New Reactors: NRC Plans, Process, and Progress

David B. Matthews

Director

Division of New Reactor Licensing

February 28, 2008

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Overview of the U.S. Nuclear Regulatory Commission

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NRC Mission

NRC’s primary mission is to protect the public health and safety, and the environment from the effects of radiation from nuclear reactors, materials, and waste facilities. We also regulate these nuclear materials and facilities to promote the common defense and security.

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NRC Organization

• Five member Commission led by the Chairman• Commissioners serve 5-year terms• Approximately 4000 employees and an annual budget

approaching $1billion (FY08)—90% paid by user fees• Headquarters in Rockville, Maryland• Four regional offices:

– Philadelphia, Pennsylvania– Atlanta, Georgia– Chicago, Illinois– Arlington, Texas

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NRC Regulates:

• Over 100 commercial nuclear power plants that provide about 20 percent of the nation’s electricity

• Over 45 fuel facilities involved in the extraction, processing, and fabrication of uranium into reactor fuel

• Approximately 5,000 large and small users of nuclear material for industrial, medical, or academic purposes

• Low-level and high-level waste facilities, interim storage of spent nuclear fuel, containers used in the transportation of radioactive fuel, and decommissioning of nuclear facilities

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Completion Times for the Current Fleet

0.0

5.0

10.0

15.0

20.0

25.0

Jan-

69

Jan-

71

Jan-

73

Jan-

75

Jan-

77

Jan-

79

Jan-

81

Jan-

83

Jan-

85

Jan-

87

Jan-

89

Jan-

91

Jan-

93

Jan-

95

Jan-

97

Jan-

99

OL Issuance

Du

rati

on

of

Co

nst

ruct

ion

Avg = 5.6 yrs Avg = 11.1 yrs

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Part 50 Licensing Process

• Design effort proceeded throughout process• No backfit protection with a CP• Regulatory standards evolved as construction

proceeded

Construction Permit

Application

Construction Permit

Operating License

Application

OperatingLicense

ConstructionBegins

OperationBegins

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New Construction• Nuclear plants will be built more rapidly than

their predecessors• Detailed engineering essentially complete by

start of construction• Modular construction techniques will be used• Fabrication of components may begin before

COL issuance• Components and modules will be fabricated in

other countries• Site preparation work will likely be performed

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New Reactor Licensing – The Regulator’s Perspective

• Maintain safety of licensed plants

• Predictable licensing process

• Meaningful public participation

• Enhanced safety for future plants

• Independent and credible regulator

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NRO Mission

The Office of New Reactors serves the public interest by enabling the safe, secure, and environmentally responsible use of nuclear power in meeting the nation's future energy needs.

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Outline of Presentation• Energy Policy Act of 2005• Brief tutorial on Part 52• Early Site Permits • Design Certifications• Combined License Applications • Design Centered Review Approach• Regulatory Infrastructure• Conclusions

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Energy Policy Act of 2005• Authorizes federal risk insurance for the next 6

nuclear plants for delays associated with NRC reviews ($500 M for first 2 plants, $250 M for next 4 plants)

• Nuclear energy production tax credits for the first 6,000 megawatts of electricity from new reactors

• Authorizes $3 billion in nuclear research and development to support NGNP and NP2010

• EPAct, Section 1703, “Loan Guarantees”– Assists in reducing loan interest rates and allows

greater debt-to-equity ratios– Provides guarantees for up to 80 percent of project cost

with term not to exceed 30 years

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Part 52 Licensing Processes• Licensing Processes:

– Early Site Permit (ESP)– Design Certification (DC)– Combined License (COL)

• Provide a predictable licensing process• Resolve safety and environmental issues before

authorizing construction• Provide for timely & meaningful public participation• Encourage standardization of nuclear plant designs• Reduce financial risk to nuclear plant licensees

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Part 52 - Fitting the Pieces Together

• Licensing decisions finalized before major construction begins• Inspections w/ITAAC to verify construction• Limited work may be authorized before COL issuance

Pre-ConstructionConstruction Verification

Early Site Permit

Standard Design Certification

Combined License Review, Hearing,

and Decision

Verification of Regulations with ITAAC

ReactorOperationDecision

OptionalPre-Application

Review

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Early Site Permits

• Allows Early Resolution of Siting Issues and “Banking” of a Site for 10 – 20 Years

• Review Areas Include:– Site safety – Environmental impact– Emergency preparedness

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Design Certifications

• Allows an applicant to obtain preapproval of a standard nuclear plant design

• Reduces licensing uncertainty by resolving design issues

• Facilitates standardization

• Higher degree of regulatory finality with design certification

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Design Certifications, Cont.

• Essentially complete design

• Final design information

• Site design parameters

• Interface requirements

• Inspections, Tests, Analyses, and Acceptance Criteria (ITAAC)

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Combined License Applications• Combined construction permit and operating

license for a nuclear power plant• May reference an early site permit, a

standard design certification, both, or neither• Objective is to resolve all safety &

environmental issues before authorizing construction

• Prior to fuel load, must verify the facility has been constructed in accordance with the license

• The combined license process in Part 52 is fundamental for reducing regulatory risk for companies building nuclear power plants

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Rulemaking

DC Review

COL -3

COL -4

One Decision – Multiple Applications

COL -2Mandatory

Hearing

COL -1 Reference

MandatoryHearing

MandatoryHearing

MandatoryHearing

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Infrastructure – Changes to NRC Regulations

• 10 CFR Part 52 Rulemaking– Published as final rule in the Federal Register (72 FR

49351) on August 28, 2007. Rule became effective September 27, 2007.

• Limited Work Authorizations for Nuclear Power Plants– Published as final rule in Federal Register (72 FR

57415) on October 9, 2007. Rule became effective on November 8, 2007.

• Aircraft Impact Assessment– Commission directed staff to prepare (April 2007)– The proposed rule was published in the Federal

Register for a 75-day comment period on October 3, 2007. Staff is evaluating comments.

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Conclusions• NRC is preparing for an exceptionally high

level of new reactor licensing activity• NRC will accomplish its mission to ensure

adequate protection of public health and safety and the environment for new reactors licensed under 10 CFR Part 52

• NRC will review applications in a timely manner

• Applicants’ applications standardized around the design-centered approach are essential

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ESP

R-COLD.C.

S-COL

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