[Federal Register Volume 59, Number 43 (Friday, March 4, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-4956]


[[Page Unknown]]

[Federal Register: March 4, 1994]


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NUCLEAR REGULATORY COMMISSION

10 CFR Part 50

RIN 3150-AE46

 

Notification of Spent Fuel Management and Funding Plans by 
Licensees of Prematurely Shut Down Power Reactors

AGENCY: Nuclear Regulatory Commission.

ACTION: Final rule.

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SUMMARY: The Nuclear Regulatory Commission (NRC) is amending its 
regulations to clarify the timing of notification to the NRC of spent 
fuel management and funding plans by licensees of those nuclear power 
reactors that have been shut down before the expected end of their 
operating lives. The final rule requires that a licensee submit such 
notification either within 2 years after permanently ceasing operation 
of its licensed power reactor or no later than 5 years before the 
reactor operating license expires, whichever event occurs first. 
Licensees of nuclear power reactors that have already permanently 
ceased operation by the effective date of this rule are required to 
submit such notification within 2 years after the effective date of 
this rule.

EFFECTIVE DATE: April 4, 1994.

FOR FURTHER INFORMATION CONTACT: Robert Wood, Office of Nuclear Reactor 
Regulation, U.S. Nuclear Regulatory Commission, Washington, DC 20555, 
telephone (301) 504-1255.

SUPPLEMENTARY INFORMATION:

Background

    On June 30, 1993, the NRC published in the Federal Register a 
notice of proposed rulemaking to clarify the timing of notification to 
the NRC of spent fuel management and funding plans by licensees of 
those nuclear power reactors that have been shut down prematurely (58 
FR 34947).

1. Comments Received

    The NRC received four comments on the proposed rule. Three of the 
four comments came from licensees or their representatives and 
supported the rule as proposed. These commenters agreed with the NRC 
assessment that the proposed rule is administrative in nature and would 
produce consistency with the decommissioning rule. However, each of the 
three recommended that the rule amendments should apply only 
prospectively; that is, the rule should not apply to licensees whose 
power reactors have already permanently ceased operating. The 
commenters requested that the NRC allow licensees of these plants to 
submit spent fuel management funding plans on a case-by-case schedule. 
One commenter recommended that the NRC add a statement to this effect 
to the final rule.
    A fourth commenter supported the concept of requiring the submittal 
of spent fuel management and funding plans soon after permanent 
shutdown, but recommended that licensees be required to submit these 
plans within 60 days after permanent shutdown.
    The three commenters representing licensees also supported the NRC 
intent to initiate rulemaking on including spent fuel costs as part of 
decommissioning costs only after careful consideration of the database 
that the NRC is developing in this area. In a related area, one of 
these commenters noted that the NRC currently has regulations in place 
in 10 CFR part 72 to ensure a licensee's financial qualifications for 
the safe construction, operation, and decommissioning of an independent 
spent fuel storage installation (ISFSI). The fourth commenter supported 
rulemaking on funding assurance for spent fuel storage costs that would 
be similar to, but separate from, decommissioning costs.

