The potential for nuclear power.

Richard Wilson <>
<>Mallinckrodt Professor of Physics <>
<>Harvard University <>
<>Director, NE Regional Center of National Institute for Global Environmental Change (NIGEC)
Talk at Symposium on:

"Global Energy Strategies:
"Living with Restricted Greenhouse Emissions."
<>

<>Organized by Center for Environmental Information, Rochester, NY
<>in Washington, D.C. <>
<>Tuesday December 8th 1992

Introduction:

The technology of nuclear fission

I have been asked to discuss the potential for nuclear power in the years ahead, because generating power from nuclear fission does not lead to emission of greenhouse gases; and therefore replacement of any fossil fuel electricity generating plant by a nuclear one will reduce emission of greenhouse gases. In a talk given to this group three years ago, (Wilson 1989) I showed that the reduction of greenhouse gas emissions by changing from fossil fuels to nuclear power, and the reduction of emission of greenhouse gases by improvement of end use efficiency (loosely called energy conservation) are independent of each other. Both can be partially effective. It is stupid to reject either because it will not do the whole job. If the effect of rising greenhouse gas concentrations is as bad as most scientists fear, both are necessary. In particular I took some leading energy supply projections, and showed how simple modifications could lead to more nuclear power and fewer greenhouse gas emissions than otherwise. (figures 1 and 2)

In order to understand the present position of nuclear fission power, it is important to understand a few features about the technology and how it differs from fossil fuel burning. I will take natural gas as an example for comparison, because it is natural gas that has been compared with nuclear energy in several recent societal decisions; yet natural gas is a greenhouse gas, and when burnt produces a greenhouse gas.

Natural gas is brought from the well to the user by pipeline to wherever the user wants it - his power plant or his kitchen stove. At the end of the pipe he/she can light a match and get instant heat at the right place. The convenience is almost as great as using electricity. The burner is simple and needs little maintenance. For electricity generation, the recent development of "combined cycle" burners for base load leads to a thermodynamic efficiency of 53% which is 50% higher than the average (35%) for all fossil fuel generators. Moreover, there is a possibility in the future for direct use in fuel cells with an even greater efficiency.

The amount of useful energy in one gram of uranium is 2 million times that in one gram of natural gas. This simplifies transportation of the fuel, but it makes the use of it more complex. While on an atomic scale, the nuclear fission is a simpler process than combustion, it is hard to exploit this simplicity in technical devices. Small nuclear fission reactors have been made that need no attention for months or years; the reactors in USSR satellites are examples. But because of the energy density there is a chance that something can go wrong and cause large problems. The main complexity and cost of nuclear power is in coping with this safety problem, whether by initial design, by responding to critics, or by "onerous" regulation.

Nuclear fuel is cheap, and it is plentiful even at present prices. The plentiful nature of the supply has not always been apparent; when nuclear energy was expanding rapidly world-wide in 1965 to 1975, it was feared that the uranium would soon become scarce. But a modification of the technology with a breeder reactor, will enable an almost unlimited amount of fuel to be available at an affordable cost; Many people have estimated for example that we can count on 100,000 years supply at the present world energy consumption using a breeder reactor. (Wilson 1972) Present estimates are, however that it will not be needed before the year 2020 and maybe not then. In this paper therefore I will not discuss the fuel supply in any detail. Nuclear fuel has a considerable advantage over fossil fuels; it is cheap to transport the limited amount of fuel actually needed, so that provided that nations engage in international trade, every nation that wishes has equal access to nuclear fuel.

Natural gas is also plentiful. The world reserves of 120 trillion cubic feet has trebled in the last 10 years and are enough for 60 years consumption at today's rates.

The cost of nuclear energy

Nuclear energy was once cheap, and competitive with coal, oil and gas generation. Now it seems to be expensive. In order to understand what the cost might be in the future, it is therefore important to understand what has changed and why it has changed. Unfortunately this is not easy. Following Eisenhower's "Atoms for Peace" speech in 1953, there was euphoria about nuclear energy. It seemed to offer an unlimited, environmentally benign, source of energy to pull mankind out of poverty for ever. In 1970 it was also cheap; the busbar cost was 0.55 c/kwh from Connecticut Yankee, and 0.828 c/kwh from Yankee Rowe, although as noted below there was some federal subsidy for construction. By 1980 this had all changed. Some environmentalists were actively opposing nuclear energy, and costs had escalated. This escalation has continued for the last 12 years. What had happened? Can we return either to the enthusiasm or the low cost? Should we try to return? I will spend most of the talk discussing these questions, and illustrating alternative courses for society, particularly U.S. society.

Capital Cost

The facts of the increases in cost are well documented, but not the reasons therefor. In 1961 Yankee Rowe cost $40 million to build for an initial 120 MWe installed capacity which was expanded to 185 Mwe. In 1966 Connecticut Yankee cost $120,000,000 to $160,000,000 (depending upon one's estimate of the value of government subsidies) for 550 MWe ($220 to $290 per kwe installed). In 1972 Maine Yankee cost $200,000,000 for $800 MWe also $250 per kw installed. But this cost was increased 10% when Maine Yankee was forced to spend an extra $20 million to revise the cooling water system to meet environmental objections that had been raised after the initial design had passed the construction public hearing. This increase was just the beginning. Now even the best plants cost $2000 per kwe installed. This increase far exceeds the threefold inflation since 1972. The operating costs have also increased so that whereas in 1970 nuclear produced electricity was competitive with that from oil and coal, in 1990 it had become slightly more expensive; even though the cost of using oil and coal also increased in this period.    This runs counter to all previous experience. One expects that costs will come down as the new technology is learnt! The costs of most technologies have followed a "learning curve"; with nuclear power we seem to have a "forgetting curve"! A learning curve is evident in subsets of the nuclear data; the later nuclear power plants built by Duke Power cost less than the earlier ones. But superimposed is an overall societal increase of cost.

