[Federal Register Volume 91, Number 81 (Tuesday, April 28, 2026)]
[Notices]
[Pages 22870-22874]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-08219]


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NUCLEAR REGULATORY COMMISSION

[Docket Nos. 72-1031, 50-413, and 50-414; NRC-2026-1486]


Duke Energy Carolinas, LLC; Catawba Nuclear Station, Units 1 and 
2; Independent Spent Fuel Storage Installation; Exemption

AGENCY: Nuclear Regulatory Commission.

ACTION: Notice; issuance.

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SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) issued an 
exemption to Duke Energy Carolinas, LLC (Duke), permitting Catawba 
Nuclear Station (CNS) to maintain one loaded transportable storage 
canister (TSC) and to load nine new TSCs in the MAGNASTOR[supreg] 
storage system at the CNS Units 1 and 2 independent spent fuel storage 
installation, beginning July 6, 2026, in a storage condition where the 
terms, conditions, and specifications in the Certificate of Compliance 
No. 1031, Amendment No. 15, are not met.

DATES: The exemption was issued on April 21, 2026.

ADDRESSES: Please refer to Docket ID NRC-2026-1486 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-2026-1486. 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]. The ADAMS accession number for each document 
referenced (if it is available in ADAMS) is provided the first time 
that it is mentioned in this document.
     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: John-Chau Nguyen, Office of Nuclear 
Material Safety and Safeguards, U.S. Nuclear Regulatory Commission, 
Washington, DC 20555; telephone: 301-415-0262; email: [email protected].

SUPPLEMENTARY INFORMATION: The text of the exemption is attached.
    Authority: 42 U.S.C. 2011 et seq.

    Dated: April 24, 2026.

    For the Nuclear Regulatory Commission.
Yoira Diaz-Sanabria,
Chief, Storage and Transportation Licensing Branch, Division of Fuel 
Management, Office of Nuclear Material Safety, and Safeguards.

Attachment--Exemption

NUCLEAR REGULATORY COMMISSION

Docket Nos. 72-1031, 50-413, and 50-414

Duke Energy Carolinas, LLC Catawba Nuclear Station, Units 1 and 2 
Independent Spent Fuel Storage Installation

I. Background

    Duke Energy Carolinas, LLC (Duke) is the holder of Facility 
Operating

[[Page 22871]]

Licenses Nos. NPF-035 and NPF-052, which authorize operation of the 
Catawba Nuclear Station (CNS) in South Carolina, pursuant to part 50 of 
title 10 of the Code of Federal Regulations (10 CFR), ``Domestic 
Licensing of Production and Utilization Facilities.'' 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) 
now or hereafter in effect.
    Consistent with 10 CFR part 72, subpart K, ``General License for 
Storage of Spent Fuel at Power Reactor Sites,'' a general license is 
issued for the storage of spent fuel in an independent spent fuel 
storage installation (ISFSI) at power reactor sites to persons 
authorized to possess or operate nuclear power reactors under 10 CFR 
part 50. Duke is authorized to operate nuclear power reactors under 10 
CFR part 50 and holds a 10 CFR part 72 general license for storage of 
spent fuel at the CNS ISFSI. Under the terms of the general license, 
Duke stores spent fuel at its CNS ISFSI using the MAGNASTOR[supreg] 
storage system in accordance with Certificate of Compliance (CoC) No. 
1031, Amendment No. 15.

