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Nuclear Power Industry News is a blog about utilities, companies, suppliers in the nuclear energy market.
  • AREVA And EDF Reach Accord On Spent Nuclear Fuel Management

    The agreement lays down the conditions for applying the framework agreement of December 19, 2008, which sets the principles of a long-term partnership for operations of treatment-recycling of used fuel, and reprocessed fuel fabrication (MOX1)

     - By Stephen Heiser -

    AREVA and EDF have reached an agreement covering the transportation, treatment and recycling of used nuclear fuel, for which a contract will be signed before the end of the first quarter of 2010.

    The agreement lays down the conditions for applying the framework agreement of December 19, 2008, which sets the principles of a long-term partnership for operations of treatment-recycling of used fuel, and reprocessed fuel fabrication (MOX1). This guarantees both EDF and AREVA long-term visibility on their recycling partnership. It is agreed that, starting from 2010 on, EDF will increase the amounts of used fuel sent for treatment to La Hague from 850 tons to 1,050 tons per year and the amounts of MOX fuel fabricated at the Melox site from 100 to 120 tons per year.

    As regards the enrichment of EDF uranium on AREVA’s Eurodif site, AREVA and EDF are currently doing all they can to quickly reach an agreement.

    1 MOX: mixed-oxide (uranium and plutonium) fuel, fabricated by treating used fuel and reloaded into some EDF nuclear power plants

  • NRC: New Open Government Web Page Features Citizen Engagement Tool

    The public, including NRC employees, can use the tool to easily share ideas and comments on how the agency can work better with others inside and outside government, improve the availability and quality of information, and be more innovative and efficient

     - By Linton Levy -

    The Nuclear Regulatory Commission today launched an Open Government Web page to serve as the gateway for agency activities related to the White House’s Open Government initiative. The NRC is actively supporting the open government initiative and encouraging public participation through a new user-friendly citizen engagement tool accessible through this page. The Web page is at: http://www.nrc.gov/open.html.

    The public, including NRC employees, can use the tool to easily share ideas and comments on how the agency can work better with others inside and outside government, improve the availability and quality of information, and be more innovative and efficient.

    The tool, being piloted, is easy to use.  First, an individual signs in with an email address and submits an idea to the NRC. The idea should be tagged to one of the following identified categories: transparency, participation, collaboration or innovation. Members of the public can also engage by providing comments on other proposed ideas or by voting on whether they agree or disagree with a proposed idea.

    Initially, the citizen engagement tool will be active from February 6 to March 19. After this time, the agency will evaluate if they will continue to use this tool or adopt a different citizen engagement tool. Subsequently, the NRC will review the submitted ideas and determine whether they will be implemented. 
     
    Members of the public who do not wish to use this tool can instead send ideas in the following ways: mail to U.S. Nuclear Regulatory Commission, Office of Public Affairs Mail Stop O16-D3, Washington, DC 20555-0001; email to opa.resource@nrc.gov; call 1-800-368-5642 x 8200; or fax to 301-415-3716.

    The NRC is developing an Open Government Plan that will describe how the agency will improve transparency and integrate public participation and collaboration into its activities. The Plan is scheduled to be published by April 7.

    More information on Open Government is available at http://www.whitehouse.gov/open/documents/open-government-directive.

  • AREVA, KEPCO Ink Deal To develop Imouraren Mine, Plan To Grow Cooperation

    Under the terms of the agreement, KEPCO will take an indirect 10 % stake in the Imouraren SA mining company, jointly owned by AREVA and the Nigerien state

     - By Linton Levy -

    AREVA CEO Anne Lauvergeon and Ssang-Soo Kim, CEO of the Korea Electric Power Corporation (KEPCO), met in Paris to sign an agreement for the Korean group to join the Imouraren mine in Niger.  The agreement is a continuation of that reached by AREVA and KEPCO for the Georges Besse II enrichment plant, and confirms their desire to work together at the front end of the nuclear fuel cycle.

    Under the terms of the agreement, KEPCO will take an indirect 10 % stake in the Imouraren SA mining company, jointly owned by AREVA and the Nigerien state. In return, KEPCO is entitled to 10 % of the mine’s lifelong production to exclusively supply its reactors in Korea. KEPCO’s involvement in this industrial project provides major support to the partners already developing the Imouraren mine.

    The Imouraren uranium deposit, 80 kilometers south of Arlit in northern Niger, is today considered one of the biggest in the world. Mining is scheduled to begin in 2013, with an annual production capacity of 5000 tons of uranium. Imouraren SA will be in charge of exploiting the mine, over what is expected to be more than thirty years.

    AREVA and KEPCO also discussed the possibility of extending their cooperation to cover uranium conversion and enrichment activities, as well as used fuel recycling.

  • India's 18th Nuclear Power Plant Begins Commercial Operations

    With the commissioning of this unit, number of nuclear power reactors in commercial operation has increased to 18 with a total installed capacity 4340 MW

     - By April Murelio -

    According to the Nuclear Power Corporation (NPCIL), Unit - 5 of Rajasthan Atomic Power Project (RAPP-5&6) has commenced commercial operation with effect. The unit was earlier synchronized to the grid, for the first time, on December 22, 2009.

