FY 1986 SOLAR AND RENEWABLE ENERGY BUDGET

Mr. BEVILL. What portion of total DOE R&D funding should be devoted to solar and renewable energy? And what is the basis for your position?

Secretary HERRINGTON. I believe that the FY 1986 Solar and Renewable Energy budget provides sufficient funding to support the National Energy Policy Plan goals of seeking an adequate and balanced mix of energy supply options at reasonable cost. DOE has proposed a substantial commitment to solar and renewable energy activities within the overall departmental research and development budget.

Much of the difference between the FY 1985 program and the FY 1986 request is due to the proposed completion of DOE involvement in costly system development projects such as the Sacramento Municipal Utility District Photovoltaic Power Plant and MOD-5 Advanced Multi-Megawatt Turbine Development Program. The Department has concluded that these types of activities have very limited research benefits and are private sector responsibilities. The FY 1986 proposed program includes a number of areas which will receive increased emphasis, such as, biochemical conversion in biofuels, structural and aerodynamic research for wind turbines, and geothermal magma extraction. Additionally, the Department has proposed a significant amount of site development at the Solar Energy Research Institute which functions as the foremost_laboratory for solar energy R&D. And finally, DOE has suggested a new initiative relating to obtaining a better definition of the essential solar resource base. Such an understanding will contribute to the improvement of theories which underlie technology concepts.

NUCLEAR ENERGY RESEARCH

Mr. BEVILL. What are the Department's priorities in nuclear energy research and how were they established?

Secretary HERRINGTON. The Department recently completed a draft Civilian Reactor Development Program plan which is now being reviewed internally. Our priorities are outlined in that plan and were reached after discussions with Congress, industry, and the electric utilities. I would like to insert for the record a more detailed discussion of the research priorities of our restructured civilian reactor development program.

[The information follows:]

RESEARCH PRIORITIES-CIVILIAn Reactor DevELOPMENT PROGRAM

The Civilian Reactor Development Program strategy is directed toward mitigating both the technical and institutional problems confronting nuclear power, thus protecting the present investment, preserving the nuclear option for the country and achieving the full long-term potential of this energy source. Its major thrusts are to: Improve the economics and reliability of the light water reactors in operation, encourage the completion of those under construction, and facilitate the realization of significantly improved technology by the private sector;

Foster the technology needed to develop a new generation of reactors and associated systems incorporating new and innovative concepts evolving from emerging technologies. Significant advances in the high technologies ranging from computers to material sciences, will be brought to bear on the nuclear designs; and,

Ensure that the technology to enable an economic breeder reactor is available to extend our uranium resources when the marketplace so dictates.

This strategy will achieve maximum cost effectiveness by building on our existing, strong technology base and by assuring a mutually supportive relationship among the various programmatic R&D efforts and results. Further, the U.S. possesses nuclear facility capability and technical expertise that are of significant value to our international trading partners. This presents, as obvious opportunity to reduce program costs through mutually beneficial expanded international collaboration.

The program strategy addresses a broadly based research and development effort through three time periods: the near-term (0-7 years), the intermediate-term (7-15 years), and the long-term (beyond 15 years). The program is intended to be flexible enough to accommodate what will surely be a dramatically changing scientific environmental over the next few decades, while effectively addressing nearer-term problems to help assure the viability of the nuclear option.

Near-term attention is directed at the completion of the light water reactors currently under construction and at continued improvements in the reliability and safety of the plants in operation. It is essential that Government, industry, and the utilities immediately mount a significant, cooperative effort to help enable a new reactor order and restore the nuclear option.

An important part of the strategy addresses those advanced converter reactor concepts whose technical maturity is anticipated during the mid-1990's. These feature unconventional design and construction practices through by application of the latest high-technology (both nuclear and nonnuclear) to meet a variety of utility and non-utility end uses and economic environments.

The programmatic framework of the advanced converter strategy focuses on three area of technology:

Advanced Light Water Reactors. In this area, increased emphasis will be placed on design efforts for passive safety features and structural integrity to further assure public safety and protect plant investment. Additionally, in cooperation with industry, economic studies and licensability interaction will continue with the Nuclear Regulatory Commission (NRC) in the development of small reactor plant design.