II. Request/Action

    By letter dated March 19, 2026 (Agencywide Documents Access and 
Management System [ADAMS] Accession Nos ML26078A371), Duke requested an 
exemption from the requirements of 10 CFR 72.212(a)(2), 72.212(b)(3), 
72.212(b)(5)(i), 72.212(b)(11), 72.214, 72.154(b), and 72.174 that 
require CNS to comply with the terms, conditions, and specifications of 
CoC No. 1031, Amendment No. 15 (ML25112A096). If approved, Duke's 
exemption request would accordingly allow CNS to maintain one loaded 
and to load nine transportable storage canisters (TSCs) in the 
MAGNASTOR[supreg] storage system, beginning July 6, 2026, and thus, to 
load the systems in a storage condition where the terms, conditions, 
and specifications in CoC No. 1031, Amendment No. 15, are not met.
    Duke currently uses the MAGNASTOR[supreg] storage system under CoC 
No. 1031, Amendment No. 15, for dry storage of spent nuclear fuel in 
TSC at the CNS ISFSI. The MAGNASTOR[supreg] storage system CoC provides 
the requirements, conditions, and operating limits necessary for use of 
the system to store spent fuel. In regard to neutron absorber 
materials, compliance with specifications such as minimum effective 
areal density (75% for Boral and 90% for borated aluminum/MMC) and a 
minimum \10\B loading of 0.040 g/cm\2\, as outlined in the 
MAGNASTOR[supreg] technical specifications and final safety analysis 
report (FSAR), is verified through neutron transmission testing and 
acceptance inspections to ensure compliance with the CoC.
    NAC International (NAC), the vendor of the MAGNASTOR[supreg] 
system, reported a fabrication deficiency on September 10, 2025 
(ML25253A488) and provided an update on December 30, 2025 
(ML25364A119), regarding certain neutron absorber panels supplied to 
NAC by 3M. These neutron absorber panels, installed by NAC in the 
MAGNASTOR[supreg] storage casks for use at the CNS ISFSI, did not meet 
requirements of the MAGNASTOR[supreg] technical specifications and 
FSAR. The deficiency occurred because test coupons were cut from non-
approved areas of master sheets, violating established process 
controls. This error resulted in some coupons failing to meet the 
required \10\B areal density, impacting 39 panels (three per sheet 
across 13 sheet). These panels are associated with several TSCs at 
Duke's Catawba site, including one loaded and nine unloaded TSCs.
    The impacted TSCs include one already loaded, MAG-TSC-418-158, and 
nine that Duke plans to load: MAG-TSC-418-155; MAG-TSC-418-156; MAG-
TSC-418-157; MAG-TSC-418-159; MAG-TSC-418-160; MAG-TSC-418-161; MAG-
TSC-418-162; MAG-TSC-418-166; and MAG-TSC-418-167. Duke plans to load 
two of these TSCs in July 2026: MAG-TSC-418-155 and MAG-TSC-418-156. As 
explained by Duke, the remaining seven impacted TSCs for upcoming 
campaigns, already purchased and scheduled for loading beyond 2026, are 
included in the scope of the request.
    Duke submitted this exemption request to allow for the continued 
storage of one already loaded TSC, and future loading of nine TSC 
beginning on July 6, 2026, in the MAGNASTOR[supreg] storage system at 
the CNS ISFSI, even though, because of the neutron absorber panels' 
fabrication deficiency, the terms, conditions and specifications of the 
CoC will not be met.

III. Discussion

    Pursuant to 10 CFR 72.7, ``Specific exemptions,'' the Commission 
may, upon application by any interested person or upon its own 
initiative, grant such exemptions from the requirements of the 
regulations of 10 CFR part 72 as it determines are authorized by law 
and will not endanger life or property or the common defense and 
security and are otherwise in the public interest.

A. The Exemption Is Authorized by Law

    This exemption would allow Duke to maintain loaded and to load TSC 
in the MAGNASTOR[supreg] storage system at its CNS ISFSI, beginning 
July 6, 2026, in a storage condition where the terms, conditions, and 
specifications in CoC No. 1031, Amendment No. 15, are not met. Duke is 
requesting an exemption from the provisions in 10 CFR part 72 that 
require the licensee to comply with the terms, conditions, and 
specifications of the CoC for the approved cask model it uses. Section 
72.7 allows the NRC to grant exemptions from the requirements of 10 CFR 
part 72. This authority to grant exemptions is consistent with the 
Atomic Energy Act of 1954, as amended, and is not otherwise 
inconsistent with NRC's regulations or other applicable laws. 
Additionally, no other law prohibits the activities that would be 
authorized by the exemption. Therefore, the NRC concludes that there is 
no statutory prohibition on the issuance of the requested exemption, 
and the NRC is authorized to grant the exemption by law.

