[Federal Register Volume 75, Number 42 (Thursday, March 4, 2010)]
[Notices]
[Pages 9956-9958]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-4527]


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NUCLEAR REGULATORY COMMISSION

[Docket Nos. 50-272, 50-311 and 50-354; NRC-2010-0043]


PSEG Nuclear LLC, Hope Creek Generating Station and Salem Nuclear 
Generating Station, Unit Nos. 1 and 2; Exemption

1.0 Background

    PSEG Nuclear LLC (PSEG or the licensee) is the holder of Facility 
Operating License Nos. DPR-70, DPR-75, and NPF-57, which authorize 
operation of the Salem Nuclear Generating Station, Unit Nos. 1 and 2 
(Salem), and Hope Creek Generating Station (HCGS). The licenses 
provide, among other things, that the facility is subject to all rules, 
regulations, and orders of the U.S. Nuclear Regulatory Commission (NRC, 
the Commission) now or hereafter in effect.
    The facilities consist of two pressurized-water reactors, Salem 
Unit Nos. 1 and 2, and a boiling-water reactor, HCGS, located in Salem 
County, New Jersey.

2.0 Request/Action

    Title 10 of the Code of Federal Regulations (10 CFR) part 73, 
``Physical protection of plants and materials,'' section 73.55, 
``Requirements for physical protection of licensed activities in 
nuclear power reactors against radiological sabotage,'' published as 
part of a final rule in the Federal Register on March 27, 2009 (74 FR 
13926), requires licensees to protect, with high assurance, against 
radiological sabotage by designing and implementing comprehensive site 
security programs. The final rule became effective on May 26, 2009, and 
compliance with the final rule is required by March 31, 2010.
    The amendments to 10 CFR 73.55 published on March 27, 2009, 
establish and update generically applicable security requirements 
similar to those previously imposed by Commission orders issued after 
the terrorist attacks of September 11, 2001, and implemented by 
licensees. In addition, the amendments to 10 CFR 73.55 include 
additional requirements to further enhance site security based upon 
insights gained from implementation of the post September 11, 2001, 
security orders. It is from three of these new requirements that PSEG 
now seeks an exemption from the March 31, 2010, implementation date for 
HCGS and Salem. All other physical security requirements established by 
this recent rulemaking have already been or will be implemented by the 
licensee by March 31, 2010. Specifically, by two letters dated November 
3, 2009, PSEG requested an exemption in accordance with 10 CFR 73.5, 
``Specific exemptions.'' Due to the significant number of engineering 
design packages, procurement needs, and installation activities 
associated with the required security system upgrades, the licensee has 
requested an exemption from the March 31, 2010, implementation date 
specified in the new rule for three requirements in the rule. The items 
subject to the request for exemption are proposed to be implemented by 
December 17, 2010. The first letter, PSEG letter number LR-N09-0248 
(Agencywide Documents Access and Management System (ADAMS) Accession 
No. ML093100223), contains one enclosure that was designated by the 
licensee as containing safeguards information and, accordingly, the 
enclosure is not available to the public. The second letter, PSEG 
letter number LR-N09-0249 (ADAMS Accession No. ML093100222), including 
its two enclosures, is publicly available. The first enclosure is a 
redacted version of the safeguards enclosure in letter number LR-N09-
0248 and the second enclosure is an environmental impact statement.
    Based on a discussion with the NRC staff, as documented in an e-
mail dated November 12, 2009 (ADAMS Accession No. ML093200070), PSEG 
submitted a letter dated November 20, 2009, to clarify the exemption 
request. The November 20, 2009, letter contains safeguards information 
and, accordingly, is not publicly available.
    On December 15, 2009, the NRC staff held a closed meeting with PSEG 
to discuss the proposed exemption. A summary of the meeting was issued 
by the NRC staff on December 28, 2009 (ADAMS Accession No. 
ML093500644). As follow-up to the meeting, PSEG submitted two letters, 
dated December 22, 2009, that superseded the November 3, and November 
20, 2009, submittals, with the exception of the environmental impact 
statement. The first letter, PSEG letter number LR-N09-0313, contains

[[Page 9957]]

safeguards information and, accordingly, is not available to the 
public. The second letter, PSEG letter number LR-N09-0314 (ADAMS 
Accession No. ML093640062), is publicly available and contains a 
redacted version of the safeguards information contained in letter 
number LR-N09-0313.
    Being granted this exemption for the three items would allow the 
licensee additional time to complete the upgrades to the HCGS--Salem 
security system as required by the recent revisions to 10 CFR 73.55.