High Temperature Gas Reactors. The objective of this program is to evaluate and develop the potential of gas cooled reactors for electric power generation and other industrial applications. Emphasis will be placed on small, inherently safe High Temperature Gas-cooled Reactors for electricity or cogeneration of electricity and process steam. Development of the High Temperature Gas-cooled Reactors for very high temperature applications such as process heat for coal liquification and gasification or direct cycle electricity generation will be pursued on a more long-term schedule. Liquid Metal Converter Reactors. A key effort is conceptual design studies initiated in FY 1985 following a competitive selection of concepts to be developed. Specific concepts being developed include a barge shippable pool-type reactor with 330 megawatts electrical (MWe) capacity and a smaller modular reactor, capable of being factory fabricated and transported by rail, that would be deployed in multiples of three to drive a single 400 MWe turbine generator. The study emphasizes capital and operating cost reductions, enhanced safety, ease of licensing, and improved plant reliability.

The third major program thrust deals with ensuring our energy security for the long-term through the development of technology for safe and economic breeder reactors. The nature, size, and scope of these systems will draw heavily from current research and development programs being conducted in the Advanced Converter area. Expanded collaborative efforts with nations having more rapid breeder deployment schedules will extend our technology base in a cost effective manner.

The excellent record of the Department in designing and testing nuclear systems places it in an enviable position to implement new and creative designs for the future. Excellent reactor design and operations have been a hallmark of nuclear energy research and development programs. The Fast Flux Test Facility, completed in the early 1980's, won the national engineering award for achievement. This facility demonstrated some of the first successful tests in natural circulation and has continually set international standards for length of full power operation. Its design features great experimental flexibility and provides excellent capabilities for fuel, and materials testing in support of the new innovative designs in the liquid metal reactors of the future. The mixed oxide fuel system developed for the Fast Flux Test Facility has exceeded design expectations and provides the basis for fuel systems for future reactors.

The Department's test facilities for studying the effects of reactor coolant less are internationally known and are the basis of international cooperative programs. Past safety issues and contemporary arguments on source terms are supported from data from the Loss-of-Fluid Test (LOFT) facility.

The Department's nuclear energy research program continues to be the leader in the development of systems that handle fuels in the most secure environments. Robotics, automation, and special sensors are all utilized to assure fuel handling with excellent accountability, precision, and low exposure rates to personnel in the Secure Automated Fabrication (SAF) Line at Richland, Washington.

The future objectives for the nuclear research program are clearly defined. In the light water reactor development effort, important acquisition and analysis of the empirical data from Three Mile Island continues to 1988. The Loss-of-Fluid Test facility will be used in 1986 to gain insight into source term evaluation. In fiscal years 1986 through 1988, important innovation designs for light water reactors will be examined and evaluated with supporting proof-of principle tests provided for key elements.

The research and development program will also develop gas reactors, partially because of their unique capability to generate both electricity and process heat. The selection of a small plant will be completed in FY 1985 with continuing design development planned in fiscal years 1986 and 1987. The R&D program examines critical needs of this design including special tests and demonstrations of key design features. The concept designs are to be completed in FY 1987.

Liquid metal reactor innovative design concepts were selected in FY 1985; preliminary designs from these concepts, with technical and economic evaluations, will be completed in FY 1986. In this period, work with national labs will be done to support critical design elements with demonstration tests. The passive safety demonstration of a concept is scheduled for FY 1988.

Integrated equipment tests in the fuel reprocessing areas examine the use of advanced sensors and robotic controls for the handline of nuclear fuels. This study has cross-cutting impacts on all of the reactor designs being considered. Breeder technology continue to be developed including tests at the Fast Flux Test Facility. These will demonstrate long life and improved fuels. In addition, the troublesome area of steam generator design will be further tested.

The Department's nuclear R&D program has shifted its focus to the development of an improved new generation of reactors targeted for final design maturity in the next 5 to 7 years. The breeder opton is maintained through research and development that simultaneously supports the breeder and the liquid metal reactor programs. The new designs will involve demonstrations and proof of design in many key engineering areas. Existing facilities and test support programs form the basis for addressing these issues.

NUCLEAR ENERGY RESEARCH

Mr. BEVILL. What would be the Department's reaction to a requirement mandating the payment of royalties for the use of results of nuclear energy research funded by DOE?

Secretary HERRINGTON. Use of Department facilities or the performance of work for others, including work for other government agencies, is done on a full cost-recovery basis. It is the policy of the Department to allow contractors to retain title to inventions to the maximum extent possible consistent with the President's Memorandum on Patent Policy, applicable statutory authority and mission requirements.

Exceptions to this patent policy protect rights in the areas of uranium enrichment, civilian high-level radioactive waste, as well as classified and unclassified inventions which have been determined to be sensitive under Section 148 of the Atomic Energy Act. Recent changes in law and Administration patent policy have modified the Department's practice.