B. The Exemption Will Not Endanger Life or Property or the Common 
Defense and Security

    This exemption would allow Duke to maintain one loaded and to load 
nine TSCs in the MAGNASTOR[supreg] storage system at its CNS ISFSI, 
beginning July 6, 2026, in a storage condition where the terms, 
conditions, and specifications in CoC No. 1031, Amendment No. 15, are 
not met. Minor manufacturing variations in neutron absorber panels, 
caused by misalignment during coupon cutting, affected ten TSCs, with 
three master sheets slightly below the minimum \10\B areal density 
requirement of 0.040 g/cm\2\. NAC performed a safety assessment to 
evaluate the reduced \10\B conditions. In support of this exemption 
request, Duke asserts that issuance of the exemption would not endanger 
life or property or the common defense and security because NAC's 
safety assessment demonstrates that the reduced \10\B areal density 
results in a change in reactivity of less than 2 [Delta]k/[sigma], 
which is not statistically significant, and the neutron absorber 
continues to perform within the licensing basis safety margins. TSC 
incorporates a welded closure to prevent the loss of contents and 
ensure public health and safety during long-term storage. When 
installed in a storage cask, the TSC benefits from structural 
protection, radiation shielding, and natural convection cooling, while 
the cask also provides environmental protection under adverse 
conditions. NAC's

[[Page 22872]]

calculation further demonstrates using the licensing basis method of 
evaluation and the lowest measured \10\B areal densities from the 
coupons cut in the wrong area of the master sheet, the ``reduced 
absorber sheet'' \10\B has a less than 2 [Delta]k/[sigma], effect on 
system reactivity which is not statistically significant. NAC's 
calculation shows the lower neutron absorber result produces similar 
system reactivities for each fuel assembly and will therefore have the 
same relative effect.
    Additionally, technical specifications require surface dose rate 
measurements before storage operations to ensure compliance with 
regulatory limits and detect potential misloads, providing an extra 
layer of safety assurance. NAC's analysis confirmed that even with 
reduced neutron absorber levels, the system remains subcritical under 
all analyzed conditions. NAC determined there are no impacts to thermal 
performance, structural integrity, shielding effectiveness, or 
confinement boundaries, and site boundary doses remain within 
regulatory limits. In addition, the combined radiation dose from all 
storage systems located at the CNS ISFSI will remain within the annual 
dose limits established in 10 CFR 72.104(a) for normal operations and 
anticipated operational occurrences and will also remain below the 
limits of 10 CFR 72.106 for design-basis accident conditions. Duke 
notes that the requested exemption does not affect any physical 
security requirements, nor does it impact the protection or defensive 
capabilities of the CNS ISFSI.
    The NRC staff reviewed Duke's exemption request and concluded, as 
discussed below, that the proposed exemption from certain requirements 
of 10 CFR part 72 will not cause CoC No. 1031 to encounter conditions 
beyond those for which it has already been evaluated and demonstrated 
to meet the applicable safety requirements in 10 CFR part 72. The 
request does not change the fundamental design, components, or safety 
features of the storage system.
    The staff's evaluation focused on the application and those 
calculations and analyses submitted with the application. The staff 
followed the guidance in NUREG-2215 to complete its safety evaluation. 
The NRC's staff evaluation includes criticality, materials, and 
operations safety areas, which the staff determined are the relevant 
technical disciplines affected by this exemption.