2. NRC Response to Comments

    The NRC responds as follows to the issues raised by the commenters:
    (1) The rule should only apply prospectively.
    NRC response: The NRC disagrees that this rule should not apply to 
licensees of plants that have already permanently ceased operating. 
This rule should be consistent with the provisions of 10 CFR 50.82(a), 
which requires all power plant licensees to submit decommissioning 
plans no later than 2 years after permanently ceasing operations 
regardless of how long the plant operated. The NRC recently amended 10 
CFR 50.82(a) to allow the collection period of any shortfall of 
decommissioning funds to be determined on a case-by-case basis for 
plants that had been shut down prematurely (57 FR 30383, July 9, 1992). 
However, even licensees of these plants must submit their 
decommissioning plans within the 2-year time frame, notwithstanding the 
collection period ultimately adopted.
    To maintain consistency, the NRC believes that the 2-year limit 
should be applied to plants already shut down. However, to assure that 
the NRC does not impose unnecessary burdens on these licensees, the 
final rule has been modified to allow these licensees 2 years from the 
effective date of the rule to submit their spent fuel management and 
funding plans.1
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    \1\In practice, licensees of most of the nuclear power plants 
that have already permanently shut down have developed plans for the 
management and funding of the disposition of spent fuel at their 
sites. For example, Fort St. Vrain has either shipped spent fuel 
offsite to DOE or moved it to an ISFSI onsite. Shoreham is shipping 
its fuel to Limerick. Yankee-Rowe and Rancho Seco have developed 
plans for onsite storage facilities. Humboldt Bay and LaCrosse are 
maintaining fuel in their spent fuel pools. Dresden 1, San Onofre 1, 
and Indian Point 1 are maintaining fuel in their spent fuel pools or 
in pools of other units still operating at the site. Peach Bottom 1 
has no fuel onsite.
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    (2) Submittal of spent fuel management and funding plans should be 
required within 60 days of permanent shutdown of the facility, rather 
than within 2 years.
    NRC Response: The NRC disagrees with this comment. Sixty days is 
too short a period in which to develop a meaningful spent fuel 
management and funding plan. Because licensees will normally develop 
these plans in conjunction with their decommissioning plans, the NRC 
should maintain consistency by requiring the same 2-year limit for both 
spent fuel management and funding plans and the overall decommissioning 
plan, which includes decommissioning funding.
    (3) Costs associated with the construction, operation, and 
decommissioning of ISFSIs are already assured by provisions in 10 CFR 
Part 72.
    NRC Response: The NRC agrees that part 72 contains provisions to 
ensure that licensees have adequate funds to construct, operate, and 
decommission ISFSIs. Spent fuel management and funding plans submitted 
in compliance with the amended Sec. 50.54(bb) need not cover spent fuel 
while it is being stored in an ISFSI in compliance with part 72. The 
NRC will consider whether these provisions are adequate when it 
evaluates whether it is necessary to include spent fuel management and 
funding as part of decommissioning costs.

Finding of No Significant Environmental Impact: Availability

    This final rule clarifies the timing of the submittal of plans for 
managing and providing funding for managing all irradiated fuel for 
those licensees whose power reactors are shut down prematurely. This 
action is required to coordinate the submittal of spent fuel management 
and funding plans with the submittal of decommissioning plans for 
prematurely shut down reactors. Because management and funding of spent 
fuel can have a significant impact on the method and timing of 
decommissioning, licensees should submit their plans for spent fuel 
management and funding to be consistent with the timing provisions for 
decommissioning plans in Sec. 50.82(a) (i.e., no later than 2 years 
after permanent shutdown).
    Neither this action nor the alternative of maintaining the existing 
rule would significantly affect the environment. Changes in the timing 
of the submittal of spent fuel management and funding for prematurely 
shut down power reactors would not alter the effect on the environment 
of the licensed activities considered in either the final spent fuel 
disposition rule (49 FR 34689; August 31, 1984) or the final 
decommissioning rule (53 FR 24018; June 27, 1988) as analyzed in the 
Final Generic Environmental Impact Statement on Decommissioning of 
Nuclear Facilities (NUREG-0586, August 1988). The alternative to this 
action would not significantly affect the environment. Therefore, the 
Commission has determined, under the National Environmental Policy Act 
of 1969, as amended, and the Commission's regulations in subpart A of 
10 CFR part 51, that this rule will not be a major Federal action 
significantly affecting the quality of the human environment and, 
therefore, an environmental impact statement is not required. No other 
agencies or persons were contacted for this action, and no other 
documents related to the environmental impact of this action exist. The 
foregoing constitutes the environmental assessment and finding of no 
significant impact for this final rule.

Paperwork Reduction Act Statement

    This final rule does not contain a new or amended information 
collection requirement subject to the Paperwork Reduction Act of 1980 
(44 U.S.C. 3501 et seq.). Existing requirements were approved by the 
Office of Management and Budget, approval number [3150-0011].

