[Federal Register Volume 88, Number 107 (Monday, June 5, 2023)]
[Notices]
[Pages 36573-36576]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-11877]



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DEPARTMENT OF ENERGY


Notice of Intent to Prepare an Environmental Impact Statement for 
High-Assay Low-Enriched Uranium (HALEU) Availability Program Activities 
in Support of Commercial Production of HALEU Fuel

AGENCY: Office of Nuclear Energy, Department of Energy.

ACTION: Notice of intent.

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SUMMARY: In the Energy Act of 2020, the Secretary of Energy is charged 
with establishing and carrying out, through the Office of Nuclear 
Energy, a program to support the availability of uranium enriched to 
greater than 5 and less than 20 weight percent uranium-235 (U-235) 
(i.e., high-assay low-enriched uranium [HALEU]), for civilian domestic 
research, development, demonstration, and commercial use. Consistent 
with the objectives of, and direction in the Energy Act of 2020, the 
Department of Energy (DOE) proposes to take actions to establish a 
temporary domestic demand for HALEU to stimulate a diverse, domestic 
commercial HALEU supply that could ultimately lead to a competitive 
HALEU market and a more certain domestic HALEU demand. To this end, DOE 
intends to prepare an environmental impact statement (EIS) in 
accordance with the National Environmental Policy Act (NEPA) and its 
implementing regulations that will analyze the impacts of DOE's 
Proposed Action to facilitate the domestic commercialization of HALEU 
production and to acquire HALEU for ultimate commercial use or 
demonstration projects.

DATES: DOE invites public comment on the scope of the EIS during a 45-
day public scoping period commencing on June 5, 2023, and ending on 
July 20, 2023. DOE will hold webcast scoping meetings on June 21, 2023, 
at 6:00 p.m. ET, on June 21, 2023, at 8:00 p.m. ET, and on June 21, 
2023, at 10:00 p.m. ET. In defining the scope of the EIS, DOE will 
consider all comments received or postmarked by the end of the scoping 
period. Comments received or postmarked after the scoping period end 
date will be considered to the extent practicable.

ADDRESSES: Written comments regarding the scope of the EIS should be 
sent to Mr. James Lovejoy, DOE EIS Document Manager, by mail to: U.S. 
Department of Energy, Idaho Operations Office, 1955 Fremont Avenue, MS 
1235, Idaho Falls, Idaho 83415; or by email to [email protected].

FOR FURTHER INFORMATION CONTACT: Further information including public 
meeting and registration information is available on the project 
website, https://www.energy.gov/ne/haleu-environmental-impact-statement. All requests for additional information including requests 
to be placed on the email list for project information should be sent 
to [email protected]. For information regarding the HAP or 
the EIS, contact Mr. James Lovejoy, [email protected], (208) 526-
4519. For general information on DOE's NEPA process, contact Mr. Jason 
Anderson, [email protected], (208) 526-0174.

SUPPLEMENTARY INFORMATION:

