ML21085A577

Decommissioning Funding Status Report

ML21085A577
Person / Time
Site:	Millstone
Issue date:	03/25/2021
From:	Mark D. Sartain Dominion Energy Nuclear Connecticut
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
21-080
Download: ML21085A577 (6)

Text

{{#Wiki_filter:Dominion Energy Nuclear Connecticut, Inc. 5000 Dominion Boulevard, Glen Allen, VA 23060 Dominion Energy.com March 25, 2021 United States Nuclear Regulatory Commission Attention: Document Control Desk Washington, D. C. 20555-0001 DOMINION ENERGY NUCLEAR CONNECTICUT, INC. MILLSTONE POWER STATION UNIT 1 DECOMMISSIONING FUNDING STATUS REPORT Dominion Energy Serial No.: 21-080 NRA/ENC: RO Docket No.: 50-245 License No.: DPR-21 Pursuant to 10 CFR 50. 75(f)(1) and 10 CFR 50.82(a)(8)(v)-(vii), Dominion Energy Nuclear Connecticut, Inc. (DENG), is providing this report on the status of decommissioning funding for Millstone Power Station Unit 1 (MPS 1 ). provides the following information for MPS1: Table I - Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2020 Table II - Decommissioning Funding Status Report for MPS1 Annual Cash Flow Analysis Starting January 1, 2021 through End of Decommissioning The following information is provided in support and as part of this filing:

1. The escalation of decommissioning costs from the Cost Study's 2019 dollars to 2021 dollars is 2.06% and is based upon the average of CPI-U rates, Bureau of Labor Statistics, FCPIU.US CPI: Consumer Price Index for All Urban Consumers, (Index 1982-84=100, SA) for that period.

2. The escalation rate of decommissioning costs, shown in Table II is 0% based on assuming a 2% Real Rate of Return.

3. The growth rate on Trust Funds is the allowed 2% Real Rate of Return over the escalation rate.

4. No rate regulatory authority citation for MPS1 is referenced because MPS1 is a merchant unit.

5. There are no contracts upon which DENG is relying under paragraph 10 CFR 50.75(e)(1 )(v) and there were no modifications to the current method of providing financial assurance since the last submitted report.

Serial No.: 21-080 Docket No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 2 of 2

6. There are no annual funding amounts for MPS1.

7. Trust Fund balances shown in this report are market value and after-tax on realized gains and losses. The Trust Fund balances have not been adjusted for unrealized gain or loss positions that are not currently taxable.

8. Since the previous annual submittal on March 26, 2020 (Serial No. 20-112, ADAMS Accession No. ML20087M715) for MPS1 there have been no material changes to the Trust agreements established for nuclear decommissioning.

Please contact Mr. Craig D. Sly at (804) 273-2784 if you have any questions or require additional information. Sincerely, Mark. D. Sartain Vice President - Nuclear Engineering and Fleet Support Dominion Energy Nuclear Connecticut, Inc.

Attachment:

Decommissioning Funding Status Report for MPS1, Summary Information as of December 31, 2020 Commitments made in this letter: None cc: U. S. Nuclear Regulatory Commission Region I 2100 Renaissance Blvd, Suite 100 King of Prussia, Pennsylvania 19406-2713 Ms. Amy Snyder NRG Senior Project Manager - Millstone Power Station, Unit 1 U. S. Nuclear Regulatory Commission Mail Stop T-5A 10 Washington, D.C. 20555-0001 Serial No.: 21-080 Docket No.: 50-245 Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2020 Millstone Power Station - Unit 1 Dominion Energy Nuclear Connecticut, Inc. (DENC)