Criticality Evaluation

    In support of its exemption request, Duke asserts that issuance of 
the exemption would not endanger life or property, or the common 
defense or security. Duke based this conclusion on NAC's safety 
assessment provided in Calculation 12418-6002, ``MAGNASTOR Criticality 
Evaluation for Duke Catawba Reduced Absorber Sheet B-10 Content,'' 
which evaluated the effect of reduced \10\B areal density in certain 
neutron absorber sheets. NAC's analysis demonstrates that, when 
applying the licensing-basis method of evaluation and using the lowest 
measured \10\B areal densities obtained from coupons cut from an 
incorrect portion of the master sheet, the resulting change in 
reactivity is less than 2[Delta]k/[sigma]. NAC concluded, and NRC staff 
confirmed in its own safety evaluation, that this change is not 
statistically significant. NAC's calculation further shows that the 
reduced absorber sheet \10\B values produce system reactivities 
comparable to those obtained using fully compliant absorber material, 
and therefore the reduced boron content yields no meaningful change in 
relative reactivity.
    NRC staff notes that the MAGNASTOR[supreg] system design basis 
requires a minimum neutron absorber content of 0.040 g/cm\2\ \10\B. The 
reduced \10\B content values used in the analysis were derived from 
destructive testing of three coupons taken from the affected master 
sheets. For coupon C89842, two absorber panels installed in MAG-TSC-
418-167 had a minimum measured \10\B areal density of 0.03910 g/cm\2\. 
Coupons C89789-1 and C89810-1 showed minimum measured values of 0.03994 
g/cm\2\ and were used in the remaining affected TSCs. Although these 
values are slightly below the nominal \10\B requirement, staff noted 
that the measurements trend toward the design basis 0.040 g/cm\2\ 
specification. Due to limitations arising from the cutting pattern of 
the master sheet, insufficient material remained to definitively 
confirm compliance. Accordingly, NAC performed a criticality analysis 
using the measured reduced boron values for each affected TSC.
    For the two absorber sheets affected in MAG-TSC-418-167, NAC 
modified the licensing-basis MCNP input files to explicitly model the 
reduced \10\B areal density of 0.03910 g/cm\2\, as described in Figure 
4-1 of the calculation package, after applying the MAGNASTOR[supreg] 
design assumption that credits only 90 percent of the nominal boron 
content as illustrated in Figure 6-1. For the remaining nine TSCs, NAC 
modeled all absorber sheets using the reduced 10B value of 0.03994 g/
cm\2\, adjusting only the absorber material density and composition.
    The NRC staff reviewed the exemption request, including NAC's 
criticality evaluation for the MAGNASTOR[supreg] TSCs containing 
absorber sheets with reduced \10\B content. Based on the information 
provided, the staff finds that NAC appropriately modified the 
licensing-basis analyses to account for the reduced boron areal density 
in the affected absorber panels. NAC demonstrates, and the staff 
confirms, that all ten affected TSCs remain adequately subcritical. The 
changes in reactivity resulting from the reduced boron content are less 
than 2[Delta]k/[sigma] for all evaluated configurations, which the 
staff concludes is not statistically significant. Considering the 
limited number of TSCs affected, the conservatism inherent in the 
MAGNASTOR[supreg] Amendment No. 15 design-basis analyses, and the 
results of NAC's revised evaluations, the staff finds, with reasonable 
assurance, that the affected MAGNASTOR[supreg] TSCs meet the 
criticality safety requirements of 10 CFR part 72.

