nuclear-news

U.S. nuclear spent fuel liability jumps to $44.5 billion

 Nov 27, 2024, https://www.ans.org/news/article-6587/us-spent-fuel-liability-jumps-to-445-billion/

The Department of Energy’s estimated overall liability for failing to dispose of the country’s commercial spent nuclear fuel jumped as much as 10 percent this year, from a range of $34.1 billion to $41 billion in 2023 to a range of $37.6 billion to $44.5 billion in 2024, according to a financial audit of the DOE’s Nuclear Waste Fund (NWF) for fiscal year 2024.

The estimated liability excludes $11.1 billion already paid out to nuclear power plant owners and utilities for the DOE’s breach of the standard contract for the disposal of spent fuel (10 CFR Part 961), which required the DOE to begin taking title of spent nuclear fuel for disposal by January 1998. Owners of spent fuel routinely sue the federal government for the continued cost of managing the fuel. The recovered costs are paid out from the Treasury Department’s Judgement Fund and not from the DOE.

According to the audit, conducted by the independent public accounting firm of KPMG, the liability estimate “reflects a range of possible scenarios” regarding the operating life of the current fleet of nuclear power reactors. The estimate is also based on when the DOE thinks it may begin taking spent fuel. In May, the DOE received initial approval (Critical Decision-0) for a consolidated interim storage facility for spent fuel that, if constructed, would be operational by 2046.

The Department of Energy Nuclear Waste Fund’s Fiscal Year 2024 Financial Statement Audit was released by the DOE Office of Inspector General on November 14.

The fund: The NWF, which was intended to finance the DOE’s disposal of spent fuel, had a balance of $52.2 billion as of September, according to the KPMG audit.

The NWF was funded through annual fees—initially, $0.001 for every kilowatt hour provided by a nuclear power plant—levied by the DOE on owners and generators of spent fuel. The DOE stopped collecting annual NWF fees, however, in 2014 following an order by the U.S. Court of Appeals for the District of Columbia Circuit, which found that the DOE failed to justify the continued imposition of the fee following the suspension of the Yucca Mountain repository project.

January 14, 2025 - Posted by Christina Macpherson | USA, wastes