Transitioning nuclear fuel cycles with uncertain fast reactor costs

This paper applies a novel decision making methodology to a case study involving choices leading to the transition from the current once-through light water reactor fuel cycle to one relying on continuous recycle of plutonium and minor actinides in fast reactors in the face of uncertain fast reactor capital costs. Unique to this work is a multi-stage treatment of a range of plausible trajectories for the evolution of fast reactor capital costs over time, characterized by first-of-a-kind penalties as well as time- and unit-based learning. The methodology explicitly incorporates uncertainties in key parameters into the decision making process by constructing a stochastic model and embedding uncertainties as bifurcations in the decision tree. "Hedging" strategies are found by applying a choice criterion to select courses of action which mitigate "regrets". These regrets are calculated by evaluating the performance of all possible transition strategies for every feasible outcome of the uncertain parameter. The hedging strategies are those that preserve the most flexibility for adjusting the fuel cycle strategy in response to new information as uncertainties are resolved. (C) 2016 Published by Elsevier B.V.