    With the commissioning of this unit, number of nuclear power reactors in commercial operation has increased to 18 with a total installed capacity 4340 MW.

    The operation of RAPS-5 in Rajasthan increases the nuclear installed capacity at Rawatbhata Site to 960 MW. The generation of RAPS-5 will be shared by the States in Northern Electricity Region. The unit is fuelled with imported uranium.

    Unit - 6 (220 MW) has also achieved first criticality on January 23, 2010 and is currently going through statuary tests in preparation for the first synchronization and commencement of commercial operation. 

    The Indian-built 220 MW unit of the Rajasthan Atomic Power Station (RAPS) is using fuel imported from Russia which was acquired after India got a waiver from the Nuclear Suppliers Group guidelines in September 2008.

    Of the 2,000 tonnes of fuel procured from Russia, about 120 tonnes has been earmarked for RAPS-5. The operationalization of RAPS-5 increases the installed nuclear power capacity at the NPCIL's Rawatbhata site to 960 MW.

    The project, which was set up in September 2002, took six years to finish.  The project remained idle for some months because of lack of fuel.

  • New Study Provides Detailed Analysis Of Indian Energy And Utilities market

    The report shows the current size and share of nuclear energy as well as short-term and long-term targets indicating a demand ranging anywhere between USD 80 bn to USD 200 bn over the next twenty years

     - By Mark McFadden -

    According to a new study by Companiesandmarkets.com the Indo-US nuclear deal and waiver granted to India from the Nuclear Suppliers Group (NSG) has opened the country to global nuclear commerce.

    With access to global technological advances and uranium fuel supplies, the country renewed an ambitious nuclear energy program creating a huge demand for equipment and services.

    The report shows the current size and share of nuclear energy as well as short-term and long-term targets indicating a demand ranging anywhere between USD 80 bn to USD 200 bn over the next twenty years.

    The report shows the recent market activity including recent deals, opportunities being explored, and investments by foreign players, domestic private and government organizations. The major issues and challenges facing the domestic market including the possible role of Indian companies are also addressed.

    It is essential to know the structure of nuclear energy control and the role of different government organizations. The report includes a brief profile of major government organizations. Additionally, a list of future projects - planned and under construction is also provided. 

  • NRC Appoints New Resident Inspector At Perry Nuclear Power Plant

    Hartman joined the NRC in Region III as a reactor engineer in 2009, he graduated from Rensselaer Polytechnic Institute with a bachelor’s of science degree in nuclear engineering

     - By Chris Smith -

    The U.S. Nuclear Regulatory Commission has selected Thomas Hartman as the new Resident Inspector at the Perry Nuclear Power Plant in Perry, Ohio, roughly 35 miles northeast of Cleveland.

    Hartman joined the NRC in Region III as a reactor engineer in 2009. Prior to joining the agency, he served more than six years in the U.S. Navy as a Machinist Mate aboard the aircraft carrier USS Carl Vinson. Hartman graduated from Rensselaer Polytechnic Institute with a bachelor’s of science degree in nuclear engineering.

    “Thomas Hartman is an excellent inspector with a firm commitment to safety. He will help the NRC fulfill its mission of protecting people and the environment by helping ensure the Perry plant operates at the high standards set by the NRC,” Region III Administrator Mark Satorius said.

    Each U.S. commercial nuclear plant site has at least two NRC resident inspectors. They serve as the agency’s eyes and ears at the facility, conducting inspections, monitoring major work projects and interacting with plant workers and the public. Hartman joins Senior Resident Inspector Mark Marshfield at the plant. Both can be reached at (440) 259-3610.

  • Westinghouse AP1000 Completes Phase 1 Of CNSC Pre-Project Design Review

    A Phase 1 review of the AP1000 involved an overall assessment of the reactor design against the most recent CNSC design requirements for new nuclear power plants in Canada

    - By Stephen Heiser -

    The Westinghouse AP1000 pressurized water reactor has completed Phase 1 of the Canadian Nuclear Safety Commission (CNSC) Pre-Project Design Review.
    The objective of a Pre-Project Design review is to verify, at a high level, the acceptability of a nuclear reactor design with respect to Canadian safety requirements and criteria, including the identification of fundamental barriers to licensing a new reactor design in Canada. The review is conducted in two phases.

    A Phase 1 review of the AP1000 involved an overall assessment of the reactor design against the most recent CNSC design requirements for new nuclear power plants in Canada.

    "Westinghouse is pleased to receive this Phase 1 report and views it as an important preliminary step in bringing the AP1000™( )to Canada," said Ric Perez, senior vice president, Westinghouse Nuclear Power Plants. "Canada is very familiar with the benefits of clean, safe and reliable nuclear power and Westinghouse is anxious to work within Canada's existing nuclear infrastructure to extend those benefits well into the 21st-century."