What had happened? A part of the problem is a general increase in construction costs. But unless the utility company accountants were lying on a massive scale in 1972, I can see only one main reason; a changed perception of the need for expenditure on safety, which is the main determinant of cost.

Some people claim that utility companies routinely added equipment and personnel when pressured by Public Utility Commissions, the Nuclear Regulatory Commission and environmental advocates without regard to cost. I am unable to contradict them. It is unclear whether increased cost led to improved safety.
A part of the increase in construction cost is due to interest charged on capital during the construction period. Interest rates have increased because of inflation since 1970; total interest charges have also increased because of delays. The delays in turn have been due in part to increased licensing requirements, (yet some older plants have had retrofit and the cost of those does not make up the difference in cost) a part is from public opposition, and a part may be due to construction by less competent utility companies. There is a wide variation in these cost increases, sometimes, but not always, associated with public opposition. A part, but not all, of this cost increase has appeared in other non-nuclear construction projects. A proposal 8 years ago that the National Academy of Sciences study this question came to naught. Those closest to industry seemed not to want to know the answers, because in many cases it could be embarrassing. Since we do not know for certain the reasons for this increase in cost, it is hard to predict when or even whether the costs will decrease again.

Following the accident at Three Mile Island in 1978, the staff of the Nuclear Regulatory Commission were insisting on design changes (in the name of safety) that no other industry has had to suffer; in some cases opposition that arose after the initial order (with its' construction permit hearing) has raised issues already technically decided and prevented operation after construction. delays were caused by protracted hearings before the Atomic Safety and Licensing Boards (ASLB) with very little substance. These changes and delays, led to unanticipated increases in construction cost. Public Utility Commissions hold "prudency hearings" to decide whether any particular expenditure was prudent. While it seems reasonable that utility companies be prudent, this concept is not evenly applied. For capital construction public utility commissions have declared that the utility company should have been able to avoid cost overruns, including some caused by opposition or excessive regulatory requirements. They have refused to allow the utilities to recover their investment, in decisions that are almost unique to the nuclear industry (Wells, 1989), (NAS, 1992).

In contrast to the effect of prudency hearings in discouraging construction, the "fuel adjustment charge", which becomes an ever larger part of my electricity bill, ensures that even if the utility company was imprudent and projected a fuel cost for oil or gas that is too small, they can recover all of the increase from the customer. With gas they are even better off. In the early 1980s many gas distribution companies signed "take or pay" contracts with suppliers. Prices were high and shortages were threatened; the courts have allowed the companies to walk out on their contracts!

Operating Costs

The increase in capital cost for a nuclear power plant discussed above became very evident in the 1980s and has received a lot of attention. But far more insidious has been a steady increase in "Operations and Maintenance" (O and M) costs. Leading nuclear scientists told the nuclear industry at the beginning of this last decade that "if you operate the nuclear power plants safely for the next 20 years, all will be well". They were overly optimistic and ignored the effect of increasing costs. Several events in the last year bring to our attention the effects of this ignoring of the operating costs. In Figure 3 I show how the total cost of operating Yankee Rowe has changed over the years. Before 1970 the cost was mainly pay back of the "loan" or charge against capital. The 1970 cost of 0.82c/kwh is equivalent to a little over 2c/kwh in the 1992 dollars plotted here. The charge for construction cost must have gone down; utility company practice has been to charge the construction cost early; moreover inflation must have diluted the payments. But the operating costs went up; (figure 4) this has been due to safety improvements demanded by NRC and also to an increase in Operations and Maintenance. A clue comes in the plot (figure 5) of the staffing of the plant. The number of employees went up threefold over this time. I do not have a further breakdown but it has been claimed that a large part of the increase in employees was due to increase in the number of security guards (which may or may not have been accompanied by an increase in security). Here the treatment of energy sources is unequal. My local LNG facility has few, if any, guards till a shipment comes, and the 500 MWe hydroelectric (Comerford) dam is completely unguarded. I am able to drive my car out upon it unnoticed, and could lower a 1000 lb bomb over the side. Yet this much modern explosive could rupture the dam and carry away all the dams downstream, and many communities along the Connecticut river. This is not an idle speculation. In 1944 a hydroelectric dam in Germany was destroyed by a single 500 lb bomb; placed in position under unfavorable circumstances. It was dropped from the air against intense anti-aircraft fire and the best nets to stop torpedoes and bombs that Germany could devise. How much easier it would be with no opposition! In 1975 a study of California dams made by a group of scientists in UCLA (Ayyaswami 1974) showed that there are no evacuation plans, and in the event of a severe earthquake, many thousands of people could be killed.

