Transcripts For CSPAN Officials Testify On Nuclear Energy Technologies 20160430

A former Nuclear Regulatory commissioner was among the witnesses and a house hearing review read legislation that would revamp federal oversight and modernization of the Nuclear Power industry. Hearing is about one hour and 10 minutes. Legislative proposal to advance Nuclear Energy. Is each of you before your opening statements. We want to thank marvin for the great job is done and i think it to go on and look at other challenges at the end of this year. So we are delighted he is here. He served as president and chief executive since 2009. He has had a long and distinguished career advocating for the Nuclear Industry. Nuclear energy is an integral part of our policy. Energy is an integral part of our policy. The Current Fleet of roughly 100 operating Nuclear Power plants safely and reliably generates about 20 of our nations electricity. However, many are approaching the end of their current license and the revelatory costs are adding to challenging times. This outlook revives a timely outlook to examine proposals to improve the revelatory framework for Nuclear Power plants, and options to develop a Regulatory Framework for advanced Nuclear Technologies. Nuclear technologies hold great promise to operate in a costcompetitive environment, with even greater safety margins than existing reactors, while generating less waste and reducing proliferation concerns. However, regulatory uncertainty israel p to be cited is repeatedly cited. The department of energy, which supports Nuclear Research and Development Activities, should collaborate where applicable with the nrc to address the uncertainty. Today, we going to hear from stakeholders about how to more effectively manage the regulatory process. Including options to increase the efficiency and certainty of the nrcs existing licensing process. Draft,nting the highlighting the cumbersome red forcingthe process, ratepayers to pay more for safe, clean, Nuclear Power. And i want to thank him for his legislation, and we look forward to your comments about that. Also, we thoroughly appreciate congressmans leadership in addressing barriers hindering the advancement of advanced nuclear tenologies. His legislation will assure Technical Research and facilities are utilized when appropriate to assist the nrc. And at this time, i like the yield a minute or so to mr. Latta. And then comments on the legislation. Thank you very much, mr. Chairman. Thanks to the panel for being with us today. I would like to thank you for holding this hearing today on Nuclear Power, which is highlighting the bill we introduce last week, advanced Nuclear Technology of element act of 2016. I would like to ask unanimous to enter three letters. One from the lurklys engineering department, and one from third way, and one from Clean Air Task force into the record. Without objection. As the United States looks to the future, more energy will be needed. Provides a power clean base power option. Investment in new technology has artie happened, with Nuclear Power. Again, that is why we have introduced this bill, time for congress to ensure that the nrc provides a framework so that investors can prepare to apply for licensing technology. It requires the nrc establish Regulatory Frameworks for issuing licenses for reactor technology. But it also requires a scheduled to implement of the framework by 2019. Safety in nuclear is a number one goal of the Regulatory Framework. It ensures that we have this framework to safely regulate the Nuclear Industry. Also requires collaboration in advancing new technology, National Laboratories to provide the testing of new Nuclear Technology on federal lands, and the option to look at publicprivate partnerships between the doe and the private Sector Companies interested in investing in the future of nuclear. These testing opportunities allow for demonstration of technologies that nrc has not been licensing for the last four years. Ms. Chairman, i greatly appreciate this. I will give you his time. Thank you. Unless mr. Latta was to talk some more. This time, i recognize five minutes for opening statements. I want to thank you mr. Chairman for holding this important hearing today on hr 4979, advanced Nuclear Technology and Development Act of 2016. Nuclear utilization of policy act, mr. Chairman, as we move towards a reduced carbon, Sustainable Energy economy, there is no doubt that Nuclear Energy will need to play an instrumental role in order to reach those objectives. While todays fleet of Nuclear Reactors utilize light water reactor technology, more attention is now being paid to the use of nonreactor designs, that have been demonstrated by the department of energy, but are currently not licensed for commercial use in the United States. And mr. Chairman, emerging, innovative designs of advanced nonlight water reactions and modular reactors have the potential to produce Nuclear Power more efficiently, and with less waste than the current technology. Develope are to truly an scale of these technological advancements, it is important that policy developments and the Regulatory Commission provide certainty for the Nuclear Industry, in order to encourage investment in these next generation design. So i applaud my colleagues, mr. Fora and mr. Mcinerney, introducing hr 4979. This legislation seeks to provide guidance and direction to the nrc and the doe to ensure that these two agencies have sufficient Technical Expertise. In order to support and regulate advanced reactor technology. The bill also requires the nrc to formulate a plan that would help foster civilian research and development of advanced Nuclear Energy technologies, and enhance the licensing and commercial development of such technologies. Support the i fully intent of this legislation. And i look forward to hearing feedback from my panel of experts on both the necessity for this type of legislation, and the implications once it is enacted. In regards to the Nuclear Energy policy act, i also look forward to engaging the witnesses on this legislation. Mr. Chairman, finally, if