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Cameco Agrees to New Deal With Ukraine’s Nuclear Energy Utility

Feb. 8, 2023 , By Stephen Nakrosis https://www.marketwatch.com/story/cameco-agrees-to-new-deal-with-ukraine-s-nuclear-energy-utility-271675897372

Cameco Corp. said it agreed to terms with SE NNEGC Energoatom, the Ukrainian state-owned nuclear energy utility, to provide natural uranium hexafluoride, or UF(6), through 2035.

“Key commercial terms, such as pricing mechanism, volume and tenor, have been agreed to, but the contract is subject to finalization, which is anticipated in the first quarter of 2023,” Cameco said.

The deal, which runs from 2024 to 2035, will see all deliveries in the form of UF(6). “The contract will contain a required degree of flexibility, given present circumstances in Ukraine,” Cameco said.

The agreement will see Cameco supply 100% of Energoatom’s UF(6) requirements for the nine nuclear reactors at the Rivne, Khmelnytskyy and South Ukraine nuclear power plants. The deal also has an option for Cameco to supply six reactors at the Zaporizhzhya nuclear power plant, which is currently under Russian control, should it return to Energoatom’s operation, the companies said.

February 9, 2023 Posted by | marketing, Ukraine, USA | Leave a comment

Poland might have tax-payer fund its ambitious nuclear plans, -and hope that investors might come in later.

Poland / Could ‘SaHo Model’ Be Way Forward For Financing Warsaw’s Ambitious Nuclear Plans?

NUCNET, By Patrycja Rapacka, David Dalton, 6 February 2023

Proposed scheme could solve problems in nuclear sector related to high risk and high costs of capital.

Poland is showing interest in a “new and innovative” nuclear financing model in which the state assumes the role of investor in the first stages of investment but gradually sells shares in the nuclear company to final investors who are entitled to use electricity for own consumption produced by reactors at cost…… (subscribers only) more https://www.nucnet.org/news/could-saho-model-be-way-forward-for-financing-warsaw-s-ambitious-nuclear-plans-2-1-2023

February 6, 2023 Posted by | business and costs, EUROPE, politics | Leave a comment

US announces first transfer of seized Russian assets to Kiev

 https://www.rt.com/business/570949-us-russia-assets-ukraine/ 6 Feb 23 Money confiscated from a Russian businessman will be made available to ‘support the people of Ukraine’

US Attorney General Merrick Garland announced on Friday the first transfer of assets, confiscated as part of anti-Russia sanctions, to Ukraine to pay for the country’s reconstruction.

The measure affects $5.4 million expropriated from Russian businessman Konstantin Malofeyev on charges of sanctions evasion, according to the top official.

“With my authorization today, forfeited funds will next be transferred to the State Department to support the people of Ukraine,” Garland said, adding that the funds were confiscated following an indictment against Malofeyev, issued last April.

Earlier this week, a federal court in New York allowed prosecutors to confiscate $5.4 million belonging to Malofeyev, paving the way for the funds to be used to help rebuild Ukraine.

In June, millions were seized from a US bank account belonging to Malofeyev, against whom the US Treasury Department announced sanctions in April “for having acted or purported to act for or on behalf of, directly or indirectly” the Russian government.

The businessman, who owns Russian Orthodox Christian channel Tsargrad TV, has been on the US sanctions list since 2014. Malofeyev previously claimed that he had no holdings in the West since then.

In December, US President Joe Biden signed legislation allowing the Department of Justice to transfer some forfeited assets to the State Department to aid Ukraine. US law restricts how the government can use such assets.

February 6, 2023 Posted by | business and costs, Ukraine | Leave a comment

Death and Japan’s nuclear shelter salesman

Khrushchev once speculated that the survivors of the apocalypse would envy the dead. I agree.

LEO LEWIS,  https://www.ft.com/content/5dbd0e08-5eec-4486-a1ba-fe1948d11159— 5 Feb 23

The “doomsday clock” maintained since 1947 by the Bulletin of Atomic Scientists is many things. An index of our gossamer proximity to annihilation; a metaphor for the human paradox of progress and regression; a near-drained reservoir of hope that the gods will spare us from ourselves. And, of course, a superb marketing tool for any half-decent nuclear shelter salesman.

The Bulletin’s January 24 decision to move the hands of its doomsday clock closer to midnight (signifying global catastrophe) than they have ever been before should, logically, give the bunker business a recession-defying sales spike. The collective shrug it will actually get is more profoundly alarming.

For Hiroki Nakajima, the marketing director of shelter-maker World Net International (WNI), these are comparatively good times. North Korean ballistic missile tests and China’s rising military power, he says, have driven Japanese shelter sales significantly higher than in the past. The fear factor soared after Vladimir Putin invaded Ukraine and started issuing explicit nuclear threats. WNI historically used to sell only a couple of $80,000 premium shelters a year; in 2022 that shot up to a still modest 25 — hardly a nation gripped with fear.

Nakajima, whose best customers are the very wealthy and very nervous, says he will consider listing the company on the Tokyo Stock Exchange “as society’s needs require”. He delivers his nuclear shelter sales pitch from a medium-sized warehouse with models arranged by size, blast resilience and interior decor. I am shown into one with eggshell blue padded walls and, optimistically given the post-Armageddon broadcasting constraints, a wall-mounted TV.

