DISTR l BUT ION~OFi1 (50-275 I 50-323),NRC PDRLocal PDREDO- ReadingNRR ReadingECaseRBoydRDeYoungHDentonRHeinemanVStelloDCrutchfieldAttorney, ELDCA (3)GErtter (802010)HGroff (802010)EHughesLDreherJStolzDAllisonEHyltonJYore, ASLBrE (3)DVassalloLVGossick

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JUN 13 l977

Docket Hos. 50-275and 50-323 ~~

The Honorable Robert Lagmarsino.United States House of RepresentativesHashington, D. C. 20515

Dear Congressman Lagowarsino!1

I am pleased to respond to your letter of Hay 19, 1977, to Hr. Ben Rusche.Your letter forwarded correspondence from your constituent, Hr. Righetti,<Iho urged imre8iate issuance of an operating license on a temporary basisfor the Diablo Canyon'Nuclear Power Plant. He also questioned the valueof laws that require nearly four years to ccepile adequate informition toissue an operating license.

First, let me discuss the present status of the Diablo Canyon operatinglicense application. Since last year, construction has been eamntiallycompleted for the'first of the tm units at this site. Also, since lastyear, the plants orIner, Pacific 'Gas ari Electric Company (PGSE), has beenperforming an engineering analysis to determine what modifications may ben cessary to ensure that the plant can withstand a more severe earthquakethan the ones for which it, was originally designed. This analysis 'is timeconsm$ ng and wi11 not be completed in time to support a decision'n theoperating license before the sumer of 1978. (A decision on an operating3.icense would be made only after rev'iews by the NRC staff and the AdvisoryCmeittee on Reactor Safeguards (ACRS) are completed and the Atomic Safetyand Licensing Hoard (ASLB) has considered the matter at public hearings.)

On the other hand, it might be possible to reach a decision on an interimoperating license by the end of 1977. This possible approach and.the technicalinformation that w)uld be needed to justify it were outlined in a letterto the California Energy Resources Conservation and Development Commission ,

on Harch 18, 1977, (Enclosure 1). Pt"aE has indicated that it wi11 applyfor such an interim license and provide the required technical informationat the earliest practical date.

I'1mto the delay, the Diablo Canyon operating license application has beenader review since October 1973, which is an exceptionally long tirra. Thedelay has been due to the thre necessary to resolve seimic safety questions.The first tm years of the review were consumed in investigating and evaluating

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the newly discovered Ho="gri fault that rum about 3 l/2 miles offshore franthe plant. The SIC staff and 0. 8. Geological Survey evaluations then indicatedthat the maximm potential earthqvake at the site could be substantially seresevere than that for Mich the olant has been originally designed, necessitatingthe analysis that is currently underway.

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X trust you >rill find this information re~nsive to Hr. Righetti's concerns.E

Sincerely,.

Enclosures1. letter to Energy Besources

Conservation and Develoanent„Comission

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the newly discovered Hosgri fault. that runs about 3 1/2 miles offshore frorathe plant,. The ÃRC staff arid U. 8. Geological Survey evaluations then indicatedthat the maximum potential earthquake at, the site could be substantially moresevere than that, for which the plant has been originally designed, necessitatingthe analysis that is currently underway.

I trust you @Ql find this information r sponsive to Nr. Riqhetti's concerns.

,Sincerely,

William J. Dircks2hsistant Executive Director

for Operations

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(i'ocket Nos. 50-275atxl 50-323

i UNITEDSTATESNUCLEAR REGULATORY COi'AMISSION

WASHINGTON, D. C. 20S55

II/AR > 3 ~3/7

Dr. Richard L. Naullin, ChairmanEnergy Resources Conservation and

Develogrent CoImissionllllHowe AvenueSacramento, California 95825

Dear Dr. Naullin:

1 am pleased to respond to your telegram of March 10, 1977, toChairman Bowden. You described certain activities undertaken by theEnergy Resources Conservation and Develognent Comission and its staffregarding the energy supply and water drought situation in. Californiaand inquired about the procedures to be followed by the Nuclear RegulatoryCorrrnission (NRC) in making a final determination relating to licensingof the Diablo Canyon plant for operation. This case is under consider-ation by an Atomic Safety and Licensing Board. Since any decision orruling by the licensing board is subject to review by the Ccmmission,it would not be appropriate for the ComIissioners to co!ment on thematter at this tim . Accordingly, your telegram was referred to me forreply.

