and (c)). $ 100,915,483 $ 8,541,269

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

included in 10 CFR 50.75 (b) and (c)). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

2035 $ - $ -

2036 $ - $ -

2037 $ - $ -

2038 $ - $ -

2039 $ - $ -

2040 $ - $ -

2041 $ - $ -

2042 $ - $ -

2043 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Duke Energy Carolinas, LLC Catawba Nuclear Station 19.246% Ownership Unit #2 Catawba Unit 2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 92,276,974

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is Qualified Non Qualified for items not included in 10 CFR 50.75 (b) and (c)). 1,2 $ 85,874,798 $ 24,913,460

3. A schedule of the annual amounts remaining to be collected; Year Qualified Non Qualified for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual 2019 $ - $ -

amounts remaining to be collected can include items beyond those 2020 $ - $ -

required in 10 CFR 50.75 (b) and (c) if the cover letter 2021 $ - $ -

transmitting the report provides a total cost estimate and 2022 $ - $ -

indicates what portion of that estimate is for items that are not 2023 $ - $ -

2 included in 10 CFR 50.75 (b) and (c)). 2024 $ - $ -

2025 $ - $ -

2026 $ - $ -

2027 $ - $ -

2028 $ - $ -

2029 $ - $ -

2030 $ - $ -

2031 $ - $ -

2032 $ - $ -

2033 $ - $ -

2034 $ - $ -

2035 $ - $ -

2036 $ - $ -

2037 $ - $ -

2038 $ - $ -

2039 $ - $ -

2040 $ - $ -

2041 $ - $ -

2042 $ - $ -

2043 $ - $ -

Total $ - $ -

4. The assumptions used regarding escalation in decommissioning 2.4% inflation cost, rates of earnings on decommissioning funds, and rates of 5.3% qualified rate of return other factors used in funding projections; 4.5% non-qualified rate of return

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The amounts reported are net of tax obligations 2

The amounts accumulated, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 North Carolina Electric Membership Corporation Catawba Nuclear Station 30.754% Ownership Unit #1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 147,453,292

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 111,413,247

3. A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual amounts remaining to be collected can include items beyond those required in 10 CFR 50.75 (b) and (c) if the cover letter transmitting the report provides a total cost estimate and indicates what portion of that estimate is for items that are not included in 10 CFR 50.75 (b) and (c)).

Year Amount 2019 $ 1,249,103 2020 $ 1,201,308 2021 $ 1,288,400 2022 $ 1,246,556 2023 $ 1,205,262 2024 $ 1,164,563 2025 $ 1,124,508 2026 $ 1,085,149 2027 $ 1,046,540 2028 $ 1,008,740 2029 $ 971,810 2030 $ 935,817 2031 $ 900,829 2032 $ 866,921 2033 $ 834,172 2034 $ 802,663 2035 $ 772,485 2036 $ 743,729 2037 $ 716,495 2038 $ 690,888 2039 $ 667,020 2040 $ 645,007 2041 $ 624,975 2042 $ 607,056 2043 $ 572,502 Total 22,972,498

4. The assumptions used regarding escalation in decommissioning inflation - 2.50%

cost, rates of earnings on decommissioning funds, and rates of rate of return - 4.75%

other factors used in funding projections;

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The owner is tax exempt; therefore, the amounts reported are net of tax.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 North Carolina Electric Membership Corporation Catawba Nuclear Station 30.754% Ownership Unit #2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 147,453,292

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is 1,2 for items not included in 10 CFR 50.75 (b) and (c)). $ 119,098,148

3. A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual amounts remaining to be collected can include items beyond those required in 10 CFR 50.75 (b) and (c) if the cover letter transmitting the report provides a total cost estimate and indicates what portion of that estimate is for items that are not included in 10 CFR 50.75 (b) and (c)). 2 Year Amount 2019 $ 1,450,492 2020 $ 1,394,992 2021 $ 1,496,126 2022 $ 1,447,535 2023 $ 1,399,583 2024 $ 1,352,323 2025 $ 1,305,810 2026 $ 1,260,105 2027 $ 1,215,271 2028 $ 1,171,377 2029 $ 1,128,493 2030 $ 1,086,696 2031 $ 1,046,068 2032 $ 1,006,693 2033 $ 968,663 2034 $ 932,075 2035 $ 897,031 2036 $ 863,639 2037 $ 832,014 2038 $ 802,279 2039 $ 774,562 2040 $ 749,000 2041 $ 725,738 2042 $ 704,930 2043 $ 664,805 Total $ 26,676,300

4. The assumptions used regarding escalation in decommissioning inflation - 2.50%

cost, rates of earnings on decommissioning funds, and rates of rate of return - 4.75%

other factors used in funding projections;

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The owner is tax exempt; therefore, the amounts reported are net of tax.

2 The amounts accumulated, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 North Carolina Municipal Power Agency 1 Catawba Nuclear Station 37.5% Ownership Unit #1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 179,797,669

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 174,599,594

3. A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual amounts remaining to be collected can include items beyond those required in 10 CFR 50.75 (b) and (c) if the cover letter transmitting the report provides a total cost estimate and indicates what portion of that estimate is for items that are not included in 10 CFR 50.75 (b) and (c)).