We are in the smallish seaside town of Yaizu, a pretty fishing port that looks back on to a snow-capped Mount Fuji and whose placidness contrasts effectively with the mental picture of the horrors that would make a shelter purchase value for money. Nakajima’s marketing strategy includes judicious repetition of the phrase “your whole family will die” wherever appropriate; mostly as the certain outcome of any attempt at self-preservation other than buying a WNI shelter.

As efforts to induce apocalyptic terror go, it is valiant stuff. But he is talking to someone who grew up in Britain in the 1980s: someone who has had his wits scared out of him by far, far more proficient fearmongers. Set against (among others) Threads, The War Game, When the Wind Blows and the Protect and Survive public information films, Japanese shelter marketing feels almost upbeat. As Cold War children we hummed pop songs that were more chillingly referential to nuclear obliteration than the WNI website. And that was when the Doomsday clock was set further from midnight than it is now.

But Nakajima is not without support in his bid to set out the risks. Last month, the Japanese government began considering for the first time what a shelter subsidy scheme might look like, suggesting that its assessment of the nuclear threat has advanced from the general to the specific. Should such a subsidy emerge, says Nakajima, sales could be 100 times what they are now.

I sit for some time in WNI’s cramped showcase shelter, imagining the circumstances that might bring me to this bunker if I ever owned one: the mass extinction beyond its sturdily engineered walls, the irradiated cinders of civilisation blown against its air filter intake, the endless weeks cocooned with whichever loved ones made it in time, mourning those who did not. Nikita Khrushchev once speculated that the survivors of such a war would envy the dead. I agreed, and Nakajima quietly lost a customer.

The faint feeling of absurdity in WNI’s showroom points, obliquely, to a problem with the doomsday clock. Arguably the most potent symbol of humanity’s collective need to change tack, the clock is now set at just 90 seconds to midnight but seems to have lost its capacity to terrify at a time when we should be more terrified than ever before.

For while the clock is most closely associated in the public mind with the threat of nuclear war, it has long been a broader metric of imperilment from all human-made global disaster — a spectrum of risk ranging from climate change, and the denial of it, to microscopic autonomous robots.

The trouble with the clock is that, where once it was a paramount siren, it is now merely one of many alarms telling us that we are doomed. Under cover of that surfeit of fear, the clock has now gone pretty much as far as it can without being right. That is something none of us — even those with the best shelter $80,000 will buy — can afford to see proved.

February 6, 2023 Posted by | Japan, marketing | Leave a comment

Nuclear too expensive and not needed — Beyond Nuclear International

Detailed research shows mistake in pursuing nuclear power

Nuclear too expensive and not needed — Beyond Nuclear International

Energy scientists show obsolescence of nuclear power in an all-renewable future

From Claverton Energy Group

Sizewell C is much more expensive and slower to build than proven and reliable alternative low carbon solutions says an energy think tank that examined nuclear projects in the United Kingdom. Even the unfinished twin reactors at Hinkley C can’t compete with renewables.

Baseload generators such as nuclear power plants are not needed in an all-renewable future and their use will almost certainly increase overall costs to consumers says an elite Claverton Energy Group of experts. Professor Mark Barrett, from University College London (UCL), who has modeled the comparative costs of nuclear and renewable power, using hour-by-hour wind and solar data with 35 years of weather data,  said:

“Nuclear power is more expensive and slower to build than renewables, particularly offshore wind. 7 GW of wind will generate about 40% more electricity than Hinkley at about 30-50% of the cost per kWh and will be built in half the time. Neither wind nor nuclear plants operate all the time, so both will need backup. Modeling shows the total cost of renewable generation to be less than nuclear and to be just as able to provide continuous power even with wind and solar droughts.”   

This detailed modeling of the entire heat, power and transport system in the UK, has been carried out by a number of top-flight university researchers and shows that:

Continue reading

February 6, 2023 Posted by | business and costs, UK | Leave a comment

China marketing nuclear reactors to Pakistan

 Pakistani Prime Minister Shehbaz Sharif has inaugurated the third unit of
the Karachi Nuclear Power Plant (KANUPP), which has 1.1GW of power
generating capacity. Built with an investment of $2.7bn, the K-3 nuclear
unit is expected to ease Pakistan’s ongoing energy crisis, according to
Bloomberg.

It is the second Chinese-designed Hualong One reactor to be
deployed at KANUPP, having been built with the Chinese Government’s
assistance under the China-Pakistan Economic Corridor (CPEC) initiative. At
the inauguration ceremony, Prime Minister Sharif said Pakistan ‘badly
needs’ clean and cheap sources of energy, be they nuclear, hydropower or
other renewables.

 Power Technology 3rd Feb 2023

https://www.power-technology.com/news/pakistan-karachi-nuclear-power-plant/

February 6, 2023 Posted by | China, marketing, Pakistan | Leave a comment

South Korea to sell 40 trilion won ($32.55 billion) nuclear power plant to Turkey.

 South Korea has conveyed its preliminary proposal to Turkiye for
constructing a major nuclear power plant in Turkiye, local Turkish media
reports. According to the report, Korea Electric Power Corp. (KEPCO)
presented the proposal regarding the construction of four reactors capable
of providing 1,400 megawatts (MW) of electricity in the northern province
of Sinop. The project is forecast to be worth about 40 trillion won ($32.55
billion).

