Loan guarantees for nuclear power
In a 2010 Gallup poll, about 62 percent of responders said that using nuclear power as a clean, reliable source of energy was a good idea. In order to get nuclear power plants built, the Obama administration is planning on providing $54.2 billion in loan guarantees for construction projects. However even prior to the Fukushima disaster, it was doubtful that new nuclear reactors would be under construction in the U.S. anytime soon, in accordance with Mark Cooper of the Vermont Law School's Institute for Energy and the Environment. Cooper gave a presentation at the House of Commons in Ottawa, Canada, where he said there was a U.S. nuclear industry bubble that was not going to last soon. The bubble began to inflate in 2001 when the Bush administration started heavily promoting nuclear energy with billions in loan guarantees. By 2008 it became apparent that the nuclear industry could not deliver on costs. Natural gas became a cheap option while the recession started. The other clean energy possibilities helped bring it down as well.
The rising price of nuclear power
The Fukushima disaster has many individuals worried. It might cost a lot more money to build a new reactor. After the 1979 Three Mile Island accident in Pennsylvania, construction costs for nuclear reactors rose 95 percent, according to Cooper's research. Every person had to pay 40 percent more in electricity because of this. There was also an incident in Ukraine at Chernobyl in 1986. This brought on a 42 percent increase in electricity costs after an 89 percent increase in construction costs. Construction costs for nuclear reactors skyrocketed because of design changes required to address safety concerns. The Nuclear Regulatory Commission has already assembled a task force to investigate the design changes required for prepared nuclear plants in the U.S., based on lessons learned from Fukushima.
An unacceptable risk to investors
Clean energy alternatives, like wind, solar and natural gas, are looking like something more investors are willing to invest in over nuclear power plants after the Fukushima disaster. It also might impact utilities. The companies don't want the nuclear plant risk. When it comes to energy sources, nuclear energy makes sense if you do not want to pay much. Before taking into account the cleanup costs of a nuclear accident, onshore wind farms, for example, are up to 35 percent cheaper than nuclear plants. The world can get energy from many alternative sources. The nuclear power costs to the economy are avoided with them. For savvy investors, clean energy alternatives promise more lucrative opportunities.
Information from
Reuters
reuters.com/article/2011/03/25/idUS423443138820110325
Fast Company
fastcompany.com/1742619/what-are-the-economics-of-nuclear-power-after-fukishima
The National
thenational.ae/lifestyle/personal-finance/japans-nuclear-woes-add-pressure-to-invest-in-green-energy
Resource for this article - Fukushima disaster lays bare the true cost of nuclear power by MoneyBlogNewz.
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