Duke Energy Carolinas, LLC; William States Lee III Nuclear Station Units 1 and 2, 154 [2016-31812]

Agencies

• NUCLEAR REGULATORY COMMISSION

[Federal Register Volume 82, Number 1 (Tuesday, January 3, 2017)]
[Notices]
[Page 154]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-31812]



[[Page 154]]

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NUCLEAR REGULATORY COMMISSION

[Docket Nos. 52-018 and 52-019; NRC-2008-0170]


Duke Energy Carolinas, LLC; William States Lee III Nuclear 
Station Units 1 and 2

AGENCY: Nuclear Regulatory Commission.

ACTION: Notice of intent to enter into a modified indemnity agreement.

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SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is issuing a 
notice of intent to enter into a modified indemnity agreement with Duke 
Energy Carolinas, LLC, (DEC) to operate William States Lee III Nuclear 
Station (WLS) Units 1 and 2. The NRC is required to publish notice of 
its intent to enter into an indemnity agreement which contains 
provisions different from the general form found in the NRC's 
regulations. A modification to the general form is necessary to 
accommodate the unique timing provisions of a combined license (COL).

DATES: On December 15, 2016, the Commission authorized the Director of 
the Office of New Reactors to issue COLs to DEC to construct and 
operate WLS Units 1 and 2. The modified indemnity agreement would be 
effective upon issuance of the COLs.

ADDRESSES: Please refer to Docket ID NRC-2008-0170 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 Web site: Go to https://www.regulations.gov and search for Docket ID NRC-2008-0170. Address 
questions about NRC dockets to Carol Gallagher; telephone: 301-415-
3463; email: Carol.Gallagher@nrc.gov. 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 ``ADAMS Public Documents'' and 
then 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 pdr.resource@nrc.gov.
     NRC's PDR: You may examine and purchase copies of public 
documents at the NRC's PDR, Room O1-F21, One White Flint North, 11555 
Rockville Pike, Rockville, Maryland 20852.

FOR FURTHER INFORMATION CONTACT: Brian Hughes, Office of New Reactors, 
U.S. Nuclear Regulatory Commission, Washington DC 20555-0001; 
telephone: 301-415-6582, email: Brian.Hughes@nrc.gov.

SUPPLEMENTARY INFORMATION: 

I. Background

    On December 15, 2016, the Commission authorized issuance of COLs to 
DEC for WLS Units 1 and 2. These COLs would include a license pursuant 
to part 70 of title 10 of the Code of Federal Regulations (10 CFR), 
``Domestic Licensing of Special Nuclear Material.'' Pursuant to 10 CFR 
140.20(a)(1)(iii), the NRC will execute and issue agreements of 
indemnity effective on the date of a license under 10 CFR part 70 
authorizing the licensee to possess and store special nuclear material 
at the site of the nuclear reactor for use as fuel in operation of the 
nuclear reactor after issuance of an operating license for the reactor. 
The general form of indemnity agreement to be entered into by the NRC 
with DEC is contained in 10 CFR 140.92, ``Appendix B--Form of Indemnity 
Agreement with licensees furnishing insurance policies as proof of 
financial protection.''

II. Request/Action

    Pursuant to 10 CFR 140.9, the NRC is publishing notice of its 
intent to enter into an indemnity agreement that contains provisions 
different from the general form found in 10 CFR 140.92. Modifications 
to the general indemnity agreement are addressed in the following 
discussion.

III. Discussion

    The provisions of the general form of indemnity agreement in 10 CFR 
140.92 address insurance and indemnity for a licensee that is 
authorized to operate as soon as an operating license (OL) is issued 
pursuant to 10 CFR part 50, ``Domestic licensing of production and 
utilization facilities.'' The DEC, however, has requested a COL 
pursuant to 10 CFR part 52, ``Licenses, Certifications, and Approvals 
for Nuclear Power Plants'' to construct and operate WLS Units 1 and 2. 
Unlike an OL, which authorizes operation of the facility as soon as the 
license is issued, a COL authorizes the construction of the facility 
but does not authorize operation of the facility until the Commission 
makes a finding pursuant to 10 CFR 52.103(g) that the acceptance 
criteria in the COL are met (also called a ``Sec.  52.103(g) 
finding''). The COL holders are not required to maintain financial 
protection in the amount specified in 10 CFR 140.11(a)(4) before the 
Sec.  52.103(g) finding is made, but must maintain financial protection 
in the amount specified by 10 CFR 140.13 upon receipt of a COL because 
the COL includes a license issued pursuant to 10 CFR part 70. 
Therefore, the provisions in the general form of indemnity agreement 
must be modified to address the timing differences applicable to COLs.
    Modifications to the general form of indemnity agreement will 
reflect the timing distinctions applicable to COLs. In addition, other 
modifications and their intent are described below:
    (1) References to Mutual Atomic Energy Liability Underwriters have 
been removed because this entity no longer exists.
    (2) Monetary amounts have been updated to reflect changes that have 
been made to Section 170. ``Indemnification and Limitation of 
Liability'' of the Atomic Energy Act of 1954, as amended (42 U.S.C. 
2210).

IV. Conclusions

    Accordingly, for the reasons discussed in this notice and in 
accordance with 10 CFR 140.9, the NRC hereby provides notice of its 
intent to enter into an agreement of indemnity with DEC for WLS Units 1 
and 2 with the described modifications to the general form of 
indemnity.

    Dated at Rockville, Maryland, this 22nd day of December 2016.

    For the Nuclear Regulatory Commission.
Anna Bradford,
Deputy Director, Division of New Reactor Licensing, Office of New 
Reactors.
[FR Doc. 2016-31812 Filed 12-30-16; 8:45 am]
 BILLING CODE 7590-01-P