Background

    DOE has an overall uranium strategy that covers a variety of 
enriched uranium needs, including civilian and commercial needs 
supported by the Office of Nuclear Energy and national security, 
nonproliferation, and defense needs supported by the National Nuclear 
Security Administration's Defense Programs, Defense Nuclear 
Nonproliferation, and Naval Reactors programs. Section 2001(a) of the 
Energy Act of 2020 (42 U.S.C. 16281; 134 Stat. 2453; Pub. L. 116-260 
Div Z) charges the Secretary of Energy with establishing and carrying 
out, through the Office of Nuclear Energy, a program to support the 
availability of HALEU for civilian domestic research, development, 
demonstration, and commercial use. HALEU (or ``HA-LEU'') is defined 
under the Energy Act of 2020 as ``uranium having an assay greater than 
5.0 weight percent and less than 20.0 weight percent of the uranium-235 
isotope.'' 42 U.S.C. 16281(d)(4). DOE's activities to implement Section 
2001(a), generally referred to as the HALEU Availability Program (HAP), 
include several elements, such as conducting biennial surveys of 
industry stakeholders to estimate the amount of HALEU needed for 
domestic commercial use for the subsequent 5 years; establishing a 
consortium of entities involved in the nuclear fuel cycle to support 
the availability of HALEU (including by providing survey information 
and purchasing HALEU made available by the Secretary for commercial 
use); and acquiring or providing HALEU from a stockpile of uranium 
owned by the Department or using enrichment technology to supply 
members of the consortium with HALEU for commercial use or 
demonstration projects.
    The focus of this NOI and related EIS is DOE's implementation of 
Section 2001(a)(2)(D)(v) of the Energy Act of 2020 for the acquisition 
of HALEU produced by a commercial entity using enrichment technology 
and making it available for commercial use or demonstration projects. 
The Inflation Reduction Act (section 50173) [Pub. L. 117-169] provided 
$700 million in support of various HALEU program activities directed in 
the Energy Act of 2020. From these funds, $500 million is being 
considered for use in stimulating a diverse commercial supply chain for 
HALEU. The establishment of this commercial supply of enriched uranium 
is a key element of DOE's uranium strategy.
    The current U.S. commercial power reactor fuel cycle is based on 
reactor fuel that is enriched to no more than 5 weight percent U-235 
(low-enriched uranium [LEU]), but many advanced reactor designs require 
HALEU, which is enriched to greater than 5 and less than 20 weight 
percent U-235. Using HALEU fuel allows advanced reactor designers to 
create smaller reactors that produce more power with less fuel than the 
current fleet of reactors. HALEU will also allow developers to optimize 
their systems for longer life cores, increased safety margins, and 
other increased efficiencies. Although some advanced reactor 
technologies are currently under development, there is no domestic 
commercial source of HALEU available to fuel them. The lack of such a 
source could impede both the demonstration of these technologies being 
developed and the development of future advanced reactor technologies. 
Initial sources of uranium to meet the requirements of the HAP could be 
existing DOE stockpiles of highly enriched uranium (HEU) that would be 
processed or down-blended into HALEU (e.g., activities conducted 
outside of the Proposed Action and that are covered by separate 
existing or pending NEPA documentation). As DOE stockpiles are 
depleted, production would need to be supplemented by or transition to 
commercially-operated facilities.
    To accelerate development of a sustainable commercial HALEU supply 
capability, an initial public/private partnership is recommended to 
address the high-fidelity (high-confidence demand) HALEU market (e.g., 
fuel for demonstration reactors) plus a percentage of the projected 
commercial demand for power reactors. The private sector could 
incrementally expand the capacity in a modular fashion to establish 
HALEU enrichment and supply that are sufficient to meet future needs as 
a sustainable market develops.
    The development of a commercial HALEU fuel cycle would involve: (1) 
uranium ore production (e.g., in situ-recovery), (2) conversion of the 
uranium

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ore into enrichment feed (converting the uranium ore into hexafluoride 
suitable for enrichment), (3) enrichment to HALEU (in particular, HALEU 
enriched to at least 19.75 and less than 20 weight percent U-235), (4) 
deconversion (conversion of the uranium hexafluoride into forms 
suitable for fuel fabrication), (5) transportation services for HALEU 
(e.g., from the enrichment site to the deconversion site), and (6) 
storage capability. The EIS will evaluate implementation of the 
Proposed Action of facilitating the commercialization of HALEU 
production and DOE's acquisition of HALEU, including the direct and 
reasonably foreseeable indirect effects of that acquisition.
    Certain activities related to the Proposed Action are regulated by 
other agencies, including, but not limited to the Nuclear Regulatory 
Commission (NRC) and the Department of Transportation. DOE expects that 
permits, license amendments, and/or licenses may be required for 
activities such as mining/recovery; the operation of a conversion 
facility; the construction and operation of enrichment facilities, a 
deconversion facility, and HALEU storage facilities; and HALEU 
transportation. DOE will coordinate with Agreement States \1\ and 
agencies with regulatory authority, utilize existing and related 
analyses of other agencies, and incorporate, as appropriate, 
information to ensure a robust and efficient DOE NEPA analysis, as well 
as to streamline and inform the process at DOE and with other entities 
with NEPA responsibilities related to the Proposed Action.
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    \1\ An Agreement State is a State that has entered into an 
agreement with the NRC that gives the State the authority to license 
and inspect byproduct, source, or special nuclear materials used or 
possessed within their borders.
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Purpose and Need for Agency Action

