nuclear

Of note:  analysis contains a detailed summary of credit downgrades associated with the last waves of nuclear reactor construction.

While nuclear power remains a thorny political and policy issue today, the concept of building new facilities has gradually reawakened in recent years, offering a buffer against foreign energy dependence, unpredictable commodity prices, and heavily polluting fuel sources. As a result, several of the largest U.S. power companies in recent years have announced plans to pursue new nuclear generation.

"The billions of dollars that go into a nuclear power plant could be spent better in other ways, including making homes more energy-efficient, said Doug Koplow, president of Earth Track Incorporated, a Cambridge, Mass.-based consulting firm."

Within the past year, estimates of the cost of nuclear power from a new generation of
reactors have ranged from a low of 8.4 cents per kilowatt hour (kWh) to a high of 30 cents. This
paper tackles the debate over the cost of building new nuclear reactors.

Advocates of nuclear power are promoting a “nuclear renaissance,” based on claims that a new generation of reactors will produce relatively cheap electricity while solving the threat posed by global climate change. As of October 2008, U.S. utilities and power producers had already proposed building about 30 new nuclear reactors. And some analysts have called for building 300 new plants by mid-century.

(Summary). Marcus Radetzki and Marian Radetzki, Geneva Papers on Risk and Insurance - Issues and Practice, Vol. 25, Issue 2, Page 180, April 2000. (Subscription required for full article). (More About Article). In OECD countries, the top layer of damage compensation after such catastrophes is regularly transferred, explicitly or implicitly, to governments.

James Boyd, Resources for the Future, August 2001.

(Pre-Publication Draft). (Abstract). Inder K. Khurana, Richard H. Pettway, and K. K. Raman. Journal of Accounting and Public Policy, Vol. 20, No. 2. In this study, alternative current cost and present value are utilized to provide estimates of unfunded decommissioning costs to investigate whether investors are cognizant of these potential claims on utility net assets.

Geoffrey Rothwell, Stanford Institute for Economic Policy Research Policy Brief, January 2002.

Anthony Heyes, Regulation, Winter 2002-2003.