Nuclear Energy is going to continue to play a constructive role in the reduced, Carbon Energy portfolio, we must ensure that we have policies in place that appropriately reflect the contributions of the industry, and the current reality that it faces. So i commend my colleagues from fornois, mr. Kensinger, introducing a real draft that at the very least initiates a conversation towards reaching this goal. Of course mr. Chairman, todays bill is simply a discussion draft, and we will need to hear from the nrc commissioners themselves before moving into the legislative process. Testimony fromto todays experts on both the need for the changes outlined in the bill, as well as the Practical Implications that these changes will enact. Thank you mr. Chairman. I yield back the balance of my time. I recognize mr. Kensinger for five minutes. You might consider yielding to them. This will be fairly quick mr. Chairman. I want to thank you for holding the hearing. I want a thank you to the witnesses for being here today. It is an important topic. As we have heard, Nuclear Power generates about 20 of the power. In illinois, it is 50 . These plans consistently have the highest capacity factors by far in the Gold Standard for Nuclear Safety worldwide. We have to recognize however that while our Nuclear Fleet is strong today, the demand for clean and Reliable Energy is only increasing. We have an obligation to safely maintain our existing fleet of 99 units to ensure the nrc continues to regulate efficiently and effectively, so investment plans can continue. The regulatory inefficiency and uncertainty that we see today does nothing to help our existing fleet, nothing to or to ensureans, safety and protect public health. I want to thank the nrc for providing technical feedback on the draft we are currently reviewing. And i look forward to working with them through the process. Furthermore, i appreciate the interest that my colleagues issue, including streamlining the licensing process and improving the current Regulatory Framework for decommissioning plants. These are all important conversations to add, to continue to provide affordable electricity ratepayers in the United States. Again, i welcome the opportunity to discuss how we can maintain our position as to the Gold Standard of safety. I think all of us in this room recognize that if we have a position, it will have huge consequences for National Security. With that, im happy to yield to anybody who wants my time. Anybody on our side seek additional time . I yield back. Yields back. This time, i recognize the gentleman of california. And thank him for cosponsoring this legislation as well, for five minutes. Thank you, mr. Chair. Our nation will buy necessities, necessity, in order to fight Climate Change, as we do so, we will need to turn more and more to Nuclear Power. Hr 4979 the bill that my colleague mr. Latta and i introduced allows the nrc to develop the needed Technical Expertise for emerging technologies technologies. This legislation provides a pathway for the nrc and the doe to continue collaborating. And establishes a Regulatory Framework for consideration of licensing advanced reactors. This will help ensure that as newer, safer technologies are developed, that the nrc has the framework in place to review new applications. Mr. Chairman, with unanimous consent, i would like to submit three letters. One from berkeleys engineering department, and one from third way, and one from Clean Air Task force into the record. Without objection. And ill yield the balance of my time to my colleague from pennsylvania. And i thank my colleague. I want to thank the chairman in and the Ranking Member for holding this important hearing today. To me, nuclear is a critical component of our energy future. We need to work here at this committee to ensure that it remains feasible and safe for our constituents back home by investing in this Incredible Energy source and its technology and making sure its value as carbonfree, reliable, base load power is properly appreciated. I believe advanced nuclear is key component for maintaining Nuclear Power in the future, and will be an integral part of our portfolio here in the United States. My colleague congressman and s mcnerneys bill takes important steps in that direction. I also want to applaud our colleague on mr. Kensingers discussion draft. I think we share many similar concerns regarding the Nuclear Industry. And im optimistic that well be able to find some Common Ground on solutions. Though, i couldnt help but notice the acronym for your bill is nukepa, which i find someone distress distressing. [laughter] but im encouraged by bringing attention to these issues the Nuclear Industry is facing. And i do hope we can Work Together on solutions, and by coming up with a different acronym than the one youve chosen. Thank you, i yield back. Gentleman yields back. That concludes the opening statements. And im going to introduce the witnesses individually before they speak. So, first of all, we have mr. Marvin fratel. Who i mentioned in my opening statement, executive officer for the Nuclear Energy institute. Thanks for being with us. And we look forward to your testimony. And youre recognized for five minutes. Marvin thank you mr. Chairman, and Ranking Member rush, and members of the subcommittee. On behalf of the commercial Nuclear Energy industry, i want to thank the committee for considering the advanced Nuclear Technology Development Act, hr 4979, and discussion draft of the Nuclear Utilization of keynote Energy Policies act. I am pleased to represent the broad Nuclear Industry. Including the owners and operators of Nuclear Power plants, and the supplier community, today. Said,gressman ken zyng ken zyna the Nuclear Energy is the largest and most efficient source of carbon free electricity in the United States. Our 99 reactors produced nearly 20 of our nations electricity and approximately 63 of our carbon free electricity. Nuclear Energy Facilities demonstrate unmatched reliability by operating with an average capacity factor of 92 . Higher than all other positions. Electricity sorcerers. Resources. And importantly, theyre essential to the countrys economy and the communities in which they operate. Despite the significant environmental economic and National Security benefits that Nuclear Energy provides, the current regulatory requirements and licensing processes challenge the industrys ability to build new, technologically advanced reactors. The prospect has become attract attractive and necessary in the u. S. And abroad. In this country, 126,000 megawatts of generation will be retired over the next 15 years. U. S. Energy Information Administration forecasts a need for 287,000 megawatts of new electric capacity by 2014. 