    One of the aspects of a clean energy future is sustainment and 
expanded development of safe and affordable nuclear power. One key 
element of that goal is the availability of fuel to power advanced 
reactors. DOE is committed to support the development and deployment of 
the HALEU fuel cycle and to acquire and provide HALEU as authorized by 
Congress in Section 2001 of the Energy Act of 2020.
    Development of innovative technologies, including the next 
generation of advanced reactors, and advanced fuels, will help ensure 
that nuclear power continues to bolster America's energy security by 
providing a source of resilient, carbon-free power in the United 
States.
    There is currently insufficient private incentive to invest in 
commercial HALEU production due to the current market base. There is 
also insufficient incentive to invest in the necessary commercial 
deployment of advanced reactors because the domestic fuel supply chain 
does not exist. The Energy Act of 2020 aims to stimulate HALEU supply 
to support the development, demonstration, and deployment of advanced 
reactors in a manner that establishes a diversity of supply and healthy 
market forces for the future. This concern is a consistent theme in the 
industry responses to DOE's Request for Information Regarding the 
Establishment of a Program to Support the Availability of High-Assay 
Low-Enriched Uranium (the ``RFI'') (86 FR 71055-71058; December 14, 
2021). These responders emphasized the importance of the HALEU 
consortium that is called for in the Energy Act of 2020 and that DOE 
established on December 7, 2022 (87 FR 75048). Responders also 
emphasized the opportunity for DOE to be an agent for stability (both 
in assuring HALEU availability and market price certainty) during the 
initial phase of HALEU fuel production.
    DOE predicts that by the mid-2020s, approximately 22 metric tons of 
uranium (MTU) of HALEU will be needed for initial core loadings to 
support DOE's reactor demonstrations and research reactors that were 
converted from highly enriched uranium fuel with a high-fidelity HALEU 
(up to 19.75 weight percent U-235 enrichment) with demand of between 8 
and 12 MTU annually for the next 10 years and increasing to over 50 MTU 
by 2035. Additionally, the Nuclear Energy Institute (NEI) surveyed its 
utility members that plan to utilize HALEU to identify their estimated 
annual needs through 2035. This survey estimated industry requirements 
could be as high as 600 MTU of HALEU at between 10.9 and 19.75 weight 
percent enriched U-235 per year by 2035.
    Both DOE and industry groups have recognized that DOE action is 
needed to facilitate the development of the infrastructure that would 
support the availability of HALEU fuel to support both near-term 
research and demonstration needs and to support the U.S. commercial 
nuclear industry. DOE and the NEI recognize that the main challenge to 
establishing a commercial HALEU-based reactor economy is the upfront 
capital investment of more than $500 million (an NEI estimate and 
consistent with the Inflation Reduction Act funds appropriated to DOE) 
required to establish the capability of producing quantities of HALEU 
suitable for commercial fuel fabrication facilities needed for the 
various types of HALEU reactors proposed.

