nuclear-news

Exelon May Split Its Utilities From Nuclear, Generation BusinessExelon’s mulls a split for its generation business with two Illinois nuclear plants facing closure and others struggling.  GTM, JEFF ST. JOHN NOVEMBER 04, 2020  Exelon Corp. confirmed Tuesday that it is exploring a plan to separate its multistate utilities businesses from its generation business, which is preparing to close two of its 21 nuclear power plants due to money-losing market conditions.CEO Chris Crane confirmed the “review of our corporate structure,” first reported to be underway by Bloomberg last month, during the Chicago-based company’s third-quarter earnings conference call. The move comes as Exelon is struggling with profitability at several of its nuclear plants, which face falling energy prices and challenging conditions in the capacity market run by mid-Atlantic grid operator PJM.

Exelon has secured zero-emissions credits for financially struggling nuclear plants in New York and New Jersey, two states seeking to eliminate their carbon emissions by midcentury, and has won similar credits as part of Illinois’ 2016 Future Energy Jobs Act that supply about $235 million per year in zero-emissions credits to its Clinton and Quad Cities nuclear plants.

But Exelon has not secured subsidies for four other Illinois nuclear power plants, including the Byron and Dresden facilities. In August it announced it will close those plants in 2021 and may also seek early retirement of its Braidwood and LaSalle power plants unless it can obtain state support to bolster their economics. ………

State support for zero-carbon nuclear scrambled by bribery scandal

But the FRR plan contained in last year’s Clean Energy Jobs Act lost lawmaker support in the wake of Exelon utility ComEd’s connection to a federal bribery investigation alleging the utility steered jobs, contracts and payments to House Speaker Michael Madigan in exchange for favorable treatment in the state capitol. Exelon agreed to pay a $200 million fine and submit to a deferred prosecution agreement this summer.