[Federal Register Volume 91, Number 47 (Wednesday, March 11, 2026)]
[Notices]
[Pages 12011-12013]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-04777]


-----------------------------------------------------------------------

NUCLEAR REGULATORY COMMISSION

[Docket Nos. 50-275 and 50-323; NRC-2026-1255]


Pacific Gas and Electric Company; Diablo Canyon Nuclear Power 
Plant, Units 1 and 2; Exemption

AGENCY: Nuclear Regulatory Commission.

ACTION: Notice; issuance.

-----------------------------------------------------------------------

SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) has issued an 
exemption from the regulation that would have required the application 
for renewal of Facility Operating License Nos. DPR-80 and DPR-82 for 
Diablo Canyon Nuclear Power Plant, Units 1 and 2, respectively, to be 
referred to the Advisory Committee on Reactor Safeguards for a review 
and report, with any report being made part of the record of the 
application and made available to the public, except to the extent that 
security classification prevents disclosure. Due to this exemption, 
such referral, review, and report are no longer required.

DATES: The exemption was issued on March 6, 2026.

ADDRESSES: Please refer to Docket ID NRC-2026-1255 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-2026-1255. Address 
questions about Docket IDs in Regulations.gov to Bridget Curran; 
telephone: 301-415-1003; 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 ADAMS Public Search.'' 
For problems with ADAMS, please contact the NRC's Public Document Room 
(PDR) reference staff at 1-800-397-4209, at 301-415-4737, or by email 
to [email protected].
     NRC's PDR: The PDR, where you may examine and order copies 
of publicly available documents, is open by appointment. 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 
a.m. and 4 p.m. eastern time (ET), Monday through Friday, except 
Federal holidays.

FOR FURTHER INFORMATION CONTACT: Brian Harris, Office of Nuclear 
Reactor Regulation, U.S. Nuclear Regulatory Commission, Washington, DC 
20555-0001; telephone: 301-415-2277; email: [email protected].

SUPPLEMENTARY INFORMATION: The text of the exemption is attached.

    For the Nuclear Regulatory Commission.

    Dated: March 9, 2026.
Brian Harris,
Project Manager, License Renewal Projects Branch, Division of New and 
Renewed Licenses, Office of Nuclear Reactor Regulation.

Attachment--Exemption

NUCLEAR REGULATORY COMMISSION

Docket Nos. 50-275 and 50-323

Pacific Gas and Electric Company

Diablo Canyon Nuclear Power Plant, Units 1 and 2 Exemption

I. Background

    Pacific Gas and Electric Company (PG&E, the licensee) is the holder 
of Facility Operating License Nos. DPR-80 and DPR-82 for Diablo Canyon 
Nuclear Power Plant (DCPP), Units 1 and 2, respectively. The licenses 
provide, among other things, that the licensee is subject to all rules, 
regulations, and orders of the U.S. Nuclear Regulatory Commission (NRC, 
the Commission) now or hereafter in effect. The DCPP consists of two 
pressurized-water reactors with licensed power levels of 3,411 
megawatts thermal, and it is located in San Luis Obispo County, 
California.
    On November 7, 2023, PG&E submitted to the NRC an application for 
renewal of Facility Operating License Nos. DPR-80 and DPR-82 for DCPP, 
Units 1 and 2, respectively, pursuant to title 10 of the Code of 
Federal Regulations (10 CFR) Part 54, ``Requirements for Renewal of 
Operating Licenses for Nuclear Power Plants,'' requesting renewal for a 
period of 20 years beyond the current facility operating licenses' 
expiration dates of November 2, 2024, for Unit 1, and August 26, 2025, 
for Unit 2. A final NRC decision on this application is expected on or 
before March 31, 2026.
    The regulations governing license renewal and that are applicable 
to the DCPP license renewal application include 10 CFR 54.25, ``Report 
of the Advisory Committee on Reactor Safeguards.'' This regulation 
states that ``[e]ach renewal application will be referred to the 
Advisory Committee on Reactor Safeguards for a review and report. Any 
report will be made part of the record of the application and made 
available to the public, except to the extent that security 
classification prevents disclosure.'' The December 13, 1991, rulemaking 
that promulgated 10 CFR 54.25 (Nuclear Power Plant License Renewal (56 
FR 64943, 64966)) specifically noted that review by the Advisory 
Committee on Reactor Safeguards (ACRS) of license renewal applications 
was desirable but not required by statute.
    On May 23, 2025, the President issued Executive Order (E.O.) 14300 
(90 FR 22587), ``Ordering the Reform of the Nuclear Regulatory 
Commission.'' Section 4(b) of E.O. 14300 directs, in part, that 
``[r]eview by ACRS of permitting and licensing issues shall focus on 
issues that are truly novel or noteworthy.''
    In June 2025, the NRC issued ``Safety Evaluation Related to the 
License Renewal of Diablo Canyon Nuclear Power Plant, Units 1 and 2'' 
(ML25153A508) documenting the NRC's safety review of the DCPP license 
renewal application. As part of this safety review, the NRC did not 
identify any issues that are ``truly novel or noteworthy.''
    Pursuant to 10 CFR 54.15, ``Specific exemptions,'' exemptions from 
the requirements of 10 CFR part 54 may be granted by the Commission in 
accordance with 10 CFR 50.12, ``Specific exemptions.'' Pursuant to 10 
CFR 50.12, the Commission may, upon application by any interested 
person or upon its own initiative, grant exemptions from its 
requirements when (1) the exemptions are authorized by law, will not 
present an undue risk to the public health and safety, and are 
consistent with the common defense