    Westinghouse believes the AP1000™ is ideally suited for Canada and the worldwide nuclear power marketplace. The AP1000 is:

    • Based on standard Westinghouse pressurized water reactor (PWR) technology that has achieved more than 2,500 reactor years of highly successful operation
    • An 1100MWe design that is ideal for providing baseload generating capacity
    • Modular in design, promoting ready standardization and high construction quality
    • Economical to construct and maintain (less concrete and steel and fewer components and systems mean there is less to install, inspect and maintain)
    • Designed to promote ease of operation (features most advanced instrumentation and control (I&C) in the industry)

    Currently, four AP1000 units are being built in China, two at Sanmen and two at Haiyang, and there are discussions on plans for more AP1000™ plants to be sited inland of China's coastal areas. For more information about the Westinghouse AP1000, visit its Web site at www.ap1000.westinghousenuclear.com.

    Westinghouse Electric Company, a group company of Toshiba Corporation (TKY:6502), is the world's pioneering nuclear power company and is a leading supplier of nuclear plant products and technologies to utilities throughout the world. Westinghouse supplied the world's first PWR in 1957 in Shippingport, Pa. Today, Westinghouse technology is the basis for approximately one-half of the world's operating nuclear plants, including 60 percent of those in the United States.

  • Baker Wins 2010 ACEC/PA Diamond Honor Award for Three Mile Island Steam Generator Transport Project

    This fast-track project required delivery of the generators in September 2009 to support TMI’s license renewal to continue operations through 2034

     - By April Murelio -

    Michael Baker Jr., Inc., an engineering unit of Michael Baker Corporation, was presented with a Diamond Honor Award in the Special Projects Category at the 2010 Annual Awards Dinner by the American Council of Engineering Companies of Pennsylvania (ACEC/PA) in Hershey, Pa.   Baker received the award for its outstanding route planning, and bridge and highway engineering to support AREVA NP Inc.’s delivery of two steam generators to Three Mile Island Generating Station (TMI) at Middletown, Pa. 

    This fast-track project required delivery of the generators in September 2009 to support TMI’s license renewal to continue operations through 2034.  The components will help TMI continue to provide domestically produced energy to more than 800,000 homes and the employment of approximately 750 people.

    Each steam generator and transporter unit, at 825 tons, 153-feet long, 18-feet wide and 24-feet high, were the largest loads ever transported on Pennsylvania and Maryland highways.  The route to TMI was characterized by its 75-mile length, hilly terrain, narrow rural roadways, and many water crossings.

    Baker performed highway and bridge design, environmental investigations, permitting, utility coordination, construction management and transport support services to deliver the engineering solutions needed to safely transport these unique vessels. With nearly 150 stakeholders, AREVA and Baker’s coordination included two state governments and multiple departments of their respective transportation and environmental agencies, state police departments, municipal authorities, utilities, local emergency management agencies and school districts.
     
    The project was performed for AREVA NP Inc., a multi-national energy company accustomed to delivering large scale components.  George Beam, AREVA’s chief executive officer, called this “the most challenging large component delivery in AREVA’s history.”

    “This was a fast-track project that used all disciplines of Baker’s civil engineering services,” said John Rorquist, Baker’s project manager.  “The on-time arrival of the steam generators at TMI was the result of one-and-a-half years of intense planning, engineering and permitting work by Baker and AREVA staff members working as a team.  We faced several engineering challenges in which no two solutions were the same. Successful application of the solutions allowed the move to be executed just as it was designed.”

    "This is the fourth steam generator transport project that we have completed with Baker," said Edoardo Ascione, President of Fagioli, Inc., which provided specialized transportation equipment and staff to move the loads.  "We have relied on Baker's engineering and permitting experience to help us deliver eight units to nuclear power plants in the last eight years. This was a team effort to deliver these units to TMI." 

    The transport received widespread public and media attention over the 15 days needed to travel the route.  Spectators lined the route on a daily basis, and there were numerous television stories, more than 100 print articles and more than 28,000 hits to the AREVA project website.

    Michael Baker Corporation (http://www.mbakercorp.com/) provides architecture, engineering and construction services for its clients’ most complex challenges worldwide.  The firm's primary business areas are aviation, defense, environmental, facilities, geospatial, homeland security, municipal & civil, pipelines & utilities, rail & transit, transportation and water.  With more than 2,300 employees in over 40 offices across the United States, Baker is focused on creating value by delivering innovative and sustainable solutions for infrastructure and the environment.

  • NRC: License Renewal Application Available For Columbia Generating Station Nuclear Power Plant

    The Columbia Generating Station is a boiling-water nuclear reactor, located 12 miles northwest of Richland, Wash. The current operating license expires on Dec. 20, 2023

     - By Stephen Heiser -

    The Nuclear Regulatory Commission has announced that an application for a 20-year renewal of the operating license for the Columbia Generating Station is available for public review.

    The Columbia Generating Station is a boiling-water nuclear reactor, located 12 miles northwest of Richland, Wash. The current operating license expires on Dec. 20, 2023. 

    The licensee, Energy Northwest, submitted the renewal application by letter dated on
    Jan. 19. It is available on the NRC Web site at this address: http://www.nrc.gov/reactors/operating/licensing/renewal/applications.html.

     The NRC staff is currently conducting an initial review of the application to determine whether it contains enough information for the required formal review. If the application has sufficient information, the NRC will formally “docket,” or file, the application and will announce an opportunity to request a public hearing.

