[Federal Register Volume 87, Number 120 (Thursday, June 23, 2022)]
[Notices]
[Pages 37535-37537]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-13428]
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NUCLEAR REGULATORY COMMISSION
[Docket Nos. 50-305 and 72-64; License No. DPR-43; EA-22-030; NRC-2021-
0185]
In the Matter of Dominion Energy Kewaunee, Inc.; Kewaunee Power
Station and the Kewaunee Independent Spent Fuel Storage Installation
AGENCY: Nuclear Regulatory Commission.
ACTION: Indirect transfer of license; order.
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SUMMARY: The U.S. Nuclear Regulatory Commission (NRC, the Commission)
is issuing an order approving the indirect transfer of Renewed Facility
Operating License No. DPR-43 for the Kewaunee Power Station (KPS) and
the general license for the KPS independent spent fuel storage
installation, held by Dominion Energy Kewaunee, Inc. (DEK), to Kewaunee
Solutions, Inc. (Kewaunee Solutions). The transfer assigns control of
the licenses from DEK's parent entity, Dominion Nuclear Projects, Inc.
(Dominion), to EnergySolutions, LLC and reflects, concurrent with the
transfer, the planned name change from DEK to Kewaunee Solutions. The
NRC is also issuing a draft conforming amendment to the renewed
facility operating license for administrative purposes to reflect the
license transfer from DEK to Kewaunee Solutions. The NRC determined
that Kewaunee Solutions, as a direct and wholly owned subsidiary of
EnergySolutions, is qualified to be the holder of the licenses and that
transfer of the licenses is otherwise consistent with applicable
provisions of law, regulations, and orders issued by the Commission
pursuant thereto, subject to the conditions set forth in the order. The
order approving the indirect transfer of the licenses was effective on
March 31, 2022.
DATES: The order was issued on March 31, 2022 and is effective for 1
year.
ADDRESSES: Please refer to Docket ID NRC-2021-0185 when contacting the
NRC about the availability of information regarding this document. You
may obtain publicly available information related to this document
using any of the following methods:
Federal Rulemaking Website: Go to https://www.regulations.gov and search for Docket ID NRC-2021-0185. Address
questions about Docket IDs in Regulations.gov to Stacy Schumann;
telephone: 301-415-0624; email: [email protected]. For technical
questions, contact the individual listed in the FOR FURTHER INFORMATION
CONTACT section of this document.
NRC's Agencywide Documents Access and Management System
(ADAMS): You may obtain publicly available documents online in the
ADAMS Public Documents collection at https://www.nrc.gov/reading-rm/adams.html. To begin the search, select ``Begin Web-based ADAMS
Search.'' For problems with ADAMS, please contact the NRC's Public
Document Room (PDR) reference staff at 1-800-397-4209, 301-415-4737, or
by email to [email protected]. The license transfer order, the NRC
safety evaluation supporting the staff's findings, and the draft
conforming license amendment are available in ADAMS under Package
Accession No. ML22014A387.
NRC's PDR: You may examine and purchase copies of public
documents, by appointment, at the NRC's PDR, Room P1 B35, One White
Flint North, 11555 Rockville Pike, Rockville, Maryland 20852. To make
an appointment to visit the PDR, please send an email to
[email protected] or call 1-800-397-4209 or 301-415-4737, between
8:00 a.m. and 4:00 p.m. Eastern Time (ET), Monday through Friday,
except Federal holidays.
FOR FURTHER INFORMATION CONTACT: Karl J. Sturzebecher, Office of
Nuclear Material Safety and Safeguards, U.S. Nuclear Regulatory
Commission, Washington, DC 20555-0001; telephone: 301-415-8534; email:
[email protected].
SUPPLEMENTARY INFORMATION: The text of the order is attached.
Dated: June 17, 2022.
For the Nuclear Regulatory Commission.
Shaun M. Anderson,
Chief, Reactor Decommissioning Branch, Division of Decommissioning,
Uranium Recovery, and Waste Programs, Office of Nuclear Material Safety
and Safeguards.
Attachment--Order Approving Indirect Transfer of License and Draft
Conforming License Amendment
United States of America
Nuclear Regulatory Commission
In the Matter of: Dominion Energy Kewaunee, Inc.; Kewaunee Power
Station and the Kewaunee Independent Spent Fuel Storage Installation;
EA-22-030; Docket Nos. 50-305 and 72-64; License No. DPR-43.
