Up & Atom

The NRC recently took the somewhat unusual step of issuing a Regulatory Issue Summary (RIS) to clarify reporting requirements for certain exports. Issued on March 15, the RIS explains that its issuance was prompted by recent confusion among nuclear exporters regarding potentially overlapping reporting obligations. The RIS requires no action or written response from the nuclear industry.

Regulatory Issue Summary 2019-01, “Clarification of Export Reporting Requirements for Nuclear Facilities, Equipment, and Non-Nuclear Materials” addresses the distinction between quarterly reporting requirements under 10 CFR § 110.54(a)(1) and annual reports under 10 CFR § 110.54(c). Section 110.54(a)(1) requires reporting to the US Department of Commerce’s (DOC’s) Bureau of Industry and Security on a quarterly basis of exports that are under a Part 110 general or specific license of nuclear facilities, equipment, and certain non-nuclear materials listed in Annex II of the Additional Protocol (“Protocol Additional to the Agreement between the United States and the International Atomic Energy Agency for the Application of Safeguards in the United States of America” (INFCIRC/540)). Section 110.54(c) applies to reports filed with the NRC on an annual basis for exports of certain nuclear components of US origin described in Appendix A to Part 110.

The NRC published a draft version of the RIS in the Federal Register in June 2018 for public comment. The final RIS states that, “[b]ased upon discussions with exporters that did not submit quarterly reports as required . . . the NRC believes that licensees do not uniformly understand the two different reporting requirements.” The NRC confirms that certain components or equipment, such as zirconium metal and alloys in the form of tubes or assemblies especially designed or prepared for use in a reactor, may fall under both reporting schemes and thus will need to be reported both annually to the NRC and quarterly to the DOC.

Morgan Lewis will continue to monitor further developments in the area of nuclear export reporting obligations.