     For further information, contact project managers Evelyn Gettys and Daniel Doyle in the Division of License Renewal, Office of Nuclear Reactor Regulation, U.S. Nuclear Regulatory Commission, Mail Stop O11-F1, Washington, D.C. 20555; telephone (301) 415-4029 and
    (301) 415-3748 or email Evelyn.Gettys@nrc.gov or Daniel.Doyle@nrc.gov.

  • NRC Seeks Input On Draft Environmental Impact Statement For Kewaunee Nuclear Plant Renewal

    As part of Kewaunee’s license renewal application, dated Aug.14, 2008, Dominion Energy Kewaunee submitted an environmental report. The NRC staff reviewed the information and performed an on-site review

     - By Linton Levy -

    The Nuclear Regulatory Commission is seeking public comments on its preliminary conclusion that there are no environmental impacts that would preclude renewal of the operating licenses for the Kewaunee Power Station located in Kewaunee, 27 miles east of Green Bay, Wis.

    As part of Kewaunee’s license renewal application, dated Aug.14, 2008, Dominion Energy Kewaunee submitted an environmental report. The NRC staff reviewed the information and performed an on-site review. The staff also considered comments made during the environmental scoping process, including comments offered at public meetings held Oct. 22, 2008.

    The draft supplemental environmental impact statement (EIS) will be available for public comment until April 23, and will be the subject of two public meetings. The meetings will be held on March 24, at the City of Carlton town hall, N1296 Town Hall Rd., Kewaunee County. The meetings are scheduled to begin at 1:30 and 7 p.m. The two meetings will begin with identical overviews, including a discussion of the contents of the report, and then be opened for public comment.

    NRC staff will consider written comments on the draft EIS. Comments should be submitted either by mail to the Chief, Rules and Directives Branch, Division of Administrative Services, Mail Stop T-6D59, U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001, or by e-mail to KewauneeEIS.Resource@nrc.gov.
     
     In addition, the NRC staff will host informal discussions one hour prior to each meeting at the same facility. NRC staff members will be available to answer questions and provide information about the process, but no comments on environmental issues will be accepted during these informal sessions.

    Under NRC regulations, the original operating license for a nuclear power plant has a term of 40 years. The license may be renewed for up to an additional 20 years if NRC requirements are met. The current operating license for Kewaunee Power Station expires on Dec. 21, 2013.

    The possible environmental effects of an additional 20 years of nuclear plant operation are described in a generic EIS (NUREG-1437). The NRC issues a site-specific supplement to the generic EIS on each plant requesting license renewal; issues specific to Kewaunee Power Station are addressed in Supplement 40.

     The Kewaunee draft supplement to the generic EIS and other related documents are available for public inspection in the NRC Public Document Room at NRC headquarters, One White Flint North, 11555 Rockville Pike, Rockville, Md.; or electronically through the Agencywide Documents Access and Management System through the NRC webpage at http://www.nrc.gov/reading-rm/adams/web-based.html. The accession number of the draft supplement is ML100240002. In addition, the draft supplement to the generic EIS will be available for public inspection at the following location: Kewaunee Public Library, 822 Juneau St. in Kewaunee.
     
     A copy of the Kewaunee license renewal application is available on the NRC’s Web site at:  http://www.nrc.gov/reactors/operating/licensing/renewal/applications/kewaunee.html. Additional information on the NRC’s license renewal review process is available at:  http://www.nrc.gov/reactors/operating/licensing/renewal.html.
     
     At the conclusion of the public comment period, the NRC staff will consider and address the comments received and issue a final supplement to the generic EIS. That supplement will contain a final conclusion regarding the environmental impact of relicensing Kewaunee Power Station.

  • Jaczko: Addressing the Demands of Today, Preparing for the Challenges of Tomorrow

    The Honorable Gregory B. Jaczko Chairman, U.S. Nuclear Regulatory Commission, Remarks as Prepared for Delivery Energy and Environment Conference

      - Edited by Stephen Heiser -

    Thank you for inviting me to speak to you today. I understand that the conference will be focusing on the role that various energy technologies, including nuclear power, can play in reducing carbon emissions and achieving energy independence.

    Many of the issues that you will discuss fall outside of my perspective as an independent safety regulator. It is not the role of the Nuclear Regulatory Commission (NRC) to promote or discourage the use of nuclear power. The NRC’s mission is clear: “to ensure adequate protection of public health and safety, promote the common defense and security, and protect the environment.”

    Decisions about the growth or contraction of nuclear power are for the public to make through the actions of the private sector, the Administration, and the Congress. It is my role to ensure that the NRC continues to be an effective regulator – a regulator that acts firmly and decisively, a regulator that acts openly and transparently, a regulator that produces results and elicits public confidence through those results. And to understand what I mean by results, you need look no further than that concise and powerful statement of the NRC’s mission that I shared with you just a minute ago – public health and safety, common defense and security, and the protection of the environment. 

    Benjamin Franklin once said “it takes many good deeds to build a good reputation, and only one bad one to lose it.”  The NRC has done many good deeds – recruited, developed, and retained top-notch staff, developed strong regulatory, inspection, and enforcement programs, and many others that I will discuss later this morning – to build its good reputation. But Ben Franklin’s insight about one bad deed has particular resonance in the nuclear field. Few civilian technologies – if any – have the ability of nuclear energy to attract public attention and elicit public concerns. As a nuclear safety regulator, I am sensitive to the fact that a single accident or lapse can significantly harm public health and safety and undermine public confidence in the agency in a lasting way.

