Document: NUREG-1555
Document ID: 724f7f82-1d60-46ea-9aab-949a05da6c1d
Document Type: esrp
Title: DECOMMISSIONING
Source: NUREG-1555
Source URL: https://www.nrc.gov/reading-rm/doc-collections/nuregs/staff/sr1555/initial/
Revision Date: 2007-10
Chapter: 5
Section ID: 5.9
CFR Part: 
CFR Title: 

Content:
ed. This information must be submitted with or before the application for an operating license. The amount stated in the certification may be based on a cost estimate for decommissioning the facility. Tables of minimum amounts required to demonstrate reasonable assurance of funds are given in 10 CFR These minimum amounts are based on reactor type (pressurized-water reactor vs. boiling-water reactor) and on the power level. Adjustment factors are also provided based on escalation factors for labor, energy, and waste burial costs. Financial assurance as described in 10 CFR 50.75 is to be provided by prepayment, an external sinking fund (into which deposits are made periodically), or surety, insurance, or some other guarantee method. Prepayment may be in the form of deposits of cash or liquid assets, sufficient to pay decommissioning cost, into an account segregated from licensee’s assets and outside the licensee’s administrative control. It may also be in the form of a trust, escrow account, government fund, certificate of deposit, or deposit of government securities or other payment acceptable to the NRC. An external sinking fund is established and maintained by setting funds aside periodically in an account segregated from licensee assets and outside the licensee administrative control, in which the total amount of funds would be sufficient to pay decommissioning costs at the time termination of operation is expected. An external sinking fund may also be in the form of a trust, escrow account, government fund, certificate of deposit, deposit of government securities, or other payment acceptable to the NRC. The surety or insurance method would guarantee that decommissioning costs will be paid should the licensee default. A surety method may be in the form or a surety bond, letter of credit, or line of credit. Any surety or insurance method used to provide financial assurance for decommissioning must meet specific conditions; for example, it must be payable to a