New Jersey Environmental Federation v. United States Nuclear Regulatory Commission

645 F.3d 220, 41 Envtl. L. Rep. (Envtl. Law Inst.) 20176, 2011 U.S. App. LEXIS 10021
CourtCourt of Appeals for the Third Circuit
DecidedMay 18, 2011
Docket09-2567
StatusPublished
Cited by8 cases

This text of 645 F.3d 220 (New Jersey Environmental Federation v. United States Nuclear Regulatory Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
New Jersey Environmental Federation v. United States Nuclear Regulatory Commission, 645 F.3d 220, 41 Envtl. L. Rep. (Envtl. Law Inst.) 20176, 2011 U.S. App. LEXIS 10021 (3d Cir. 2011).

Opinion

OPINION OF THE COURT

FISHER, Circuit Judge.

New Jersey Environmental Federation, Nuclear Information and Resource Service, New Jersey Public Interest Research Group, New Jersey Chapter of the Sierra Club, and Grandmothers, Mothers and More for Energy Safety (collectively, “Citizens”) 1 petition for review of three decisions of the Nuclear Regulatory Com *223 mission (the “NRC”) granting a license renewal for Oyster Creek Nuclear Generating Station (“Oyster Creek”). Citizens intervened in the license renewal proceedings and offered several contentions challenging the licensee’s plans to detect corrosion in a safety structure at Oyster Creek. The Atomic Safety and Licensing Board (the “Board”) admitted one of these contentions, denied several others, and ultimately determined that the admitted contention lacked merit. The NRC affirmed the Board’s decisions and granted the license renewal application. Citizens assert that the Board and the NRC committed various procedural errors in denying their contentions and failed to make the safety findings required to issue a renewed license. For the reasons stated below, we will deny the petition for review. 2

I.

A. Factual Background

Oyster Creek is a nuclear generating plant located in Ocean County, New Jersey. Originally licensed on April 9, 1969 for a forty-year term, Oyster Creek is the oldest operating commercial nuclear power plant in the United States. The operator and licensee of the plant, Exelon Generation Co., LLC (“Exelon”), formerly Amer-Gen Energy Company, LLC (“Amer-Gen”), 3 applied to extend its license by another twenty years on July 22, 2005. During the relicensing proceedings, Citizens raised issues regarding corrosion in the steel containment shell, known as the drywell shell or liner. The drywell shell is a steel safety structure that encloses the reactor vessel. Standing about 100 feet tall, the drywell shell is shaped like an inverted light bulb, and is designed to withstand the potential pressure and temperature associated with the break of any of the reactor’s cooling system pipes. The sand bed region supports the drywell shell and is divided into circumferential bays that divert water reaching the sand bed floor. If water does not drain properly, corrosion may occur in the liner and lead to safety issues.

In the late 1980s, corrosion was discovered after water had leaked into the outer wall of the drywell shell in the top of the sand bed region. Various mitigating actions were taken, including removal of the sand from the sand bed region, cleaning the exterior of the drywell shell, applying an epoxy coating to the exterior of the drywell shell, clearing the sand bed drains, and taking ultrasonic testing (“UT”) measurements. These UT measurements were used to determine the damage caused by the corrosion. After instituting these measures, AmerGen concluded that the corrosion had stopped.

When Exelon applied for a license renewal, it made numerous commitments to the NRC Staff (the “Staff’) that its aging management program for the drywell shell would adequately manage corrosion throughout the renewal period. For instance, Exelon committed to perform a full sand bed region inspection prior to relicensing and every four years thereafter. As part of this inspection, Exelon would take UT measurements at various loea *224 tions and perform visual inspections of the epoxy coating. This original application, however, did not provide for future UT measurements in the sand bed region of the drywell liner specifically. Exelon did not include such measurements because it determined that the corrosion had ceased and periodic visual inspections would be sufficient to detect any age-related corrosion. In addition, Exelon committed to monitor the trenches inside the drywell shell to ensure that no water was found, and to perform a 3-D structural analysis of the drywell shell.

B. Statutory & Regulatory Framework

Pursuant to the Atomic Energy Act (“AEA”), a commercial nuclear power plant may be licensed for a term of up to forty years. 42 U.S.C. § 2133(c). A plant may apply to renew its license for a fixed term of up to forty more years. 10 C.F.R. § 54.31(b). Section 189(a) of the AEA directs the NRC to “grant a hearing upon the request of any person whose interest may be affected by the proceeding, and [ ] admit any such person as a party to such proceeding.” Id. § 2239(a)(1)(A). Aside from this direction, the AEA does not provide standards that the NRC must apply when issuing a renewed license. Instead, the AEA grants the NRC discretion to achieve its statutory purpose. See Nuclear Info. Res. Serv. v. Nuclear Regulatory Comm’n, 969 F.2d 1169, 1177 (D.C.Cir.1992) (“The AEA has been consistently read ... to give the Commission broad regulatory latitude.”). In this regard, “the NRC regulatory scheme is ‘virtually unique in the degree to which broad responsibility is reposed in the administrative agency, free of close prescription in its charter as to how it shall proceed in achieving the statutory objectives.’ ” In re Three Mile Island Alert, Inc., 771 F.2d 720, 727-28 (3d Cir.1985) (quoting Westinghouse Elec. Corp. v. Nuclear Regulatory Comm’n, 598 F.2d 759, 771 (3d Cir.1979)).

The NRC has codified comprehensive regulations governing nuclear power plant license renewal proceedings. See 10 C.F.R. Part 54. The scope of the NRC license renewal process is limited. While the ongoing regulatory process ensures that the current licensing basis (“CLB”) maintains an acceptable level of safety, the license renewal proceeding focuses exclusively on the detrimental effects of aging— the most significant safety issue posed by long-term reactor operation. The NRC may grant a license if there is “reasonable assurance” that the licensee’s plan to address aging issues will maintain the CLB. 10 C.F.R. § 54.29(a). A petitioner intervening in a license renewal proceeding must establish standing and proffer a valid contention, a specific issue of law or fact challenging the licensee’s plan to handle aging issues. The regulations set forth the contention admissibility and timeliness requirements, as well as the standards for filing late contentions and reopening the administrative record. The NRC published a notice of opportunity for hearing on September 15, 2005. See 70 Fed.Reg. 54,585 (Sept. 15, 2005). Citizens had sixty days, until November 14, 2005, to raise admissible contentions. See 10 C.F.R. § 2.309(b)(3)(i).

C. Procedural History

1. Citizens’ Proposed Contentions

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645 F.3d 220, 41 Envtl. L. Rep. (Envtl. Law Inst.) 20176, 2011 U.S. App. LEXIS 10021, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-jersey-environmental-federation-v-united-states-nuclear-regulatory-ca3-2011.