 Middle East Monitor 2nd Feb 2023

February 6, 2023 Posted by | marketing, South Korea | Leave a comment

Ukraine planning for two $5 billion Westinghouse AP 1000 reactors, part of USA marketing a fleet of new nuclear reactors to Ukraine!

 Ukraine’s Cabinet of Ministers has greenlighted the preliminary phases
of building two $5 billion Westinghouse AP 1000 reactors at the Kmelnitsky
nuclear power plant once the Russian invasion ends, the embattled
country’s energy officials have said, according to World Nuclear News.

The cabinet-level approval builds on the deal Kyiv and Westinghouse signed
in June that outlined plans for the US-based nuclear corporation to
construct a total of nine new reactors in Ukraine, as well as supply all
nuclear fuel burned in the country’s 15 Soviet-built reactors.

 Bellona 3rd Feb 2023

Ukraine greenlights first steps on new nuclear reactor builds

February 6, 2023 Posted by | marketing, Ukraine | Leave a comment

Top UK pension funds refuse to invest in Sizewell C nuclear plan, despite government enticements.

Whatever the funding model, Sizewell C is highly controversial. It carries multiple risks, of time and cost overruns, reputation and technical problems.

‘If the Government is forced to peddle it to foreign investors, it will make its justification in terms of ‘energy sovereignty’ even more of a joke.’

‘If the Government is forced to peddle it to foreign investors, it will make its justification in terms of ‘energy sovereignty’ even more of a joke.’

Blow to Government’s infrastructure drive as two top UK pension funds snub Sizewell C nuclear plant plan

By FRANCESCA WASHTELL FOR THE DAILY MAIL, 1 February 2023

Efforts to attract investment in British infrastructure were hit after two of the UK’s biggest pension funds turned their backs on Sizewell C.

Ministers are tearing up old EU red tape that Chancellor Jeremy Hunt says will unlock £100billion in possible funding for major projects.

The most important of these is the £20billion Sizewell C nuclear power plant in Suffolk, which is being developed by the Government and EDF but will need billions of private funding.

The Government has spent years trying to woo pension groups and institutional investors by introducing a new funding model that allows them to receive dividends during the construction process.

It is expected to go a step further by classifying nuclear as a green energy source in an upcoming eco-friendly financing strategy, which would make it easier for companies to win support to invest in power plants.

But an industry source said Sizewell C would still not be an appropriate investment for ‘typical big-name UK pension schemes’, as they see the risk of cost over-runs and delays being too high. 

So far, other potential backers such as Nest and Legal & General have said they do not intend to fund the project.

But British Gas owner Centrica is thought to be considering taking a stake, while FTSE 100 savings and retirement firm Phoenix Group has said it is keen to back nuclear.

The source added that funding was more likely to come from North America and the Middle East, with Emirati sovereign wealth fund Mubadala already said to be in the mix.

Alison Downes, the head of campaign group Stop Sizewell C, said: ‘Whatever the funding model, Sizewell C is highly controversial. It carries multiple risks, of time and cost overruns, reputation and technical problems.

‘If the Government is forced to peddle it to foreign investors, it will make its justification in terms of ‘energy sovereignty’ even more of a joke.’

February 1, 2023 Posted by | business and costs, UK | Leave a comment

The Unwarranted Ukraine Proxy War: A Year Later

US Big Defence will be the only winner of the proxy war in Ukraine. Not only do these global military contractors arm Ukraine, but they stand to benefit from the re-militarisation of Western European countries, Japan, and new NATO members.

In the view of Big Defence, peace is just a bad business proposition. There’s no money in it.

  

The World Financial Review, By Dr Dan Steinbock, 27 Jan 23

To Russia and Ukraine, the crisis is an existential issue. To the US and NATO, it’s a regime-change game. To Europe, it means the demise of stability – in the world economy, lost years (and that’s the benign scenario).

That’s how I characterised the US/NATO-led proxy war against Russia in Ukraine back in early March 2022. I argued that it was an “avoidable war that will penalise severely Ukraine, Russia, the US and the NATO, Europe, developing countries and the global economy”.[1]

At the time, the prediction was seen as contrarian. But it has prevailed. However, on January 25 the Ukraine proxy war entered a new, still more dangerous phase. The commitment of some 70 US, German, UK and Polish battle tanks herald lethal escalation, although hundreds more are needed to defeat Russia. For the first time since World War II, German tanks will be sent to the “Eastern front.” In Moscow, it will foster those voices who see the stakes of the war as existential.

Not only will economic and human costs climb even further, but strategic risks, including the potential of nuclear confrontation, will soar. With such escalation in high-tech arms sales to Ukraine, regional and military spillovers are no longer a matter of principle, but a matter of time.

Russia’s economic resilience

In early 2022, Western observers, with rare exceptions, predicted that the Russian economy would default within months as a net effect of sanctions. “Putin’s war” was doomed, they said. Obviously, the sanctions, which have been fuelled by might and economic coercion, have not been inconsequential. But nor were they new.