40. In addition to the Electrical Capacity needed to replace the retired power plants. Many other countries are looking to rapid expansion of Nuclear Energy to address electricity and environmental needs. The Nuclear Reactor designs or technological advances for the u. S. And are wellsuited to developing economies. However, without strong federal leadership and direction, u. S. Industry runs risk of falling behind international competitors. Congressfirms commitment to u. S. Leadership in u. S. Technology and safety. The industry supports provisions in the bill to think differently about licensing reactors. The bill calls for efficient, riskinformed, Logical Network , and a phase review process that could facilitate private financing for advanced reactors. Developers will be able to demonstrate progress to investors and participants in the first of a kind projects and obtain necessary Capital Investments as they achieve milestones. The nrc imposes stringent safety requirements that all facilities must maintain. As we look to the details of how innovative advanced reactor technologies can meet requirements, it is important for the nrcs framework to acknowledge there will be a variety of effective ways to meet safety requirements. Hr 4979 also recognizes that as a government function to develop the regulatory infrastructure, the license advanced reactor technologies and, therefore, authorizes federal funding to support those activity. Congress should reform nrcs fee recovery structure to make fees more equitable and transparent. Despite efforts to reduce the budget and rightsize the agency, fees continue to be excessive. And limitations of the fee rule create fundamental structural problems. The nrc budget is approximately 1 billion a year, despite significant declines in the workload. In particular, according to ernst and young study performed for the nrc, nrc spends 37 its budget on Mission Support act cost, more than 10 higher than pier agencies. Because the nrc must collect 90 of budget from licensees and the nrc budget has not declined, remaining licensees are responsible for paying higher annual fees. With recent premature shutdown and additional reactor decommissioning, the current Fee Structure guarantees remaining licensees will continue to bear even higher annual fees. The draft Nuclear Utilization of keynote Energy Policy acts adopts a straightforward approach of adopting fees more equitable. It will continue to require the licensee to pay for agency but disallow collection of fees associated with the agencys Corporate Support. While there are federal budget questions that arise with this approach, it would require the nrc to justify Corporate Support costs to congress in order to receive appropriations and it turn, prompt the nrc to control the budget and reduce wasteful spending. The draft bill recognizes value of allowing International Investments in u. S. Nuclear plants, by removing outdated restrictions on Foreign Ownership that ignore protections to the nations security and reality to the global Nuclear Energy markets. The draft bill eliminates the uncontested mandatory nrc hearing on construction permits and combined license applications. This would not limit public participation, since the public does not part nateicipate in a public hearding. And multiple other formal opportunities are available for participation. The draft bill would require the nrc include the framework for decommissioning Nuclear Power reactors. It is the interest of all an existingave framework. The existing framework does not appropriately account for the significant reduction in risk that result when a power reactor ceases operations, defuels, and decommissions. In closing, on behalf of nei and nis members, id like to thank the congressmen for introducing the legislation. We support passage of this bill. We also appreciate congressman kensinger. We look forward to working with members of the committee and staff to advance these reforms. Again, thank you for the opportunity to testify today. And our next witness is mr. Jeffrey merrifield, chairman of the advanced Reactors Task force, Nuclear Infrastructure council. Welcome, youre recognized for five minutes. Ifield thank you mr. Very much. The commissioner of the u. S. Regulatory commission would you move your microphone closer . Merrifield sorry, i got it. Again, thank you very much. Thank you Ranking Member rush. As former commission or the Nuclear Regulatory commission, i frequently testified before this committee. And again, its an honor to be here this morning. Today, im appearing in my role as chair of the u. S. Nuclear Infrastructure Council advanced Reactors Task force. Although, as mentioned, im in partner in the pillsbury law firm. My testimony will discuss provisions in hr 4979 on advanced reactors, as well as the proposed changes to the nrc procedures subject of the discussion draft offer the by congressman kenzinger. This salutes the focus and support for advanced reactors, as well as the budget reform provisions that provide funding for nrc to develop a modernized Nuclear Licensing framework for advanced Nuclear Technologies. Nic issued a framework for advancing the reactor licensing modernization white paper on february 22, 2016, which embraces many elements contained in the legislation. When i first became a commissioner in 1998, the nrc, with the support of congress, worked to rightsize the Agency Consistent