    The NRC has to be a firm, decisive, and effective regulator to fulfill its important safety mission and to maintain public confidence. At its core, that means keeping the agency focused on the bread and butter of what it’s always done – ensuring that the operating fleet continues to be safe, secure, and adequately protective of the environment. But in recent years with the renewed interest in nuclear power, what it means for the NRC to be a firm, decisive, and effective regulator has evolved to include additional responsibilities in reviewing new reactor applications to ensure that any new plants are built and operated in line with our high safety, security, and environmental standards.

    Just 15 years ago, a lot of people were thinking about the increasing attention that the agency would have to focus on decommissioning aging facilities. Ten years ago, few people inside or outside the NRC would have foreseen any significant increase in new reactor applications. And just five years ago, the outlook for receiving new applications still remained uncertain. But once a flood of applications became a realistic possibility, the NRC as a firm, decisive, and effective regulator took several steps to prepare for this development because, as Ben Franklin also observed, “by failing to prepare, you prepare to fail.” 

    These steps have included a reform of our licensing procedures, budgeting enough resources to develop the needed infrastructure, the hiring and training of large numbers of new staff, and the creation of a new office to focus specifically on new reactor issues. The reform of the licensing process was the first of these steps. The traditional licensing method involved getting a permit to build the plant and then applying for a license to operate that plant after it was constructed. The old process was like buying a car for your kids before they passed their driver’s license test, or a building an addition to your house before having the zoning permit approved. Now utilities have the option of a new process through which they can apply for a license to operate a nuclear power plant and then make a subsequent decision about building it. Since the cost of preparing a paper license application is dramatically less than actually pouring concrete and constructing the facility, the COL process has taken some of the financial uncertainty out of the decision to build a plant.

    Anticipating the strain that new applications could place on the agency, the Commission began several years ago to secure more budget resources and hire more staff to ensure that its oversight of the existing fleet would remain as strong as ever. The budget and staff ramp-up has been dramatic. Just during my five years on the Commission, the agency’s budget has seen more than a 50 percent increase and the number of NRC employees we have on board has gone up by more than 25 percent. This presents both opportunities and challenges for the NRC – to take full advantage of the talents and fresh perspectives of the new staff, while not losing the benefits of past experience. Toward that end, the NRC has initiated a knowledge management program to ensure that we never forget the lessons learned from past experience, even as long-serving staff retire.

    The NRC has a strong track record on licensing review. We have repeatedly shown that we can complete licensing reviews in an efficient and predictable manner, while always focusing on protecting public health, safety and security, and protecting the environment. You need look no further than our existing licenses process to see that. We complete approximately 1500 licensing
    actions and tasks per year – 90 percent of them within twelve months. And with the steps we have taken in recent years, the NRC is well-prepared to maintain its strong track record on licensing review. 

    As Chairman, I intend to keep the staff focused on providing clear guidance and expectations for the review of new applications to ensure that this process proceeds efficiently and predictably. This is a challenge in the ever-evolving area of the environmental analysis required by the National Environmental Policy Act (NEPA). In keeping with NEPA’s mandate, the NRC has always tried to fully consider the environmental consequences of our licensing actions and kept the public informed about those consequences. But there are areas in which the Commission can provide greater clarity and consistency to the staff and applicants. For example, the Commission needs to continue to provide clarity on what information applicants need to provide to meet NEPA’s requirements, especially in the emerging area of climate change.

    Reactor issues are very important, as I hope my discussion has demonstrated. But we can’t lose sight of the fact that the resurgence of interest in nuclear power has regulatory impacts throughout the entire fuel cycle. We can’t miss the forest for the trees, even if the tree – as in the case of reactors – is the size of a Sequoia. A nuclear reactor is only part of the life-cycle of nuclear power – a cycle which begins with the mining, recovery, and enrichment of uranium.

    Given the increased interest in new reactors, it should not be surprising that the NRC in recent years also has received several new licensing applications for fuel cycle facilities. As with our reactor applications, the agency has been working hard to review the new applications in an efficient, predictable, and thorough manner.

    One facility in nearby New Mexico received its license from the NRC in June 2006 and has been under construction since late 2006. In the anticipation of the possibility that other applicants will receive their license, begin construction, and enter eventual operation, the NRC will continue working to ensure that our fuel cycle oversight program effectively monitors their compliance with our safety, security, and environmental standards.

    The NRC also has been expecting several new applications for in situ recovery (ISR) facilities – a type of uranium recovery and processing. In hopes of minimizing redundancies in the review process, the NRC has prepared a Generic Environmental Impact Statement (GEIS) to serve as a starting point for the site-specific environmental review of license applications for new facilities. By addressing common environmental issues associated with ISR facilities, the GEIS keeps the staff from having to reinvent the wheel on every application and helps ensure that the agency’s resources stay focused on conducting comprehensive, thorough site-specific reviews.

