Tuesday, July 15, 2008

New Nuclear Plants Okayed in Florida

A Florida regulatory agency, the Public Service Commission, has unanimously endorsed Progress Energy's proposal to build two new nuclear reactors on a site in Levy County. If approved by state and federal regulators, the two reactors could begin operations by 2016-2017.

Earlier this year, the Public Service Commission expressed unanimous consent on Florida Power & Light's request to build two new reactor units at its Turkey Point plant in Miami-Dade County.

6 comments:

Anonymous said...

$14B (according to Platts) is a lot of money for 2.2 GW of electricity. That is $6363 per kW installed. Not very long ago, people used to cower in fear if someone mentioned $3000 per kW. I am extremely pro-nuclear, but it is starting to look way too expensive at these price levels. $14B can easily escalate to $20B.

Funky said...

Check out the Rocky Mountain Institute website for more on the fallacies of nuclear power:
http://www.rmi.org/images/PDFs/Energy/E08-01_AmbioNucIllusion.pdf

Since the Keystone findings, new nuclear plants’ uniquely rapid capital-cost escalation,
far from abating, has accelerated. The same top trade journal summarizes how the latest analyses,
including one by Keystone coauthor Jim Harding (former director of strategic planning at
Seattle City Light), have found the Keystone report’s lower cost range of $3,600/kW “no longer
believable” and its upper range of $4,000/kW “probably low.”27 Harding’s estimate of total current
construction costs (2007 $ including interest during construction) of ~$4,300–4,550/kW
matches prospective customer Constellation’s published, then redacted, estimate of
~$4,300/kW.28 That’s slightly above Standard & Poor’s (S&P’s) May 200729 and American Electric
Power’s August 2007 estimates of ~$4,000/kW, but well below Moody’s October 2007 estimate30
of ~$5,000–6,000/kW—which Moody’s called admittedly “only marginally better than a
guess” but still solid grounds for caution.
By early 2008, industry estimates were creeping even above Moody’s dismaying range.
In September 2007, Lew Hay, CEO of FPL Group, said the total cost of a new nuclear plant (all
in mixed future dollars as-spent) could be ~$5,000–7,000/kW, or “on the order of magnitude of
$13 to $14 billion” for a two-unit plant. Yet just five months later, FPL31 filed formal cost estimates
up to nearly twice that high—$12–24 billion (again in mixed future dollars) for a 2.2–
3.04-GW two-unit plant, equivalent to ~$4,200–6,100/kW in 2007.

Anonymous said...

http://www.rmi.org/images/PDFs/Energy/E08-01_
AmbioNucIllusion.pdf
Try again :>)

David Bradish said...

funky, I guess you missed the whole debate on why RMI's paper you just referenced is junk. Here's a link on why it's junk if you're interested in learning something.

Anon, no doubt nuclear plants are expensive to build. Many utilities, however, have found that all electricity technologies have become substantially more expensive as well and that new nuclear plants are still economical.

Joe Gimenez said...

Hi:
I'm doing research for a paper. Could someone tell me whether these plants are the earliest new plants to come on line in the U.S.? How about worldwide?

Is there an official report on this somewhere.
thanks,

David Bradish said...

Joe,

Here's a link for online dates of U.S. plants and here's a link for the same dates for world plants.