Nuclear electricity is the least-cost option

Journal Article · Sat Dec 31 04:00:00 EST 1994 · Transactions of the American Nuclear Society

OSTI ID:89195

Redding, J R ^[1]; Yates, R ^[2]

---

1. GE, San Jose, CA (United States)
2. GE, Schenectady, NY (United States)

The use of integrated resource planning (IRP) as a tool for selecting the means to satisfy the need for new electricity heavily favors those options that are evaluated to have the least cost. The least-cost option these days, generally combined cycle burning natural gas, can generate electricity for between 3.5 to 4.0 {cents}/kW {times} h. The average generating cost of nuclear electricity, by comparison, is {approximately} 7.0 {cents}/kW {times} h, indicative of the economic challenge facing the nuclear industry. The future for the nuclear option may be better, if you believe that natural gas prices will increase. Studies by General Electric (GE) show that if these prices escalate at 3.5% above inflation, as DRI and others forecast, advanced nuclear plants will be in an economic dead heat with coal and combined-cycle/natural-gas plants, the primary baseload options. The use of environmental externalities can also change the evaluation of these competing technology options. When the cost of pollution emissions from fossil plants are factored in, studies show that nuclear electricity generation is the best economic option.

• OSTI ID: 89195
• Report Number(s): CONF-941102--
• Journal Information: Transactions of the American Nuclear Society, Journal Name: Transactions of the American Nuclear Society Vol. 71; ISSN 0003-018X; ISSN TANSAO
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
COMBUSTION PRODUCTS
COMPARATIVE EVALUATIONS
COST
ELECTRICITY
ENVIRONMENTAL IMPACTS
FOSSIL-FUEL POWER PLANTS
NUCLEAR POWER PLANTS