    As my remarks today suggest, the renewed interest in nuclear power has led to a lot of changes at the NRC in recent years. But we should never forget that the focus of the NRC must remain on its core mission – ensuring that the existing facilities are operating in a manner that is safe, secure, and adequately protective of the environment. That means heading off potential issues as well as making sure we follow through on long-standing initiatives. I’ll share a couple examples from the environmental area to illustrate each point.


    In recent years, the NRC has discovered several instances of leaks in buried pipes that have revealed elevated levels of tritium. The leaks have not resulted in offsite releases to the environment beyond the regulatory limits or exposure to the public, nor have they interfered with safety functions. The NRC staff, however, continues to review how plants dealing with these leaks are using monitoring programs to ensure that there are not any significant health, safety, or environmental effects. In addition to the staff’s ongoing incident-specific efforts, I also tasked the staff last year to review the NRC’s general approach for overseeing buried pipes to make sure that the industry remains pro-active on this issue. Although the staff believes that our current regulatory efforts are adequate, the agency will remain focused on this issue to ensure that leaks don’t create significant problems in the future at aging facilities. Toward that end, the agency is participating on a buried piping task force – organized by NACE International, formerly the National Association of Corrosion Engineers – to evaluate the need for specific corrosion protection standards that could be implemented at nuclear power plant facilities.

    Our environmental work begins with the licensing review. It continues with the type of oversight and monitoring programs that I just discussed. But it doesn’t end until a site is decommissioned decades later. Following through on our commitment to ensure that sites are appropriately decommissioned so that future communities are not unnecessarily limited in the future use of these locations is a key part of our environmental mission. It is also important in maintaining public confidence in the NRC. Cleaning these sites and returning them to public use should be accomplished efficiently and effectively.

    The decommissioning process at some licensee sites, however, has been delayed due to the failure of having adequate cleanup funds even though there are no insurmountable technical challenges standing in the way of cleanup. In light of this, I believe that the NRC should require more detailed reporting by licensees and place tighter NRC control over certain financial instruments that are set aside to cover eventual decommissioning costs. I recognize, however, that in some instances waste disposal options may not be available due to lack of disposal sites; therefore, it may not be possible to fully clean up and return decommissioning sites to green fields. This is not acceptable to many of the communities where these facilities exist. Developing alternatives to deal with this challenge will take a concerted effort to communicate and listen to the public in communities around the nation.

    I hope my remarks today have given you confidence that the NRC always strives to be a firm, decisive, and effective regulator – one that stays focused on its core mission of maintaining the safety of the existing fleet while ensuring that it is always prepared to meet new issues and challenges. That has been my focus during my time on the Commission, and will continue to be throughout my tenure as Chairman.

    Thank you.

  • Khan Announces Take Over Bid From CNNC at C$0.96 Per Common Share

    The CNNC Offer will be in the form of a take-over bid. The definitive agreement provides for customary Board support and non-solicitation covenants subject to customary "fiduciary out" provisions entitling Khan to consider and accept an unsolicited superior offer

     - By Mark McFadden -

    Khan Resources Inc. has announced that is has entered into a definitive agreement with CNNC Overseas Uranium Holding Ltd. ("CNNC"), a Chinese nuclear energy corporation based in Beijing and an indirect wholly owned subsidiary of China National Nuclear Corporation, pursuant to which CNNC has agreed to acquire all of Khan's outstanding common shares for C$0.96 per share in cash (the "CNNC Offer"). The CNNC Offer represents a premium of approximately 118% to the closing share price prior to the Atomredmetzoloto JSC ("ARMZ") unsolicited bid, and a 48% premium to the unsolicited C$0.65 per share bid.

    Based on the recommendation of the Special Committee and advice from its advisors, Khan's Board of Directors unanimously recommends that shareholders accept the CNNC Offer. Haywood Securities Inc. ("Haywood"), the financial advisor to Khan, has provided an oral opinion that the consideration to be offered under the CNNC Offer is fair, from a financial point of view, to Khan's shareholders. The Board has extensively considered the various alternatives and has determined that the CNNC Offer is in the best interests of Khan and is the most attractive option for its shareholders. The CNNC Offer contains far fewer conditions than the ARMZ bid and is clearly more advantageous to Khan in this regard.

    The CNNC Offer will be in the form of a take-over bid. The definitive agreement provides for customary Board support and non-solicitation covenants subject to customary "fiduciary out" provisions entitling Khan to consider and accept an unsolicited superior offer. CNNC has the right to match any superior offer made by another bidder. A termination fee of C$1.6 million will be payable to CNNC if the acquisition is not completed in certain circumstances. An equally valued reverse-termination fee is payable to Khan if the transaction is not completed in certain circumstances.

    Concurrently with the execution of the definitive agreement, the directors and executive officers of Khan, holding a total of 1,493,500 common shares and 1,967,000 options exercisable into Khan common shares, representing approximately 6% of the Khan Shares on a fully diluted basis, have entered into lock-up agreements with CNNC, pursuant to which they have agreed to deposit such Khan common shares under the CNNC Offer.