with a level of licensing and inspection activities. At that time, the agency has approximately 3400 employees. And in the next few years, we were able to reduce that down to 2800. Attrition, through yet without sacrifice to its mission of protecting people and the environment. Today, the agency faces the same challenges to reduce its staff, and become more efficient and timely in Licensing Activities. While the nrc has made Great Strides in rightsizing the agency through project aim, we believe further efficiencies can be realized, maintaining safety inspects and improving the timeliness of licensing. During the past decade, the u. S. Maintained its technology leadership, building new passive generation iii reactors in georgia and south carolina, as well as small modular light water Nuclear Reactors headed toward deployment. Nic has seen Significant Growth and support for generation iv advanced reactors, that will provide expanded options for economical, carbonfree electricity and Industrial Heat generation. If the United States is to be successful in maintaining its lead in developing and deploying reactors in the 2020s, 2030s, Congress Must consider significant policy changes. We believe the language in section 6 of hr 4979 will allow the agency to create a modern, riskinformed, technologyneutral framework, which will enable the development of appropriate advanced regulations, without passing costs on to the developers or the utilities. While section 686 calls for nrc to evaluate options to allow applicants to review fees processes, we believe the language should be strengthened, to require the nrc to establish specific stages in the advanced nuclear process, including a prelicensing vendor preline review, recommended by the nic white paper. Such a process would allow advanced Reactor Developers and investors to have a clearer picture of where they stand in the nrc process, meeting nrc safety requirements, and allow them to achieve further investment in their technologies. We would emphasize the need to establish riskinformed performance criteria, applicable for advanced reactors. While licensing process reforms are needed for nonlight water reactors, particularly the developments proceeding with advanced design, the nrc must move forward to finalize generic design criteria, source term, and emergency requirements, among others. We strongly support section 2 of the discussion draft, which places fair and equitable provisions on the agencys feebased programs. By eliminating the current feebase to nonfee base ratio, and articulating specific areas borne by general revenues, the draft provides appropriate balance between fees borne by individual companies, those overhead activities by the federal government. Nic believes the discussion draft should be conducted at no or limited cost, with appropriate cost share. Perhaps, 50 50 for later stages of the license process. This could be funded through general revenues or a grant reprogram. Either way, it should avoid the doe and nrc picking advanced reactor winners and losers. We believe the private sector is better placed to identify and promote innovation. And the nrc licensee fees should not have a Chilling Effect on entrepreneurial efforts. Finally, i strongly support elimination of the Foreign Ownership requirements of section 3, and the mandatory hearing requirements contained in section 4. And am pleased to discuss my views with the subcommittee. I would ask that some additional letters of support, including that of xenergy, included in the hearing record. And with that, i again thank you very much for allowing me to testify today. Thank you. Mr. Toddwitness is allen, senior fellow of the Clean Energy Program for the third way. Dr. Allen, thanks for being with us. Youre recognized for five minutes. Please, get the microphone up close. Dr. Allen absolutely. Good morning, chairman witfield, Ranking Member rush, other distinguished members of the committee. I appreciate the opportunity to provide testimony on the importance of Nuclear Energy innovation. My perspective on Nuclear Energy comes from a diverse career. My first job after college, i lived on a floating reactor, i spent 10 years teaching at the university of wisconsin Nuclear Engineering. Ive seen a generation that believes in Nuclear Technology as a critical component providing clean energy. Ive worked in the National Laboratory system, as deputy for science and technology at idaho National Laboratory, working to open up the facilities to university and industry users, across the country. Now, im at a think tank, where i think. Third way supports the innovation of a culture that creates and brings to market advanced Nuclear Technologies. Currently, Nuclear Energy, provided as a singleproduct offering. Specifically, large gigawatt scale electricity production machines. But the National Energy system is changing rapidly. Opening up the possibility of Nuclear Energy, supporting a wider range of functions, if new ideas can get from conception to commercialization. A 2015 third way report identified nearly 50 companies, backed by 1. 3 billion in private capital, developing plans for new Nuclear Plans in the u. S. And canada. These companies are creating a growing number of Product Options of varying sizes and can capabilities, intending to build upon the continued success of our current light water reactor fleet, which provides over 60 of the carbonfree electricity in the United States. Private Public Partnerships will be key to the story. Similar to the way hydraulic fracking and internet were developed, and spacex teaming with nasa to send unmanned vehicles to mars. So, how can federal investments nurture this culture of innovation . I will use an example. A hypothetical graduate Nuclear Engineering student named carla, who wants to provide clean energy to the world, and make money at the same time. Whats her path to success in transitioning a good idea on paper to a marketable product, and thriving government and partnerships with the federal government be useful . We suggest carla could be helped through the creation of private