Year Amount 2019 1,500,000 2020 2,000,000 2021 2,000,000 2022 2,000,000 2023 2,000,000 2024 2,000,000 2025 2,000,000 2026 2,000,000 2027 2,000,000 2028 2,000,000 2029 2,000,000 2030 2,000,000 2031 2,000,000 2032

• 2,000,000 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 Total $ 27,500,000

1. of years to collect 14

• 2032 is the last year of the current Participant Project Power Sales Agreement.

4. The assumptions used regarding escalation in decommissioning inflation - 3.40%

cost, rates of earnings on decommissioning funds, and rates of rate of return - 3.20%

other factors used in funding projections;

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The owner is tax exempt; therefore, the amounts reported are net of tax.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 North Carolina Municipal Power Agency 1 Catawba Nuclear Station 37.5% Ownership Unit #2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 179,797,669

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is 1,2 for items not included in 10 CFR 50.75 (b) and (c)). $ 171,635,619

3. A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual amounts remaining to be collected can include items beyond those required in 10 CFR 50.75 (b) and (c) if the cover letter transmitting the report provides a total cost estimate and indicates what portion of that estimate is for items that are not 2

included in 10 CFR 50.75 (b) and (c)).

Year Amount 2019 2,100,000 2020 2,525,000 2021 2,525,000 2022 2,525,000 2023 2,525,000 2024 2,525,000 2025 2,525,000 2026 2,525,000 2027 2,525,000 2028 2,525,000 2029 2,525,000 2030 2,525,000 2031 2,525,000 2032

• 2,525,000 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 Total $ 34,925,000

1. of years to collect 14

• 2032 is the last year of the current Participant Project Power Sales Agreement.

4. The assumptions used regarding escalation in decommissioning inflation - 3.40%

cost, rates of earnings on decommissioning funds, and rates of rate of return - 3.20%

other factors used in funding projections;

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The owner is tax exempt; therefore, the amounts reported are net of tax.

2 The amounts accumulated, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Piedmont Municipal Power Agency Catawba Nuclear Station 12.5% Ownership Unit #1

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 59,932,566

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is for items not included in 10 CFR 50.75 (b) and (c)). 1 $ 38,541,235

3. A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual amounts remaining to be collected can include items beyond those required in 10 CFR 50.75 (b) and (c) if the cover letter transmitting the report provides a total cost estimate and indicates what portion of that estimate is for items that are not included in 10 CFR 50.75 (b) and (c)).

Year Amount 2019 750,732 2020 750,732 2021 750,732 2022 750,732 2023 750,732 2024 750,732 2025 750,732 2026 750,732 2027 750,732 2028 750,732 2029 750,732 2030 750,732 2031 750,732 2032 750,732 2033 750,732 2034 750,732 2035 750,732 2036 750,732 2037 750,732 2038 750,732 2039 750,732 2040 750,732 2041 750,732 2042 750,732 2043 750,732 Total $ 18,768,312

4. The assumptions used regarding escalation in decommissioning inflation - 2.75%

cost, rates of earnings on decommissioning funds, and rates of rate of return - 3.50%

other factors used in funding projections;

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The owner is tax exempt; therefore, the amounts reported are net of tax.

NRC Decommissioning Funding Status Report Report Dated as of December 31, 2018 Piedmont Municipal Power Agency Catawba Nuclear Station 12.5% Ownership Unit #2

1. The minimum decommissioning fund estimate, pursuant to 10 CFR 50.75 (b) and (c). $ 59,932,566

2. The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75 (b) and (c). (Alternatively, the total amount accumulated at the end of the calendar year preceding the date of the report can be reported here if the cover letter transmitting the report provides the total estimate and indicates what portion of that estimate is for items not included in 10 CFR 50.75 (b) and (c)). 1,2 $ 41,731,438

3. A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75 (b) and (c). (Alternatively, the annual amounts remaining to be collected can include items beyond those required in 10 CFR 50.75 (b) and (c) if the cover letter transmitting the report provides a total cost estimate and indicates what portion of that estimate is for items that are not included in 10 CFR 50.75 (b) and (c)). 2 Year Amount 2019 560,256 2020 560,256 2021 560,256 2022 560,256 2023 560,256 2024 560,256 2025 560,256 2026 560,256 2027 560,256 2028 560,256 2029 560,256 2030 560,256 2031 560,256 2032 560,256 2033 560,256 2034 560,256 2035 560,256 2036 560,256 2037 560,256 2038 560,256 2039 560,256 2040 560,256 2041 560,256 2042 560,256 2043 560,256 Total $ 14,006,388

4. The assumptions used regarding escalation in decommissioning inflation - 2.75%

cost, rates of earnings on decommissioning funds, and rates of rate of return - 3.50%

other factors used in funding projections;

5. Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v). N/A

6. Any modifications to a licensees current method providing financial assurance occurring since the last submitted report. N/A

7. Any material changes to trust agreements. No 1

The owner is tax exempt; therefore, the amounts reported are net of tax.

2 The amounts accumulated, together with future earnings on such amounts, include funding for both estimated reactor and ISFSI decommissioning costs.