    The full and important details of the CNNC Offer will be included in the formal offer and take-over bid circular, which is expected to be mailed to shareholders by February 26, 2010. The offer will be open for acceptance for a period of not less than 35 days and will be conditional upon, among other things, acceptance by holders of at least 66 2/3% of the outstanding common shares on a fully diluted basis and receipt of all Canadian and Chinese regulatory, government and corporate approvals.

    Provided that the minimum condition is met and CNNC takes up and pays for the Khan common shares tendered, CNNC is expected to seek to acquire the remaining outstanding Khan common shares pursuant to a subsequent acquisition transaction or compulsory acquisition, as applicable.

    "The CNNC Offer is far superior to the unsolicited ARMZ bid," said Martin Quick, President and Chief Executive Officer of Khan. "We look forward to working with CNNC to build upon the progress we have made in Mongolia towards establishing a stable platform for developing the Dornod uranium project and bringing it into operation. CNNC brings a lot to the table, with its deep expertise in nuclear energy, financial strength and strong political ties with Mongolia."

    Mr. Grant Edey, Chairman of the Special Committee, added: "The Special Committee has actively considered a variety of strategic alternatives. We thank our shareholders for their support of Khan and are pleased to enter into the support agreement with CNNC. We believe that the CNNC Offer provides Khan's shareholders with strong, direct value for their investment."

    Haywood Securities Inc. is acting as financial advisor and Davies Ward Phillips & Vineberg LLP is acting as legal counsel to Khan. BMO Capital Markets is acting as financial advisor and Stikeman Elliott LLP is acting as legal advisor to CNNC.

    Khan Resources Inc. (TSX: KRI) is a Canadian company engaged in the acquisition, exploration and development of uranium properties. Its current activities are focused on the Dornod area in northeastern Mongolia, the site of a former Russian open-pit uranium mine. Khan holds interests in the Main Dornod Property, licensed for mining, and in the Additional Dornod Property, licensed for exploration. The Company's website is www.khanresources.com.

    CNNC Overseas Uranium Holding Ltd. (a wholly owned branch of China Uranium Corporation Ltd.) is incorporated in Hong Kong and is an indirect wholly owned private subsidiary of China National Nuclear Corporation, China's leading uranium development and nuclear fuel company.

  • APS Palo Verde Unit 1 Sets Production Record

    Entire Site Generates Second-Highest Amount of Electricity Ever

     - By Chris Smith -

    Palo Verde Nuclear Generating Station’s Unit 1 just completed its best year since beginning commercial operation more than 20 years ago. The unit, which began operation in 1986, generated more than 11.5 billion net kilowatt-hours (kWh) of power in 2009, enough to serve more than a million people in four Southwestern states.

    Overall, the three units at Palo Verde produced more than 30 billion net kWh for only the fifth time in its 24-year history. At 30.6 billion net kWh, the amount of electricity the site generated in 2009 was its second highest ever. Palo Verde is the only power plant of any kind in the United States to generate 30 billion kWh in a single year.

    In addition, for the second consecutive year, all three units ran continuously for 100 days or more during the three plus months of highest power demand by APS customers.

    “Palo Verde’s record-breaking year is the result of our employees’ efforts to continually improve plant performance,” said Randy Edington, Executive Vice President and Chief Nuclear Officer for APS, Palo Verde’s operating utility. “Our mission is to ‘SAFELY and efficiently generate electricity for the long term,’ which means investing in the knowledge of our workforce and investing in plant equipment to make it as good as or better than new.”

    The increased output is the result of capitalizing on previous decisions to invest in equipment upgrades, including new steam generators and higher efficiency low-pressure turbine rotors in all three units. The upgrades, completed in 2007, resulted in an increase in plant capacity of approximately 270 megawatts.

    Palo Verde is the largest nuclear power plant in the nation. Since 1992, the facility also has been the largest power producer of any type in the U.S. Its three units can generate more than four million kilowatts of safe, clean, reliable, low-cost electricity every hour, enough to serve about four million people.

    Palo Verde is jointly owned by APS, Salt River Project, Southern California Edison Co., El Paso Electric Co., Public Service Co. of New Mexico, Southern California Public Power Authority and the Los Angeles Department of Water & Power.

    APS, Arizona’s largest and longest-serving electricity utility, serves about 1.1 million customers in 11 of the state’s 15 counties. With headquarters in Phoenix, APS is the principal subsidiary of Pinnacle West Capital Corp. (NYSE: PNW).

  • NNSA FY2011 Budget A “Direct and Tangible Display” Of Commitment To Nonproliferation

    D’Agostino Highlights Nonproliferation Budget in Remarks to INMM Conference

     - By Linton Levy  -

    In his first public remarks since the President’s FY2011 Budget Request was sent to Congress on Monday, National Nuclear Security Administration (NNSA) Administrator Thomas D’Agostino called it a “direct and tangible display of the President’s commitment to this mission, and a demonstration of the critical role NNSA plays in implementing the President’s unprecedented nuclear security agenda.” 
     
    Speaking to an International Nuclear Materials Monitor (INMM) workshop on the upcoming Nuclear Nonproliferation Treaty (NPT) review conference, Administrator D’Agostino said the $2.7 billion President Obama requested for nonproliferation programs – up 25.8 percent from FY2010 – support strengthening global nonproliferation efforts by bolstering NNSA programs that play a critical role in meeting the President’s goal of securing vulnerable nuclear material within four years.
     