Public Partnerships in early innovation. A proposal we have called innovation centers. Innovation centers would benefit the department of energy. It could then inform now d. O. E. Informs Research Dollars to support multiple companies. Step two, securing investment. At the innovation center, carla has opportunities to troubleshoot and mature her concept. She is also introduced to financial firms, which helps her secure a small investment to fund her company. Carla could Leverage Private investment, allowing her to move quickly and signal that her design is especially promising. The department of energy engages in costshare programs, like the ones currently supporting project agreements with tera power. And a further use is encouraged. Third step, specialized testing. Heres where the federal programs become uniquely valuable. Some development requires access to specialized capabilities. For instance, test reactors, facilities to test radioactive materials or highperformance computing. Fortunately, a number of Department Energy laboratories have these facilities and expertise that carla needs. The department of Energy Created the gateway for accelerated innovation in nuclear, or the game program, to facilitate private public interactions. Step four, beginning regulatory process. As she develops her technology, carla would like to get signals from the regulator that her Technical Solutions are reasonable. This will help her as she develops her designs. She needs a regulator who is staffed and funded, in a manner that allows it to be ready to respond to emerging light water reactor technologies. Ideally, the pace of regulatory review would support new products for Energy System that is changing rapidly, all while maintaining traditional exemplary safety record. Step five, demonstration reactor. As is typical with many new and capital intensive technologies, carla may need to build a demonstration of reactor, before moving on to fullscale reactor. To address this, the department of energy should allow innovators like carla to build dem administrations, at one of their laboratories that have experience running nuclear facilities. Allowing carla to bill her reactor at idaho or oak ridge could help her more affordably test her design, and make final changes to commercialize her product. Herl step, nrc licensing of it would require her to go through the licensing process. When the demonstration reactor works, she has to work with the Regulatory Commission to have it for commercialization. Early innovation the creation of multiple private centers to create a new generation of nuclearization. Support the game program as the anter, including ensuring center for the testbed. Ensure r d programs will maximize it. Finally, regulation. The Regulatory Commission is staffed and funded to support the regulatory review for new products and energy that is changing rapidly. Nrc to report back and how they can better support this innovation community. We are supportive of this approach and suggested some ideas. We hope we have additional useful ideas. We appreciate the intent and are ready and willing to move Nuclear Technology forward. Thank you for inviting me to testify. Thank you. Seniort witness is the advisor for the defense counsel. Are recognized for five minutes. It working . It is an honor to be here. 4579,with respect to hr which requires us to Work Together to make a plan for public input and advanced systems. Such a charge has merit with two agencies to Work Together, but precautions are in order. A timear too short of together and analyze necessary technical and revelatory information and provide for Public Comment with respect is a complicated set of Economic Security and environmental challenges set forth by the licensing reactors. The Environmental Quality should be part of it. Epa and cdq. Even though many of these advance reactive contracts have been around for decades, none have had the safety improvements to make it viable in the near term and more pertinent to the reality. None of them have demonstrated any likelihood they will be able to compete in Competitive Energy markets. The licensing process effectively designed by industry is streamlined of the nrc multiply times has little to do with that. Our concern israel that a platform of engineering and hurdles inherent of these technologies may serve as a distraction to rapid continued scale of economically viable and Proven Solutions of the threat of Climate Change from wind, solar and energy efficiencies. Second, we found the discussion problematic. Section two, substantial cost of the taxpayers rather than collecting them which has been done historically, secondary requires a steady invocation of ownership prescriptions. Collecting information before the legislature, we urge public input on the matter especially from the security terms. Hearingfour, a military provision which has the utmost confidence which is inadequately considered by the nrc. It plays a crucial role in supplementing the contested hearing process in which few issues and i want to stress this sometimes no issues survived the arduous of nrcs requirements for a hearing. Mandatory hearing processes have it proven track record. For example, in the case of the review efp, the staffs did not supply adequate information or flow of logic to permit a judgment passed whether this staff had a reasonable basis. 