Nuclear

Analysis predicts stranded nuclear investment costs

Issue 11 and Volume 100.

Analysis predicts stranded nuclear investment costs

If electric industry restructuring was fully implemented at the beginning of 1997, investment in nuclear plants at risk would be $65.5 billion nationwide, according to a new analysis from R.J. Rudden Associates Inc. of New York. A slower pace for restructuring would reduce the investment at risk to between $46.3 billion if restructuring were introduced in 2000 and to $23.2 billion if implemented in 2010. Costs are expressed in 1994 dollars. Greatest impacts would be concentrated in four of the nine North American Electric Reliability Council regions–ECAR, ERCOT, MAAC and WSCC–each with an aggregate investment at risk of approximately $10 billion. Analysis is based on a plant-by-plant evaluation of historic cost and performance data and on projections of regional competitive prices for capacity and energy. More information is available at (516) 348-4090.