FacebookTwitterGoogle+RedditEmail

No Nuclear Nirvana

by ROBERT ALVAREZ

Is the nuclear drought over?

When the Nuclear Regulatory Commission (NRC) recently approved two new nuclear reactors near Augusta, Georgia, the first such decision in 32 years, there was plenty of hoopla.

It marked a “clarion call to the world,” declared Marvin S. Fertel, president of the Nuclear Energy Institute. “Nuclear energy is a critical part of President Obama’s all-of-the-above energy strategy,” declared Energy Secretary Chu, who traveled in February to the Vogtle site where Westinghouse plans to build two new reactors.

But it’s too soon for nuclear boosters to pop their champagne corks. Japan’s Fukushima disaster continues to unfold nearly a year after the deadly earthquake and tsunami unleashed what’s shaping up to be the worst nuclear disaster ever. Meanwhile, a raft of worldwide reactor closures, cancellations, and postponements is still playing out. The global investment bank UBS estimates that some 30 reactors in several countries are at risk of closure, including at least two in highly pro-nuclear France.

And Siemens AG, one of the world’s largest builders of nuclear power plants, has already dumped its nuclear business.

Recently, Standard and Poor’s (S&P) credit rating agency announced that without blanket financing from consumers and taxpayers, the prospects of an American nuclear renaissance are “faint.” It doesn’t help that the nuclear price tag has nearly doubled in the past five years. Currently reactors are estimated to cost about $6 to $10 billion to build. The glut of cheap natural gas makes it even less attractive for us to nuke out.

How expensive is the bill that S&P thinks private lenders will shun?

Replacing the nation’s existing fleet of 104 reactors, which are all slated for closure by 2056, could cost about $1.4 trillion. Oh, and add another $500 billion to boost the generating capacity by 50 percent to make a meaningful impact on reducing carbon emissions. (Nuclear power advocates are touting it as a means of slowing climate change.) We’d need to fire up at least one new reactor every month, or even more often, for the next several decades.

Dream on.

Meanwhile, Japan — which has the world’s third-largest nuclear reactor fleet — has cancelled all new nuclear reactor projects. All but two of its 54 plants are shut down. Plus the risk of yet another highly destructive earthquake occurring even closer to the Fukushima reactors has increased, according to the European Geosciences Union.

This is particularly worrisome for Daiichi’s structurally damaged spent fuel pool at Reactor No. 4, which sits 100 feet above ground, exposed to the elements. Drainage of water from this pool resulting from another quake could trigger a catastrophic radiological fire involving about eight times more radioactive cesium than was released at Chernobyl.

Ironically, the NRC’s decision to license those two reactors has thrown a lifeline to Japan’s flagging nuclear power industry (along with an $8.3-billion U.S. taxpayer loan guarantee). Toshiba Corp. owns 87 percent of Westinghouse, which is slated to build the new reactors. Since U.S.-based nuclear power vendors disappeared years ago, all of the proposed reactors in this country are to be made by Japanese firms — Toshiba, Mitsubishi, and Hitachi — or Areva, which is mostly owned by the French government. According to the Energy Department, “major equipment would not be manufactured by U.S. facilities.”

For Southern Co., which would operate the Vogtle reactors, the NRC’s approval is just the beginning of a financial and political gauntlet it must run through. Over the strenuous objections of consumers and businesses, energy customers will shoulder the costs of financing and constructing this $17-billion project, even if the reactors are abandoned before completion. If things don’t turn out, U.S. taxpayers will also be on the hook for an $8.3-billion loan guarantee that the Energy Department has approved.

The Congressional Budget Office and the Government Accountability Office estimate that nuclear loan guarantees have a 50/50 chance of default.

Nearly four decades after the Three Mile Island accident, nuclear power remains expensive, dangerous, and too radioactive for Wall Street. The industry won’t grow unless the U.S. government props it up and the public bears the risks.