64 nrc. Section five is equally troublesome because it is adrift to informal less rigorous hearing process. It hasnt already been underway for a long time. The hearing process continues to be a more expedient process and the public. For auld be directing nrc substantially redesigned process that will provide regulatory certainty but will also simplify the hearing requirements to allow substantive, Environmental Concerns rather than entertain have industry step ever to dismissed literally every contention that has ever been filed for the atomic safety and licensing board. Section six is problematic because of inspections, analyses and prior to operation. It bars the use of incomplete information for the bases of granting a hearing. The process and appearing causes delays and licensing has no basis in fact. It is long structured the hearing process and nrc were rests are at the heart of the timing. That is evidence of the regulated doing its job but docking the obligation before it is complete before it there are certain to areas that are promised to be addressed later or leaves out significant details creates as a false impression that the time it is docketed is attributable to the hearing process. This delay should not be justified even further restrictions. Even moreven, meaningful views. Already problematic and i detail that in my testimony. Finally, with respect to section eight, we recommend section be factors entirely from the draft legislation as this is prejudiced and destroys the rulemaking that has commenced at the commission. Thank you again for this opportunity and i am happy to take any questions. Thank you and thank all of you for your testimony at this time. We will recognize numbers for questions. You will recognize for five minutes. Thank you, mr. Chairman. Thank you very much for your testimony today, it is very much appreciated. If i could throw this first question to you. My legislation requires the development of licensing processes like insurances to the applicants. What do you see the primary advances in this manner and how would you recommend the rnc develop such processes . I think one of the disadvantages is you have to put in your license and application and wait a long period of time to determine if it is acceptable. For the advanced reactor community, having a process envisioned by your bill allows early insurrection to the rnc and an early indication whether that design is applicable. If they find that is the case, that developer can identify additional areas of funding, continue to process the application and design. For some reason it is not the case, rnc would find it is something that is not difficult or able to be done, that applicant can make a logical decision whether they want to continue to move forward or not. We think that is innovation. Thank you. Your testimony suggests the model used by the canadian regulators should be pursued. What do you think makes it more unique and constructive . Some very specific steps. Preapplication vendor design review. Deliverables that are expected by the community and regulators. It is spelled out. A specific timing for that review to occur. They even have limitations in terms of the cost for the applicant. It makes it very clear for everyone involved to understand what is expected in the first step and allows it to be evaluated. Thank you. You, do youalk to have any additional thoughts when it comes to the process . One small thing. I agree with the commissioner, it is very important for somebody trying to take early id to get feedback from the regulator. The other thing is we have the department of energy doing Research Programs in similar areas. Signals, itcan get is very useful. A question tok you and your testimony, you talk about in the next 15 years, we will lose gigawatts of generation. And 27 gigawatts by 2040. We have to have a basis. Can you give me in a review of overview of how money power plants we will need when you look at 287 . I think the congressman, you can think about them whether they are gas plants. They are probably 400 megawatts each. If we need 100,000 of them, we megawatts, 1000, yeah. 100 of those. Plus, 500 almost. You would be building 1000 plants at 500 megawatts each. Thank you. The immense Nuclear Technology requires the nrc to develop a Regulatory Framework. Would you please provide your expertise on what a risk informed framework means and what the inputs are in such a framework . The risk informed performancebased process uses a combination of risk analysis and performance to identify which of the most significant areas to focus our inspection and the railing tory activity. It recognizes any system whether it is power plant, petrochemical or in a planetary space vehicle, every system is not equally important. Using a risk performancebased approach allows you to prioritize the most critical components and focus your regulatory process towards that. Thank you. My time is expired and i yield back. Id recognize the gentleman from illinois for five minutes. Subcommittee the request of the most 20 million less this year than what was enacted last year. These cuts in your statement, he said those reductions are not sufficient and that industry continues to see regulatory inefficiencies. Why the structure as outlined is necessary . However, the changes outlined in the bill, Safety Standards and protocols, in the nuclear facilities. If there are any other witnesses who would like to address any of these issues, please chime in. Thank you for the question. We never want to see either nrc effectiveness as a regulator or effectiveness. We think they are the best regulator in the world. It is very important from a commercial industry standpoint to be very effective and credible in what they do. They have the project aim going which is very significant to look at rebaselining what they are doing. The scope of what they have over spots ability is dramatically increased. They have staffed up for 20 plants. They were operating of 107 existing reactors. We are moving forward with four new reactors. We currently have 99 and a number of those will be shutting down soon. Their material licensees have decreased and the amount they are regulating. They have and have recognized a significant opportunity to rebaseline what they are trying to do, which is basically scope up safety that they have to look at. They also, as the commissioner mentioned before, they are looking at getting more safety focused. They were looking at on the order of greater than 60 new rulemakings which now the commission is saying they will not do. For industry that is performing exceptionally well and industry that have been regulating for 50 plus years. Opportunitynificant for them to continue to do what they are doing and we think as they do with the industry is doing, they should deal