Miklós Horváth Licensing and Quality Supervision

Director,

Deputy-CEO Atomex, 20 November 2017.

LICENSING AND THE SUPPLIER

QUALIFICATION SYSTEM

2

LICENSING

3

TIME

Intergovernm

ental

agreement

Preliminary

analysis activity

Spread separation

General

Contractor Scope

Out of range of General

Contractor Scope

Preliminary

phase 2.

• Basic Design; • PSAR

Detailed Design

Constructioning

Installation

Test run

Operation

Contruction Design

Shut down

Phase 2 Constructioning

Operation phase

EPC

O&M contract

Fuel contract

Shut down phase

Site Testing and Validation License

Environmental permit

Site license

Construction license

MEKH license

System and System Componant license

Commencement license

Operation license

Shut down license

Preliminary phase 1.

Phase 1 Preparing

Nuclear power plant life cycle, major licenses

4

Contractor (ASE)

OA

P

OAP

OP

Licensee (Paks II.)

CP

Justification of compliance with

applicable legislation

Applying for licences - Roles

Type of Licence Applications Preparation of licensing

documentation

Submission of Licence

Applications

Owner’s Permit (OP) Owner Owner

Owner Acquired Permit (OAP) Contractor Owner

Contractor’s Permit (CP) Contractor Contractor

Regulatory Bodies

HAEA

Hungarian Energy and

Public Utility Regulatory Authority

Water Protection

Regulatory Authority

….

etc.

5

Authority

Legislative requirements

Subject of the license

HAEA AEC, NSC nuclear facilities /

equipment

HEA VET, VETvhr power plant

construction

BAMKH Environmental Protection

and Nature Protection

Department of Pécs District Office

Act LIII of 1995,

and Act LIII of 1996 (acts about

nature and environmental

protection)

environmental protection

/ natural protection

BAMKH HF Mining Department Act XLVIII of 1993 (about mining

law) geological research

Ministry of the Interior, National

Directorate General for Disaster

Management

72/1996. (V. 22.) Government

decree

water rights erection/

operation

Ministry of the Interior, National

Directorate General for Disaster

Management

54/2014. (XII.5.) BM decree Installing built-in fire

alarm / fire extinguisher

Ministry of National Development 289/2012. (X.11.) Government

decree

railway construction /

conversion

Examples for authority roles and responsibilities

Owner’s Permit (OP)

Site investigation and

assessment license

Site license

Water rights erection

license

Environmental license

Preliminary water

rights license

Preliminary power

plant license 6

Examples for licensee roles

Owner Acquired Permit (Mixed

license) (OAP)

Implementation license for the

construction of the nuclear facility

Installation license for built-in fire

alarm equipment

Licenses to build and use nuclear

installations and structures

Licenses to install pressure

equipment

License for temporary storage of

radioactive waste

License for startup of nuclear facilities

License for operation of nuclear

facilities

Contactor Permit (CP)

Road construction

licenses

Transport license for

hazardous waste

Railway construction

and conversion license

Railway Access License

Certification of

measuring instruments

Radiation protection

license

Transport license for

hazardous materials

7

Operation license

Licenses at system and component level (manufacturing, building assemblying)

2009: Parliamentary resolution on decision in principle of the Parliament

2008: Parliamentary resolution on the Hungarian energy policy between 2008 and 2020

2011: parliamentary decision on NES 2030

Commissioning license

Construction licenses

Water right construction license

Implementation license of NPP

Electricity industry related

construction license

Principal permission for

water use

MEKH preliminary connection

license Site

lice

nsi

ng En

viron

men

tal lice

nsin

g Site evaluation

program

Site license

Scoping procedure (PCD) + EIA

Environmental license

Licensing process and status (November 2017)

309 acquired licenses!

Approx. 6000

licenses are

needed!

2017.11.

Example 1: already acquired Owner’s Permit: Site license

8

Main steps: 1. Development of the survey

program 2. Implementation of the survey

program 3. Evaluation of the program 4. Compiling the license

application 5. Licensing (HAEA)

≈ 5 yrs ≈ 10 bill. HUF

9

Area of already existing units (Paks I.)

Area of Paks II. new nuclear power plant

units

Example 2: already submitted Owner Acquired Permit: buildings of Construction and Erection Base (CEB) phase I.

Area of CEB

Construction Erection Base phase I.