In figure 6 I show an average of O and M costs for the industry as a whole. Even over the last few years, O and M costs have increased at over 3% a year! Although they seem to be flattening off, it would be a bold man who will say that O and M costs will not increase again. A part has been due to pressure tube failures in Westinghouse's steam generators. A close examination shows considerable variation among plants, suggesting that there are technical matters, such as corrosion that can contribute in many cases (Hansen et. al. 1979). This variation between plants has also been emphasized by Mahoney (1992). In my introduction I stated that much of the cost of nuclear power was because of the necessity of a safe controlled reaction. It follows then that much of this increase of O an M costs is in some way related to safety; whether from an increased industry perception of the need for safety; whether from direct to responses to regulation or a decrease in efficiency of addressing safety concerns. It also follows from the variation in such costs among plants that some plants are likely to be more expensive than using alternate fuels and are vulnerable to attack on this ground.

The antinuclear strategy

Already in 1970 the nuclear euphoria of 1953 was not universal. Other views began to be expressed. Various scientists, including Dr Ernest Sternglass, Dr John Gofman, Dr Thomas Mancuso, and Dr Karl Morgan had already attacked atomic bombs and exaggerated the effects of radiation on man in order to do so. At the meeting of the American Association for Advancement in Science the then President, Nobel Laureate Glenn Seaborg was picketed. Not for his part in making the atomic bomb, or his work as Chairman of the AEC in assisting in Kennedy's build up of nuclear weapons, but because of his espousal of nuclear electric power. Professional societies, with a notable exception of a strong disagreement with the expressed views of Dr Sternglass by several past Presidents of the Health Physics Society, were silent. The public organizations that engage in research on the effects of radiation, the National Cancer Institute (NCI), the National Council on Radiological Protection (NCRP), and even the International Commission on Radiological Protection (ICRP), did little to contain the hysteria. The scientific and technical community were, and still are, silent in spite of an eloquent appeal by an English health physicist Dr Rotblat. This left the field wide open to extremists who were willing to distort the truth. Too few scientists were, and are, willing to speak up in public for scientific truth and process. Lay people therefore rally to the side that is open and enthusiastic.

<> By 1975, antinuclear activists had begun their steady, and presently successful in the USA, attacks. It is instructive to understand their methods. Although the public hearing process for individual power plants leaves more opportunity for intervention than for other power plants, it is continuously attacked as being not open enough. Studies made by government, industry, academia and non profit groups continually show that nuclear power is more benign than coal or oil burning (IAEA 1991). This led Ralph Nader 15 years ago to propose his successful strategy of using delays in the legal system to make nuclear power too expensive; this included the strategy of controlling the local public utility commissions. As Nader said early on: "We may lose every battle in the hearings, but we will win the war." The US legal system is particularly suited to such tactics. Few, if any, courts are willing to admit that delay, in itself, can deprive people of their legal rights. Yet justice delayed is justice denied.
The Director's Dilemma

The success of the US antinuclear power movement by 1983 is apparent in several ways. One may be summarized in the oft quoted "Director's Dilemma" One imagines a Director of a utility company who is convinced that, in the long run nuclear power is:
- cheaper than all alternatives
- environmentally superior to all alternatives
- a better neighbor than alternative power plants
- in the public interest.
Nonetheless he will not order a power plant unless he knows:
- what the power plant will consist of when he orders it
- that he knows what the power plant will cost to build and operate
- that he will be allowed to complete it when he has ordered it
- that when it is finished he will be allowed to operate it
- that when he operates it he will be allowed to recover his investment.
These seem like simple and obvious requirements, which are met in almost all industries. In 1970 a utility executive knew all of these things, or thought he did. By 1980 he knew none of them.

All of these requirements, and the costs, depend critically upon the political situation which in turn is associated with the fact that many members of the public do not understand and consequently fear this new technology. They do not know, and scientists forget to remind them, the simple scientific fact about nuclear fission that lead to a huge differences in technological possibilities between nuclear and fossil fuels that the energy density is 3 million times as great; it takes three million times the weight of coal to produce a certain amount of energy as of uranium 235. This difference is the difference between chemical and nuclear energy densities. This difference enables mankind to make bombs a million times more powerful than before. Whereas in the second world war, a 50 pound bomb often destroyed a house, and a "blockbuster" had 2 tons of TNT we glibly talk about bombs with a hundred million times the explosive power. Many scientists believe that the connection with bombs is the most important impediment to nuclear power. It is, however, important to realize that these bombs can be, have been, and probably will be made whether or not the world decides to use nuclear fission for peaceful purposes.

The difference in energy density between nuclear and fossil technologies enables many environmental advantages to be achieved. The quantity of fuel is small enough that we can afford to chemically purify the uranium both before burning, and after burning: which is not possible for fossil fuel burning. Although the waste products are highly toxic, they can be kept concentrated and their volume kept small. The waste products from fossil fuel, particularly coal, burning are also toxic, and their volume is inevitably a million times larger. The TOTAL toxicity is comparable - initially somewhat more for nuclear, but somewhat less after the radioactivity decays. People are often confused; they correctly attribute to high level nuclear waste a high specific toxicity (toxicity per unit weight), but forget that there is much smaller quantity! Indeed, as I have noted many times, this means that nuclear waste is the only waste in society for which we have a reasonable solution! But this is not the general perception of the public. It is vital to realize that the concentration of the nuclear waste is an advantage - but an advantage that can be thrown away by an inappropriate public emphasis. The public should be emphasizing that the waste must be kept concentrated; and this advantage not negated by faulty handling such as at Hanford.