Order Approving Indirect Transfer of License and Draft Conforming
License Amendment
I
Dominion Energy Kewaunee, Inc. (DEK) is the holder of Renewed
Facility Operating License No. DPR-43 for Kewaunee Power Station (KPS)
and the general license for the KPS independent spent fuel storage
installation (ISFSI), and Dominion Nuclear Projects, Inc. (Dominion) is
the parent entity of DEK. KPS permanently ceased power operations on
May 7, 2013, and DEK certified to the U.S. Nuclear Regulatory
Commission (NRC) by letter dated May 14, 2013 (Agencywide Documents
Access and Management System (ADAMS) Accession No. ML13135A209) that as
of May 14, 2013
[[Page 37536]]
all the fuel was permanently removed from the KPS reactor vessel and
placed into the KPS spent fuel pool. Accordingly, pursuant to Title 10
of the Code of Federal Regulations (10 CFR) Section 50.82(a)(2), the
KPS license no longer authorizes operation of the KPS reactor or
emplacement or retention of fuel into the KPS reactor vessel. KPS was a
two-loop pressurized-water reactor designed by Westinghouse Electric
Corporation and licensed by the NRC to generate an approximate maximum
power output of 1772 megawatts-thermal in the Town of Carlton along the
coast of Lake Michigan in Kewaunee County, Wisconsin.
II
By letter dated May 10, 2021 (ADAMS Accession No. ML21131A141), as
supplemented by letters dated May 13, 2021 (ADAMS Accession No.
ML21145A118), October 28, 2021 (ADAMS Accession No. ML21301A177),
February 16, 2022 (ADAMS Accession No. ML22047A057), and March 15, 2022
(ADAMS Accession No. ML22076A065), DEK and EnergySolutions, LLC
(EnergySolutions) (together, the Applicants) requested that the NRC
consent to the indirect transfer of control of Renewed Facility
Operating License No. DPR-43 for KPS and the general license for the
KPS ISFSI. Pursuant to Section 184, ``Inalienability of Licenses,'' of
the Atomic Energy Act of 1954, as amended (AEA), and 10 CFR 50.80,
``Transfer of licenses,'' and 10 CFR 72.50, ``Transfer of license,''
the Applicants requested indirect transfer of control of the licenses
from DEK's parent entity, Dominion, to EnergySolutions. In addition,
pursuant to 10 CFR 50.90, ``Application for amendment of license,
construction permit, or early site permit,'' the Applicants requested
that the NRC approve a conforming administrative amendment to Renewed
Facility Operating License No. DPR-43 to reflect, concurrent with the
transfer, the proposed transfer and the planned name change from DEK to
Kewaunee Solutions, Inc. (Kewaunee Solutions). By letter dated March
15, 2022, the Applicants requested that the NRC approve the withdrawal
of the previous commitment made by letter dated February 16, 2022 and
replace it with a new commitment that Kewaunee Solutions will retain in
place, and assume responsibility for, the implementation of the current
NRC-approved quality assurance program for KPS. This commitment shall
remain in effect until the Kewaunee Solutions Decommissioning Quality
Assurance Program for KPS is approved by the NRC and implemented at the
site.
Upon an NRC approval of the license transfer application and the
consummation of the proposed transfer transaction, the same legal
entity would remain the KPS licensee, and its name would change from
DEK to Kewaunee Solutions. Kewaunee Solutions would continue to hold
title to and ownership of any real estate encompassing the KPS site,
any improvements to the site, and title to and ownership of spent
nuclear fuel. Kewaunee Solutions would have responsibility for all
licensed activities at the KPS site, including responsibility under the
license to complete decommissioning pursuant to NRC regulations.
However, Kewaunee Solutions would operate under new management and
would be a direct and wholly owned subsidiary of EnergySolutions.
On October 12, 2021, the NRC published in the Federal Register (FR)
(86 FR 56731) a notice of consideration of approval of the license
transfer application and of a conforming amendment to the license to
reflect the proposed transfer. This notice provided an opportunity to
request a hearing within 20 days and an opportunity to comment within
30 days. No hearing requests or comments were received.
In accordance with 10 CFR 50.80, no license for a production or
utilization facility, or any right thereunder, shall be transferred,
either voluntarily or involuntarily, directly or indirectly, through
transfer of control of the license to any person, unless the Commission
gives its consent in writing. In accordance with 10 CFR 72.50, no
license or any part included in a license for an ISFSI shall be
transferred, either voluntarily or involuntarily, directly or
indirectly, through transfer of control of the license to any person,
unless the NRC gives its consent in writing. Upon review of the
information in the license transfer application, as supplemented, and
other information before the Commission, and relying upon the
representations and agreements contained in the application, the NRC
staff has determined that Kewaunee Solutions, as a direct and wholly
owned subsidiary of EnergySolutions, is qualified to be the holder of
Renewed Facility Operating License No. DPR-43 for KPS and the general
license for the KPS ISFSI and that transfer of the licenses is
otherwise consistent with applicable provisions of law, regulations,
and orders issued by the Commission pursuant thereto, subject to the
conditions set forth below.