In general, contract provisions should allow contractor ownership of patent rights to encourage commercialization on inventions outside the areas of exceptional circumstances, international agreements, and the weapons-related and naval nuclear propulsion programs of DOE within the restrictions posed by conflict of interest considerations.

The terms and conditions for each contract for management and operation of a DOE facility will be negotiated and administered by the appropriate contracting officer to provide the most effective means, consistent with applicable statutory authorities and regulations, to comply with this policy and to minimize potential conflicts of interest.

PROJECT DECISION SCHEDULE

Mr. BEVILL. In your view, Mr. Secretary, is the Department implementing the provisions of the Nuclear Waste Policy Act in such a manner as to insure the completion of final repository in 1998? Secretary HERRINGTON. I believe that we are making very good progress toward our ultimate goal of accepting high-level radioactive waste and spent nuclear fuel for permanent disposal in a geologic repository by 1998. Our commitment to begin receiving spent fuel and high-level waste by 1998, as has been stated a number of times, is unequivocal.

As you are aware, our success in meeting some of our near-term milestones, as required by the Act, has not been as high as many would like. We have made judgements that it is vitally important to achieve a high level of technical quality in work associated with some of the early milestones and allow adequate time for full and complete participation by states, Indian tribes, and other interested parties. We believe that this investment in time and resource will ensure that the program progresses forward and achieves our mutually desired goal in 1998.

DELAYS IN IMPLEMENTATION OF THE NWPA

Mr. BEVILL. What, if any, delays are you aware of that could affect any of the deadlines imposed in the Act?

Secretary HERRINGTON. There exist, within the framework of the Act, a number of areas where delays in the schedule may occur. For example, the President may delay the approval or disapproval of a candidate site recommended to him by the Secretary for up to six months. Should he disapprove the recommendation, a delay will occur until a subsequent site recommendation is made to the President. The Nuclear Regulatory Commission is authorized to extend its review of the Department's repository Construction Authorization Application by one year and, in addition, or a State or Indian tribe may submit to Congress a notice of disapproval of the President's recommendation for the 1st repository site. If Congress were not to override that disapproval, delays would result from having to make a second recommendation.

Regulatory delays at the Federal, State, or local levels are possible; public sentiment towards repositories suggests the likelihood of litigation; and the extent and nature of this is subject to some degree of uncertainty. In response to the requirement of the Act the Department is developing a proposal for a Monitored Retrievable Storage facility.

REMEDIAL ACTION PROGRAM

Mr. BEVILL. Has the Department complied with the direction of the Congress in regard to relocation of uranium mill tailings from the Vitro site in Salt Lake City? What is the current Total Estimated Cost for this project? Will that cover all costs associated with this project?

Secretary HERRINGTON. The Department is complying with the direction of the Congress in regard to the relocation of the mill tailings from the former Vitro Corporation site at Salt Lake City to the new disposal site at Clive, Utah. In the Energy and Water Development Appropriations Act for FY 1985, the Department was provided an additional $8 million to expedite the Salt Lake City tailings relocation. The Act also required the Department to negotiate with the State a fixed upper limit cost, above which all costs would be born by the State.

A detailed schedule and cost estimate is being prepared by the construction contractor for State and Department of Energy review. The fixed upper limit cost, required by the FY 1985 Appropriations Bill, will be established based on the cost estimate. We expect our negotiations with the State on the upper limit cost will be complete by the end of this month.

The total estimated cost for the Salt Lake Project, including both State and Federal contributions and all costs, Federal contributions and all costs, is $107.6 million, in year-of-expenditure dollars.

Mr. BEVILL. Are there any other mill tailing sites being considered for relocation versus stabilization-in-place?

Secretary HERRINGTON. Yes, relocation of tailings versus stabilization-in-place is being considered for a number of sites in addition to the site at Salt Lake City. The criterion against which the need to relocate the tailings is assessed is the requirement of the environmental standards that the design of the disposal site be such that the control of the release of radioactive contamination be effective for 1,000 years to the extent reasonably achievable, and in any case, for at least 200 years.

In some cases engineering studies clearly indicate that the tailings must be relocated in order to meet this criterion. In other cases the adequacy of designs to meet the standards is a matter of judgement, taking into account engineering considerations and cost. effectiveness. In addition to Salt Lake City, there are several sites where relocation either has been selected or is under consideration as the preferred alternative. At our Durango, Colorado site, relocation appears required to achieve long-term stability. Potential stream migration, flood damage, and slope erosion appear to preclude stabilization-in-place. The preferred site for relocation is Bodo Canyon.

At Gunnison, Colorado, both stabilization-in-place and relocation are still under consideration. The potential problems with stabilization-in-place at this site involve ground water protection and flood control.