A committee set up by the Forum of Science and Society of the American Physical Society stated that: (Hebel 1978) "we anticipate no difficulty in locating several suitable sites in different geological media within the immediate future". Immediate appeared to mean before 1985! They emphasized that it is an institutional and political problem, in which technologists can help, rather than a technical one in which politicians can help. Such a realization could spur people to search for those peoples or places where it is politically desirable to accept nuclear waste. The tentative offer of the Peoples' Republic of China, in exchange for help in construction of nuclear power plants, to allow nuclear waste disposal in the Gobi desert (for a fee) may well be one of these possible solutions.

Scientists were aware of the advantages and disadvantages of nuclear fission as they returned from the second World War in 1945. The perceived advantages drove them to develop nuclear energy. For a while they achieved widespread public acceptance for their point of view. The Joint Committee of Atomic Energy of the US Congress ensured bipartisan political support. Now, however, and many in the public are suspicious of scientists. The joint committee was disbanded and fifteen committees vie for the task of controlling the Nuclear Regulatory Commission, and criticizing its' activities. Moreover there is world wide an anti-scientific trend: described eloquently by Kapitsa (1991).

In these circumstances, the fastest route to early retirement for a utility company president would be proposing a nuclear power plant. However, any one proposing a new gas plant, can be sure that he can make money, once the plant has been approved. I repeat what I said widely in 1975. We are not sure of the cost of nuclear electric power. It obviously can be as low as it was in 1972, and could probably (due to learning) be somewhat lower. But antinuclear activists can, if we let them, force the cost to rise without limit. This is one of the many situations in which I am sorry to be right.

The role of the states.

The Atomic Energy Act preempts state legislation in the fields that it covers, particularly safety including radiation safety. However, many states have nibbled away at this. For example it is clear that California reserves the right for itself to determine the adequacy of any procedure for nuclear waste disposal. (California 1976). While accepting the principle of federal preemption, the US Supreme Court has accepted the constitutionality of California's law in a decision which puzzled many observers. Tribe (1983) called it "a total victory for the states". The best discussion of this whittling away of federal authority is given by Pasternak and Budnitz (1987). The state role remains preeminent in items of cost and price and is typically controlled through public utility commissions (PUCs) which are very sensitive to local political issues. The California waste disposal law was accepted by the Supreme Court as constitutional because it allowed the PUC to exercise economic

control. It did not however, prevent the economic investment by state utilities in cross border power plants. (e.g Palo Verde in Arizona). This decision reinforced the view of many who questioned the wisdom of nuclear power and realized early on that the states could prevent nuclear power whatever the federal government decides on safety.

I now illustrate the way in which PUCs can shut down complete and operable power plants by discussing several cases where this has happened. I do not possess enough detail on any of them to call them "case studies" in any formal sense; indeed enough information is hard to acquire. Therefore some of the views here expressed should be considered more as questions for others to answer than rigorously derived conclusions.

Shoreham

The Shoreham nuclear power plant of Long Island Lighting Company was proposed about 1972; interestingly enough, the request for licensing was within a few days of a request for a construction permit for a similar boiling water reactor at Millstone Point - just across Long Island Sound. There were delays in obtaining a construction permit at Shoreham; the application came a few days after a moratorium caused by the adverse Calvert Cliffs decision, (causing an 18 month delay) and there were costly mistakes in construction so that over $6 billion was finally spent on a plant that cost NE Utilities $425 million at Millstone Point! Although the engineers and the federal (NRC) regulators felt that the plant had successfully surmounted these hurdles and was safe, the loss of public confidence led to the demise of the plant. The county, who had originally supported the plant at Shoreham, changed their minds and opposed it. An opportunity came to block the plant when the NRC (1980) issued a new regulation which insisted that the local community approve the emergency plan as a condition of an operating license. Both the county and the state declined to approve the plan, and held up the operation of the plant. After several years delay, NRC prevented this effective "veto" by the local community and the state by modifying the regulation.

But in the intervening years the Governor and PUC made an offer Long Island Lighting Company (LILCO) could not refuse. The state would buy the plant for $1; they could declare the plant a "tax loss" and get back an appreciable fraction of the extraordinarily high cost of the plant against the federal tax bill, and the rest against electricity rates. Although the federal taxpayer paid a fraction of the original cost (inflated by inefficiencies and delays) they paid almost as much as the plant was worth! From the point of view of the LILCO ratepayers, this seemed ideal. The one scientist in Congress, Representative Don Ritter, tried to stop the allowance of the tax benefit, firstly by asking the IRS to rule it invalid and then by a special bill. It seemed to him that it was a terrible precedent to allow someone to abandon it as an imprudent investment when the plant could in fact work economically once sunk costs were ignored. Several citizens of Long Island, joined by the US Department of Energy, tried unsuccessfully to force the state to write an Environmental Impact Statement so that the environmental costs could be publicly presented and properly considered. (The local Shoreham school committee continued to support continued operation until a hole was drilled in the reactor vessel to ensure that no one could change their minds). It is noteworthy that the alternate source of electricity is the burning of oil or natural gas. In the cost comparisons no allowance was made for the environmental cost of emission of greenhouse gases.

