Deregulation Produces Nuclear Turnaround

The nuclear power industry is undergoing a remarkable turnaround

says John Poston, professor of nuclear engineering at Texas A & M

University.

o Nuclear power is growing, adding the equivalent of 24

large power plants since 1990.

o Steady improvements in the efficiency of nuclear plants

led to the production of 768 billion kilowatt-hours of

electricity in 2001, up from 754 billion kilowatt-hours in

2000 and 557 billion kilowatt-hours in 1990.

o Major utilities have been engaged in bidding wars to buy

nuclear plants, and virtually every nuclear plant in the

United States is expected to seek renewal of its operating

license from the Nuclear Regulatory Commission.

One reason for the turnaround is deregulation of the electric

power industry.

o Refueling shutdowns that used to last several months

before electric-industry deregulation now are completed in

as few as 18 days.

o With improved safety and maintenance, nuclear plants run

nearly two years without shutdowns.

o Efficiency is at an all-time high, resulting in generating

costs that average 1.7 cents per kilowatt-hour, while

electricity produced from natural gas costs nearly twice

as much.

Another aspect of deregulation has been reform of power plant

licensing.

o The Nuclear Regulatory Commission has pre-certified the

designs of three types of advanced nuclear plants for

construction.

o At least three utilities have designated sites for new

units and are seeking commission approval.

o Approval under a new review process should take only 18 to

30 months, compared to a decade or more under old

procedures.

Even modest growth in electricity demand over the next 20 years

will require a 50 percent increase in electric power production,

says Poston, and the next generation of nuclear plants can help

meet that demand.

Source: John W. Poston Sr., "Nuclear power's comeback proves

pundits wrong," Dallas Morning News, November 17, 2002.