nuclear-news

USA Nuclear regulator allows big drop in Vermont Yankee insurance ( tax-payer will cover any disaster)

FEDS ALLOW BIG DROP IN VERMONT YANKEE INSURANCE, VT Digger, APR. 21, 2016,  BY MIKE FAHER VERNON — It’s not cheap to maintain an insurance policy on a nuclear power plant.

But as of this month, Entergy Vermont Yankee is getting a big break on its premiums: The Nuclear Regulatory Commission says the company can cut its on-site property damage insurance coverage from $1.06 billion to $50 million……..

Since stopping power production at Vermont Yankee in December 2014, Entergy has sought a number of regulatory changes for the Vernon plant.

One example is an NRC-approvedreduction in the Vermont Yankee emergency planning zone, which took effect Tuesday. In making a successful case for cutting emergency planning and funding, Entergy argued that the potential for accidents and radiation releases is much lower now that the plant is no longer operational.

The company’s request to reduce its insurance coverage uses the same logic……

The main risks remaining in Vernon, officials say, are associated with radioactive spent nuclear fuel. Currently, that fuel is stored both in a cooling pool in the plant’s reactor building and in sealed dry casks on a pad nearby; Entergy has pledged that all fuel will be in casks by the end of 2020……..There is a possibility — though the NRC labels it “highly unlikely” — that, if water were drained from the cooling pool, zirconium cladding on the spent fuel could catch fire…..

The NRC notes that it has granted similar insurance exemptions to other decommissioning plants including Maine Yankee and the Zion Nuclear Power Station in Illinois…..

the NRC’s exemption announcement has immediate financial benefits for Vermont Yankee: When factoring in reductions in both on-site and off-site insurance policies, the company’s annual premiums will decrease from about $1.9 million to less than $500,000, Cohn said……https://vtdigger.org/2016/04/21/feds-allow-big-drop-in-vermont-yankee-insurance/

April 22, 2016 - Posted by Christina Macpherson | safety, USA