Proposed Action

    The Proposed Action is to acquire, through procurement from 
commercial sources, HALEU enriched to at least 19.75 and less than 20 
weight percent U-235 over a ten-year period of performance, and to 
facilitate the establishment of commercial HALEU fuel production. The 
Proposed Action implements Section 2001(a)(2)(D)(v) of the Energy Act 
of 2020 for the acquisition of HALEU produced by a commercial entity 
using enrichment technology and making it available for commercial use 
or demonstration projects. The Proposed Action would be conducted in a 
manner that prioritizes social equities and the constructive engagement 
with disadvantaged communities.
    Given the variety of HALEU applications, the initial capability is 
intended to be flexible and able to accommodate:
     Enrichments of U-235 to greater than 5 and less than 20 
weight percent;
     Production of between 5 and 145 MTU of HALEU;
     Modular HALEU fuel cycle facility design concepts to 
accommodate future growth; and
     Deconversion of uranium hexafluoride to forms suitable for 
production of a variety of uranium fuels, to include oxides and metal.
    The NEPA coverage for the Proposed Action will address a broad 
range of activities. The EIS will analyze reasonable alternatives and 
the no action alternative, and address the following activities 
facilitating the commercialization of HALEU fuel production and 
acquisition of HALEU:
     Extraction and recovery of uranium ore (from domestic and/
or foreign sources);
     Conversion of the uranium ore into uranium hexafluoride;
     Enrichment (possibly in up to three steps)
    [cir] Enrichment to LEU to no more than 5 weight percent U-235,
    [cir] Enrichment to HALEU greater than 5 and less than 10 weight 
percent U-235, and
    [cir] Enrichment to HALEU from 10 to less than 20 weight percent U-
235 in an NRC Category II facility; \2\
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    \2\ NRC classifies special nuclear materials (SNM) and the 
facilities that possess them into three categories based upon the 
materials' potential for use in nuclear weapons, or their 
``strategic significance.'' The NRC's physical security requirements 
differ by category, from least stringent for Category III facilities 
to most stringent for Category I facilities. NRC Category III 
Facility (low strategic significance), includes facilities 
containing uranium at enrichments of less than 10 weight percent U-
235. NRC Category II Facility (moderate strategic significance), 
include facilities containing uranium at enrichments from 10 weight 
percent to less than 20 weight percent U-235. NRC Category I 
Facility (strategic special nuclear material), include facilities 
containing uranium at enrichments equal to or greater than 20 weight 
percent U-235.

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     Deconversion of the uranium hexafluoride to uranium oxide, 
metal, and potentially other forms in an NRC Category II facility;
     Storage in an NRC Category II facility;
     DOE acquisition of HALEU; and
     Transportation of uranium/HALEU between facilities.
    In addition to the activities above, there are several reasonably 
foreseeable activities that could result from implementation of the 
Proposed Action. They include:
     Fuel fabrication for a variety of fuel types in an NRC 
Category II facility;
     Reactor (demonstration and test, power, isotope 
production) operation; and
     Spent fuel storage and disposition.
    While not specifically a part of the Proposed Action, the impacts 
from these reasonably foreseeable activities would be acknowledged and 
addressed to the extent practicable.

Potential Environmental Issues for Analysis

    DOE proposes to address the issues listed in this section when 
considering the potential impacts of the Proposed Action:
     Potential effects on public health from exposure to 
radionuclides under routine and credible accident scenarios, such as 
natural disasters (floods, hurricanes, tornadoes, and seismic events).
     Potential impacts on surface and groundwater, floodplains 
and wetlands, and on water use and quality.
     Potential impacts on air quality (including climate 
change) and noise.
     Potential impacts on plants, animals, and their habitats, 
including species that are Federal- or state-listed as threatened or 
endangered, or of special concern.
     Potential impacts on geology and soils.
     Potential impacts on cultural and historic resources.
     Socioeconomic impacts on potentially affected communities.
     Potential disproportionately high and adverse effects on 
minority and low-income populations.
     Potential impacts on land-use plans, policies and 
controls, and visual resources.
     Potential impacts on waste management practices and 
activities.
     Potential impacts from the transportation of HALEU-related 
radioactive materials.
     Potential impacts of intentional destructive acts, 
including sabotage and terrorism.
     Unavoidable adverse impacts and irreversible and 
irretrievable commitments of resources.
     Potential cumulative environmental effects of past, 
present, and reasonably foreseeable future actions.
     Compliance with all applicable Federal, state, and local 
statutes and regulations, and with international agreements, and 
required Federal and state environmental permits, consultations, and 
notifications.