Yankee Rowe

I have mentioned before that Yankee Rowe produced cheap electricity in New England in 1970 at 0.95c/kwh (about 2 cents/kwh in 1992 dollars). But it was also an old plant. By 1991 the costs had risen to 7.1 cents/kwh. In summer 1991 concerns were raised by NRC staff and others. "Had the reactor vessel become dangerously brittle from neutron bombardment?" The NRC staff originally agreed with carefully argued presentation by Yankee Atomic Corporation, the owner of the power plant that it had not. But after intervention by a group critical of nuclear safety, the Union of Concerned Scientists, (UCS) who also claimed that Yankee Rowe a lot more dangerous than more recent plants, this was reviewed. This review was encouraged by the new Chairman of the Commission, Dr Selin, who apparently wanted to make his name as a tough regulator. The plant was shut down while new tests were to be conducted. These new tests were to cost only $28 million (Kadak, 1992), (less than 0.1 cents/kwh amortized over 20 years) but the utility felt no confidence that the tests would actually satisfy the NRC, and that more would not be demanded - particularly at the time of license renewal in 2001. A calculation suggested that over the next ten years other sources of electricity would be cheaper. Although not stated it is likely that natural gas (or oil) will effectively be the replacement (although a new coal fired cogeneration plant of the same size as Yankee Rowe has just been approved for Eastern Massachussets)

I note that no allowance was made in the comparison for the environmental cost of the emission of greenhouse gases, and no one protested on behalf of environmental diversity or preservation of the habitat of Canadian Indians when New England proposed to buy hydropower from Hydro Quebec.

An interesting facet is that if Yankee Atomic, the owner of the plant, had spent the $28 million on studies and still not been allowed to operate again, the costs might be called imprudent and then the company might not collect from the ratepayers. If the studies had been made while the plant was operating, a different situation would have prevailed and they might have decided differently.

This is an example of a general case; plants should not be shut down while studies are made unless there is a real safety emergency.

San Onofre I

San Onofre I (SONGSI) is a 500 MWe reactor which has been operational since 1968. It has just completed a record continuous run without shut down for maintenance. It comes to the attention of the California PUC when NRC insisted on $150 million in capital improvements (to make it more earthquake resistant) in 1980. The alternative considered was to shut down and use natural gas using a new combined cycle generating plant. Various scenarios can be made about future prices, but if it is assumed that O and M costs for nuclear power continue to rise, and natural gas prices do not rise for the next 6 years, (figure 7) shut down becomes economic.

The California PUC had suggested that Southern California Edison run San Onofre I as an Independent Power Producer (IPP). They declined. Presumably they would sell the power plant for $1, and even make an adjustment for costs of decommissioning. If the PUC are wrong in their economic forecasts, anyone who buys and operates such a plant will make money. Where are the pronuclear millionaires who can afford to make such a gamble? Alas, it seems that the only pronuclear people left are a few crazy, starry-eyed academics with no money!

The California Energy Commission and the PUC staff had recommended that environmental issues be taken into account in such comparisons. However, no allowance was made by PUC for the greenhouse gases emitted by the replacement power plant. If it had been made, the balance would have thrown the decision the other way

Trojan

The Trojan nuclear power plant in Oregon has a larger capacity than either of these (1130 Mwe) and the economic factors might be thought to be superior. However the management of PGE have made a "final" decision to close Trojan at the end of its current fuel load in 1996 (Trojan, 1996). Again, however, the continued operation of Trojan was compared with new combined cycle gas generation and, on the assumption of a 1.5% yearly increase in O and M costs from 1993 to 1996 and 3% above 1996, leading to another doubling of costs by 2017, but little rise in gas prices, was found wanting.

These may seem unreasonable 0 and M projections. In a revealing comment PGE explicitly say "what was ultimately chosen was a compromise between the plant's input and other interested parties inputs" (Heintzmann, 1992). Although Trojan claims externalities have been figured in, inadequate allowance has been made for the environmental costs of emitting greenhouse gases. It also appears that the scenario assuming spot prices of natural gas has already been shown to be defective by the doubling of the spot price after the hurricane in September 1992 forced the temporary closure of several off-shore gas wells.

What allowance should be made for the emission of greenhouse gases? In a paper I presented at an earlier conference in this series I discussed this question. (Wilson 1988) Many economists have done so also. Economists discuss a "tax" on carbon of $40/ton (Nordhaus, 1991), (Jorgensen and Wilcoxen, 1990). If allowance is made for the different amounts of CO2 produced, this will amount to 0.08c per cu ft of natural gas, or about 0.6c/kwh of electricity with 50% efficiency. This was proposed by Ross Perot during the presidential elections and it is not improbable that it will be imposed during the next ten years. Although 0.6c/kwh seems small it would turn the PUC decisions around in some cases.

In this PGE ignored an additional important point (Heintzmann 1992). CH4 is a greenhouse gas which is 23 times as important, molecule for molecule, as C02. Even if 4% of the gas leaks anywhere between the well and the power plant the effect (together with an assumed tax) is doubled to 1.1c/kwh. An English study, (Grubb 1991) suggests that a 10% leakage rate is possible. Moreover sometimes CO2 comes out of the well with the gas. In one field in Indonesia, which may well be supplying California, four CO2 molecules come out for every CH4 molecule, multiplying the effect by a factor of 4! The Oregon Public Utility Commission (OPUC 1992) explicitly opted to ignore this also.