    D’Agostino also highlighted the connection between strengthening NNSA’s infrastructure and strengthening nuclear nonproliferation efforts.  As D’Agostino noted, “the same state-of-the art facilities and highly trained and motivated people that allow us to maintain our arsenal without testing also help meet the President's goal of securing vulnerable nuclear materials world-wide in the coming years.”
     
    The following are excerpts of Administrator D’Agostino’s remarks as prepared for delivery (the full text can be found here):
     
    • ON THE EMERGING CONSENSUS IN WASHINGTON: “Between Vice President Biden’s op-ed in the Wall Street Journal on Friday, and the President’s budget request on Monday, I believe that we are reaching a critical juncture. We are beginning to see what the Vice President called ‘an emerging bipartisan consensus’ on a path forward for our nuclear security strategy.  The President’s budget request reverses the decline in support for the nuclear security enterprise, which will enable us to implement the ambitious agenda he laid out in his Prague speech.” 
     
    • ON THE CONNECTION BETWEEN STRENGTHENING THE NNSA & STENGTHENING THE NPT: “These goals – investing in our nuclear security infrastructure and strengthening the NPT – are intertwined.  The same state-of-the art facilities and highly trained and motivated people that allow us to maintain our arsenal without testing also help meet the President's goal of securing vulnerable nuclear materials world-wide in the coming years. They are critical to maintaining our ability to track and thwart nuclear trafficking, verify weapons reductions, and to develop tomorrow's cutting-edge technologies for our security and prosperity.”
     
    • PRESIDENT OBAMA’S BUDGET REQUEST: “Overall, the NNSA nonproliferation budget increases nearly 26% over FY2010 – a direct and tangible display of the President’s commitment to this mission, and a demonstration of the critical role NNSA plays in implementing the President’s unprecedented nuclear security agenda…I applaud the President for his leadership on these issues and look forward to working with Congress to get this budget passed.”
     
    • ON SECURING VULNERABLE NUCLEAR MATERIAL: “President Obama’s FY2011 Budget Request makes clear that the United States will do its part.  It includes a 67 percent increase our Global Threat Reduction Initiative to accelerate the removal and disposition of high-priority vulnerable nuclear material overseas and convert additional HEU-fueled research reactors to the use of less proliferation-sensitive low enriched uranium fuel. It requests a 10 percent increase in Nonproliferation and Verification R&D funding, expands security and detection programs of our Second Line of Defense and Megaport programs, and enhances efforts in safeguards, export control, and our other nonproliferation programs.”
     
    • ON STRATEGIC ARMS REDUCTIONS: “Under President Obama’s leadership, the United States is demonstrating concrete progress towards the goal of a world without nuclear weapons, while continuing to emphasize the critical importance of a stable, reliable international nonproliferation regime to further disarmament success.  For this reason, the United States is taking steps to reduce both the numbers and the role of nuclear weapons in our national security strategy, and urge other nations to do the same.”   
     
    Established by Congress in 2000, NNSA is a semi-autonomous agency within the U.S. Department of Energy responsible for enhancing national security through the military application of nuclear science in the nation’s national security enterprise. NNSA maintains and enhances the safety, security, reliability, and performance of the U.S. nuclear weapons stockpile without nuclear testing; reduces the global danger from weapons of mass destruction; provides the U.S. Navy with safe and effective nuclear propulsion; and responds to nuclear and radiological emergencies in the U.S. and abroad. Visit http://www.nnsa.energy.gov/ for more information.
     

  • Alexander Statement On DOE Blue Ribbon Commission On Nuclear Waste

    This commission and the president’s endorsement of a new generation of nuclear power plants are welcome steps that will enable the United States to catch up with the rest of the world

     - Edited by April Murelio -

    U.S. Senator Lamar Alexander (R-Tenn.) has released the following statement regarding U.S. Secretary of Energy Steven Chu’s announcement of the formation of a Blue Ribbon Commission on America’s Nuclear Future to provide recommendations for developing a safe, long-term solution to managing the nation’s used nuclear fuel and nuclear waste:

    “This commission and the president’s endorsement of a new generation of nuclear power plants are welcome steps that will enable the United States to catch up with the rest of the world in building the most reliable way to produce cheap, carbon-free electricity. If the president’s budget, as rumored, also increases loan guarantees for new nuclear plants, that would be a third significant step. This will help put our country on a course toward a low-cost, clean-energy future and move us away from a national windmill policy that has been the energy equivalent of going to war in sailboats.”

    In light of the administration’s decision not to proceed with the Yucca Mountain nuclear waste repository, the president directed Secretary Chu to establish a Commission to provide advice and make recommendations on issues including alternatives for the storage, processing, and disposal of spent nuclear fuel and nuclear waste.  

    The president’s proposed budget for Fiscal Year 2011 is expected to include an increase in the currently authorized level of loan guarantees for nuclear power from $18.5 to $54 billion.  These loan guarantees would enable utilities to lower the cost of financing and cost the taxpayer little to nothing when the loans are paid back. 

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