Materials Evaluation

    In support of its exemption request, Duke cited NAC's analysis 
which showed that even when the material properties criteria for the 
borated metal matrix composite neutron absorbing panels at issue is 
altered to accommodate the fabrication deficiency, materials safety is 
maintained. NAC identified 13 master sheets (39 panels in total) that 
were not fabricated in accordance with their prescribed processes, 
resulting in ten TSCs being fabricated with certain panels that may not 
meet the 0.04 g/cm\2\ required \10\B minimum actual areal density, as 
described in Table 8.8-1 of the FSAR. NAC performed additional neutron 
attenuation testing of affected neutron panels, as documented in NAC 
Surveillance Report 25-S-21. As a result of the findings of this 
additional testing, NAC proposed using the following \10\B areal 
density values for demonstrating the acceptability of the fabricated 
neutron absorbing panels in their criticality evaluation of these ten 
TSCs:
     Two sheets in the basket at 0.03910 g/cm\2\ boron 10.
     All sheets in the basket at 0.03994 g/cm\2\ boron 10.
    The NRC staff reviewed the testing methodology and results in NAC 
Surveillance Report 25-S-21 and determined that these values of \10\B 
areal density are bounding of the results and are appropriate for the 
evaluation of the affected TSCs. Additionally, the staff reviewed the 
exemption request and

[[Page 22873]]

determined that granting the request would not impact the material 
properties or critical design characteristics of the borated metal 
matrix composite neutron absorbing panels. Per the above discussion, 
the NRC staff finds, with reasonable assurance, the material properties 
of the neutron absorbing materials in the exemption request acceptable 
and that the affected MAGNASTOR[supreg] TSCs meet the materials safety 
requirements of 10 CFR part 72.

Operations

    The NRC staff evaluated whether the identified condition affects 
operating procedures associated with fuel loading and storage 
operations. The exemption request does not propose changes to loading 
procedures, fuel selection criteria, loading configurations, or 
administrative controls credited in the FSAR. In addition, the 
exemption does not change the configuration or function of the neutron 
absorber panels within the fuel basket.
    Based on the information provided by Duke in the exemption request 
and supporting correspondence, certain neutron absorber panel material 
verification activities did not fully demonstrate conformance with the 
specified boron content requirements. Specifically, NAC indicated that 
some test coupons used for boron content verification were obtained 
from non-representative locations within absorber panel sheets and that 
certain supplier oversight activities associated with the testing 
laboratory did not fully meet established quality assurance program 
requirements. The staff notes that this condition represents a 
fabrication and procurement control issue rather than a loss of safety 
function.
    Based on its review, the NRC staff concludes that the identified 
condition does not necessitate changes to the procedures used for 
loading or storing spent fuel in the affected TSCs. Considering the 
maintained margin to subcriticality demonstrated in the supporting 
analyses, along with the corrective actions described by NAC, the staff 
finds that there is reasonable assurance that granting the exemption 
will continue to support safe operation of the facility and compliance 
with applicable regulatory requirements.