[[Page 12012]]

and security and (2) special circumstances are present. Under 10 CFR 
50.12(a)(2)(vi), special circumstances are present when there is 
present any material circumstance not considered when the regulation 
was adopted for which it would be in the public interest to grant an 
exemption. That regulation also provides that if this condition is 
relied on exclusively for satisfying the special circumstances 
requirement, then the exemption may not be granted until the Executive 
Director for Operations (EDO) has consulted with the Commission.

II. Action

    Based on the direction in E.O. 14300, the regulatory history of 10 
CFR 54.25, and the fact that the NRC's safety review of the DCPP 
license renewal application did not identify any issues that are 
``truly novel or noteworthy,'' the NRC has determined that the granting 
of an exemption upon its own initiative, pursuant to 10 CFR 54.15 and 
10 CFR 50.12, from the requirements of 10 CFR 54.25 with respect to the 
DCPP license renewal application would be warranted. Moreover, for the 
reasons explained below, the NRC has determined that the requirements 
of 10 CFR 54.15 and 10 CFR 50.12 are met. Therefore, an exemption from 
the requirements of 10 CFR 54.25 with respect to the DCPP license 
renewal application may be granted.

III. Discussion

    As described in 10 CFR 1.13, ``Advisory Committee on Reactor 
Safeguards,'' the ACRS was established by the Atomic Energy Act of 
1954, as amended (AEA). Among other things, the ACRS reviews and 
reports on safety studies and applications for construction permits and 
facility operating licenses and advises the Commission with regard to 
hazards of proposed or existing reactor facilities and the adequacy of 
proposed reactor safety standards. The ACRS also reviews any generic 
issues or other matters referred to it by the Commission for advice.
    As previously stated, 10 CFR 54.25 requires that each renewal 
application be referred to the ACRS for a review and report. The 
rulemaking that promulgated this regulation (56 FR 64966) explained the 
regulation as follows:

    Section 182.b of the AEA states:
    The ACRS shall review each application under section 103 or 
section 104b. for a construction permit or an operating license for 
a facility, any application under section 104c. for a construction 
permit or an operating license for a testing facility, any 
application under section 104a. or c. specifically referred to it by 
the Commission, and any application for an amendment to a 
construction permit or an amendment to an operating license under 
section 103 or 104a., b., or c. specifically referred to it by the 
Commission. . . .
    Section 182.b does not explicitly refer to applications for 
renewal of an operating license as requiring ACRS review. However, 
the Commission believes that review by the ACRS is desirable. 
Accordingly, [10 CFR] 54.25 of the final rule requires ACRS review 
of a license renewal application.

    The Commission has not changed 10 CFR 54.25 since its promulgation. 
Further, no subsequent amendments of the AEA have set forth a 
requirement for the ACRS to review license renewal applications.

