nuclear-news

FRED FASTIGGI | JANUARY 5, 2021  “……..we are faced with the former owner of Oyster Creek selling their interest in the shuttered nuclear generator to a company with virtually no discernable pedigree in successful nuclear decommissioning or the processing, warehousing and transportation of nuclear waste.  Indeed, it appears that there are more questions concerning their performance than accomplishments on their resume.

The decommissioning at Oyster Creek was funded by ratepayers and amounted to almost $1 billion when it was sold, presumably for significantly less than its billion-dollar-fund balance.  Authoritative sources had previously estimated the cost to decommission Oyster Creek at over $1.4 billion. The original decommissioning schedule was to occur over a 60-year period, but the new owners are betting they can decommission the plant faster, and for significantly less than their investment, pocketing the difference.  The quicker they can do this, the more they earn. Of course, if they find they bit off more than they can chew and look like they are on a pathway to failure, they can pack up their wrenches and backhoes and abandon the project, leaving New Jersey ratepayers to fund whatever actions remain to safely complete decommissioning. 

Seems like a win-win for both buyer and seller. For the new owner, if the challenges exceed their abilities, they can simply cut and run before depleting their newly acquired billion-dollar decommissioning fund. For the seller, they have unloaded an unpleasant responsibility in a way that’s sadly reminiscent of the actions of a deadbeat dad.

Current questions on nuclear subsidies

The current question before the BPU on subsidies presents a rare opportunity for regulators to exert some leverage considering tangential, but critical, questions on nuclear energy.  Are safety practices sufficient to deter today’s technology-savvy terrorists?  How reliable are their storage processes for spent fuel and what are the long-term plans for its disposal or relocation?

What are the plans for the eventual decommissioning of remaining New Jersey nuclear reactors that combined are almost five times the size of Oyster Creek?  Are we comfortable following the path blazed by Oyster Creek with the potential of a pre-emptive sale if the new owners make their way out of Dodge before the sheriff shows up ….