with turnover, do what a lot of this attrition. Basically, youre an opportunity toire Critical Resources but probably not release replace all the resources which is what we are doing religiously. Because of challenges we face. , what corporate overhead we see is really a tremendous benefit of having congress provide accountability and oversight in the corporate overhead. The corporate overhead based upon the study they commissioned is much higher than other agencies. There is not a lot of accountability because we pay for it. There is not a lot of oversight and there is little transparency from our side to seeing what were paying for and why. It is a significant opportunity but we do not want to hurt the credibility or effectiveness, when we think we can go down the path. We may push harder because we wont go as fast, but we think of it helps them go on the right direction. Proud to serve as commissioner of the nrc. I agree. It contains a flared group of hard dedicated individuals. Having said that, as i related we went through a similar process when i was a commissioner, the process they are going today. And areasing workload need for the task. We were able to do that and i think it resulted in the couple that things one, significant amount of oversight from congress. A monthly report to congress on the process of the Licensing Activities that we had underway. That drove the commission in its budget process, in what it presented to congress to conduct a line by line review of how it was spending money, what the priorities were, to make sure it was doing the most important stuff in recognizing some things worth not to be done. I think the commission needs that level of engagement. I trust that they should write him. The one thing i should mention on corporate overhead support, we didnt have this term, it has been a lot of growth like i. T. There is one program this Community Needs to be worrisome is overhead which is international programs. There are countries are on the world that look at the nrc that help them craft their regulatory programs. It is very important as congress looks to overseas programs. That one in particular is not hurt. It should come from general revenues, but that agencies around the world. We would certainly support that. I recognize the gentleman from West Virginia for five minutes. Thank you. I will try to keep it short. Maybe one or two questions. You, we understand what the new Nuclear Technologies come as a result of the legislation like this. We know there will be developments that will probably reduce the amount of waste products that comes from petro l. Nevertheless, the whole process of making Nuclear Energy is going to develop a waste product , maybe less than what we are currently doing but it will still be a waste product. Support it as a permanent site for the disposal of nuclear youlfuel . Ite hav we avoid supported at Yucca Mountain. Parallel thatt in of having centralized storage. We dont think we can get to it and do anything fast enough for the fact we have plans that are shutting down. Our support also goes to making sure that there is access to the Nuclear Waste fund. There is 30 million that we dont have access to. About what iss being done currently to safeguard those rods and those water bands. We know about the fear of terrorism and other activities. Is there something being done on this Nuclear Waste management that can give us a greater comfort than the way we are doing it now . If we are not using Yucca Mountain yes, how should we deal . Dothe nrc regulates what we. Ith nuclear fuel we have stringent security plans make sure it is protected and other things that are planned. There has been enhancements to what we do on our sites of what we learned in japan. I think to some degree the problem with it is is managed very well and creates the crisis that creates us to implement the Nuclear Waste policy. We managed it there well and regulate it very well. On the issue of security, i would think commissioner, talking about the things that have been accomplished to protect the fleet of nuclear units. I can say without reservation, looking at Security Issues these are the safest Industrial Facilities in the United States. The level of security we have is well beyond what is needed to protect that fuel from the adversaries we face today. Thank you. We have two votes. We have sent or 11 minutes left. 10 or 11 minutes left. In some of he wants to come back and talk about it, you will recognize for five minutes. Do you believe we need to include it specifically in the framework . Fusion. To be honest, i do not think about that. My reaction is i think it is a availabilityd the is still far enough are that i would not rush it in and attract the nrc from Pay Attention to be putting a revelatory process in place that is the playable. I would eliminate that from the longerterm. Thank you. The report identifies 50 companies for nuclear plants. How soon are these technologies going to be available and is the nrc ready for that . Spectrum. It is a big the quickest would be 15 years. Some are further out. Athink that the nrc has strong rally torrg regulatory function. Thatuild staff in areas they are not used to. Do you think there is a risk of agency booking heads against each other with respect to the new technology . There was a lot of advancedns on earlier programs. That would not get as far as we had hoped it would have gotten. Will give thecus framework and encouragement for the nrc to look forward to it. It is an agency that does a great job of a competent accomplishment. Then need the focus, encouragement of the community but i think they cannot do it without safely licensing advanced reactors and that effective way. It would be efficient . Yes. You will recognize for three minutes. Thank you. The nrc has previously informed congress that it believes amending the Atomic Energy act eliminates uncontested hearings on combined licensing and permit applications which can enhance the efficiency of nrc operations. If a hearing is not requested by a person, to issue a constructive permit and operating license