ROBERT ALVAREZ, an Institute for Policy Studies senior scholar, served as senior policy adviser to the Energy Department’s secretary from 1993 to 1999. www.ips-dc.org

This column is distributed by Other Words.

More articles by:

CounterPunch Magazine

minimag-edit

bernie-the-sandernistas-cover-344x550

zen economics

Weekend Edition
December 09, 2016
Friday - Sunday
Jeffrey St. Clair
Roaming Charges: Nasty As They Wanna Be
Henry Giroux
Trump’s Second Gilded Age: Overcoming the Rule of Billionaires and Militarists
Andrew Levine
Trump’s Chumps: Victims of the Old Bait and Switch
Chris Welzenbach
The Forgotten Sneak Attack
Lewis Lapham
Hostile Takeover
Joshua Frank
This Week at CounterPunch: More Hollow Smears and Baseless Accusations
Paul Street
The Democrats Do Their Job, Again
Vijay Prashad
The Cuban Revolution: Defying Imperialism From Its Backyard
Michael Hudson - Sharmini Peries
Orwellian Economics
Erin McCarley
American Nazis and the Fight for US History
Mark Ames
The Anonymous Blacklist Promoted by the Washington Post Has Apparent Ties to Ukrainian Fascism and CIA Spying
Yoav Litvin
Resist or Conform: Lessons in Fortitude and Weakness From the Israeli Left
Conn Hallinan
India & Pakistan: the Unthinkable
Andrew Smolski
Third Coast Pillory: Nativism on the Left – A Realer Smith
Joshua Sperber
Trump in the Age of Identity Politics
Brandy Baker
Jill Stein Sees Russia From Her House
Katheryne Schulz
Report from Santiago de Cuba: Celebrating Fidel’s Rebellious Life
Nelson Valdes
Fidel and the Good People
Norman Solomon
McCarthy’s Smiling Ghost: Democrats Point the Finger at Russia
Renee Parsons
The Snowflake Nation and Trump on Immigration
Margaret Kimberley
Black Fear of Trump
Michael J. Sainato
A Pruitt Running Through It: Trump Kills Nearly Useless EPA With Nomination of Oil Industry Hack
Ron Jacobs
Surviving Hate and Death—The AIDS Crisis in 1980s USA
David Swanson
Virginia’s Constitution Needs Improving
Louis Proyect
Narcos and the Story of Colombia’s Unhappiness
Paul Atwood
War Has Been, is, and Will be the American Way of Life…Unless?
John Wight
Syria and the Bodyguard of Lies
Richard Hardigan
Anti-Semitism Awareness Act: Senate Bill Criminalizes Criticism of Israel
Kathy Kelly
See How We Live
David Macaray
Trump Picks his Secretary of Labor. Ho-Hum.
Howard Lisnoff
Interview with a Political Organizer
Yves Engler
BDS and Anti-Semitism
Adam Parsons
Home Truths About the Climate Emergency
Brian Cloughley
The Decline and Fall of Britain
Eamonn Fingleton
U.S. China Policy: Is Obama Schizoid?
Graham Peebles
Worldwide Air Pollution is Making us Ill
Joseph Natoli
Fake News is Subjective?
Andre Vltchek
Tough-Talking Philippine President Duterte
Binoy Kampmark
Total Surveillance: Snooping in the United Kingdom
Guillermo R. Gil
Vivirse la película: Willful Opposition to the Fiscal Control Board in Puerto Rico
Patrick Bond
South Africa’s Junk Credit Rating was Avoided, But at the Cost of Junk Analysis
Clancy Sigal
Investigate the Protesters! A Trial Balloon Filled With Poison Gas
Pierre Labossiere – Margaret Prescod
Human Rights and Alternative Media Delegation Report on Haiti’s Elections
Charles R. Larson
Review:  Helon Habila’s The Chibok Girls: the Boko Haram Kidnappings and Islamist Militancy in Nigeria
David Yearsley
Brahms and the Tears of Britain’s Oppressed
FacebookTwitterGoogle+RedditEmail