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February 15, 2008 US Nuclear Regulatory Commission ATTN

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February 15, 2008 US Nuclear Regulatory Commission ATTN Tennessee Valley Authority, Post Office Box 2000, Spring City, Tennessee 37381-2000 February 15, 2008 U.S. Nuclear Regulatory Commission ATTN: Document Control Desk Mail Stop: OWFN P1-35 Washington, D.C. 20555-0001 Gentlemen: In the Matter of ) Docket No. 50-391 Tennessee Valley Authority ) WATTS BAR NUCLEAR PLANT (WBN) - UNIT 2 - FINAL SUPPLEMENTAL ENVIRONMENTAL IMPACT STATEMENT FOR THE COMPLETION AND OPERATION OF UNIT 2 References: 1. TVA letter dated January 29, 2008, 'Watts Bar Nuclear Plant (WBN) - Unit 2 - Regulatory Framework for the Completion of Construction and Licensing Activities for Unit 2" 2. TVA letter dated August 3, 2007, 'Watts Bar Nuclear Plant (WBN) Unit 2 - Reactivation of Construction Activities" This letter provides the Final Supplemental Environmental Impact Statement (FSEIS), "Completion and Operation of Watts Bar Nuclear Plant Unit 2", as committed in TVA's January 29, 2008, letter to the NRC, "Regulatory Framework for the Completion of Construction and Licensing Activities for Unit 2" (Reference 1). TVA's FSEIS was issued on June 23, 2007. The TVA Board authiorized completion of WBN Unit 2 on August 1, 2007. Subsequently, TVA informed the NRC of its intention to reactivate and complete construction activities at WBN Unit 2 (Reference 2), The TVA Board Record of Decision was posted in the Federal Register on August 15, 2007. The FSEIS includes an evaluation of the need for increased baseload power; an analysis of potential socioeconomic, cultural, and environmental effects of completing WBN Unit 2; and it identifies potential mitigation measures. U.S. Nuclear Regulatory Commission Page 2 February 15, 2008 This FSEIS supplements TVA's original 1972 "Final Environmental Statement, Watts Bar Nuclear Plant Units 1 and 2." In December 1978, NRC issued a "Final Environmental Statement Related to the Operation of Watts Bar Nuclear Plant Units 1 and 2, NUREG- 0498." In 1993, TVA conducted a review to determine whether additional environmental review was needed to inform decision makers about whether to complete both units and concluded that neither plant design nor environmental considerations had changed in a manner that materially altered the environmental impact analysis set forth in its 1972 Final Environmental Statement (FES). TVA provided additional analyses and information in support of NRC's "Final Environmental Statement Related to the Operation of Watts Bar Nuclear Plant, Units 1 and 2, NUREG-0498," which was issued in April 1995. Following an independent review of NRC's analyses and a new analysis of the need for additional power, TVA adopted NRC's 1995 FES in July 1995. Other major reviews of WBN environmental impacts include TVA's cooperation with the U. S. Department of Energy in evaluating the production of tritium in commercial light water reactors, which resulted in a 1999 "Final Environmental Impact Statement for the Production of Tritium in a Commercial Light Water Reactor." Also, in February 2004, TVA issued its "Reservoir Operations Study Final Programmatic Environmental Impact Statement" evaluating the impacts of alternative ways of operating TVA's reservoir system, the water supply needs of TVA's generating facilities, including WBN, and compliance with environmental permits. A more detailed description of environmental reviews and studies pertaining to the operation and construction of WBN is provided in the FSEIS. TVA's assessment of the actions required to complete WBN Unit 2 as described in the enclosed FSEIS remains valid, and no additional environmental reviews are anticipated at this time. TVA will, of course, review and assess any supplemental environmental review completed by the NRC in connection with the completion and operation of WBN Unit 2 in the future. Background information and analyses used in the preparation of TVA's FSEIS, including that associated with the severe accident analysis section, are available at the WBN site for review. This submittal contains no new commitments. If you have any questions, please contact me at (423) 365-2351. Sincerely, Masou dIestani Watts a Units2 Vice President Enclosure cc: See page 3 U.S. Nuclear Regulatory Commission Page 3 February 15, 2008 cc (Enclosure): Lakshminarasimh Raghavan U.S. Nuclear Regulatory Commission MS 08H4A One White Flint North 11555 Rockville Pike Rockville, Maryland 20852-2738 Joseph Williams, Senior Project Manager (WBN Unit 2) U.S. Nuclear Regulatory Commission One White Flint North 11555 Rockville Pike Rockville, Maryland 20852-2738 Loren R. Plisco, Deputy Regional Administrator for Construction U. S. Nuclear Regulatory Commission Region II Sam Nunn Atlanta Federal Center, Suite 23T85 61 Forsyth Street, SW, Atlanta, Georgia 