Sierra Club v. United States Nuclear Regulatory Commission

862 F.2d 222
CourtCourt of Appeals for the Ninth Circuit
DecidedFebruary 2, 1989
Docket87-7481
StatusPublished
Cited by3 cases

This text of 862 F.2d 222 (Sierra Club v. United States Nuclear Regulatory Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sierra Club v. United States Nuclear Regulatory Commission, 862 F.2d 222 (9th Cir. 1989).

Opinion

862 F.2d 222

SIERRA CLUB, Petitioner,
v.
UNITED STATES NUCLEAR REGULATORY COMMISSION and the United
States of America, Respondents,
and
Pacific Gas and Electric Company, Respondent-Intervenor.

No. 87-7481.

United States Court of Appeals,
Ninth Circuit.

Argued and Submitted June 17, 1988.
Decided Nov. 30, 1988.
As Amended on Denial of Rehearing Feb. 2, 1989.

Dian M. Grueneich and Marcia Preston, San Francisco, Cal., for petitioner.

William H. Briggs, Jr., Sol., William C. Parler, Gen. Counsel, E. Leo Slaggie, Deputy Sol., C. Sebastian Aloot and Geraldine Fehst, U.S. Nuclear Regulatory Com'n, Washington, D.C., for respondents.

Bruce Norton and Richard F. Locke, San Francisco, Cal., for respondent-intervenor.

Petition for Review of a Decision of the United States Nuclear Regulatory Commission.

Before SCHROEDER and WIGGINS, Circuit Judges, and DIMMICK,* District Judge.

SCHROEDER, Circuit Judge:

The Sierra Club petitions for review of an order of the Nuclear Regulatory Commission's Atomic Safety and Licensing Appeal Board ("Appeal Board") involving the Diablo Canyon nuclear power station. The Sierra Club intervened in proceedings initiated by Pacific Gas and Electric (PG & E) to amend PG & E's operating licenses to allow expansion of its on-site fuel storage capacity at the facility. During the administrative proceedings, the Sierra Club raised a "contention"1 regarding the risk of a loss-of-coolant accident. The Sierra Club based its contention on a recent study prepared for the Nuclear Regulatory Commission (NRC) that described the risks and consequences of such accidents. The report contained recommendations adverse to the type of fuel storage contemplated in the proposed Diablo Canyon license amendments. The Atomic Safety and Licensing Board ("Licensing Board"), however, rejected the Sierra Club's contention as inadmissible, In re Pacific Gas and Elec. Co. (Diablo Canyon Nuclear Power Plant, Units 1 and 2), 26 NRC 159, 167 (Lic.Bd.1987), and the Appeal Board upheld the Licensing Board's disposition, In re Pacific Gas and Elec. Co. (Diablo Canyon Nuclear Power Plant, Units 1 and 2), 26 NRC 449, 456 (App.Bd.1987).

The full Commission did not choose to review the Appeal Board's order. See 10 C.F.R. Sec. 2.786(a) (1988). Accordingly, that order is the final agency decision. The principal issue before us is whether the Licensing Board should have admitted the Sierra Club's contention. We answer in the affirmative because we conclude that the agency acted arbitrarily. We remand for further hearings. See 5 U.S.C. Sec. 706(2)(A) (1982).

BACKGROUND

On May 21, 1986, the NRC issued an environmental assessment (EA) and a finding of no significant impact for the Diablo Canyon license amendments. See 10 C.F.R. Sec. 51.14(a) (1988).2 The proposed amendments were to permit PG & E to expand the spent fuel storage capacity at Diablo Canyon five fold, from 270 to 1324 fuel assemblies per reactor. This expansion would be achieved by a method known as "reracking": replacing existing storage racks with high density racks. The spent fuel racks are stored in a pool of coolant at each reactor site.3

On May 30, 1986, without having held any hearings on the license amendments, the NRC approved the amendments and made them immediately effective. On September 11, however, this court reversed the NRC decision and remanded the case to the Licensing Board for hearings. See San Luis Obispo Mothers for Peace v. NRC, 799 F.2d 1268, dissent, 804 F.2d 523 (9th Cir.1986). The proceedings we review in this petition thus flow from that decision.

Hearings were held in June 1987. At the beginning of those hearings, the Sierra Club orally requested the admission of an additional contention concerning the possible consequences of an accident in which there is a loss of the spent fuel coolant. Such an accident could result in a spontaneous burning of the zirconium alloy ("zircaloy") cladding that surrounds the spent fuel elements, causing a significant release of radiation. The Sierra Club based this contention on a January 1987 draft report commissioned by the NRC and authored by the Brookhaven National Laboratory (BNL). The report was entitled "Severe Accidents in Spent Fuel Pools in Support of Generic Safety Issue 82."4 In light of the BNL report, the Sierra Club requested the Licensing Board to order the NRC staff to prepare an environmental impact statement (EIS) on the reracking license amendments.

On September 2, 1987, the Licensing Board rejected the Sierra Club's zircaloy-fire contention because the Board said it did not meet the NRC's standards for admission. See In re Pacific Gas and Elec. Co., 26 NRC at 164, 167. The Board also ruled that an EIS was not required. Id. On September 11, the Licensing Board issued a decision resolving other, unrelated contentions in PG & E's favor and authorizing the issuance of the license amendments. See In re Pacific Gas and Elec. Co. (Diablo Canyon Nuclear Power Plant, Units 1 and 2), 26 NRC 168, 198-99 (Lic.Bd.1987). The Sierra Club appealed the Licensing Board's refusal to admit the zircaloy-fire contention, and its disposition of another contention, designated "Contention I(B)(7)," to the Appeal Board.

On December 21, 1987, the Appeal Board issued its decision, affirming the Licensing Board's orders. See In re Pacific Gas and Elec. Co., 26 NRC at 454. The Sierra Club filed a petition for review with this court on January 7, 1988.

JURISDICTION

The NRC contends this court lacks subject matter jurisdiction over this petition because the Sierra Club prematurely filed its petition for review. This court's jurisdiction over this case is based on section 189(b) of the Atomic Energy Act, 42 U.S.C. Sec. 2239(b) (1982), and the Hobbs Act, 28 U.S.C. Sec. 2342(4) (1982). See Florida Power & Light Co. v. Lorion, 470 U.S. 729, 733, 105 S.Ct. 1598, 1601, 84 L.Ed.2d 643 (1985). The Hobbs Act gives the courts of appeals exclusive jurisdiction over petitions seeking review of all final orders of the NRC. See 28 U.S.C. Sec. 2344 (1982). The Act requires a party seeking judicial review of an NRC order to file a petition for review within 60 days of the entry of the agency's final order. Id.; see California Ass'n of the Physically Handicapped, Inc. v. Federal Communications Comm'n, 833 F.2d 1333, 1334 (9th Cir.1987) (60-day time limit is jurisdictional). The issue is whether the Sierra Club filed a petition within 60 days of a "final" order.

On December 21, 1987, the Appeal Board issued its decision upholding the Licensing Board's rulings.

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