Serial No.: 21-080 Docket No.: 50-245 Page 1 of 3 Table I: Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2020 Decommissioning Funding Status Report for MPS1 Summary Information as of December 31, 2020 1 O CFR 50.82 (a)(8)(v)-{vii) (in millions) Decommissionini:i Trust Fund Balances 10 CFR Reference l50.82(all8lM(Al Fund Balance Type of Trusts Comments 698.4 Unit 1 qualified fund balance Asof: 12/31/2020 Unit 1 non-qualified fund balance Asof: 12/31/2020 0.9 Less costs incurred but not vet billed to Trust Actual Cost in: 2020 697.5 Adiusted decommissionino fund balance As of: 12/31/2020 Other Financial Assurance Methods Being Relied Upon 10 CFR Reference I 50.82(a)(8)(v)(A) None Prior Years Decommissioning Expenditures 10 CFR Reference l50.82(a)(8)(v)(A) Total License Tenn Spent Fuel Mgmt Site Restoration Comments 3.6 $ 0.1 3.5 $ 2020 Cost in: 2020 98.9 48.8 50.1 2001-2019 Costin: As-Spent 102.5 48.9 53.6 Total Prior Year in: As-Snent Prior Year Decommissioning Expenditures Variance to Estimated Cost 10 CFR Reference I so.82(a)(8)(v)(B) Total License Term Spent Fuel Mgmt Site Restoration Comments 3.6 $ Actual Cost in 2020 5.0 $ NRC Auth $ in 2020 /1.4\\ $ Variance: Underrun to NRC Authorized Expenditures Remaining Decommissioning Estimated Cost 10 CFR Reference l50.82(a)(8)(v)(B) Total License Term Spent Fuel Mgmt Site Restoration Comments 515.6 370.7 137.1 7.8 Estimate in: 2021 Decommissioning Criteria Upon Which the Estimate Is Based 1 o CFR Reference I 50.82(a)(8)(v)(B) SAFSTOR Anv Modification To Method of Provldina Financial Assurance 10 CFR Reference l50.82(a)(B)(v)(C) None Any Material Changes To Trust Agreement Since Previous Report 10 CFR Reference I 50.82(a){8)(v)(D) None Need For Additional Financial Assurance 10 CFR Reference l50.82(a)(8)(vi) None See Annual Cash Flow Analysis in Table II Inputs to Remaining Cost and Funding Analysis I 2021 Start vear of Remainina Cost and Fundino analvsis 2.06% Escalate studv dollars from Studv Year to Start Year of Analvsis usina an averaae of CPI rates 0.00% Escalation rate 2021 & Bevond 2.00% Fund arowth rate 2021 & Bevond /Reflects NRC allowed 2% Real Rate of Return) Proiected annual expenditures - see Annual Cash Flow Analysis in Table II Notes: Table I l50.82(a)(8)(VIO(Al Dollars I I Dollars Dollars Dollars I Dollars Dollars m*c J 50.B2(a)(8)(vii)(B) Dollars I I I l50.82(a)(8J(vli)(C) I

1) Previous decommissioning expenditures represent the withdrawals from the nuclear decommissioning trusts made by Dominion Energy Nuclear Connecticut, Inc. These expenditures do not include the withdrawals made by the former owners of MPS1.

2) Expenditures include withdrawals for spent fuel management, consistent with DENC's previous notices to the NRC, as well as allowed ordinary administrative costs.

3) 2018 NRC Authorized expenditures of $5.137 million are based on $5 million (rounded) in 2017 dollars as described in DENC's submittal dated August 22, 2017 (Serial No. 18-289, ADAMS Accession No. ML17240A170).

