The Congressional Budget Office has just released an in depth analysis of the nuclear option. One of the conclusions is that the current levelized cost crossover for nuclear as a function of carbon pricing is around $45 per ton CO2.
Construction cost estimates are a huge challenge for the utilities — the recent commodity price increases play havoc with the budgeting. It seems that almost everything in the construction budget is going through the roof — see New Wave of Nuclear Plants Faces High Costs
…Nuclear power is regaining favor as an alternative to other sources of power generation, such as coal-fired plants, which have fallen out of favor because they are major polluters. But the high cost could lead to sharply higher electricity bills for consumers and inevitably reignite debate about the nuclear industry’s suitability to meet growing energy needs.
Nuclear plants haven’t been built in meaningful numbers in the U.S. since the 1980s. Part of the cost escalation is bad luck. Plants are being proposed in a period of skyrocketing costs for commodities such as cement, steel and copper; amid a growing shortage of skilled labor; and against the backdrop of a shrunken supplier network for the industry.
The price escalation is sobering because the industry and regulators have worked hard to make development more efficient, in hopes of eliminating problems that in the past produced harrowing cost overruns. The Nuclear Regulatory Commission, for example, has created a streamlined licensing process to make timelier, more comprehensive decisions about proposals. Nuclear vendors have developed standardized designs for plants to reduce construction and operating costs. And utility executives, with years of operating experience behind them, are more astute buyers.
Technorati Tags: Nuclear Power
The problem with qualified staff for nuclear power facilities can be solved by starting intensive training NOW (average construction time for a plant is around a decade, depends on size and construction destination). Anyway, in spite of all costs, there will be more plants appearing, - oil and gas are too expensive to burn, and the alternative sources are not cost efficient and developed enough for commercial use.