Should we resurrect the nuclear option?

Is the success of this antinuclear strategy a great success of mankind over those who would misuse the forces of nature, or is a stupid refusal of mankind to understand the physical world in which we live, and to use God's bounty for the benefit of all mankind? It has been common for antinuclear activists to state that opposing nuclear power is not a technical but a moral issue, and that nuclear power is an intrusive evil. I suggest that while admitting that nuclear power may pose more moral issues than technical ones, it should be considered immoral to willfully oppose a technology that can improve the living standards of a number of the world's poor. Nobel Laureate Andrei Dmitreyvich Sakharov, speaking at the "Forum for a Nuclear Free World" in Moscow in February 1987, reproved his German "Green" colleagues. He suggested that instead of opposing nuclear energy, they work to make it safer; because the world will need nuclear energy as it strives to help the developing countries.

The mixing of Bombs and Power plants

In 1946 nuclear physicists and others returning from the war, did not want the atomic bomb to be under military control, and insisted upon a civilian Atomic Energy Commission (AEC) to oversee all uses of nuclear fission. This decision, however useful it may have been in controlling military excesses, laid deep problems for peaceful uses. For many years, military uses, and military habits of secrecy, influenced the Commission. A myth arose that bombs and nuclear power stations are inseparable, even though most power station engineers know less than many bright undergraduates about how to make a bomb, and no nation has ever used a nuclear power program in the quest for nuclear weapons. This mixing has led to official secrecy and a confusion of thought eagerly exploited by a few antinuclear scientists.   There is no doubt that the system and the people who are knowledgeable about a nuclear fuel cycle can be used to plan and build a fuel cycle for bomb making. But such people can also prevent clandestine bomb making. This is a vital issue which needs far more discussion then I can give here.

In discussing nuclear safety, a committee of the International Atomic Energy Agency (REF) discussed two levels of accident probability; firstly a tolerable limit above which the technology should not proceed. The law, as interpreted by the US Supreme court In Silkwood (1984) clearly says that "the promotion of nuclear power is not to be accomplished 'at all costs'". The Chernobyl accident clearly exceeded this. Secondly there is a "de minimis" limit where the accident is generally regarded as impossible, and needs no further thought. The Nuclear Regulatory Commission and the nuclear industry have been addressing the second, de minimis, level. But it could be argued that if the alternative is the closing of an acceptably safe nuclear power plant, should not the comparison be to the safety of the alternative technology calculated in a similar way? This is not done at the present time. It is paradoxical that two states which have been leaders in urging "least cost" energy planning, New York and California, rejected a request from citizens and others, including the Council for Environmental Quality, that they prepare an Environmental Impact Statement for the proposed dismantling of Shoreham and Rancho Seco although the stated purpose of an environmental impact statement is similar to the least cost energy plan. New York and California fought the requests in court (and won). This has led to speculation that the call by these PUCs for consideration of environmental factors is insincere; as presently applied they must be mentioned, but are not included in any decision. Would the present uses of fossil fuels satisfy the published "safety goals" of the Nuclear Regulatory Commission if an appropriately conservative view is taken of the effects of air pollution, or of the likelihood of war as we squabble over the price of oil?

Even natural gas, which is the particular fuel in the comparisons above, is not completely benign. There is a long list of risky locations; from accidents in drilling; fires on off-shore rigs; pipeline explosions, and explosions at the end user. Supermarkets have been destroyed in the dead of night; and if the contents of a typical LNG tank were mixed stoichiometrically with air, and ignited, the explosion would be the size of 20 Hiroshima bombs. Colgate's (1974) scenario of the hazard of natural gas getting into sewers, by evil intent or otherwise, was laughed at. It is similar to an accident that occurred in Mexico recently and has never been properly considered. Bad operation, similar to that at Chernobyl, caused an accident in the trans-siberian pipeline in 1987 which incinerated 300 passengers on a passing train. These and other accidents happened with Liquefied Petroleum Gas (LPG) which is heavier than air. It is likely that for LNG which is lighter than air except when in large quantities in a cold cloud, the accident probability is much less. Nonetheless, this is rarely argued.

Public Utility Commissions often now demand "Least Cost" energy planning. While it is far from clear that the procedures specified lead to a lower cost than the procedures that they replaced, "least cost" plans are supposed to ensure that all factors are considered including environmental factors. But in all the cases above, the main environmental concern about natural gas, the potential increase of the greenhouse effect, was ignored or incorrectly calculated.

Comparisons of environmental hazards have been numerous in the last 20 years. I note in particular three studies: by a French "colloque" (SFDN 1980) by Ottinger (1991) and by an expert symposium of a dozen UN agencies (IAEA 1991), Ottinger's study (figure 8) assumes a Chernobyl-type nuclear accident every few decades - an assumption that no expert would make. However, I include it here as an example of a study that corresponds to public perceptions; that has been used, and will continue to be used unless decisively contradicted. Both the French "colloque" and the UN study puts nuclear power and natural gas on a par as regards environmental effects, and both much safer than use of coal or oil.

