nuclear-news

Gloabl nuclear industry problems shown up in Illinois political battle over government subsidy

Illinois Power Plant Closings Reveal Worldwide Nuclear Issues, Clean Technica  June 9th, 2016 by Sandy Dechert The many-sided battle over nuclear power continues with a clear break over politics in Illinois. The company and the government are dancing around the issues currently, with the industry essentially taking the position that government (read: the people) should subsidize the waning years of nuclear installations, or else. That state’s legislature adjourned its spring session last week without extending subsidies for nuclear power (the Next Generation Energy Plan advocated by the nuclear industry).

In return, Exelon Corporation—the nation’s largest nuclear power supplier—announced that it would have to close two of the state’s best-performing plants. It has said that the Clinton Power Station will close next June, and the Quad Cities Generating Station will close a year later. Despite their high scores, they have apparently lost $800 million over the past seven years. Exit papers are in preparation.

Joe Dominguez, executive vice president for governmental and regulatory affairs and public policy at Exelon, describes his company’s bottom line:

“We think that the costs of new nuclear right now are not competitive with other zero-carbon technologies, renewables, and storage that we see in the marketplace…. Right now we just don’t have any plans on the board to build any new reactors.”

Renewables broke all world records in 2015, say the United Nations Environment Programme and Bloomberg New Energy Finance. Also, renewables (excluding large hydro) accounted for more than half of new power generation capacity for the first time last year.Including large hydro, renewables’ share of all global electricity generation rose to more than 20%.

The human cost of closing the two Illinois plants includes 4,200 direct and indirect jobs and over $1.2 billion in economic activity annually. An earlier state report that Exelon quotes estimates that wholesale energy costs would rise in the region by $439 million to $645 million annually because of the plant closures. Exelon claims consumers will have to pay about $0.25 monthly to sustain the plants. Critics charge it will hike electric bills by about $3.00. Exelon has its eye on three other American closures, and Entergy is considering two at last report.

Industry-Wide Issues

Although this squabble has plagued Illinois for years, it brings up some nuclear issues that impact on the larger energy scene, both nationally and worldwide. These include not only competition from renewable energy but also unique financial factors, extension of design limits for the plants, decreasing reliability as reactors age, stability of the power grid, inadequate measures for disposal of radioactive waste. For all of these, potential near-term usefulness in slowing climate change—by limiting carbon releases associated with other forms of electric power generation—should be a major consideration……….

No commercial plants have been built in this country during the past 20 years. Eight have remained “under construction” during this time. These are mostly in the South, which still retains a protective regulatory environment. Only two are already scheduled to come online. In 2015, TVA Bellefonte ceased construction.

And decommissioning involves even greater expenses in the short term than keeping unprofitable plants afloat. Some of this huge expense (including the vital component of all project management, which the NRC’s Office of Nuclear Material Safety and Safeguards carries out) involves using more public funds…………..https://cleantechnica.com/2016/06/09/illinois-power-plant-closings-reveal-worldwide-nuclear-issues/

June 10, 2016 - Posted by Christina Macpherson | 2 WORLD, business and costs, USA