7,9 ha

64,7

ha

156,1

ha

229,9

ha

10

1: Administrative and amenity building (UYA) 12: Base for hydraulic installation companies (UXL)

1. Creating basic design Contractor

2. Checking basic design Owner

3. Compilation license application Contractor

4. Checking license application Owner

5. Submitting license application (26.10.2017)

Owner

Example 2: already submitted Owner Acquired Permit: buildings of Construction and Erection Base (CEB) phase I.

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Analyses,

calculations

Demonstration of nuclear safety and technical content

Foundation document for IL

IL application

submission

PSAR ~52000 pages

TR

PSA

~16000 pages

BD nuclear safety

concerned ~30000 pages

TR in all: ~150000 pages

Example 3: not yet submitted Owner Acquired Permit: Most complex license application - NPP Implementation License (IL)

…

BD (Basic Design) PSAR (Preliminary Safety Analysis Report) PSA (Probabilistic Safety Assessment) TR (Topical Reports= background documentation of PSAR and BD)

12

Main Control level of NPP Implementation Licence Application

Control level

Responsible Organization Criteria

1st

Preparation of Documentation

Contractor In accordance with Quality Management System of design Organization (General Designer and Contractor) [Applicable legislation (AEC, NSC)]

2nd

Technical review and design control by the Licensee

Licensee (Paks II.) Technical Department

Technical, nuclear safety and completeness review [Applicable legislation (AEA, NSC), Design Manual, …]

3rd

Review by Independent Technical Experts

Independent Technical Expert (each professional discipline + comprehensive)

Independent Technical Expert review in accordance with a 247/2011. (XI. 25.) Gov. Decree [Applicable legislation (AEA, NSC)]

4th

Independent review by the Licensee

Licensee (Paks II.) Independent Review Department

Compliance with legislation and completeness review for the scope of application [Applicable legislation (AEA, NSC), Design Manual, …]

5th

Regulatory review

Hungarian Atomic Energy Authority and Experts (eg. IAEA)

Act CXVI of 1996 on Atomic Energy (AEA) and Implementing Regulation (eg. NSC)

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THE SUPPLIER QUALIFICATION SYSTEM

(NUCLEAR QUALIFICATION)

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All responsibility for the nuclear facility lies with the Licensee!

„118/2011 (VII.11) Government decree 30. §

(1) The licensee may involve suppliers in nuclear safety related activities according to the requirements of Annexes 2 to 10. The licensee shall be responsible for the maintenance of nuclear safety even in such a case.

(2) The licensee of the nuclear facility shall develop and operate a management system according to Annexes 2 and 9 in order to verify the suitability of the suppliers intended to be involved.

(3) Prior to the start and during the performance of the supplier’s activity the licensee shall ensure that the supplier is able to provide the conditions required for the work performance.”

„9.2.2.0600. No supplier shall be allowed to undertake nuclear safety related work unless permitted to do so by the Licensee, under continues competent supervision.

9.2.2.0700. The capacity and capability of suppliers for fulfilling their duties shall be assessed and certified prior to the commencement of their works, and shall be reviewed at regular intervals.”

Legislative background of nuclear qualifications

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• It uses a differentiated approach (safety impact, life cycle of the facility, activity to be performed).

• Covers the whole supplier chain.

• Is based on checking existing skills.

• Explains the past performance rating that is typical of current performance (references).

• Examines documentation related to the supplier’s activity.

• Assesses the supplier's quality management system.

• Checks the existence / suitability of the site, personnel, machines, devices, technologies.

• Sampling process.

Key features of the nuclear qualification system

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Contract

NSC

Requirements

Question list

Audit plan

Supplier’s documents

Audit report

NCR

Supplier’s documents

Audit plan

Audit

Checking documentation

On-site audit

Qualification sheet

HAEA 1

HAEA 2

HAEA 2

HAEA 3

HAEA H 4

HAEA 5

Structure of qualification procedures

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The Contractor’s subcontractors’ evaluation

Determination of

subcontracted activities

Release tendering/

biding

Evaluation of the offers

Selection of the winner

Evaluation of the subcontractor by Contractor

Contracting

Evaluation of the

subcontractor by Owner

Starting the activities of

the Contract

Supervising the Subcontractor evaluation process

Evaluation of the supervision

Step 5

Evaluation of the Subcontractor by the Contractor

Notification Contract is ready

Step 7

Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 Step 8

Evaluation of the Contractor’s audit report

On-site SNQ audit

Evaluation of the SNQ audit

Issuing the SNQ certificate by the Owner

Evaluation of the subcontractor by

Contractor

= Contractor’s task (based on the EPC) = Owner’s task (based on the NSC)

Supervising the Subcontractor evaluation process

THANK YOU for your attention!