C. The Exemption Is Otherwise in the Public Interest

    The proposed exemption would allow the already loaded TSC in the 
MAGNASTOR[supreg] storage system to remain in storage at the Catawba 
ISFSI and would authorize future use of the nine affected TSCs in 
planned loading campaigns, beginning July 6, 2026, in storage 
conditions where the terms, conditions, and specifications in CoC No. 
1031, Amendment No. 15, are not met. According to Duke, the exemption 
is in the public interest because it would maintain the safe, passive 
dry-storage configuration, and avoid unnecessary fuel handling.
    Duke states that dry storage provides a passive, stable inherently 
safe configuration, and leaving the already loaded canister undisturbed 
eliminates any additional fuel-handling risks, aligning with the public 
interest in minimizing operational dose and fuel handling events. Duke 
explains that approval of this exemption prevents unnecessary unloading 
and reloading of spent fuel, which would increase radiation exposure 
and operational risk without a corresponding safety benefit. It also 
supports timely fuel offload from the reactor, ensuring continued safe 
operation.
    Duke states that timely transfers of spent fuel to dry storage 
supports timely transfers of spent fuel from the spent fuel pool (SFP), 
which maintains adequate SFP capacity, supports heat-load management on 
the cooling system, and limits additional fuel-handling operations that 
could increase worker dose or the potential for handling events. 
Maintaining SFP margin ensures Duke can offload the reactor when needed 
and conduct refueling activities efficiently, allowing the reactor's 
continued safe operation.
    Duke further explains that without the ability to use the 
identified canisters, upcoming loading campaigns could be delayed or 
disrupted and the margin to SFP margin in the CNS SFP would be 
significantly reduced, creating operational challenges in managing SFP 
inventory and conducting safe fuel-handling operations during outages. 
Loading campaigns rely on limited specialized personnel and equipment 
scheduled years in advance. As Duke explains, these specialty resources 
support multiple competing activities and priorities. The available 
windows to complete cask loading campaigns are limited and delays have 
a cascading impact on other scheduled activities. Delays could have 
broader operational impacts and thus impair future reactor safety to 
the detriment of the public interest.
    Duke states that if the exemption is not approved, the loading 
campaign would need to be rescoped as designed, because this would 
constitute a substantial change in planned loading sequence affecting 
the overall campaign, the SFP configuration, and associated analyses. 
This would interfere with the safe operation of the reactor.
    For the reasons described by Duke in the exemption request, the NRC 
staff agree that it is in the public interest to grant the exemption. 
If the exemption is not granted, for the already loaded TSC, Duke would 
be required to unload and reload the spent fuel into a new TSC to bring 
it in compliance with the CoC, creating safety risks. For the nine TSCs 
scheduled for future loading, in order to comply with the CoC, Duke 
would have to keep spent fuel in the spent fuel pool if it is not 
permitted to use the MAGNASTOR[supreg] storage system during loading 
and transport operations, thus impacting Duke's ability to effectively 
manage the SFP margin, pool capacity and reactor fuel offloading. 
Moreover, should spent fuel pool capacity be reached, the ability to 
refuel the operating reactor unit is challenged. The inability to load 
the TSCs could also challenge spent fuel heat removal and impact the 
availability of the specialized resources and equipment which is 
planned years in advance and needed to support competing fuel loading 
and operational activities at CNS, including spent fuel pool clean-up 
and refueling outages. Thus, if the nine impacted TSCs could not load, 
there may be consequences impacting safe, continued reactor operations 
to the detriment of the public interest.
    Therefore, for these reasons, the staff concludes that granting the 
exemption is in the public interest.
Environmental Consideration
    The NRC staff also considered whether there would be any 
significant environmental impacts associated with the exemption. For 
this proposed action, the NRC staff performed an environmental 
assessment pursuant to 10 CFR 51.30, ``Environmental Assessment.'' The 
environmental assessment concluded that the proposed action would not 
significantly impact the quality of the human environment. The NRC 
staff concluded that the proposed action would not result in any 
changes in the types or amounts of any radiological or non-radiological 
effluents that may be released offsite, and there would be no 
significant increase in occupational or public radiation exposure 
because of the proposed action. The environmental assessment and the 
finding of no significant impact was published on April 21, 2026 (91 FR 
21330).

IV. Conclusion

    Based on these considerations, the NRC has determined that, 
pursuant to 10 CFR 72.7, the exemption is

[[Page 22874]]

authorized by law, will not endanger life or property or the common 
defense and security, and is otherwise in the public interest. 
Therefore, the NRC grants Duke an exemption from the requirements of 
Sec. Sec.  72.212(a)(2), 72.212(b)(3), 72.212(b)(5)(i), 72.212(b)(11), 
and 72.214, 72.154(b), and 72.174 with respect to the continued storage 
of MAG-TSC-418-158 and future loading of MAG-TSC-418-155, 156, 157, 
159, 160, 161, 162, 166, and 167 in the MAGNASTOR[supreg] storage 
system beginning in July 6, 2026.
    This exemption is effective upon issuance.

    Dated: April 21, 2026.

    For the Nuclear Regulatory Commission.

/RA/

Yoira Diaz Sanabria,

Chief, Storage and Transportation Licensing Branch, Division of Fuel 
Management, Office of Nuclear Material Safety, and Safeguards.

[FR Doc. 2026-08219 Filed 4-27-26; 8:45 am]
BILLING CODE 7590-01-P