nuclear-news

States can take more credit for carbon-free electricity to be generated by nuclear power plants under construction as they work to comply with emission-reduction targets set in the U.S. Environmental Protection Agency’s Clean Power Plan released Monday. Cuts from existing reactors won’t count, casting the fate of units at risk of premature retirement in doubt………

“We tend to view new rules as potentially the first bit of good news for the struggling nuclear industry,” Julien Dumoulin-Smith, an analyst for UBS, wrote on Monday in a research note…….

Existing Reactors

The Nuclear Energy Institute, a Washington-based trade group, said it was “pleased” that the EPA recognized that nuclear plants under construction “should count toward compliance when they are operating.”

Marvin Fertel, president of the group, said by e-mail that the industry was disappointed that existing reactors won’t get credit for their carbon-reduction value, given that some are at risk of early retirement. States would have been allowed to count 6 percent of nuclear generation toward clean energy targets under the EPA’s draft rule released last year.

“The final rule does not incorporate the carbon-abatement value of existing nuclear power plants…..

New Reactors

New reactor projects, the first in decades, have been plagued by delays and cost increases.

Beneficiaries of the rule changes would include Southern Co. and Scana Corp., which are building new reactors in Georgia and South Carolina, respectively. The Tennessee Valley Authority, which is building a reactor at its Watts Bar facility near Spring City, Tennessee, would also get a boost.

“Nuclear facilities will be credited because it’s new, zero-carbon generation that will be credited as part of a compliance strategy,” said U.S. EPA Administrator Gina McCarthy. “That’s entirely consistent and appropriate.”……… http://www.bloomberg.com/news/articles/2015-08-03/new-nuclear-power-seen-as-big-winner-in-obama-s-power-plan