[Federal Register Volume 75, Number 21 (Tuesday, February 2, 2010)]
[Notices]
[Pages 5357-5358]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-2139]


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NUCLEAR REGULATORY COMMISSION

[NRC-2009-0336]


In the Matter of Entergy Nuclear Operations, Inc., et al.; Order 
Extending the Effectiveness of the Approval of the Indirect Transfer of 
Facility Operating Licenses

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Entergy Nuclear Operations, Inc.
Entergy Nuclear Generation Company (Pilgrim  Docket No. 50-293.
 Nuclear Power Station).                     License No. DPR-35.
Entergy Nuclear Indian Point 2, LLC (Indian  Docket Nos. 50-003, 50-247) and 72-51.
 Point Nuclear Generating Unit Nos. 1 and    License Nos. DPR-5, DPR-26.
 2).
ENTERGY NUCLEAR INDIAN POINT 3, LLC (Indian  Docket No. 50-286.
 Point Nuclear Generating Unit No. 3).       License No. DPR-64.
Entergy Nuclear Fitzpatrick, LLC (James A.   Docket Nos. 50-333 and 72-12.
 FitzPatrick Nuclear Power Plant).           License No. DPR-59.
Entergy Nuclear Vermont Yankee, LLC          Docket Nos. 50-271 and 72-59.
 (Vermont Yankee Nuclear Power Station).     License No. DPR-28.
Entergy Nuclear Palisades, LLC (Palisades    Docket Nos. 50-255 and 72-7.
 Nuclear Plant).                             License No. DPR-20.
(Big Rock Point)...........................  Docket Nos. 50-155 and 72-43.
                                             License No. DPR-6.
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I

    Entergy Nuclear Operations, Inc. (ENO) and Entergy Nuclear 
Generation Company (Entergy Nuclear) are co-holders of the Facility 
Operating License, No. DPR-35, which authorizes the possession, use, 
and operation of the Pilgrim Nuclear Power Station (Pilgrim). Pilgrim 
is a boiling water nuclear reactor that is owned by Entergy Nuclear and 
operated by ENO. The facility is located on the western shore of Cape 
Cod in the town of Plymouth on the Entergy Nuclear site in Plymouth 
County, Massachusetts.
    ENO and Entergy Nuclear Indian Point 2, LLC (ENIP2) are co-holders 
of the Facility Operating License No. DPR-5, which authorizes the 
possession of the Indian Point Nuclear Generating Unit No. 1 (IP1). IP1 
is a pressurized water nuclear reactor that is owned by ENIP2 and 
maintained by ENO. IP1 was permanently shut down in 1974 and placed in 
a safe storage condition pending decommissioning. The facility is 
located in Westchester County, New York.
    ENO and ENIP2 are co-holders of the Facility Operating License No. 
DPR-26, which authorizes the possession, use, and operation of the 
Indian Point Nuclear Generating Unit No. 2 (IP2). ENO and Entergy 
Nuclear Indian Point 3, LLC (ENIP3) are co-holders of the Facility 
Operating License No. DPR-64, which authorizes the possession, use, and 
operation of the Indian Point Nuclear Generating Unit No. 3 (IP3). IP2 
and IP3 are both pressurized water nuclear reactors that are owned by 
ENIP2 and ENIP3, respectively, and operated by ENO. The facilities are 
located in Westchester County, New York.
    ENO and Entergy Nuclear FitzPatrick, LLC (EN-FitzPatrick) are co-
holders of the Facility Operating License No. DPR-59, which authorizes 
the possession, use, and operation of the James A. FitzPatrick Nuclear 
Power Plant (FitzPatrick). FitzPatrick is a boiling water nuclear 
reactor that is owned by EN-FitzPatrick and operated by ENO. The 
facility is located in Scriba, Oswego County, New York.
    ENO and Entergy Nuclear Vermont Yankee, LLC (EN-Vermont Yankee) are 
co-holders of the Facility Operating License No. DPR-28, which 
authorizes the possession, use, and operation of the Vermont Yankee 
Nuclear Power Station (Vermont Yankee). Vermont Yankee is a boiling 
water nuclear reactor that is owned by EN-Vermont Yankee and operated 
by ENO. The facility is located in the town of Vernon, Windham County, 
Vermont.
    ENO and Entergy Nuclear Palisades, LLC (EN-Palisades) are co-
holders of the Renewed Facility Operating License No. DPR-20, which 
authorizes the possession, use, and operation of the Palisades Nuclear 
Plant (Palisades). Palisades is a pressurized water nuclear reactor 
that is owned by EN-Palisades and operated by ENO. The facility is 
located in Van Buren County, Michigan.
    ENO and EN-Palisades are co-holders of the Facility Operating 
License No. DPR-06, which authorizes the possession of Big Rock Point. 
Big Rock Point is an independent spent fuel storage installation 
(ISFSI) that is owned by EN-Palisades and operated by ENO. The facility 
is located in Charlevoix County, Michigan.