The Exemption Is Authorized by Law

    The exemption would remove the requirement for the DCPP license 
renewal application to be referred to the ACRS for a review and report. 
As previously stated, 10 CFR 54.15 and 10 CFR 50.12 allow the NRC to 
grant exemptions from the requirements of 10 CFR part 54, including 10 
CFR 54.25, when the exemptions are authorized by law. The requirement 
of 10 CFR 54.25 is not required by the AEA or any other law. As noted 
by the Commission (56 FR 64966), the AEA does not explicitly refer to 
applications for renewal of an operating license as requiring ACRS 
review. Therefore, the NRC finds that the exemption is authorized by 
law.

The Exemption Will Not Present an Undue Risk to the Public Health and 
Safety

    The exemption would remove the requirement for the DCPP license 
renewal application to be referred to the ACRS for a review and report. 
As previously stated, 10 CFR 54.15 and 10 CFR 50.12 allow the NRC to 
grant exemptions from the requirements of 10 CFR part 54, including 10 
CFR 54.25, when the exemptions will not present an undue risk to the 
public health and safety. The standards and criteria that must be met 
before the Commission issues renewed licenses would not be affected by 
an exemption from 10 CFR 54.25. That is, regardless of the ACRS review 
required under 10 CFR 54.25, the regulation at 10 CFR 54.29, 
``Standards for issuance of a renewed license,'' would continue to set 
forth the safety criteria that must be met before renewed licenses may 
be issued. Moreover, the NRC staff, which has a robust process for 
reviewing applications for renewed licenses, has completed its detailed 
review of how the DCPP license renewal application addresses the 
standards in 10 CFR 54.29 (and other relevant regulations). The results 
of the NRC staff's safety review are documented in its safety 
evaluation. The safety evaluation confirmed that all of the safety 
standards required for the issuance of DCPP renewed licenses have been 
met. Additionally, the safety evaluation did not identify any ``truly 
novel or noteworthy'' issues. On this basis, the NRC finds that the 
exemption presents no undue risk to the public health and safety.

The Exemption Is Consistent With the Common Defense and Security

    The exemption would remove the requirement for the DCPP license 
renewal application to be referred to the ACRS for a review and report. 
As previously stated, 10 CFR 54.15 and 10 CFR 50.12 allow the NRC to 
grant exemptions from the requirements of 10 CFR part 54, including 10 
CFR 54.25, when the exemptions are consistent with the common defense 
and security. The NRC staff has determined that the exemption does not 
impact the common defense and security because the common defense and 
security is not within the scope of license renewal reviews, which, 
instead, focus on the effects of aging on systems, structures, and 
components. When promulgating revisions to its license renewal rule in 
1995 (60 FR 22461, 22463-64), the Commission re-affirmed its philosophy 
that the existing regulatory process is adequate to ensure that the 
licensing bases of all currently operating plants provide and maintain 
an acceptable level of safety so that operation will not be inimical to 
the public health and safety or common defense and security. Similarly, 
any ACRS review of a license renewal application would not relate to 
the issue of the common defense or security. Therefore, the NRC finds 
that the exemption is consistent with the common defense and security.

Special Circumstances Are Present

    The exemption would remove the requirement for the DCPP license 
renewal application to be referred to the ACRS for a review and report. 
As previously stated, 10 CFR 54.15 and 10 CFR 50.12 allow the NRC to 
grant exemptions from the requirements of 10 CFR part 54, including 10 
CFR 54.25, when special circumstances are present. One such special 
circumstance is that there is present any material circumstance not 
considered when the regulation was adopted for which it would be in the 
public interest to grant an exemption. The direction in E.O. 14300 to 
limit ACRS review to issues that are truly novel or noteworthy is a 
material circumstance and since it was

[[Page 12013]]

issued in 2025, it was not considered when the NRC adopted 10 CFR 54.25 
in 1991 and decided to broadly require all license renewal applications 
to be referred to the ACRS, even though such referrals are not required 
by the AEA. Additionally, following the direction of E.O. 14300 is in 
the public interest, which is served by not performing requirements, 
such as the referral of the DCPP license renewal application to the 
ACRS, that are unnecessary. The NRC staff has reviewed approximately 
100 license renewal applications to date and as part of those reviews 
discussed and took appropriate action upon identifying any novel or 
noteworthy issues (e.g., issues related to buried gray cast iron 
piping). The NRC staff applied this well-established process to its 
review of the DCPP license renewal application and did not identify any 
novel or noteworthy issues. Therefore, the referral of this application 
to the ACRS is not necessary and it would be in the public interest for 
the NRC to grant an exemption from the regulation requiring that 
referral. Finally, because the NRC is exclusively relying on the 
special circumstance of 10 CFR 50.12(a)(2)(vi) for satisfying 10 CFR 
50.12(a)(2), the EDO consulted with the Commission, as required. On 
this basis, the NRC finds that special circumstances are present.