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the application from the Pacific Gas and Electric Gorpany (the licensee).for full term (40.years from the date of the construction p rmits) oper-ating licenses for Units 1 and 2 of the Diablo Canyon facility has be

. under review by the ~i. staff since Octob r 1973.. The basic reason thatthe review is not ccrplete is the need for. the licensee to ccmplete aseismic reassesarent program designed to determine the extent to whichthe plant can safely withstand a more severe seismic event than thatused as a design basis for the facility at the construction permit stage.The possible occurrence of the more severe seismic event is based uponevidence that came to light after issuance of construction permits forthe two units in 1968 and 1970, respectively.

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The licensee has informed us that, except for completion of its seianicreassessment program, Unit 1 of the Diab'o Canyon plant will be physi-

'cally coiiplete and ready for operation in April or Hay of this year.The licensee estim tes that the seismic reassessment program can becompleted and resolved to the satisfaction of the NRC staff, the AdvisoryConmittee on Reactor Safeguards (ACRS), hnd the NRC Atomic Safety and

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Dr. Rich~md L. lmullin thai< 13 ul7

Licensing Board so as to permit issuance of a fuel loading license inGoober of this year, and issuance of a full term license for poweroperation in January 1978. Ne believe that Unit 1 can be made readyXor operation in, the. spring of this year, except for final resolutionof the seismic matter, but we believe that resolution of that matter,to the degree needed to permit a decision on fuel lo&ing and issuance

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a full term license for gevr operation, could require more time thanpredicted by. the licensee. '7e believe that if the licensee's present

edule for suhnission of the results of its sei~mic reassessm nt pro-gram is maintains, a decision on iss~~ce of the full term licensefor Unit, 1 would occur in the.suttmer of 1978.

%he licensee estimates that Unit 2 will be physically complete in Decenher1977, except for resolution of the seimic matter, and that the seianicmatter will be resolved on a time scale that will permit fuel loadingand issuance of a full term license a few months after similar actionsare taken for Unit I. "8e believe that a decision on fuel loading andissuance of a full term license for Unit 2 could occur a few rranthsafter a decision'n Unit 1, but that the decision will likely occur.in the latter half of 1978.

There is a possible alternative approach that could result in an NBCdecision on an interim (as distinguished from full term) operatinglicense for operation of Diablo Canyon Unit 1 before the end of 1977,if action is initiated promptly. The authority to grant such a licenmis set forth in Section 50.57 of 10 CPR Part 50, in conjunction withother regulations addressing radiological. safety and environn ntalmatters associated with the issuance of licenses. Thi 'pproach >auldgenerally consist of the following:

(1) An appropriate reauest by the licensee for an interim license,p nding final remlution of the seismic matter through completionof the attendant adjudicatory proceedings for a full term licensby'the Atanic Safety ard Licensing Board. The request wouldneed= to deuanstrate the need to consider. such an action..

(2) Submittal of infonmtion and analyses by the licensee to demn-strate that the reauisite level of safety would be assured duringthe period of the interim license. l'nis information should includeall available results of the seismic reassessriint program, supportedby: {a) a realistic assesmant of the probability of large earth-quakes in the site environs and the probability of the plant towithstand sucn earthquakes without failures of structures andequipment su%'icient to 'lead to unaccep~le radiological con-sequences to the public; (b) a coranitment by the licensee to eke

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Dr. Richard L. Haullin ~Al 3!P(AR y8 gg

any ches to the design de~~rnined to be neces~<y on the basisof the continui>~ seimic remses~t prcgraay aud (c) an evalu-

~ ation of the p"~mtica1ity of mking the needed changes to a.ply~vhich ~ ~ in o~xation during.~~ tern of the interim 3.i~~.Xf e9o",oats ~+mmtion +~me ~ovic'.M by the 3.~c"nsm on 'd se i"~the Staff vmQd be prepared to pramtly develoo a Ga etjj EvaluationBegirt setting fox'th its conclusions on the acc ptabQ.ity of hachan interne 3.imam for ~idaration by V ACBS a+5 by the &au&Safety an3 X&mming Beard

,. (3) Rovies ~ a zexct on the prot".ceed inter& licenre by tb- ACRIC.

(4) Consideration of interim licensing by the Atomic Safety and Lic:msingBeard

As noted previously, thd aporoach descr~ above has the potj ntial oKleading to nn k~ decision on is3uance of hach an interim liamse for

~ D~o Canyon Unit l in the letter pmt oZ 1977 iz action is initia~& ~

promptly by the lice~a and H suited by the tiredly exeittal of~ requisite ~~icnl infoxrnation ard analy~

t~ Xn oemnry, ve bAKme Bat, if the licen"-se's present'pplication

xor a Cull teaa l~ns continues to be pro~uted vigorously, an MRdecision cn D~o Cony'%it l vQ.l be re~cad abou't the m~e ofne:st year. BFAGvor~ if agproprx@te a~lication is Q~ ape ]Ustified<ve ~~ieve it is possible.e that a ~ision on wh tier, to issue an inter&'liame co<Qd be reached by ~ end of this paar..