Regulatory Analysis

    On August 31, 1984, the NRC published a final rule, ``Requirements 
for Licensee Actions Regarding the Disposition of Spent Fuel Upon 
Expiration of Reactor Operating Licensees.'' (49 FR 34689). As part of 
this rule, the NRC required power reactor licensees to submit for NRC 
review and approval, no later than 5 years before expiration of the 
reactor operating license, their plans for managing spent fuel at their 
site until title to the spent fuel is transferred to the Department of 
Energy (DOE). These plans are to include plans for funding of spent 
fuel management before transfer to DOE.
    On June 27, 1988, the Commission promulgated its final 
decommissioning rule (53 FR 24019). Section 50.82 of this rule provides 
that licensees of all power reactors that permanently cease operation 
after July 27, 1988, including those that shut down prematurely, must 
apply to the NRC to decommission their facilities within 2 years 
following permanent cessation of operations. Section 50.82(b)(1)(iii) 
further provides that the proposed decommissioning plan submitted by 
the licensee should consider such factors as the ``unavailability of 
waste disposal capacity and other site-specific factors affecting the 
licensee's capability to carry out decommissioning safely * * *.'' The 
Commission requires licensees to submit decommissioning plans in a 
timely manner after they permanently cease operations at their 
facilities. The NRC's regulations recognize that a licensee's ability 
to plan properly and safely for decommissioning depends on a licensee's 
ability to manage and dispose of its spent fuel. Thus, the timing of 
requirements for submittal of plans for spent fuel management and 
storage should be consistent with the timing for submittal of 
decommissioning plans, including those for power reactors that have 
been shut down prematurely. Therefore, the NRC is amending 10 CFR 
50.54(bb) to require each power reactor licensee to notify the NRC of 
its program to manage and provide funding for management of the 
irradiated fuel at its reactor either within 2 years after the licensee 
permanently ceases operation of its reactor or no later than 5 years 
before its reactor operating license expires, whichever occurs first. 
Licensees of nuclear power reactors that have already permanently 
ceased operations by the effective date of this rule are required to 
submit such notification within 2 years after the effective date of 
this rule.
    Although the timing of preparation and submittal of plans for 
management and funding of spent fuel would be formally advanced for 
licensees that shut down their power reactors prematurely, these 
licensees typically would have already evaluated spent fuel management 
and funding issues before submitting decommissioning plans required 
under 10 CFR 50.82. This rule merely makes 10 CFR 50.54(bb) submittal 
schedular requirements consistent with 10 CFR 50.82. Thus, there should 
be no substantive impact on power reactor licensees.
    This final rule would not create substantial costs for other 
licensees. This final rule also will not significantly affect State and 
local governments and geographical regions, or the environment, or 
create substantial costs to the NRC or other Federal agencies. The 
foregoing discussion constitutes the regulatory analysis for this final 
rule.

Regulatory Flexibility Certification

    As required by the Regulatory Flexibility Act of 1980, 5 U.S.C. 
605(b), the Commission certifies that this final rule will not have a 
significant impact upon a substantial number of small entities. The 
rule will potentially affect approximately 115 nuclear power reactor 
operating licenses. Nuclear power plant licensees do not fall within 
the definition of small businesses as defined in section 3 of the Small 
Business Act, 15 U.S.C. 632, the Small Business Size Standards of the 
Small Business Administrator (13 CFR part 121), or the Commission's 
Size Standards (56 FR 56671, November 6, 1991).

Backfit Analysis

    The NRC has determined that this final rule does not impose a 
backfit as defined in 10 CFR 50.109(a)(1). Therefore, a backfit 
analysis is not required for this final rule.

List of Subjects in 10 CFR Part 50

    Antitrust, Classified information, Criminal penalty, Fire 
protection, Incorporation by reference, Intergovernmental relations, 
Nuclear power plants and reactors, Radiation protection, Reactor siting 
criteria, Reporting and recordkeeping requirements.