Serial No.: 21-080 Docket No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 2 of 3 Table II: Decommissioning Funding Status Report for MPS1 Annual Cash Flow Analysis Starting January 1, 2021 through End of Decommissioning Decommissioning Funding Status Report for MPS1 Annual Cash Flow Analysis Starting January 1, 2021 through End of Decommissioning 10 CFR 50.82 {a)(8)(v)-(vli) /lnmllllonsl ~ ~ ~ ~ ~ ~ Beginning Earnings Remaining Remaining Remaining Remaining of on License Termination Spent Fuel Mgmt Site Restoration SAFSTOR of Year Trust Funds Expenditures Expenditures Expenditures Expenditures Year Year Balance (Reflects 2% RRoR) !Reflects 0% Esc) (Reflects 0% Esc) (Reflects 0% Escl !Reflects 0% Esc) Balance 2021 697.5 $ 13.9 1.0 5.0 6.0 $ 705.3 2022 705.3 $ 14.1 1.0 4.4 5.4 $ 713.9 2023 713.9 $ 14.2 1.0 5.4 6.4 $ 721.7 2024 721.7 $ 14.4 1.0 4.4 $ 5.4 $ 730.7 2025 730.7 14.6 1.0 4.4 5.4 739.8 2026 739.8 14.7 1.0 3.7 4.7 $ 749.9 2027 749.9 15.0 1.0 -3/4 3.7 4.7 $ 760.1 2028 760.1 15.2 1.0 3.7 4.7 $ 770.6 2029 770.6 15.4 1.0 3.7 $ 4.7 $ 781.3 2030 781.3 $ 15.6 1.0 3.7 $ 4.7 $ 792.1 2031 792.1 15.8 1.0 3.7 $ 4.7 $ 803.2 2032 803.2 $ 16.0 1.0 3.7 $ 4.7 $ 814.5 2033 814.5 16.2 1.0 3.7 $ 4.7 $ 826.0 2034 826.0 16.3 1.6 $ 22.6 $ 24.2 $ 818.2 2035 818.2 16.1 1.6 $ 22.1 23.7 $ 810.6 2036 810.6 16.1 11.8 11.8 $ 815.0 2037 815.0 $ 16.2 $ 10.9 $ 10.9 $ 820.3 2038 820.3 $ 16.3 $ 10.2 $ 10.2 $ 826.4 2039 826.4 $ 16.5 0.7 0.9 $ 1.6 $ 841.3 2040 841.3 $ 16.8 0.7 0.9 1.6 $ 856.5 2041 856.5 17.1 0.7 0.9 $ 1.6 $ 872.0 2042 872.0 $ 17.4 0.7 0.9 1.6 $ 887.8 2043 887.8 $ 17.7 0.7 0.9 1.6 $ 903.9 2044 903.9 $ 18.1 0.7 0.9 1.6 $ 920.3 2045 920.3 $ 18.3 5.9 o.~* 6.7 $ 931.9 2046 Sl 931.9 $ 18.4 $ 21.1 21.1 929.3 2047 Sl 929.3 $ 18.0 $ 59.1 59.1 888.1 2048 888.1 17.2 $ 59.9 59.9 $ 845.4 2049 845.4 $ 16.2 $ 71.7 0.1 71.8 $ 789.8 2050 789.8 $ 15.3 $ 50.5 0.9 $ 51.4 $ 753.6 2051 753.6 $ 14.7 $ 30.4 2.3 $ 32.7 $ 735.7 2052 735.7 $ 14.5 $ 23.8 2.5 $ 26.3 $ 723.8 2053 723.8 $ 14.3 $ 16.4 1.5 $ 17.9 $ 720.3 2054 720.3 $ 14.4 4.3 0.5 4.8 $ 729.8 2055 729.8 $ 14.6 1.6 0.1 1.7 $ 742.7 2056 742.7 $ 14.9 $ 757.6 2057 757.6 $ 15.2 $ 772.7 2058 772.7 $ 15.5 788.2 2059 788.2 $ 15.8 804.0 2060 804.0 $ 16.1 $ 820.0 2061 820.0 $ 16.4 836.4 2062 836.4 $ 16.7 $ 853.2 2063 853.2 $ 17.1 870.2 2064 870.2 $ 17.4 887.6 2065 887.6 $ 17.8 $ 905.4 2066 905.4 $ 18.1 923.5 2067 923.5 $ 18.5 942.0 2068 942.0 $ 18.8 960.8 2069 960.8 $ 19.2 I Sl 980.0 2070 980.0 $ 19.5 5.5 5.5 $ 994.1 Remaining $ in 2021 Dollars 370.7 $ 137.1 7.8 $ 515.6 Est. Fund Balance (end of Decommissioning) (in Future$ escalated at 0.0% & 2.0% Real Rate of Return Fund Growth Rate) 994.1 Est. Fund Balance (end of Decommissioning) discounted to 2021 Dollars Discount Rate= 2.00% 376.7

Table II Definitions: Column 1: Beginning of Year Balance: Serial No.: 21-080 Docket No.: 50-245 MPS1 Decommissioning Trust Fund Status Report Page 3 of 3 Reflects the beginning-of-year Trust Fund balance at a 0.0% cost escalation rate and a 2.0% Real Rate of Return (RRoR) on fund growth. Column 2: Earnings on Trust Funds: Reflects earnings on funds remaining in the trust. A 2.0% RRoR Fund growth rate is used for 2021 through 2070 which reflects the allowed 2.0% RRoR over a 0.0% cost escalation rate. The annual 2.0% RRoR earnings are calculated on the beginning balance less 50% of the projected annual expenditure for each year. Column 3: Remaining License Termination Expenditures: Reflects the annual License Termination Plan cost portion at a 0.0% escalation rate from the Site Specific Estimate. Column 4: Remaining Spent Fuel Management Expenditures: Reflects the annual Irradiated Fuel Management Plan cost portion at a 0.0% escalation rate from the Site Specific Estimate. This column provides funding information for managing irradiated fuel as required by 10 CFR 50.82(a)(8)(vii). Column 5: Remaining Site Restoration Expenditures: Reflects the annual Site Restoration Plan cost portion at a 0.0% escalation rate from the Site Specific Estimate. Column 6: Remaining SAFSTOR Expenditures: Reflects the annual SAFSTOR Decommissioning Plan cost at a 0.0% escalation rate from the Site Specific Cost Estimate. Column 7: End of Year Balance: Reflects the end of year Trust Fund balance after projected earnings are added and projected expenditures are deducted for the year specified at a 0.0% escalation rate and a 2.0% RRoR on fund growth. Tables I and II General Notes: (Any minor differences in totals are due to rounding.)

1) Trust Fund balance reflects market value on December 31, 2020, net of taxes on realized gains and losses.

2) The 2.0% RRoR is based on the rate allowed by 10 CFR 50.75(e)(1)(i) and 10 CFR 50.82(a)(8)(vi).

3) The funding method for providing financial assurance for decommissioning MPS1 remains prepayment. The cash flow analysis in Table II demonstrates that the amounts accumulated in the Trust are sufficient, with credited earnings at a 2.0% RRoR, to cover the estimated cost of radiological decommissioning, spent fuel management and site restoration.}}