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I hop that this resccama to year telegram of Parch 3,0 is of aas~ace...m your GmCkaicn in it:s deliberations

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PNSNARCUS BOMDKH CHAIRMAN NUCLEAR REGULATORY CONNISSIQH RDN

REPORT DELIVERY BY NAILGRAN, DLR'g- P-7& '5>317l7 H ST HORTHMEST

MASHIHGTOH DC 20555

DEAR NR CHAIRNAN THE CALIFORNIA ENERGY CONNISSION AT ITS BUSlHESS

MEETING OF'ARCH 9p 1977 UNANINGUSLY APPROVED A NOTIQNDIBECTIHG THE

CONNISSIOH STAFF TO PREPARE AH ORDER TO THE STATES ELECTRIC

UTILITIES REGARDlNG ENERGY SUPPLY NEASURES DURING THK MATER DRQUGHT

IH CALIFORHIA

ASPART OF THK FORTHCOMING ORDER~THE CONISSIOH VIL'L EXPRESS ITS

DESIRE TO SEE THK NOST EXPEDITIOUSDECISIOHOH AH GENERATING LICENSE

FOR THE PACIFIC GAS AND ELECTRIC. COMPANY'S DIABLO CAHYOH NUCLEAR

PLAHT,IN THIS BEGAR5 ME MISH To INQUIRE ABOUT THE PROCEDURES TO BE

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FOLLOMED BY .THE NUCLEAR REGULATORY CQNNISSIOHT0 NAKE A FINAL'ETERNIHATIOH ON THIS CASE

THIS IHFORNATION MOULD BE OF GREAT VALUE To THE STATES REGULATORY

AUTHORITIES AND HORT HERNCALIFORNIA ELECTRICAL COHSUNERSFOR (ESTINATIHG THE ROLEDIABLO CANYON NIGHT PLAY IH THE STATES

ELECTRICAI CAPACITY NIX DURIHG THE CURRENT DROUGHT AHO IH NEETI HG

NEXT YKARSDROUGHT CONSTRAINED ELECTRICITY HEEDS SIHCERELYYOURS

RICHARD L NAULLIH CHAIRNAH CALIFORNIA ENERGY CONNISSIOH

(t)ll HOME AVE SACRANEHTO CA 95825)(

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A ltORNIA

SAN LUIS OBISPO, CALIFORNIA

ROUTE 3 BOX I55-CPHONE 543-3654

Congressman Robert LagomarsinoHouse of RepresentativesWashington D C 20515

May 10, 1977

Dear„Bob:

I appreciate your response on the Diablo Canyon Power Plant.

In your letter you indicate that Mr Ben Rushe, 'Director ofRegulations for the Nuclear Power Commission, advised youthat the Commission would have to wor'k within the law of theStatute . before issuing any permits. We question the valueof a law that requires nearly four years to compile adequateinformation and material to issue such a license.P' & E has requested an interim permit to get the plant inoperation to meet expected power demands. We feel that sucha permit should be issued immediately on a temporary 'basis.A permit will prevent energy shortages and allow an initialtest period of the plant.

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SincerelyII

I

Ernest RighettiPresident

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R(58EPT J. LAGOMARSINO19TH DISTRICT. CALIFORNIA

1117 LONcwoRTEI BUELUINOWASHINGTON. D.C. 2051 5

202-225 360l

ASSISTANT REGIONAL WHIP

IIL,'oIIgeeSS of tfje HIIIteIIStates@no5e of Seyt.erat.ntatib~5

Knsfjfngton, Q.C. 20515

May 19, 1977

COMMITTEF ONINTERNATIONALRELATIONS

SUCCOR MITTCEE

INTCR AMERICANAPFAIRS

CO MM ITTEE ONINTERIOR AND INSULAR

AFFAIRS

CVSCOMMEITK55l

NATIONAI PARICS ANO INSULAR AFFAIRS8 P6C IAL INV6$TICATE 0 N S

Mr. Ben RuscheDirector of RegulationdNuclear Regulatory CommissionWashington, D.C. 20555

Dear Mr. Rusche:

Enclosed is correspondence from my constituent,Mr. Ernest Righetti, regarding his concern aboutthe Diablo Canyon Power Plant. As you will note,he feels a permit should be issued immediately ona temporary basis, to operate the plant.

I will appreciate any information y may beable to provide.

Sine rely,

R J. ''b of,Cong ss

RJL:cbt

Enclosure~ ~

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THIS STATIONERY PRINTED ON PAPER MADE WITH RECYCLED FIBERS

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