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CFPP Governing Board Presentation.Executive Deck(SHORT combined)
Power Sales Contract Carbon Free Power Project Executive Slide Deck 2 Small Modular ReactorsDistributed GenerationEnergy EfficiencyROJECTOWERREEARBONTHEISHAT W 3 Regulated MarketsResource ReplacementGreen House Gas RegulationWORKS CFPP HY W NuScale Chief Strategy Officer Chris ColbertJanuary 17, 2018 Overview Power, LLC.NuScaleCopyright © 2017 Nonproprietary *Source: NRC under construction in the United StatesComparison size envelope of new nuclear plants currently 5 NPM-Size Comparison Pressurized Water Reactor Basics 6 CoreReactor PressurizerVesselPressure Reactor PumpReactor Coolant GeneratorSteamContainmentPumpReactor Coolant GeneratorSteam NuScale 7 Reactor Core•Vessel (RPV)Reactor Pressure •Steam Generators•Pressurizer•Containment•Small Modular Reactor Typical LWR Safety Systems 8 System(ATWS) Anticipated Transient without Scram •Safety Related 1E Battery System••site Power-Alternative Off•SystemsSafety Related Electrical Distribution •Reactor Coolant Pumps•Containment Spray System•Systemor Ignition RecombinerHydrogen •Emergency Service Water System•SystemFeedwaterAuxiliary •TankCondensate Storage •Refueling Water Storage Tank•Safety Injection System•Residual Heat Removal System•Ultimate Heat Sink•Containment Isolation System•SystemReactor Protection •Emergency Core Cooling System•Decay Heat Removal System•Reactor Coolant System•Containment Vessel•Reactor Pressure Vessel•:Systems and Components Needed to Protect the Core NuScale Safety Systems 9 System(ATWS) Anticipated Transient without Scram •Safety Related 1E Battery System•Emergency Diesel Generators•site Power-Alternative Off•SystemsSafety Related Electrical Distribution •Reactor Coolant Pumps•Containment Spray System•Systemor Ignition RecombinerHydrogen •Emergency Service Water System•SystemFeedwaterAuxiliary •TankCondensate Storage •Refueling Water Storage Tank••Residual Heat Removal System•Ultimate Heat Sink•Containment Isolation System•SystemReactor Protection •Emergency Core Cooling System•Decay Heat Removal System•Reactor Coolant System•Containment Vessel••:Systems and Components Needed to Protect the Core Reactor Building Cross Section 10 Reactor Vessel Flange ToolContainment Vessel Flange ToolRefueling MachineBiological ShieldraneCuilding Beactor R oolPReactor , and oolPuel , FNuScale Power Moduleshouses Building Reactor Reactor PoolNuScale Power ModuleFuel Pool TM annex 11 Site Layout fencerotected area pcontrol buildingparkinguilding Aburbine tsask c(dry ISFSI urbine building Btwitchyard sadwaste buildingruildingbdministration aeactor buildingrowers Btooling ccooling towers Awarehouse uildingb NuScale Plant Reliability 12 with a single unit in a refueling outage.In a 12 unit plant 92% output is maintained –Online refueling outages •Capable of Island Mode operation:•corrected.turbine trip allowing quick return to power after trip condition No reactor trip required for a –turbine steam bypass capability Full •single unit out of service.reactor module; in a 12 unit plant 92% output is maintained with a Independent turbine generator sets for each –No single shaft risk •BOP design:allows for simplified and economic –Relatively small turbine generators •Improved Reliability Through the Use of Multiple Small Units: 13 December 2012.concept were presented to the NRC in safe -of the Alternate System FailDetails power.configuration on loss of all plant valves align in their safest Safety ActionOperator No •No Additional Water•No AC or DC Power•:indefinitely, withco-down and -can safely shutCrown" for nuclear plant safety. The plant NuScale design has achieved the "Triple Wall Street Journal April 16, 2013 NuScale Announces Major Safety