Already in February 2014, following the Russian annexation of Crimea, international sanctions were imposed against Russia and Crimea by the US, Canada, the EU, and the international organisations they dominate. While the West’s sanctions contributed to the fall of the Russian ruble, they also caused significant economic damage to the EU economy, with total losses at €100 billion in 2015. By mid-2016, Russia had lost an estimated $170 billion due to financial sanctions and another $400 billion in revenues from oil and gas.[2]………………………….

In fact, the Russian economy plunged 3.5 per cent in 2022, whereas inflation amounted to 5.4 per cent. In other words, Western institutions dramatically overestimated the GDP impact. Discrepancies of such magnitude are hard to explain away as simple prediction errors (figure 1 on original).

Proxy war united Russia            

Officially, the invasion of Ukraine began as Russia’s “special military operation”. Unofficially, it soon morphed into a US/NATO-led proxy war against Russia in Ukraine. The true political objective of this war has been regime change. Hence the goal “to weaken Russia”, as Secretary of Defence Lloyd Austin acknowledged later. Hence, too, the international media predictions that the Russian economy would “inevitably” default and Putin be overthrown……………………

Today, in the view of ordinary Russians, Russia’s invasion of Ukraine is a defensive response to NATO’s offensive eastward enlargement. They see their country fighting for survival. That’s why the war caused Putin’s ratings to soar to the low 80s. That’s also why over 60 to 70 per cent of Russians support their government and believe the country is on the right track, despite extraordinary hardships. ……………………………………..

Amid this collapse of trust in the US and the EU, it certainly did not help that the Minsk peace process proved to be another Western ruse. Last December, German ex-Chancellor Angela Merkel disclosed in the Zeit newspaper that “the 2014 Minsk agreement was an attempt to give time to Ukraine.” That is, to make Ukraine stronger and for NATO to increase its support to the country in the face of Russia.[4]……………………

In the view of ordinary Russians, there is now a long continuum of betrayals from the pledge that NATO would never expand eastward in the early 1990s to Minsk today. In their view, the West’s recent arms escalation only confirms their worst suspicions.

Contradictory realities

Right before Christmas, President Volodymyr Zelenskyy delivered an emotional wartime appeal to a joint meeting of US Congress, pleading for more military assistance from the lawmakers, who were about to approve $45 billion in additional aid. It was necessary for “eventual victory”.[6]

Yet, there was a huge disconnect between the triumphant declaration and the realities. Earlier in the month, European Commission President Ursula von der Leyen had acknowledged that Ukraine’s losses in the war amounted to 100,000 soldiers and 20,000 civilians, though her tweet was quickly deleted and a new one was released without the true death count (figure 3 on original).[7

Behind the choreographed photo ops and bold sound bites, devastation had been expansive, progressive, and relentless…………..

 In September 2022, a month before the Russian winter offensive, a World Bank report estimated that Russia’s invasion had caused over $97 billion in direct damage to Ukraine and it could cost $350 billion to rebuild the country. Worse, Ukraine had also suffered $252 billion in losses through disruptions to its economic flows and production, as well as extra expenses linked to the war.[8] (The report was quiet about the economic and human costs on the Russian side.)

In other words, what Zelenskyy asked in the Congress was less than one-tenth of what is actually needed to rebuild Ukraine.

Ukrainian nightmare

In effect, even as the international media was touting the mirage of Ukraine’s military triumph, the country’s real GDP declined over 35 per cent on an annual basis in the third quarter of 2022; that is, before Russia’s massive infrastructure attack.

Starting on 10 October, Russia’s waves of missile and drone attacks opened a new phase of the war.

The direct physical damage to infrastructure soared to $127 billion already in September; that’s over 60 per cent of Ukraine’s pre-war GDP. The impact on the productive capacity of key sectors, due to damage or occupation, is substantial and long-lasting.[9]

The population share with income below the national poverty line in Ukraine may more than triple, reaching nearly 60 per cent in 2022. Poverty will increase from 5.5 per cent in 2021 to 25 per cent in 2022, with major downside risks if the war and energy security situations worsen.[10] As casualties continue to mount, over a third of the population has been displaced and over half of all Ukrainian children have been forced to leave their homes. The nine months of war have caused massive population displacement. As of October 2022, the number of Ukrainian refugees recorded in Europe was over 7.8 million, and the number of internally displaced people was 6.5 million (figure 4 on original).[11]

As former Pentagon adviser Col. (ret.) Douglas Macgregor has argued, “Washington’s refusal to acknowledge Russia’s legitimate security interests in Ukraine and negotiate an end to this war is the path to protracted conflict and human suffering.”[12]

As former Pentagon adviser Col. (ret.) Douglas Macgregor has argued, “Washington’s refusal to acknowledge Russia’s legitimate security interests in Ukraine and negotiate an end to this war is the path to protracted conflict and human suffering.”[12]

West’s tough 2022 and darker 2023

Currently, the risk of recession casts a dark shadow over the US economy, ……………………………………………..

US and international war funding

In the proxy war, economic and humanitarian aid to Ukraine has been abundant………………………..

Internationally, the US provides the bulk of total aid to Ukraine (62 per cent). Aid from non-US sources amounts to $41.4 billion. The international total of more than $110 billion accounts for more than half of Ukraine’s pre-war GDP ($200 billion).[17] Effectively, these funding arrangements aim to sustain the hostilities and destruction not just in 2023, but at least until the late 2020s.[18] A scenario the West’s recent arms sales escalation could reinforce.