for such permits and licensing withholding a hearing. How with this provision improved regulatory efficiency of the nrc . I think it would allow the licensee and the nrc staff to move forward on issues while a hearing is being done wages there a similar to a situation of an operating plant. It would not delay the start up facility that would be critical to electricity, but not making any revenue while sitting there. It was a true safety issue, they will not allow that to do that. It does not allow you to do something that would provide unsafe conditions. What kind of burden associated with the mandatory hearing requirement how much can ananth uncontested hearing delayed the process . We have looked at that based upon the experience and some of the other projects. It is hard to decipher exactly because of the design. It could have been 82 120 day delay as a result. It is not significant because of all the other reviews. Issuesink there are two associated. One of them is an issue of the extra time it takes and the other portion is the amount of staff activity that has to be borne by the applicant and distraction. It is getting to the ultimate decision. The staff and preparing for the hearings want to make sure it is in a certain way. Recognizessioner, i there is an actual or navy opportunity for Public Comment thehe process that led to ultimate licensing and the mandatory hearing which is an antiquated legislation which was i needed. Thank you. I yield back. Thank you all. Mr. Green. Thank you. Im a supporter of Nuclear Power and i think that is where we need to get to. Cooperation between doe and nrc. I think we can revitalize our Nuclear Sector and secure additional power. I have concerns about the nuclear realization of keynote Energy Keystone is on my mind keynote energy. I would like to ask some questions. You may reference to the 26th a white rape it white paper release. Implicit five recommendations for congress. It is designed and the review of the process and im guessing that means money which is encouraging nrc to meet the 36 month deadline for review and directing nrc to identify roadblocks and cementing annual updates. In your opinion, does it adequately address these recommendations . I think it does. We actually, on a couple of things we would ask for improvement in the two bills you are looking at. One is to be specific and requiring an application and review process. The other one was to provide an opportunity for engagement between the developers of technology and the nrc at no cost, early stages in the process, to really enhance the levels of understanding. During your service as commissioner, was it completed . How many licensing reviews . I have to go back and do some research. I appreciate it. With respect to the reviews, do you know how many hearings the commission was requested during the Atomic Energy act . I would have to review that. 189, requiring the commission for Discretionary Authority. Are you required to have those procedures or is it discretionary . I did not hear that. Are the procedures required for the commission or do they have Discretionary Authority . I can answer that. I can approve those. I will be glad to some of the. Uestions misdemeanor their plans application what is your outlook for the nrc readiness to accept a highquality application . I think the nrc has been preparing itself to receive that application. It is something that they are familiar with. They will do their best to review it in due course. Think the way jeff answered is accurate. I think the Division Director is a very competent young woman who is making sure that there is they are that repaired that they are prepared. Mr. Fratello references the director ralph reactors the director of reactors. We hear a lot of discussion about nuclear modular reactors. Sodium, some are light water. How many of these small modular reactors are there operating today around the world . I do not think that from a commercial standpoint, there are any. All of homers submarines are using small module reactors, and our carriers. There is a lot of experience. Toctricity growth thanks very gd efficiency and things like that and also already economy but already electricity growth is very small. Small module reactors are becoming even more important domestically. They were all caps important internationally but even domestically, they are important. Particularly as we close smaller plants. One thing that is important to remember, we talk about traditional utilities uses for generating electricity. These technologies also provide high sources have eat. High sources of heat. Does anybody else have any comments . They are looking at a large number of different products. Below we talking about 300 megawatts . Some of them could be as small as 310 megawatts. Some are in the range of 801 hundred. Others are on the verge of 300. There is a range. Caution that many of the only ones we have seen that have had any indication of any economic viability have coupled to allow for some economy of scale to actually be able to compete in a market and none of these are built around the world. The number is actually zero. The question if they will have any chance in a competitive 101215 years, nobody has a crystal ball. The market is going to resolve that. Predictable regime, they can be licensed. The market will bear those reactions. Thank you all very much. We look forward to working with you as we consider this legislation. We will keep the record open for 10 days and, once again, thank you. That concludes this hearing. [captions Copyright National cable satellite corp. 2016] [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. Visit ncicap. Org] announcer today, the cspan brings you coverage of the white house correspondents dinner, including remarks by president obama. For this years featured comedian, larry wilmore. The executive director, Julia Winston discusses her role. She has been director since 1995. She spoke with cspan from the Watergate Office building in washington dc. What do you do as executive director of the white house correspondents association