Breakthrough 14 Innovation-Design-NuScale-Approves-Archives/2018/NRC-Media/News/News-www.nei.org/Newshttps://reactorsLandmark endorsement moves industry closer to deployment of small modular operationEliminates costly and complex systems without compromising safe and reliable sourcegrade power -NRC agrees NuScale’s design can operate safely without safetyApproves NuScale Design InnovationNRC (January 11, 2018)NEI Press Release 15 COL. is normally incorporated by reference into the Design Certificationrequired for construction and operations of each nuclear plant. A is prepared by the customer (e.g., UAMPS) and is Combined License (COL)The •applicationCOL TVA) and “banked,” or included in the may be obtained in advance of a licensing proceeding (e.g., Early Site PermitAn •for 15 years. Once a design is certified, it has ‘finality.’is prepared by the vendor (e.g., NuScale) and is valid (DC)Design CertificationThe•NRC Licensing Process (10CFR52) Reducing Licensing Risk Over $500M>50 supplier/partners>800 peoplemillion labor hours>2 14 Topical Reportspages12,000+ 16 schedulepublished its review NRC has is in full implementationRAI process U.S.Offices in across 5 >800 people have worked on the project in March 2017.docketing DCA accepted for at end of 2016. (DCA) completed Design Certification Application High Quality DCA- DCA Review Status Phase 2have entered 80% of areas over –date Progress to DCA Review Schedule 5/16/19SER w/OIs–P2 2020 2021 9/08/20FSER–P6 12/12/19OIsnoSER w/Adv-P4 46 months-Total projected duration for NRC 4/16/18PSER and RAIs–P1 Jan 2021Rulemaking8/27/19SER w/OIsACRS review of -P3 3/15/17AcceptedNRC 12/31/16DCACompleted Jan 2021Design Certified6/23/20OIsnoSER w/AdvACRS review -P5 20192018 2017 18 ZoneSite Boundary Emergency Planning 300,000,000 reactor yearsCore Damage once every like” events-“FukushimaUnlimited coping period for modules as neededFlexible, add 50MW renewable energy sourceswith variable IntegrableGas Combined CycleCompetitive with Natural EconomicSafeSimple maintainFewer systems to construct and steam supply and containmentbuilt, integral nuclear -FactoryNuScale Differentiators 6650 SW Redwood Lane, Suite 210NuScale_PowerTwitter: @http://www.nuscalepower.com+44 (0) 2079 321700United KingdomLondon SW1E 5BHPlaceBressendenFloor Portland House st 1Richland, WA 99354Ave., Suite 205Jadwin1933 980.349.4804Charlotte, NC 282172815 Coliseum Centre Drive, Suite 230301.770.0472Rockville, MD 20852Ave., Suite 205Woodglen11333 541.360.0500Corvallis, OR 973301100 NE Circle Blvd., Suite 200971.371.1592Portland, OR 97224 20 12 ShaftsSteam Generator BypassRamps from 20MW to 50MWNTEGRATION I 21 AuthorityUAMPS Participants &Tennessee Valley Department of Energy (DOE)/NRCNuScale/Fluor/Energy NorthwestEAM T 22 Water RightsDOE Lease & Power Purchase AgreementNRC LicenseEngineering, Procurement & ConstructionERMITSANDONTRACTS 23 2018Executed version by end of February •Status: 95% Complete•significant portion of its Development Costswill be reimbursed a UAMPSand NuScalethe Project Assets to putwill UAMPS, ECTterminates due to a failure of the UAMPSIf •of $65/MWh (2017$)) with a price ceiling ECTon an Economic Competitiveness Test (Significance: Provides for Reimbursement on a sliding scale based •and conduct site specific engineeringCFPPestimate for the will continue to revise the cost NuScaleScope of Work: Fluor and •Term: Until final EPC is executed•UAMPS, NuScaleParties: Fluor, •GREEMENT A EVELOPMENT EPC D 24 subject to a maximum increase of 25% take a portion of a defaulting Participant’s Entitlement Share, defaulting Participants can be required to -up obligation, non-Steppayment obligations under the PSC electric service that produce revenues sufficient to meet its Rate covenant, Participant agrees to