My tentative conclusion, however, is that if it were not for global warming, no one would worry about the replacement of nuclear power by natural gas. But in this conference we are explicitly considering greenhouse gases so we must worry.

Other developed countries

For completeness I mention, but do not elaborate, the situation in other countries. England, Germany and Sweden seem to have a situation not unlike that in the USA. Austria, Denmark and Italy have abandoned nuclear energy. France alone of European countries has a well organized plan for construction, operation and paying for nuclear power plants which is of some envy in the US. Although their success is often attributed to having one type of reactor, the latest in the series differs considerably from the earliest. I contend that it is their planning which distinguishes them. Japan has many diverse reactors; but although it does not produce as much nuclear electricity as France, it also has a well organized plan.

The economic and political situation in eastern Europe is confused. Electricity is sold very cheaply - at less than half the fossil fuel price on the international market. The incentive, therefore, to use nuclear energy where the labor costs are internal, or payments can at least be made within the former COMECON system is considerable. They are trying to continue and expand nuclear energy.

Western doubts about safety of Soviet designed reactors led many western countries two years ago to call for their shutdown - a plea echoed by some of the East European people. However, there was unanimous agreement at a special meeting on safety of Soviet reactors that the proper course is to help very competent professionals in these countries upgrade their safety standards (ANS 1992).

Developing countries

Every time a nuclear power plant is built instead of a fossil fuel power plant it will play its proportionate part in reducing the emission of greenhouse gases and limiting global warming. But there has always been an additional concern about developing countries. Will a developing country have a system like that in the USSR (which led to Chernobyl) or one like that in France? (which has had no major accident) It is common particularly for people who call themselves liberals to be paternalistic and to state that the technology is too hard for a developing country. But let us look at the record. In 1955 most westerners, arrogant as we are, would have considered Korea a developing country. Yet Korea has built up a nuclear power program which appears to be operated as well and as safely as any in the world. They have accepted the advice, help and training of the western world without developing an inferiority complex. The same applies to Korean industrial development generally. In contrast, Iran had a better start than Korea; it had oil money and a long intellectual tradition. But its political problems in the late 70s led it to abandon nuclear energy, and other industrial development has lagged. I was Chairman of a committee reviewing the operation of the nuclear power plants in Taiwan (Wilson 1992). It was abundantly clear to us that the Chinese are technically, and in Taiwan politically, as capable of running these plants as anyone in the world. Since our report, the Republic of China had decided to build a fourth nuclear reactor unit of two reactors by the year 2000.

In 1982 I visited Egypt and discussed Egypt's hopes for a nuclear power plants to be built at El-Dabah, near the large populated area of the Nile Delta. An elderly engineering Professor asked whether I thought that Egypt was capable of operating such a plant. I reminded him that in 1956 the British seriously stated that Egypt was not competent to run the Suez canal by themselves. Yet after Egypt took it over from the British Government, many needed modernizations and improvements were made without fuss and fanfare; the canal has probably been better and more safely run than before. But it will be hard to compete with fossil fuels Oil and natural gas are sold internally at prices far below the international price, making an effective subsidy. If capital can be provided to provide an equivalent subsidy for nuclear energy Egypt seems a good candidate for expansion.

The fundamental feature of nuclear power, its energy density, helps developing countries. To run a successful and safe nuclear power program it is not necessary that all the people in the country have technical training. I note that an attempt to develop a windmill program in Egypt in the 1960s had failed; there were too few technicians for maintenance. But for nuclear energy one merely needs a small number of highly technically trained people. As countries develop, this happens naturally as the bright and privileged few are educated overseas. This can be called, and is, elitism. It may be an unpopular thought to the starry eyed liberals of Berkeley (CA) and Cambridge (MA). But is it wrong? I suggest here that those developing countries that can politically accept a technically trained elite, can have a successful nuclear power program. But this technical training inevitably is associated with a degree of political freedom that is sometimes difficult for politicians of a developing country to accept. The Philippines have built a nuclear reactor. Politically we did not help; allowing domestic opposition to nuclear power to delay shipping of parts to the Philippines. Worse still, the reactor was associated with the old, discredited Marcos regime. There is a widespread belief that Westinghouse paid a large bribe to Marcos' family. It has taken several years for the perception of corruption to fade. Only now are steps being taken to bring the power plant into operation. But this could be a promising new beginning.

Can we allow the "free market" between nations to decide which countries are "allowed" to have nuclear power? I think not. All the world must worry about a country that tries to develop nuclear power but fails to support the technical elite; they will have power plants that are badly run; there will inevitably be political pressures to cut corners to provide output at the expense of safety. Already Europeans and Americans see the importance of ensuring that the power plants in the former USSR are run safely. We do not want another Chernobyl. How the world is going to give this help without being charged with interference in domestic affairs is an interesting challenge.

The present situation of the republic of Armenia is instructive. 3 years ago, after the earthquake, there was public pressure to shut down their two VVER 400 reactors. They were built in an area of high population density, and in an earthquake zone. Three US engineers of Armenian ancestry visited the plants and reported (Hadjian 1978) that although the reactors were earthquake resistant, the auxiliary systems were not. The central government of the USSR shut the plants down. Now Azerbaijan has cut off oil supplies, and intercepted the natural gas pipeline from Russia. Armenian industry is at a standstill. There is now a considerable movement to restart them, event though there will have to be extensive rehabilitation. The new President of the republic, Lev TerPetrossian, was among those who 3 years ago wanted the plants to shut down; but now the desperate situation of his country forces a change in thinking. Armenia is searching for international sources of capital for a loan to recommission the plants. This example shows that political opposition is likely to reverse itself when other more troublesome political situations dominate. It seems vital, therefore, to ensure that neither San Onofre I or Trojan be actually destroyed in the way Shoreham has been.