Ailing and indebted, the West cannot afford the proxy war in Ukraine. Hence, the frantic debt-taking. In the Eurozone, government debt to GDP remains close to 100 per cent. Ironically, that’s 40 percentage points higher than the region’s own debt limit. In the UK, the figure has doubled since 2008 to almost 100 per cent. In Japan, it is the worst among all high-income economies – close to 265 per cent, thanks to over two decades of secular stagnation. In the US, the debt ratio has also doubled and is inching toward 140 per cent. (That’s over 20 percentage points higher than that of Italy amid Rome’s 2010 debt crisis.) The rising debt as a percentage of the GDP will slow economic growth, push up interest payments to foreign holders of US debt, and heighten the risk of a fiscal crisis. The periodic debt-limit debacle in the US is just a minor political sideshow to the West’s future debt crisis, which will leave no economy, not even the major ones, unscathed (figure 5 on original).

The post-9/11 wars: the Big Defence bonanza

Ukraine is “absolutely a weapons lab in every sense because none of this equipment has ever actually been used in a war between two industrially developed nations,” said one source familiar with Western intelligence to CNN. “This is real-world battle testing.” Or as Zelenskyy put it more recently, arming Ukraine is a “‘big business opportunity,” as evidenced by his government’s new ties with Blackrock, Goldman Sachs and JP Morgan. In December 2022, he revealed that Ukraine had hired Blackrock to “advice” Kyiv on how to use the West’s reconstruction funds, which he then estimated would have to increase at least to $1 trillion.[19]

As I predicted in March 2022, US Big Defence will be the only winner of the proxy war in Ukraine. Not only do these global military contractors arm Ukraine, but they stand to benefit from the re-militarisation of Western European countries, Japan, and new NATO members. Washington has a great economic interest in such geopolitics. Brussels’ incentives are harder to fathom, especially as the euro area will pay a hefty premium on energy and food, which will also benefit Washington…………………………..

Military Keynesianism to rescue

From the economic standpoint, these military expenditures, including US Ukrainian aid, should be seen as massive, recurrent, multi-year bastard Keynesianism. That is, as a series of military stimulus packages to prop up the American economy (not Ukraine’s). Unlike Keynesian stimuli that can have an accelerator effect in the civilian economy, these packages benefit mainly the Pentagon and Big Defence; that is, the military industrial complex and its revolving-door elites.

Take, for instance, President Biden, Secretary of State Antony Blinken, National Security advisor Jake Sullivan and Blinken’s right-hand, Victoria Nuland. All four were key actors already in the 2014 Ukraine crisis. In one way or another, all are also linked with the Center for a New National Security (CNAS) and its consulting arm WestExec Advisors, which in turn is funded particularly by Big Defence. The same goes for Secretary of Defence Lloyd Austin, a veteran of the US Army and ex-board member of Raytheon, one of the largest defence giants and a big beneficiary of the Ukraine devastation.[22]

what’s good for Big Defence is not necessarily good for either the American people or the global economy. It aggravates income polarisation in America and between the high-income West and the developing Global South, while escalating geopolitical risks worldwide…………………………………

Plunging global growth

Unsurprisingly, global growth is now expected to decelerate sharply to 1.7 per cent in 2023…………………………

The unwarranted war

A year ago, I characterised the Ukraine conflict as an “unwarranted war” because it was avoidable. As declassified files show, a series of security assurances were given to Mikhail Gorbachev and other Soviet leaders against NATO’s eastward expansion at the turn of the 1990s, starting with President George H.W. Bush, followed by a cascade of assurances by German, French, British, and NATO leaders. The betrayal of these pledges was widely condemned already in 1997 by 50 US foreign policy authorities, including the leading Cold War hawks, in an open letter to President Clinton. What has ensued is three decades of NATO eastward expansion, which has made the world poorer and less secure, just as these US experts predicted over 25 years ago.[28]

If in 2022 the proxy war’s costs were disastrous in the West and Russia, 2023 will be worse…………………………….

  • The year 2022 turned the Ukrainians’ dream of peace and development to ashes, as over a third of their economy disappeared, perhaps a quarter of the population fled and a generation of young men was sacrificed for the West’s geopolitics. What’s ahead in 2023 will be worse. Reconstruction will require a lot more than $1 trillion, according to Zelenskyy. That’s over five times Ukraine’s pre-war GDP.
  • US Big Defence is the big winner of 2022 and, thanks to the military aid arrangements, could reap war profits well into the late 2020s. By then, new big “weapons labs” will be needed elsewhere – North Korea, Taiwan, Iran, perhaps even China, where there’s a will, there’s a way – to ensure new wars that will generate adequate returns.

…………………………………….. In the view of Big Defence, peace is just a bad business proposition. There’s no money in it.