charge and collect rates for systemrevenues as an operating expense of the Participant’s electric Payments made solely from each Participant’s electric system pay the amounts due under the PSCspay” payment obligation, the Participants are obligated to -or-“TakeVERVIEWONTRACT C ALES S OWER P 25 Share)Vote (75% by number and Entitlement Majority -required to be made by a Superare Certain decisions terminated or suspended determine whether the Project is feasible or whether it should be and determine whether to submit the COLA, andreview ,review and authorize all financingsTest,review of the results of each run of the Economic Competitiveness approve each Budget and Plan of Finance and all Project Agreements,including:making authority, -decisionPMC has complete (PMC)OMMITTEE C ANAGEMENTROJECT P 26 The estimated total Cost of Acquisition and ConstructionDevelopment Costs that can be incurred during each phasePeriod, will include an estimate of and a cap on the and Plan of Finance for the second phase of the Licensing The initial Budget and Plan of Finance and the updated Budget DevelopmentThe estimated total Development Costs to the Completion of ONTENTS C INANCE F OFLAN P ANDUDGET B 27 Period Cost of Acquisition and Construction during the Construction Development Costs during the Licensing Period The proposed funding and financing arrangements forrange for the Project financing and operating the CFPP, including a target price A pro forma analysis of the expected costs of constructing, The estimated Commercial Operation DateCONT(ONTENTS C INANCE F OFLAN P ANDUDGET B 28 Option to WithdrawalParticipant’s2020Scheduled to be completed June •costsProject Updates to the Budget and Plan of Finance, finalization of all •Obtaining all required permits and approvals for the Project•Preparation, submission and processing of the COLA•all Project Outputparty power purchasers to achieve full subscription for -thirdowners and -Contracting with prospective Participants, co•transmission agreementsEPC contract, operating agreement, fuel, water supply and Completion of definitive Project Agreements, including the •analyzing each run of the Economic Competitiveness Test , and NuScaleDevelopment Agreement with Fluor and , design and engineering work under the Estimating•COLA to NRCProceed Submit PMC Approval to (April 1, 2018)ContractPower Sales Effective Date of the Period: First PhaseLicensing 29 onstruction PhaseCApproval to move Governing Board Option to WithdrawalParticipant’s Final to Construction PhaseProceed to PMC Approval from NRCOperating License Construction and Receipt of Scheduled to be completed Q2 2023•39 month review •finalization of all Project costsUpdates to the Budget and Plan of Finance, •Operating LicenseNRC’s review of the Construction and •Licensing Period: Second Phase 30 the Project complete decommissioning of to •Decommission Period Up to 80 years•the ProjectCOD to end of operating life of •Operating Period Scheduled to be complete 2027•32 months•Commercial Operation Date (COD)Construction of the Project to the •Construction Period Sample Plan of Finance Period Phase 2Licensing Period Phase 1Licensing Construction PeriodLicensing PeriodBank Line of Credit•Variable Rate Debt•DOE Loan Guarantees•Long Term Bonds•Capital Contributions•Bond Anticipation Notes•Bank Line of Credit•Capital Contributions•Bank Line of Credit•PeriodConstruction RepaymentLOC/BAN Debt Service Reserve FundInterest During Construction ExpendituresCapital UsesLong Term DebtDraws/BANsLOC 20262025202420232022202120202019Sources 33 JUMP lease agreementAdditional technical partnershipExisting COLA technical partnershipARTICIPATION DOE P 34 Approve the Power Sales ContractUnderstand the TermsDetermine Participation PercentageDOTOYOUASKINGAREWEHAT