    For the reasons given in the preamble and under the authority of 
the Atomic Energy Act of 1954, as amended, the Energy Reorganization 
Act of 1974, as amended, and 5 U.S.C. 552 and 553, the NRC is adopting 
the following amendment to 10 CFR part 50.

PART 50--DOMESTIC LICENSING OF PRODUCTION AND UTILIZATION 
FACILITIES

    1. The authority citation for part 50 continues to read as follows:

    Authority: Secs. 102, 103, 104, 105, 161, 182, 183, 186, 189, 68 
Stat. 936, 937, 938, 948, 953, 954, 955, 956, as amended, sec. 234, 
83 Stat. 1244, as amended (42 U.S.C. 2132, 2133, 2134, 2135, 2201, 
2232, 2233, 2236, 2239, 2282); secs. 201 as amended, 202, 206, 88 
Stat. 1242 as amended 1244, 1246 (42 U.S.C. 5841, 5842, 5846).
    Section 50.7 also issued under Pub. L. 95-601, sec. 10, 92 Stat. 
2951 (42 U.S.C. 5851). Section 50.10 also issued under secs. 101, 
185, 68 Stat. 955, as amended (42 U.S.C. 2131, 2235); sec. 102, Pub. 
L. 91-190, 83 Stat. 853 (42 U.S.C. 4332). Sections 50.13, 50.54 
(dd), and 50.103 also issued under sec. 108, 68 Stat. 939 as amended 
(42 U.S.C. 2138). Sections 50.23, 50.35, 50.55, and 50.56 also 
issued under sec. 185, 68 Stat. 955 (42 U.S.C. 2235). Sections 
50.33a, 50.55a and Appendix Q also issued under sec. 102, Pub. L. 
91-190, 83 Stat. 853 (42 U.S.C. 4332). Sections 50.34 and 50.54 also 
issued under sec. 204, 88 Stat. 1245 (42 U.S.C. 5844). Sections 
50.58, 50.91, and 50.92 also issued under Pub. L. 97-415, 96 Stat. 
2073 (42 U.S.C. 2239). Section 50.78 also issued under sec. 122, 68 
Stat. 939 (42 U.S.C. 2152). Sections 50.80-50.81 also issued under 
sec. 184, 68 Stat. 954, as amended (42 U.S.C. 2234). Appendix F also 
issued under sec. 187, 68 Stat. 955 (42 U.S.C. 2237).

    2. Section 50.54 is amended by revising paragraph (bb) to read as 
follows:


Sec. 50.54  Conditions of licenses.

* * * * *
    (bb) For nuclear power reactors licensed by the NRC, the licensee 
shall, within 2 years following permanent cessation of operation of the 
reactor or 5 years before expiration of the reactor operating license, 
whichever occurs first, submit written notification to the Commission 
for its review and preliminary approval of the program by which the 
licensee intends to manage and provide funding for the management of 
all irradiated fuel at the reactor following permanent cessation of 
operation of the reactor until title to the irradiated fuel and 
possession of the fuel is transferred to the Secretary of Energy for 
its ultimate disposal in a repository. Licensees of nuclear power 
reactors that have permanently ceased operation by April 4, 1994 are 
required to submit such written notification by April 4, 1996. Final 
Commission review will be undertaken as part of any proceeding for 
continued licensing under part 50 or part 72 of this chapter. The 
licensee must demonstrate to NRC that the elected actions will be 
consistent with NRC requirements for licensed possession of irradiated 
nuclear fuel and that the actions will be implemented on a timely 
basis. Where implementation of such actions requires NRC 
authorizations, the licensee shall verify in the notification that 
submittals for such actions have been or will be made to NRC and shall 
identify them. A copy of the notification shall be retained by the 
licensee as a record until expiration of the reactor operating license. 
The licensee shall notify the NRC of any significant changes in the 
proposed waste management program as described in the initial 
notification.
* * * * *
    Dated at Rockville, Maryland this 18th day of February, 1994.

    For the Nuclear Regulatory Commission.
James M. Taylor,
Executive Director for Operations.
[FR Doc. 94-4956 Filed 3-3-94; 8:45 am]
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