Environmental Considerations

    The exemption would remove the requirement for the DCPP license 
renewal application to be referred to the ACRS for a review and report. 
The NRC has determined that this exemption does not have a significant 
effect on the human environment and, therefore, that a categorical 
exclusion under 10 CFR 51.22, ``Criterion for categorical exclusion; 
identification of licensing and regulatory actions eligible for 
categorical exclusion or otherwise not requiring environmental 
review,'' is appropriate. Specifically, under 10 CFR 51.22(c)(25), 
categories of actions that are categorical exclusions include the 
granting of an exemption from the requirements of any NRC regulation, 
provided that: (i) there is no significant hazards consideration; (ii) 
there is no significant change in the types or significant increase in 
the amounts of any effluents that may be released offsite; (iii) there 
is no significant increase in individual or cumulative public or 
occupational radiation exposure; (iv) there is no significant 
construction impact; (v) there is no significant increase in the 
potential for or consequences from radiological accidents; and (vi) the 
requirements from which the exemption is sought involve an item listed 
in 10 CFR 51.22(c)(25)(vi)(A)-(I), where 10 CFR 51.22(c)(25)(vi)(A), 
(B), and (I) are ``recordkeeping requirements,'' ``reporting 
requirements,'' and ``other requirements of an administrative, 
managerial, or organizational nature,'' respectively. As explained 
below, these criteria are satisfied for this exemption.
    An exemption involves no significant hazards consideration if, as 
provided in 10 CFR 50.92(c), operation of the facility in accordance 
with the proposed exemption would not (1) involve a significant 
increase in the probability or consequences of an accident previously 
evaluated; or (2) create the possibility of a new or different kind of 
accident from any accident previously evaluated; or (3) involve a 
significant reduction in a margin of safety. The instant exemption 
would remove the requirement for the DCPP license renewal application 
to be referred to the ACRS for a review and report and the NRC has not 
identified any novel or noteworthy issues that could justify referring 
that application to the ACRS; therefore, the exemption has no bearing 
on the operation of DCPP. Referring (or declining to refer) the 
application to the ACRS would not change any manner in which the 
facility would operate and, accordingly, the exemption would not 
significantly change the types or significantly increase the amounts of 
any effluents that may be released offsite, would not significantly 
increase individual or cumulative public or occupational radiation 
exposure, would have no significant construction impact, and would not 
significantly increase the potential for or consequences from 
radiological accidents. Finally, the requirement from which the 
exemption is sought involves recordkeeping requirements, reporting 
requirements, or other requirements of an administrative, managerial, 
or organizational nature. Accordingly, the exemption from 10 CFR 54.25 
meets the eligibility criteria for categorical exclusion set forth in 
10 CFR 51.22(c)(25). Pursuant to 10 CFR 51.22(b), no environmental 
impact statement or environmental assessment need be prepared in 
connection with the issuance of the exemption.

IV. Conclusions

    Accordingly, the Commission has determined that, pursuant to 10 CFR 
54.15 and 10 CFR 50.12, the exemption from the requirements of 10 CFR 
54.25 with respect to the DCPP license renewal application is 
authorized by law, will not present an undue risk to the public health 
and safety, and is consistent with the common defense and security. 
Also, special circumstances are present. Therefore, the Commission 
hereby grants an exemption from the requirements of 10 CFR 54.25 and, 
accordingly, the DCPP license renewal application is no longer required 
to be referred to the ACRS for a review and report.
    The exemption is effective upon issuance.

    Dated: March 6, 2026.

    For the Nuclear Regulatory Commission.

/RA/

Michele Sampson,

Director, Division of New and Renewed Licenses, Office of Nuclear 
Reactor Regulation.

[FR Doc. 2026-04777 Filed 3-10-26; 8:45 am]
BILLING CODE 7590-01-P