II

    The NRC's Orders dated July 28, 2008, consented to the indirect 
transfer of control of the licenses of the above facilities pursuant to 
Sec.  50.80 of Title 10 of the Code of Federal Regulations in 
connection with a proposed corporate restructuring and establishment of 
Enexus Energy Corporation. By its terms, the Orders of July 28, 2008, 
would become null and void if the license transfers were not completed 
by July 28, 2009, unless upon application and for good cause shown, 
such date

[[Page 5358]]

was extended by the Commission. By Order dated July 24, 2009, the NRC 
staff determined that good cause had been shown to extend the 
effectiveness of the Orders of July 28, 2008, through January 28, 2010. 
Similarly, by its terms, the Order of July 24, 2009, becomes null and 
void if the license transfers are not completed by January 28, 2010, 
unless upon application and for good cause shown, such date is extended 
by the Commission.

III

    By letter dated November 3, 2009, as supplemented by letter dated 
December 10, 2009, ENO, acting on behalf of itself, Entergy Nuclear, 
ENIP2, ENIP3, EN-FitzPatrick, EN-Vermont Yankee, and EN-Palisades 
(together the Applicants), submitted a request for an extension of the 
effectiveness of the Orders of July 28, 2008, such that they would 
remain effective through August 1, 2010. According to the submittal, 
diligent efforts have been made to obtain the required State and 
Federal regulatory approvals, and many of the required approvals have 
been obtained. ENO has expressed confidence that it will receive all of 
the required approvals for the transaction. However, proceedings are 
ongoing before the New York State Public Service Commission (PSC) and 
the State of Vermont Public Service Board (PSB) and these two State 
agencies may not complete their regulatory approval processes in time 
to complete the restructuring and establishment of Enexus Energy 
Corporation prior to January 28, 2010, as required by the NRC Orders 
consenting to the proposed restructuring and associated indirect 
license transfers.
    As indicated in ENO's letter dated August 18, 2009, an amended 
petition has been submitted to the New York PSC that includes several 
enhancements to the transaction. In Vermont, Entergy Nuclear Vermont 
Yankee, LLC, ENO, and Enexus have entered into a Memorandum of 
Understanding (MOU) with the Vermont Department of Public Service. This 
MOU must be approved by the Vermont PSB.
    The Applicants are concerned that the transaction may not be 
completed by January 28, 2010, as required by the current Orders. 
Moreover, beginning in early 2010, there are certain ``blackout 
periods'' imposed by Federal regulations in connection with efforts to 
finalize the audited 2009 annual financial results for Entergy 
Corporation. Once such blackout periods begin, limitations on access to 
the financial markets would likely delay completion of the transaction 
until the June or July 2010 time frame.
    As stated in the licensee's submittal, the conditions under which 
the NRC issued the Orders approving the license transfers have not 
changed significantly. The technical qualifications of the new 
organization and other bases for approving the transfers remain intact 
and the various inter-company contractual arrangements and financial 
support described in the application and supplemental information 
submitted to support the NRC staff's review and issuance of its safety 
evaluation (SE), remain valid and fully support the staff's findings. 
In support of the claim that the financial qualifications have not 
significantly changed, ENO submitted revised proprietary financial 
projections for the plant licensees and Enexus for the 5 calendar years 
2010-2014 along with responses to staff questions regarding 
decommissioning funding assurance. As such, the current conditions 
continue to support the staff's findings regarding the technical and 
financial qualifications of the affected licensees.
    The NRC staff has considered the submittal of November 3, 2009, as 
supplemented by letter dated December 10, 2009, and has determined that 
good cause to extend the effectiveness of the Orders of July 28, 2008, 
has been shown in that the delay in completing the transaction was not 
caused by the licensee. The findings set forth above are supported by a 
SE dated January 22, 2010.

IV

    Accordingly, pursuant to Sections 161b, 161i, 161o, and 184 of the 
Atomic Energy Act of 1954, as amended, 42 U.S.C. 2201(b), 2201(i), 
2201(o), and 2234; and 10 CFR 50.80, It is hereby ordered that the 
effectiveness of the Orders of July 28, 2008, described herein are 
extended such that if the proposed corporate restructuring and 
establishment of Enexus Energy Corporation is not consummated by August 
1, 2010, the Orders of July 28, 2008, and July 24, 2009, shall become 
null and void, unless upon application and for good cause shown, such 
date is further extended by Order.
    This Order is effective upon issuance.
    For further details with respect to this Order, see the submittal 
dated November 3, 2009 (Agencywide Documents Access and Management 
System (ADAMS) Accession No. ML093100496), as supplemented by letter 
dated December 10, 2009 (ADAMS Accession No. ML093630884), and the SE 
dated January 22, 2010 (ADAMS Accession No. ML093620895), which may be 
examined, and/or copied for a fee, at the NRC's Public Document Room, 
located at One White Flint North, 11555 Rockville Pike (first floor), 
Rockville, MD, and accessible electronically through the ADAMS Public 
Electronic Reading Room link at the NRC Web site: http://www.nrc.gov.

    Dated at Rockville, Maryland, this 22 day of January 2010.

    For the Nuclear Regulatory Commission.
Charles L. Miller,
Director, Office of Federal and State Materials and Environmental 
Management Programs.
Joseph G. Giitter,
Director, Division of Operating Reactor Licensing, Office of Nuclear 
Reactor Regulation.
Michael F. Weber,
Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. 2010-2139 Filed 2-1-10; 8:45 am]
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