[Federal Register Volume 70, Number 91 (Thursday, May 12, 2005)]
[Notices]
[Pages 25116-25117]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-2348]


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NUCLEAR REGULATORY COMMISSION

[EA-05-084]


In the Matter of Duke Energy Corporation, Catawba Nuclear 
Station, Independent Spent Fuel Storage Installation, Order Modifying 
License (Effective Immediately)

ACTION: Issuance of Order for Implementation of Interim Safeguards and 
Security Compensatory Measures.

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I. Introduction

    Pursuant to 10 CFR 2.106, the Nuclear Regulatory Commission (NRC) 
is providing notice in the matter of Catawba Nuclear Station 
Independent Spent Fuel Storage Installation Order Modifying License 
(Effective Immediately).

II. Further Information

    Duke Energy Corporation (Duke Energy) has been issued a general 
license by the U.S. Nuclear Regulatory Commission (NRC or the 
Commission) authorizing storage of spent fuel in an independent spent 
fuel storage installation (ISFSI) in accordance with the Atomic Energy 
Act of 1954, 10 CFR Part 50, and 10 CFR Part 72. This Order is being 
issued to Duke Energy who has identified near-term plans to store spent 
fuel in an ISFSI under the general license provisions of 10 CFR Part 
72. The Commission regulations at 10 CFR 72.212(b)(5) and 10 CFR 
73.55(h)(1) require Duke Energy to maintain safeguards contingency plan 
procedures in accordance with 10 CFR Part 73, Appendix C. Specific 
safeguards requirements are contained in 10 CFR 73.55.

II

    On September 11, 2001, terrorists simultaneously attacked targets 
in New York, NY, and Washington, DC, utilizing large commercial 
aircraft as weapons. In response to the attacks and intelligence 
information subsequently obtained, the Commission issued a number of 
Safeguards and Threat Advisories to its licensees in order to 
strengthen licensees' capabilities and readiness to respond to a 
potential attack on a nuclear facility. The Commission has also 
communicated with other Federal, State, and local government agencies 
and industry representatives to discuss and evaluate the current threat 
environment in order to assess the adequacy of security measures at 
licensed facilities. In addition, the Commission has been conducting a 
comprehensive review of its safeguards and security programs and 
requirements.
    As a result of its consideration of current safeguards and security 
plan requirements, as well as a review of information provided by the 
intelligence community and other governmental agencies, the Commission 
has determined that certain compensatory measures are required to be 
implemented by licensees as prudent, interim measures, to address the 
current threat environment in a consistent manner throughout the 
nuclear ISFSI community. Therefore, the Commission is imposing 
requirements, as set forth in Attachment 1 \1\ of this Order, on Duke 
Energy who has indicated near-term plans to store spent fuel in an 
ISFSI under the general license provisions of 10 CFR Part 72. These 
interim requirements, which supplement existing regulatory 
requirements, will provide the Commission with reasonable assurance 
that the public health and safety and common defense and security 
continue to be adequately protected in the current threat environment. 
These requirements will remain in effect until the Commission 
determines otherwise.
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    \1\ Attachment 1 contains SAFEGUARDS INFORMATION and will not be 
released to the public.
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    The Commission recognizes that some measures may not be possible or 
necessary, or may need to be tailored to accommodate the specific 
circumstances existing at Duke Energy's facility to achieve the 
intended objectives and avoid any unforeseen effect on the safe storage 
of spent fuel. In order to provide assurance that licensees are 
implementing prudent measures to achieve a consistent level of 
protection to address the current threat environment, the Commission 
concludes that security measures must be embodied in an Order 
consistent with the established regulatory framework. Duke Energy's 
general license issued pursuant to 10 CFR 72.210 shall be modified to 
include the requirements identified in Attachment 1 to this Order. In 
addition, pursuant to 10 CFR 2.202, the Commission finds that in light 
of the common defense and security matters described above, the public 
health, safety, and interest require that this Order be effective 
immediately.

III

    Accordingly, pursuant to Sections 103, 104, 161b, 161i, 161o, 182, 
and 186 of the Atomic Energy Act of 1954, as amended, and the 
Commission's regulations in 10 CFR 2.202 and 10 CFR Parts 50, 72, and 
73, it is hereby ordered, effective immediately, that your general 
license is modified as follows:
    A. Duke Energy shall, notwithstanding the provisions of any 
Commission regulation or license to the contrary, comply with the 
requirements described in Attachment 1 to this Order except to the 
extent that a more stringent requirement is set forth in their security 
plan. Duke Energy shall immediately start implementation of the 
requirements in Attachment 1 to the Order and shall complete 
implementation before October 31, 2005, or the first day that spent 
fuel is initially placed in the ISFSI, whichever is later.
    B.1. Duke Energy shall, within twenty (20) days of the date of this 
Order, notify the Commission: (1) If they are unable to comply with any 
of the requirements described in Attachment 1, (2) if compliance with 
any of the requirements is unnecessary in their specific circumstances, 
or (3) if implementation of any of the requirements would cause the 
licensee to be in violation of the provisions of any Commission 
regulation or the facility license. The notification shall provide the 
licensee's justification for seeking relief from or variation of any 
specific requirement.
    2. If Duke Energy considers that implementation of any of the 
requirements described in Attachment 1 to this Order would adversely 
impact the safe storage of spent fuel, Duke Energy must notify the 
Commission, within twenty (20) days of this Order, of

