Report says southeast U.S. nuclear power projects will have excess costs of $20bn

han-vogtle

A report form an economy analyst with the Vermont Law School Institute for Energy and the Environment states ratepayers in South Carolina, Florida and Georgia must either pay for $6 billion in money already invested in current nuclear power projects or face paying even more as the projects face excess costs of $20 billion or more.

The report, authored by Mark Cooper, looks at the economics of the V.C. Summer nuclear project in South Carolina and the proposed Levy nuclear project in Florida and concludes ratepayers of the utilities involved will end up paying for $10 billion or more in excess costs for each project.

Cooper said the projects are being driven not by marketplace economics, but by advanced cost recovery financing models.

“In the face of escalating nuclear construction costs, cheap natural gas, rising competition from increasingly inexpensive wind and other renewable, falling consumer demand and a heightened focus on energy efficiency, the economics of these new nuclear projects could not be more abysmal for ratepayers,” Cooper stated in a release. “The fact that advance cost recovery for nuclear reactors shifts the risk of construction from stockholders to ratepayers is the one and only thing that is keeping these uneconomical reactor projects alive today.”

The report is available online at http://www.vermontlaw.edu/Documents/PublicRiskPrivateProfit_Cooper.pdf

Subscribe to Nuclear Power International magazine

Sponsored by FLSmidth
Recommend this article Recommend this article () You recommended this article You recommended this article ()
Follow Power Engineering on Twitter

Products Showcase

Dynamic Fluoride Ion cleaning DFIC of industrial natural gas turbines Hi-Tech Furnace Systems

Dynamic Fluoride Ion Cleaning of IGT Parts

The Dynamic Fluoride Ion Cleaning (DFIC) Process from Hi-Tech Furnace Systems is able to clean deep, narrow cracks of oxides by cycling between negative, atmospheric, and positive pressure.

Latest News

Shutterstock coal production trucks

Weekly Coal Production

The Weekly Coal Production shows how much coal is being produced across the U.S.

Federal Reserve Bank of Dallas Weekly Economic Indicators financial business

The Federal Reserve Bank of Dallas' Economic Indicators

The Federal Reserve Bank of Dallas offers a glimpse into how the markets are doing domestical...

Kvaerner awarded contract for gas-fired power plant in Delaware

Kvaerner North American Construction Inc. and its joint venture partner, Parsons Brinckerhoff...

Canadian Solar purchases two solar projects

Canadian Solar Inc. has acquired a majority interest in two utility-scale solar power project...

Operators Restart Unit 2 at PPL Susquehanna

Unit 2 at the PPL Susquehanna nuclear power plant near Berwick, Pa. resumed generating electr...

Settlement agreement limits cost recovery at Edwardsport

The Indiana Utility Regulatory Commission (IURC) on Dec. 27 modified and approved a settlemen...

Toshiba in talks to sell portion of Westinghouse nuclear unit

Toshiba Corp is in talks  to sell up to 16% of its stake in the Westinghouse Electric Co...

Utah nixes nuclear waste storage facility

Plans to park radioactive waste at a storage facility in Utah have been officially called off.

Archived Articles

2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013

Power Engineering Current Issue

03/01/2014
Volume 118, Issue 3
1403PE-cover

Buyers Guide Company Listings

Datapartner Inc

Our software Invest for Excel is used by more than 100 power companies worldwide for capital budgeting, financial modeling and valuation. We also offer a Sharepoint solution for capex portfolio.

Interdevelopment Inc

Offers management consulting and marketing, financing for power plants, particularly energy production by renewable fuels, such as wind/solar/biomass power, including compliance issues.

The Clifton Corp

Engineering and development company specializing in water resources, hydro and solar power and biogas/methane facilities. Provides development services from engineering, economic and financial feasibility to financing and operations and maintenance.

Valentin Software Inc

Valentin Software is the largest, most comprehensive and oldest developer of solar PV and thermal design, simulation, modeling and financial analysis software, with customers in over 70 countries.

Power Industry Wire News

Victory Energy Concludes Fairway Acquisition

Victory Energy Concludes Fairway Acquisition

ARCOS Provides New Logistics Features in Latest Release of Crew Manager Software

ARCOS Provides New Logistics Features in Latest Release of Crew Manager Software

Algae Biomass Summit Launches White House Petition to Encourage EPA to Approve CO2 Recycling as Emissions Reduction Strategy

Algae Biomass Summit Launches White House Petition to Encourage EPA to Approve CO2 Recy...

MicroSeismic, Inc. and PanAmerican Geoservices Limited Announce Exclusive Partnership

MicroSeismic, Inc. and PanAmerican Geoservices Limited Announce Exclusive Partnership

Power Engineering

Article Archives for Power Engineering Magazine

Continuing Education

Professional Development Hours

To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

Latest Energy Jobs

View more Job Listings >>