30303-8931 U. S. Nuclear Regulatory Commission Region II Sam Nunn Atlanta Federal Center 61 Forsyth Street, SW, Suite 23T85 Atlanta, Georgia 30303-8931 NRC Resident Inspector Unit 2 Watts Bar Nuclear Plant 1260 Nuclear Plant Road Spring City, Tennessee 37381 Document Type: EIS-Administrative Record Index Field: Environmental Document Transmitted Public/Agencies Project Name: Watts Bar Nuclear Plant Unit 2 Completion Project Number: 2006-124 FINAL SUPPLEMENTAL ENVIRONMENTAL IMPACT STATEMENT COMPLETION AND OPERATION OF WATTS BAR NUCLEAR PLANT UNIT 2 Rhea County, Tennessee TENNESSEE VALLEY AUTHORITY JUNE 2007 Page intentionally blank Final Supplemental Environmental Impact Statement June 2007 Proposed project: Completion and Operation of Watts Bar Nuclear Plant Unit 2 Rhea County, Tennessee Lead agency: Tennessee Valley Authority For further information, Ruth M. Horton contact: Senior NEPA Specialist Tennessee Valley Authority 400 W. Summit Hill Drive, WT 11D-K Knoxville, TN 37902 Phone: 865/632-3719 Fax: 865/632-3451 TVA web www.tva.qov/environment/reports/wattsbar2/ e-mail: [email protected] Abstract: The Tennessee Valley Authority (TVA) is proposing to meet the need for additional baseload capacity on the TVA system and maximize the use of existing assets by completing and operating Watts Bar Nuclear Plant (WBN) Unit 2. The unit would be completed as originally designed, alongside its sister unit, WBN Unit 1, which has been operating since 1996. Only minimal new construction is proposed, and no expansion of the existing site footprint would be required. TVA has prepared this final supplemental environmental impact statement (FSEIS) to update the extensive previous environmental record pertinent to the proposed action. In addition to this FSEIS, TVA is also conducting a detailed, scoping, estimating and planning (DSEP) study. TVA will use information from the DSEP and the FSEIS to make a decision about whether to complete construction of and to operate WBN Unit 2. Page intentionally blank Summary SUMMARY PURPOSE OF AND NEED FOR ACTION Demand for electricity in the Tennessee Valley Authority (TVA) power service area has grown at the average rate of 2.4 percent per year for the past 15 years. Although this high level of load growth is expected to slow somewhat, TVA anticipates having to add additional baseload capacity to its system in the next decade to meet growing demand for power. At the same time, TVA is interested in reducing fossil-fuel emissions and lowering the delivered cost of power. The proposal under consideration by TVA is to meet the need for additional baseload capacity on the TVA system and maximize the use of existing assets by completing and operating Watts Bar Nuclear Plant (WBN) Unit 2. The unit would be completed as originally designed, alongside its sister unit, WBN Unit 1, which has been operating since 1996. Producing tritium for the U.S. Department of Energy (DOE) at WBN Unit 2 is not part of this proposed action. This final supplemental environmental impact statement (FSEIS) will inform decision makers and the public about the potential for environmental impacts associated with a decision to complete and operate WBN Unit 2. It updates the analysis of potential environmental impacts resulting from construction, operation, and maintenance of WBN Unit 2 as a supplement to the original 1972 final environmental statement (FES) titled Final Environmental Statement, Watts Bar Nuclear Plant Units I and 2 (hereafter referred to as 1972 FES) and subsequent WBN-related environmental reviews. It also updates the need for power analysis. In addition to this environmental review, a detailed, scoping, estimating, and planning (DSEP) study is underway. TVA will use information from the DSEP and the FSEIS to make an informed decision about whether to complete construction of and to operate WBN Unit 2. NEED FOR POWER The need for power analysis presented in Chapter 1 shows how completion of WBN Unit 2 would help WVA meet expected demands for increased baseload power, improve the diversity of resources serving its customers, reduce the risks inherent with any particular kind of resource, provide added flexibility to reduce fossil plant emissions, and potentially lower the cost of power to TVA's customers. TVA prepares a range of forecasts of future power demands on its system. Some of those forecasts show a need for additional baseload capacity as early as 2010. ALTERNATIVES INCLUDING THE PROPOSED ACTION In the 1972 FES for Watts Bar Units 1 and 2, TVA considered a number of alternatives to constructing and operating WBN, including the No Action Alternative. TVA is proposing to complete WBN Unit 2 as originally designed except for modifications consistent with those made to Unit 1. Consistent with the Council on Environmental Quality's National Environmental Policy Act (NEPA)
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