………………………………….. Even in April 2022, after a month of hostilities, Russia and Ukraine tentatively agreed to end the war. Yet, that decision was undermined by former British Prime Minister Boris Johnson. His carefully timed Ukraine visit was designed to stop the talks, which were not acceptable to the US and its allies.[30] Today, in Pentagon, Defense Secretary Lloyd Austin sees the escalation as “a window of opportunity here, between now and the spring.”[31]

Only a year ago, Ukraine, under Zelenskyy’s leadership, was still positioned to play a constructive role as a bridge between Eastern and Western Europe, thanks to its vital position in China’s Bridge and Belt Initiative. Had that future prevailed, Ukraine might today be peaceful. Its GDP would be a third bigger. As a neutral country, its trading relationships would have thrived and it would have attracted investment from Russia and both Western and Eastern Europe. Young men would have good jobs. And Ukrainian refugees would be returning for new opportunities at home. When old sectarian conflicts dissipate, escaping abroad is no longer a necessity and even little children sleep their nights rather than being haunted by nightmares, overshadowed by post-traumatic stress.

Today, all those dreams, too, are in ashes. The proxy war is aimed against Russia. The Ukrainians’ role is to die in it. The puppet masters are the primary beneficiaries.

January 31, 2023 Posted by | business and costs, Canada, Ukraine, weapons and war | 2 Comments

French nuclear availability reduced by 1.1 GW as strike gets under way– EDF

https://www.nasdaq.com/articles/french-nuclear-availability-reduced-by-1.1-gw-as-strike-gets-under-way-edfForrest Crellin for Reuters  30 jan 23

PARIS, Jan 30 (Reuters) – French nuclear power availability has been reduced by 1.1 gigawatts as production at four reactors lowered, the outage table of state-controlled nuclear group EDF showed on Monday as a strike over pension reforms got under way.

January 31, 2023 Posted by | employment, France | Leave a comment

As SMR developer X-energy moves to go public, merger partner Ares cautions investors about risks

Utility Dive Stephen Singer, Editor, Jan. 27, 2023

Dive Brief:

  • The partner in a merger with a small modular nuclear reactor developer going public has cautioned investors that changing markets and a “limited operating history” may ultimately be unfavorable to the business.

  • Ares Acquisition Corp., a special purpose acquisition company, warned in an S-4 filing with the U.S. Securities and Exchange Commission Wednesday of “limited operating experience for reactors of this type, configuration and scale” that could lead to higher than expected construction costs, maintenance requirements, operating expenses or changes in the timing of delivery. X Energy Reactor Co. announced the merger in December.
  • The market for SMRs generating electric power and high-temperature heat is not yet established and “may not achieve the growth potential we expect or may grow more slowly than expected,” Ares said. It’s backed by private equity firm Ares Management Corp.

Dive Insight:

The S-4 filing, which provides a preliminary proxy statement and spells out details of the renamed X-Energy business and market risks, provides boilerplate cautions to investors who require transparency and discussion of as many potential risks as possible. It highlights challenges in a still-emerging industry. The U.S. Nuclear Regulatory Commission on Jan. 19 certified NuScale Power’s SMR design, the first of its type to win federal approval………………………………

Ares said the market for SMRs, and particularly for SMRs using advanced nuclear technologies such as those employed in the Xe-100 — an 80 MWe reactor that can be scaled into a ‘four-pack’ 320 MWe power plant — has not yet been established. SMRs using advanced nuclear technologies have not been proven at scale, it said……………………..

Ares also warned that it may not attract customers for its SMR technology — a “relatively new and unproven technology” — as quickly as it expects, “or at all,” and acquiring customers may be more expensive than it currently anticipates.

In addition, Ares said the time and funding needed to bring X-energy’s nuclear fuel, TRISO-X, to market at scale may “greatly exceed” expectations………………….

Critics of SMRs have raised issues nearly identical to what Ares cited, calling out the reactors over the projected cost and time needed for siting and other approvals.

“Small modular reactors may be viable one day, but they are not today, will not be tomorrow and may never make as much economic sense as renewable sources of electricity,” the Institute for Energy Economics and Financial Analysis says. “We should stick to carbon-free energy sources that make financial and environmental sense.”………. more https://www.utilitydive.com/news/ares-acquisition-x-energy-smr-sec-investor-warning/641337/

January 29, 2023 Posted by | business and costs, Small Modular Nuclear Reactors, USA | Leave a comment

Rolls Royce wants to make sure that the tax-payer cops the cost of their small nuclear reactor folly

Rolls-Royce calls on government for more clarity on nuclear.  https://www.energylivenews.com/2023/01/26/rolls-royce-calls-on-government-for-more-clarity-on-nuclear/

Executives of the engineering giant have cited Britishvolt as an example of a company which committed to a factory without having orders.

Dimitris Mavrokefalidis

Rolls-Royce has urged the government to provide more clear vision of its target to roll out 24GW of nuclear power generation by 2050.

During a session at the House of Commons Welsh Affairs Committee, asked when Rolls-Royce will start the process of building its first Small Modular Reactor factory, Alastair Evans, Director of Corporate and Government Affairs at Rolls-Royce SMR, said: “If you look at the Britishvolt example, that is an example of a company that committed to a factory without orders. We don’t have clarity on orders in the UK.

“So, as soon as we have that clarity that the UK Government wants to deploy Rolls-Royce SMRs, we will be able to get the first factory moving, but our shareholders need that clarity. Britishvolt is a very good example of where you try and run a business and build a factory and get things moving without that certainty, orders and customers.”

A few days ago, company representatives visited the first four sites which have the potential to host 15GW of new nuclear power capacity.