Public Scoping Process

    NEPA implementing regulations require an early and open process for 
determining the scope of an EIS and for identifying the significant 
issues related to a proposed action. To ensure that a full range of 
issues related to the Proposed Action are addressed, DOE invites 
Federal agencies, state, local, and tribal governments, the general 
public, and the commercial community to comment on the scope of the 
EIS. Specifically, DOE invites comment on the identification of 
reasonable alternatives and information and analyses relevant to the 
Proposed Action and specific environmental issues to be addressed. 
Analysis of written and oral public comments provided during the 
scoping period will help DOE further identify concerns and potential 
issues to be considered in the Draft EIS.

Virtual Scoping Meeting Information

    DOE will host three interactive webcasts during the scoping period 
as listed under the DATES section. The purpose of the webcasts is two-
fold: the first is to provide the public with information about the 
NEPA process and the Proposed Action and the second is to invite public 
comments on the scope of the EIS.
    The webcasts will begin with presentations on the NEPA process and 
the Proposed Action. Following the presentations, there will be a 
moderated session during which members of the public can provide oral 
comments on the scope of the EIS. Commenters will be allowed 3 minutes 
to provide comments. Comments will be recorded.
    DOE recommends that members of the public who would like to provide 
oral comments pre-register for the virtual scoping meetings. Although 
pre-registration is not required, pre-registered attendees will have 
prioritized oral comments in the limited 50-minute comment period. 
Those who attend as a guest will also be able to provide comments but 
will be added to the end of the comment queue during the meeting. In 
addition to prioritized comments, advanced registration will allow 
attendees to receive meeting reminders about their registered event(s). 
Upon registration, an email containing a unique link to join the 
meeting will be provided. All links to pre-register for the event will 
close at noon (ET), June 21, 2023. Parties interested in attending as a 
guest will not receive email reminders on their chosen event, but the 
links to attend as a guest will remain open until the meeting 
concludes. To obtain additional information, meeting links, and audio-
only call-in options, please visit https://www.energy.gov/ne/haleu-environmental-impact-statement. Written comments will be accepted by 
mail and email at the addresses identified in the ADDRESSES section.

Projected EIS Schedule

    DOE expects to announce the availability of the Draft EIS in the 
Federal Register by the end of 2023. This will initiate the public 
comment period on the Draft EIS during which DOE will hold public 
hearings. DOE will consider all comments on the Draft EIS received 
during the public comment period (and to the extent practicable, 
comments received or postmarked after the public comment period end 
date) in developing the Final EIS. Availability of the Final EIS is 
planned to be announced in the Federal Register in mid-2024. 
Publication of the Record of Decision (ROD) will follow no sooner than 
30 days after publication of the Final EIS.

Signing Authority

    This document of the Department of Energy was signed on May 24, 
2023, by Dr. Kathryn Huff, Assistant Secretary for Nuclear Energy, 
pursuant to delegated authority from the Secretary of Energy. That 
document with the original signature and date is maintained by the 
Department of Energy. For administrative purposes only, and in 
compliance with requirements of the Office of the Federal Register, the 
undersigned Department of Energy Federal Register Liaison Officer has 
been authorized to sign and submit the document in electronic format 
for publication, as an official document of the Department of Energy. 
This

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administrative process in no way alters the legal effect of this 
document upon publication in the Federal Register.

    Signed in Washington, DC, on May 31, 2023.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2023-11877 Filed 6-2-23; 8:45 am]
BILLING CODE 6450-01-P