[[Page 25117]]

the adverse safety impact, the basis for its determination that the 
requirement has an adverse safety impact, and either a proposal for 
achieving the same objectives specified in the Attachment 1 
requirement(s) in question, or a schedule for modifying the facility to 
address the adverse safety condition. If neither approach is 
appropriate, Duke Energy must supplement its response to Condition B.1 
of this Order to identify the condition as a requirement with which it 
cannot comply, with attendant justifications as required in Condition 
B.1.
    C.1. Duke Energy shall, within twenty (20) days of the date of this 
Order, submit to the Commission, a schedule for achieving compliance 
with each requirement described in Attachment 1.
    2. Duke Energy shall report to the Commission when they have 
achieved full compliance with the requirements described in Attachment 
1.
    D. Notwithstanding the provisions of 10 CFR 72.212(b)(5), all 
measures implemented or actions taken in response to this Order shall 
be maintained until the Commission determines otherwise.
    Duke Energy's responses to Conditions B.1, B.2, C.1, and C.2, shall 
be submitted in accordance with 10 CFR 72.4. In addition, submittals 
that contain Safeguards Information shall be properly marked and 
handled in accordance with 10 CFR 73.21.
    The Director, Office of Nuclear Material Safety and Safeguards may, 
in writing, relax or rescind any of the above conditions upon 
demonstration by Duke Energy of good cause.
    In accordance with 10 CFR 2.202, Duke Energy must, and any other 
person adversely affected by this Order may, submit an answer to this 
Order, and may request a hearing on this Order, within twenty (20) days 
of the date of this Order. Where good cause is shown, consideration 
will be given to extending the time to request a hearing. A request for 
extension of time in which to submit an answer or request a hearing 
must be made in writing to the Director, Office of Nuclear Material 
Safety and Safeguards, and the Director, Office of Enforcement, U.S. 
Nuclear Regulatory Commission, Washington, DC 20555, and include a 
statement of good cause for the extension. The answer may consent to 
this Order. Unless the answer consents to this Order, the answer shall, 
in writing and under oath or affirmation, specifically set forth the 
matters of fact and law on which the licensee or other person adversely 
affected relies and the reasons as to why the Order should not have 
been issued. Any answer or request for a hearing shall be submitted to 
the Secretary, Office of the Secretary of the Commission, U.S. Nuclear 
Regulatory Commission, ATTN: Rulemakings and Adjudications Staff, 
Washington, DC 20555. Copies also shall be sent to the Director, Office 
of Nuclear Material Safety and Safeguards, U.S. Nuclear Regulatory 
Commission, Washington, DC 20555; to the Director, Office of 
Enforcement at the same address; to the Assistant General Counsel for 
Materials Litigation and Enforcement at the same address; to the 
Regional Administrator for NRC Region II at 61 Forsyth Street, SW., 
Suite 23T85, Atlanta, GA 30303-8931; and to the licensee if the answer 
or hearing request is by a person other than the licensee. Because of 
potential disruptions in delivery of mail to United States Government 
offices, it is requested that answers and requests for hearing be 
transmitted to the Secretary of the Commission, either by means of 
facsimile transmission to 301-415-1101, or by e-mail to 
[email protected] and also to the Office of the General Counsel, 
either by means of facsimile transmission to 301-415-3725, or by e-mail 
to [email protected]. If a person other than Duke Energy requests a 
hearing, that person shall set forth with particularity the manner in 
which his interest is adversely affected by this Order and shall 
address the criteria set forth in 10 CFR 2.714(d). If a hearing is 
requested by Duke Energy or a person whose interest is adversely 
affected, the Commission will issue an Order designating the time and 
place of any hearing. If a hearing is held, the issue to be considered 
at such a hearing shall be whether this Order should be sustained.
    Pursuant to 10 CFR 2.202(c)(2)(I), Duke Energy may, in addition to 
demanding a hearing, at the time the answer is filed or sooner, move 
the presiding officer to set aside the immediate effectiveness of the 
Order on the grounds that the Order, including the need for immediate 
effectiveness, is not based on adequate evidence but on mere suspicion, 
unfounded allegations, or error.
    In the absence of any request for hearing, or written approval of 
an extension of time in which to request a hearing, the provisions 
specified in Section III above shall be final twenty (20) days from the 
date of this Order without further order or proceedings. If an 
extension of time for requesting a hearing has been approved, the 
provisions specified in Section III shall be final when the extension 
expires if a hearing request has not been received. An answer or a 
request for hearing shall not stay the immediate effectiveness of this 
Order.

    Dated this 5th day of May, 2005.

    For the Nuclear Regulatory Commission.
Margaret V. Federline,
Acting Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. E5-2348 Filed 5-11-05; 8:45 am]
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