Mr Evans confirmed that once Rolls-Royce receives the green light from the government, then the whole process around the development of its first SMR facility will accelerate.

He said: “That was the purpose of doing our planning processes, getting the selection of our heavy pressure vessel sites – we’ve got 600 people in the Rolls-Royce SMR business today. So we are set up to deliver at pace. We are 600 UK-based workers looking at manufacturing, assembly, lead skills, and module concept. We are ready to go.” 

January 28, 2023 Posted by | business and costs, politics, Small Modular Nuclear Reactors, UK | Leave a comment

As the war rages on and military spending booms, the US arms industry is a big winner in Ukraine

ABC News, By Annika Burgess  21 Jan 23

As the war in Ukraine heads towards the one-year mark, so far there has been only one clear winner — the US arms industry. 

There is no way Ukraine would have been able to hold out against Russia without American weapons.

But as the conflict rages on, there have been accusations from some EU officials that the US is profiting from the war through weapons sales and gas prices. 

Meanwhile, analysts have warned of excessive spending and the US military-industrial complex (MIC) expanding beyond what is needed in response to Ukraine. 

Defence budgets are also booming worldwide as countries replenish stocks sent to Ukraine and try to boost military capabilities in the face of mounting security threats.

Ultimately, the US defence contractors are set for a bonanza.  ……..

What are the issues with the MIC?

The military-industrial complex is a term coined during the Cold War to describe the relationship between a government and defence industry contractors that lobby for increased military spending.

A country’s MIC has the potential to exert influence over government policy, especially if there are legislators who can benefit from the partnerships.

In the US, there is a wider vested interest in keeping the industry thriving, especially for local economies that are highly dependant on defence contractors for jobs. 

Charles Miller, senior lecturer at the ANU’s school of politics and international relations, said about 800,000 jobs are directly tied to the sector.

“The local economy is highly dependent on defence contractors for its economic wellbeing,” Mr Miller told the ABC.

“And that’s not the Raytheons or the Boeings themselves, but what’s called the secondary contractors — that is, the people and the companies that make a living by servicing them.”

Former US president Dwight Eisenhower warned of the rise of the MIC and its threat to democracy in his 1961 farewell address.

“He viewed it as a huge problem,” Bill Hartung, a defence analyst at the US Quincy Institute for Responsible Statecraft, told the ABC.

“Although, he did say in the Cold War-era large military sales were necessary, but the question was how to control it, and what democratic guardrails could be put in place.”

Today, there doesn’t seem to be the same level of concern.

The MIC was already a “powerful force”, and in response to Ukraine the US has stripped away many safeguards to protect against waste and price gouging, Mr Hartung said.

He added that a lot of changes being discussed will last far beyond the war in Ukraine.

“The United States is kind of seizing this moment to try to get out a bunch of things that have been on their wish list for years, like committing to multi-year procurement of weapons,” Mr Hartung said.

“All of which will probably make it easier for those companies to rip off the government, because there will be less negotiation over prices and the inclination to just push things out the door.”………………………………….

Who are the biggest winners? 

Since Russia’s full-scale invasion in February 2022, the US and its NATO allies have been throwing tens of billions of dollars worth of military aid Ukraine’s way.

The United States alone sent around $US21.3 billion ($30 billion) in security assistance to Kyiv last year.

Contracts have been rolled out thick and fast to speed up weapons production and fill supply gaps.

And there are a small number of companies in the highly consolidated industry that are reaping the rewards.

Lockheed Martin, Raytheon, Boeing and Northrop Grumman — all from the US — are among the top contractors.

They also produce some of the most in-demand and expensive weapons being sent to Ukraine.


The conflict has sent their stocks surging, with the share price of Northrop Grumman increasing 40 per cent by the end of 2022, while Lockheed Martin’s was up by 37 per cent.

In October, the Pentagon announced $US1.2 billion in contracts were underway to replenish US military stocks for weapons sent to the battlefield.

Production for Lockheed Martin’s popular Javelin anti-tank missiles — dubbed “Saint Javelin”, the protector of Ukraine — increased from 2,100 to nearly 4,000 per year.

While production for its High Mobility Artillery Rocket Systems (HIMARS) shot up from 60 to 96 units a year. 

The US upped the ante further in November, awarding Raytheon — which also co-produces Javelins — a $US1.2 billion contract for another six National Advanced Surface-to-Air Missile Systems (NASAMS) for Ukraine.

Soon after, Lockheed Martin won a $US7.8 billion contract modification for F-35 aircraft, and $US431 million to deliver new HIMARS and support services for the US Army and its foreign allies.

Australia this month also announced it was purchasing 20 HIMARS and associated hardware for $558 million.

Global defence spending boom

Last month, the US Senate passed a funding bill that included a record $US858 billion in annual defence spending — up from $US740 billion the previous year.

It was $US45 billion more than what was proposed by President Joe Biden.

The bill includes funding for Taiwan and Ukraine, allowing the Pentagon to buy massive amounts of high-priority munitions using multi-year contracts — both to help Kyiv fight Russia and to refill US stockpiles.

“It’s surprising how much it has gone up,” Mr Hartung said.

Hanna Homestead, a policy associate from the Center for International Policy (CIP) — a US-based group monitoring military spending and weapons — said contractors were already receiving a staggering amount.

