Nuclear power in more trouble than oil Utilities shutting down plants earlier than expected Houston Chronicle , By Chris Tomlinson , 31 May 16 If you think folks in the oil and gas business have it tough, talk to someone in the nuclear power industry where 20 percent of the reactors operating today may shut down early.
The last time the United States opened a new nuclear reactor was 30 years ago, when state commissions set the price for electricity and a generator could rely on steady, reliable profits for the lifetime of the plant. But since then, states have deregulated electricity markets and have forced generators to compete to sell the cheapest electricity by the 15 minute interval.
That’s a problem a nuclear power plant, which requires a huge investment to build and a huge amount of cash to decommission. The electricity may be marginally cheap, but what experts call the levelized cost of electricity that includes all the expenses is actually quite high.
That’s why the Nuclear Energy Institute reports that 15 to 20 of the nation’s 99 commercial reactors are at risk of premature closure in the coming years. If they have to compete solely on the spot-market price for electricity, keeping them going doesn’t make economic sense…….http://www.houstonchronicle.com/business/outside-the-boardroom/article/Nuclear-power-in-more-trouble-than-oil-7943174.php?t=2d6e26d409&cmpid=twitter-premium