3.0 Discussion of Part 73 Schedule Exemptions From the March 31, 2010, 
Full Implementation Date

    Pursuant to 10 CFR 73.55(a)(1), ``By March 31, 2010, each nuclear 
power reactor licensee, licensed under 10 CFR Part 50, shall implement 
the requirements of this section through its Commission-approved 
Physical Security Plan, Training and Qualification Plan, Safeguards 
Contingency Plan, and Cyber Security Plan referred to collectively 
hereafter as `security plans.' '' Pursuant to 10 CFR 73.5, the 
Commission may, upon application by any interested person or upon its 
own initiative, grant exemptions from the requirements of 10 CFR Part 
73 when the exemptions are authorized by law, and will not endanger 
life or property or the common defense and security, and are otherwise 
in the public interest.
    NRC approval of this exemption request would, as noted above, allow 
an extension from March 31, 2010, until December 17, 2010, for the 
three specific portions of the rule. The NRC staff has determined that 
granting of the licensee's proposed exemption would not result in a 
violation of the Atomic Energy Act of 1954, as amended, or the 
Commission's regulations. Therefore, NRC approval of the licensee's 
exemption request is authorized by law.
    In the draft final rule sent to the Commission on July 9, 2008 
(ADAMS Accession No. ML081780209), the NRC staff proposed that the 
requirements of the new regulation be met within 180 days. The 
Commission directed a change from 180 days to approximately 1 year for 
licensees to fully implement the new requirements. This change was 
incorporated into the final rule. From this, it is clear that the 
Commission wanted to provide a reasonable timeframe for licensees to 
achieve full compliance.
    As noted in the final rule, the Commission also anticipated that 
licensees would have to conduct site-specific analyses to determine 
what changes were necessary to implement the rule's requirements, and 
that changes could be accomplished through a variety of licensing 
mechanisms, including exemptions. Since issuance of the final rule, the 
Commission has rejected a generic industry request to extend the rule's 
compliance date for all operating nuclear power plants, but noted that 
the Commission's regulations provide mechanisms for individual 
licensees, with good cause, to apply for relief from the compliance 
date (Reference: June 4, 2009, letter from R.W. Borchardt, NRC, to M. 
S. Fertel, Nuclear Energy Institute, ADAMS Accession No. ML091410309). 
The licensee's request for an exemption is therefore consistent with 
the approach set forth by the Commission and discussed in the June 4, 
2009, letter.

HCGS--Salem Schedule Exemption Request

    The licensee provided detailed information regarding the proposed 
exemption in the enclosure to its letter dated December 22, 2009. The 
enclosure describes a comprehensive plan to upgrade the HCGS--Salem 
security system to meet the new requirements in 10 CFR Part 73. Due to 
the significant number of engineering design packages, procurement 
needs, and installation activities associated with the required 
security system upgrades, the licensee has requested an exemption from 
the March 31, 2010, implementation date specified in the new rule for 
three specific requirements in the rule. The three items subject to the 
request for exemption are proposed to be implemented by December 17, 
2010.
    The enclosure to the licensee's letter dated December 22, 2009, 
details the specific portions of the regulation for which the site 
cannot be in compliance by the March 31, 2010, implementation date, 
along with justifications for each of the proposed non-compliances. The 
enclosure also provides a milestone schedule with the activities 
necessary to bring the licensee into full compliance with 10 CFR 73.55 
by December 17, 2010.
    Notwithstanding the schedular exemptions for these limited 
requirements, the licensee will continue to be in compliance with all 
other applicable physical security requirements as described in 10 CFR 
73.55 and reflected in its current NRC-approved physical security 
program. By December 17, 2010, HCGS and Salem will be in full 
compliance with all the regulatory requirements of 10 CFR 73.55, as 
issued on March 27, 2009.

4.0 Conclusion for Part 73 Schedule Exemption Request

    The staff has reviewed the licensee's submittals and concludes that 
the licensee has provided adequate justification for its request for an 
extension of the compliance date to December 17, 2010, with regard to 
three specified requirements of 10 CFR 73.55.
    Accordingly, the Commission has determined that pursuant to 10 CFR 
73.5, ``Specific exemptions,'' an exemption from the March 31, 2010, 
compliance date is authorized by law and will not endanger life or 
property or the common defense and security, and is otherwise in the 
public interest. Therefore, the Commission hereby grants the requested 
exemption.
    The NRC staff has determined that the long-term benefits that will 
be realized when the security upgrades are complete justifies extending 
the March 31, 2010, full compliance date for the three items in the 
licensee's exemption request. The security measures that the licensee 
needs additional time to implement are new requirements imposed by 
March 27, 2009, amendments to 10 CFR 73.55, and are in addition to 
those required by the security orders issued in response to the events 
of September 11, 2001. Therefore, the NRC staff concludes that the 
licensee's actions are in the best interest of protecting the public 
health and safety through the security changes that will result from 
granting this exemption.
    As per the licensee's request and the NRC's regulatory authority to 
grant an exemption from the March 31, 2010, implementation deadline for 
the three items specified in the enclosure to PSEG's letter dated 
December 22, 2009, the licensee is required to be in full compliance 
with 10 CFR 73.55 by December 17, 2010. In achieving compliance, the 
licensee is reminded that it is responsible for determining the 
appropriate licensing mechanism (i.e., 10 CFR 50.54(p) or 10 CFR 50.90) 
for incorporation of all necessary changes to its security plans.
    Pursuant to 10 CFR 51.32, ``Finding of no significant impact,'' the 
Commission has previously determined that the granting of this 
exemption will not have a significant effect on the quality of the 
human environment (75 FR 6223; dated February 8, 2010).
    This exemption is effective upon issuance.

    Dated at Rockville, Maryland, this 25th day of February 2010.


[[Page 9958]]


    For the Nuclear Regulatory Commission.
Allen G. Howe,
Acting Director, Division of Operating Reactor Licensing, Office of 
Nuclear Reactor Regulation.
[FR Doc. 2010-4527 Filed 3-3-10; 8:45 am]
BILLING CODE 7590-01-P