“In 2020, Lockheed Martin got more money through federal contracts than the Department of State and USAID combined,” she told the ABC.

Allies like Japan have also announced historic surges in defence spending.

Last month, Prime Minister Fumio Kishida said he was boosting Japan’s 2023 defence budget by 20 per cent in the face of regional security concerns and threats posed by China and North Korea.

It includes around 250 billion yen ($3.16 billion) to buy Lockheed Martin fighter jets. 

Japan’s major military reform plan will see it double defence spending to 2 per cent of GDP by 2027, using a spending target that follows the NATO standard.

Meanwhile, some NATO countries are pushing for a greater defence commitment in response to the Ukraine conflict, saying the benchmark of 2 per cent of GDP should be the bare minimum.

‘That’s just the way it is’

Many believe the US arms industry doesn’t have a great reputation.

“They continue to arm repressive regimes like Saudi Arabia, Egypt, the Philippines and Algeria that have horrific human rights records and have engaged in destabilising activities,” Mr Hartung said. 

He also accused companies of “pure profiteering” when it came to Ukraine, saying they are buying back their own share market stocks to boost the prices at a time when they claim they need more money.

“[This] has nothing to do with making anyone safer,” Mr Hartung said. 

“In general, the chaos of war makes profiteering easier. 

The European Union’s chief diplomat Josep Borrell has accused the US of profiting from high gas prices, weapons and trade while its allies suffer.

However, Ms Homestead said it was still a small amount of companies getting the bulk of the benefits, which doesn’t necessarily trickle down. 

“It’s really the private companies that are profiting, I wouldn’t say the US government is profiting,” she said. ………………………………………….  https://www.abc.net.au/news/2023-01-21/us-arms-industry-military-spending-profits-ukraine-war-russia/101843752

January 24, 2023 Posted by | business and costs, Reference, USA, weapons and war | Leave a comment

David Schlissel: Small modular reactor project likely to end badly for Utah utilities

NuScale plan shows no promise of being better than solar and wind.

 https://www.sltrib.com/opinion/commentary/2023/01/19/david-schlissel-small-modular/ By David Schlissel The Tribune, Jan. 20, 2023,

Solar and wind power, augmented by battery storage, are becoming less expensive. Hydropower and geothermal energy already are providing substantial amounts of power in many parts of the country. Cost-effective, proven technologies exist and can speed the transition to a carbon-free economy.

Small modular reactors (SMRs) designed by NuScale are not among them.

More than two dozen of the 48 Utah Associated Municipal Power Systems (UAMPS) members have signed on to buy power from the NuScale SMR when the project is planned to come online in 2029. But a history of the project — and of nuclear energy projects in general — suggests the project is likely to end badly for utilities and worse for ratepayers.

UAMPS announced earlier this month that the cost per megawatt-hour (MWh), a unit of measurement roughly equivalent to the electricity used by the average U.S. home for a little more than a month, has risen from $58/MWh to $89/MWh, a 53% increase. Plus, the cost of power from the project would be much higher than $89/MWh without more than $4 billion in subsidies the project would receive from the U.S. government. Already, the total cost of the project has risen from $5.3 billion to $9.3 billion.

Nuclear advocates often claim that the costs of nuclear reactors fall after a first design, which (if true) would be very good news for the NuScale design. Unfortunately, the nuclear industry has never shown the ability to take advantage of a learning curve, and there is no evidence to suggest that it will be able to do so now. A 2020 Massachusetts Institute of Technology study found the costs of successive nuclear projects are more expensive than the original project, which is very bad news for the NuScale design.

It’s also not good news for ratepayers. New reactor designs are already notoriously expensive and highly unlikely to meet initial deadlines. The Westinghouse AP1000 design at Plant Vogtle in Georgia, for example, was originally expected to cost $14 billion and begin operation in 2016. Its price tag has soared past $34 billion, and it won’t provide power until later this year.

Think corporations like Georgia Power, which are posting record profits, will pick up the tab? Think again: Residential consumers have already eaten $1.66 billion of construction costs, with more on the menu.

To be sure, nuclear energy has some advantages. It doesn’t emit carbon dioxide, takes up a relatively small amount of space and produces large amounts of energy. Its advantages, however, become far less apparent when the costs of a nuclear facility — and the time that it takes to build even a modest-sized project — are considered.

Proven, less-costly clean alternatives exist, especially in the western U.S. Geothermal, for example, made up 5.7% of California’s electricity generation in 2021; it was responsible for 9% in Nevada, and it’s being pushed as a much less expensive alternative to the NuScale project. Solar covers about 16% of Arizona electricity production and 6% in New Mexico. Almost 20% of Wyoming electricity comes from wind; in Idaho, the figure is about 16%.

The NuScale SMR is just another in a long line of overhyped and overpriced nuclear projects that take too much time and money — resources the planet doesn’t have in abundance if we’re serious about avoiding cataclysmic climate change by limiting global warming to 1.5⁰C by 2050.

Small modular reactors may be viable one day — but they are not today, will not be tomorrow, and may never make as much economic sense as renewable sources of electricity. We should stick to carbon-free energy sources that make financial and environmental sense.

January 23, 2023 Posted by | business and costs, USA | 1 Comment