Nuclear Power Economics

Many countries recognize the substantial role which nuclear power has played in providing energy security of supply, reducing import dependence and reducing greenhouse gas and polluting emissions. Nevertheless, as such considerations are far from being fully accounted for in liberalized or deregulated power markets, nuclear plants must demonstrate their viability in these markets on commercial criteria as well as their lifecycle advantages. Nuclear plants are operating more efficiently than in the past and unit operating costs are low relative to those of alternative generating technologies. The political risk facing the economic functioning of nuclear in a number of countries has increased with the imposition of nuclear-specific taxes that in some cases have deprived operators of the economic incentive to continue to operate existing plants.