Upon review of the application, as supplemented, for a conforming
administrative license amendment to reflect the transfer, the NRC staff
has determined that:
(1) The application for amendment complies with the standards and
requirements of the AEA and the Commission's regulations set forth in
10 CFR Chapter I.
(2) The facility will operate in conformity with the application,
the provisions of the AEA, and the Commission's regulations.
(3) There is reasonable assurance that the activities authorized by
the amendment can be conducted without endangering the health and
safety of the public and that such activities will be conducted in
compliance with the Commission's regulations.
(4) The issuance of the amendment will not be inimical to the
common defense and security or to the health and safety of the public.
(5) The issuance of the amendment is in accordance with 10 CFR part
51, ``Environmental Protection Regulations for Domestic Licensing and
Related Regulatory Functions,'' of the Commission's regulations and all
applicable requirements have been satisfied.
The findings set forth above are supported by an NRC staff safety
evaluation dated March 31, 2022, which is publicly available at
ML22014A394.
III
Accordingly, pursuant to Sections 161b, 161i, and 184 of the AEA;
42 United States Code Sec. Sec. 2201(b), 2201(i), and 2234; and 10 CFR
50.80, 10 CFR 72.50, and 10 CFR 50.90, it is hereby ordered that the
license transfer application, as described herein, is approved, subject
to the following conditions:
(1) At least two business days before the planned closing date of
the purchase transaction, EnergySolutions shall provide the Director of
the NRC's Office of Nuclear Material Safety and Safeguards (NMSS)
satisfactory documentary evidence of the establishment of, as of
closing, a dedicated subaccount within the KPS decommissioning trust
fund or a Back-Up Nuclear Decommissioning Trust containing $7 million
(approximately one year's worth of estimated ISFSI operation and
maintenance (O&M) costs). EnergySolutions shall also provide the
Director of NMSS satisfactory documentary evidence of the establishment
of, as of closing, a parent support agreement providing that
EnergySolutions shall obtain a performance bond if a settlement
agreement with the U.S. Department of Energy (DOE) on DOE
reimbursements
[[Page 37537]]
for spent fuel management expenses is not entered into by January 1,
2024. The performance bond will be effective January 1, 2024 in the
amount of, at least, $8 million, and it will be renewed annually. This
amount covers the annual amount of ISFSI O&M costs projected for 2024-
2030. The parent support agreement will provide that the performance
bond value, combined with the aggregate trust fund values, will be
sufficient for radiological decommissioning and ISFSI O&M costs at KPS
at all times.
(2) At least two business days before the planned closing date of
the purchase transaction, EnergySolutions shall provide the Director of
NMSS satisfactory documentary evidence that the appropriate amount of
insurance required of a licensee under 10 CFR 140.11(a)(4) and 10 CFR
50.54(w) has been obtained.
It is further ordered that after receipt of all required regulatory
approvals of the indirect license transfer, the Applicants shall inform
the Director of NMSS in writing of such receipt and of the date of the
closing of the transfer no later than five business days prior to the
date of the closing of the transfer. Should the indirect license
transfer not be completed within one year of the date of this order,
this order shall become null and void, provided, however, that upon
written application and for good cause shown, such date may be extended
by order. The conditions of this order may be amended upon application
by the Applicants and approval by the NRC.
It is further ordered that consistent with 10 CFR 2.1315(b), the
license amendment that makes changes, as indicated in Enclosure 2,
``DRAFT CONFORMING LICENSE AMENDMENT TO RENEWED FACILITY OPERATING
LICENSE NO. DPR-43 DOCKET NO. 50-305,'' to the letter transmitting this
order, to reflect the subject license transfer, is approved. The
amendment shall be issued and made effective at the time the proposed
transfer actions are completed.
This order is effective upon issuance.
For further details with respect to this order, see the application
dated May 10, 2021, as supplemented by letters dated May 13, 2021,
October 28, 2021, February 16, 2022, and March 15, 2022, and the
associated NRC staff safety evaluation dated March 31, 2022, which are
available for public inspection electronically through ADAMS in the NRC
Library at https://www.nrc.gov/reading-rm/adams.html. Persons who do
not have access to ADAMS or who encounter problems accessing the
documents located in ADAMS should contact the NRC Public Document Room
reference staff by telephone at 1-800-397-4209 or 301-415-4737 or by
email to [email protected].
Dated: March 31, 2022.
For the Nuclear Regulatory Commission.
/RA/
John W. Lubinski,
Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. 2022-13428 Filed 6-22-22; 8:45 am]
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