U.S. government extends key nuclear power subsidy by another 40 years

Feds extend nuclear power subsidy

The appropriations bill passed by Congress and signed by President Biden extends the Price-Anderson Act through 2065

On March 23rd, President Biden signed an appropriations bill that also included a 40-year extension of a key subsidy to the nuclear industry, the Price-Anderson Act. 

Thanks to this policy, should a catastrophic accident happen at one of the 54 nuclear plants operating in the United States, the nuclear industry would be liable for the first $16.1 billion in damages and taxpayers would be on the hook to cover the remainder. The Fukushima nuclear disaster has already been reported to exceed $90 billion. The full value of the Price-Anderson nuclear subsidy is difficult to estimate, but if nuclear operators had to carry the full cost of insurance against a nuclear accident, the plants would most likely become uneconomic to build.

Per dollar of investment, clean energy solutions – such as energy efficiency and renewable resources – deliver far more energy than nuclear power. As of January 2024, the United States has more utility-scale solar capacity than nuclear. 

“Despite recent growth, we’re just scratching the surface of America’s renewable energy potential,” said  Johanna Neumann, senior director of Environment America’s Campaign for 100% Renewable Energy. “Instead of propping up nuclear power generation through liability limits, Congress should double-down on efforts to drive energy efficiency, solar, wind and geothermal.”

April 3, 2024 - Posted by Christina Macpherson | Uncategorized