nuclear-news

Nuclear industry admits that it cannot compete on costs

Is Nuclear Energy a Fuel with a Future?, Huffington Post, Andy Mannle, : 10/28/11 “……… Powerful industry lobbies in the U.S. and elsewhere will continue to support nuclear as a fuel source, of course, but even the industry recognizes that a major expansion is unlikely.

Speaking at an American Nuclear Society conference in August 2011, John Rowe, CEO of Exelon, the country’s largest nuclear utility said 3 of the 4 conditions necessary for expanding nuclear cannot be met. While newer designs offer the right technology, Rowe argues that the government has not resolved waste disposal issues. Additionally, there is currently excess generation capacity because the economic recession has slowed energy consumption. While this will likely change as we retire more coal plants and the economy grows, the influx of cheap natural gas from shale has undercut nuclear’s higher prices.

Today, nuclear cannot compete on cost with fossil fuels, and cannot compete on quality with renewables. Going forward, renewables offer rapid growth and innovation combined with falling costs, which will make it harder for nuclear to compete in the future. And as fossil fuel prices rise, they will also likely drive up nuclear’s construction costs, offsetting any price advantage there.

Without a major breakthrough, it seems safe to say nuclear will never be cheaper than coal or natural gas; nor will it be as safe, clean, and attractive to consumers and investors as renewables. In the end, the most likely option for nuclear energy is neither renaissance nor retreat, but continued slow growth, with heated arguments on all sides…. http://www.huffingtonpost.com/andy-mannle/nuclear-energy-a-fuel-with_b_1032727.html

October 29, 2011 - Posted by Christina Macpherson | 2 WORLD, business and costs