It is useful to realize that the low transportation costs of nuclear fuel make nuclear energy particularly competitive in countries with no indigenous fuel supplies such as Japan and Taiwan. Such countries will also find that an attractive feature of nuclear energy is the ability to store many years of supply on site: compared with a typical 3 months for a fossil fuel power plant. This leads to a degree of political security that may match the historical needs of the country. Japanese are fond of reminding us that they entered the first world war on the side of the British (against the Germans) to safeguard supplies of Manchurian coal; and entered the 2nd world war against the British, Dutch and Americans, because of the oil embargo against them of summer 1941.

Technological improvements.

Recently much fuss has been raised about a "new generation" of reactors that is safer than the old. I believe that reducing this probability further will have no influence on the anti-nuclear community. Indeed a risk 1 benefit analysis gives a negative balance, however low the risk, if the benefit if zero or negative as many anti-nuclear people perceive. The calculated probability of core failure is 10-5 instead of 10-4 (REF). The discussion above leads me to claim that the important issue is whether this safety advantage can be translated into a lower construction cost, and even more importantly a lower operating cost. One way might be less regulation. If this can be done, nuclear power may revive. Since an outsider cannot easily tell who is responsible for which cost, all I can do is recommend intensive thought by the utility industry and by the Nuclear Regulatory Commission.

There has been an order from the NRC commission to the staff to make rule changes only when these are cost effective. Yet the orders to Yankee-Rowe and San Onofre that forced their demise were based on earlier (vague) rules. Nor has this order yet shown itself in a reduction in O and M costs. Nor has it shown itself in a general belief that the cessation of increase is permanent.

The next generation of plants may be more standardized, so that the Utility Director may know what he is ordering. But whether that will in fact happen and lead to the needed reduction of cost is open to question. History has few recorded cases of relaxed regulation. C. Northcote Parkinson (Parkinson 1950) reminded us that the staff of the British Admiralty expanded between 1914 and 1928 by 74% even as the number of capital ships decreased by 68% and the numbers of sailors decreased by 31%. This increase in the bureaucracy comes to a little over 5% per year. Likewise, unless we take forceful action, the NRC staff will expand at 5% per year well after the last nuclear power plant is shut down!

In 1975, when the AEC was broken up, and ERDA and NRC were created from the wreckage, I proposed an "Energy Regulatory Commission" omitting the word nuclear. Maybe it is time to consider this; then all energy supply methods might be considered on an even basis. Then one can find out whether treated equally nuclear power is expensive or not. If that cannot be done, maybe state legislators can enact a nuclear set-aside for operating plants to make sure that this option does not completely vanish.

Nuclear fusion has been studied for over 40 years as a source of electricity which is environmentally superior to fission, and offers an unlimited amount of fuel from sea water. It has suffered in the past from too much optimism. This led to a public discounting of any projection and has obscured the strides made in the last 15 years. A test reactor (Joint European Torus, or JET in Culham, England) has been close to achieving "break even"; generating more heat than the electricity consumed by the reactor itself. Since the fusion reactor is more complex than a fission reactor, the cost of a fusion electricity generator is likely to be higher than fission electricity generators if other factors are equal. But if the safety advantage can be translated into simpler regulation, fewer security guards and similar cost cutting mechanisms, nuclear fusion may well have a bright future. In 1991 a special advisory committee of the US Department of Energy recommended a program that might enable US to build an economically competitive fusion power plant by 2020 (Stever 1991).

Conclusions

None of the factors that have led to the increase in cost of nuclear energy, and other undesirable consequences, have changed appreciably in the last 10 years (in the USA).
- the scientific future for nuclear power remains excellent
- the technical future for safe nuclear power is steadily improving
- the economic future for nuclear power is still getting worse
- the political future for nuclear power still looks bleak.

If it is desired to continue nuclear power development in spite of the evident existence of some adamant opposition it is necessary to reduce the possibility that the opposition can cause expensive cost increases by legal delays. The recent "one-stop" licensing must be seen in this light. However federal action is not enough; the evacuation planning rule of 1980 gives a veto to the Governor of each state, even though since 1989 it has been only temporary and therefore merely a delay. It supplements the considerable state power of economic regulation. Even individual states have created and can continue to create a climate that prevents any resurgence of nuclear power in the USA.

I believe that the only hope for a resurrection of nuclear power in the USA is for a massive effort on public education by the scientific and technical community. Scientists must speak out. In particular, I call on physicists which field were the first proponents of nuclear electric power, to make public statements. They should do so soon before the industry has disappeared.

Some of the legislative and regulatory preconditions are in place. We must insist that they be used. The NRC has a sound set of "Safety Goals", but that does not prevent them proposing additions to make the safety projections exceed these goals. NRC in 1975 adopted a "definition" of "As Low As Reasonably Achievable" ALARA, that improvements be made if they cost less than $1000/manRem. Yet this does not stop NRC and EPA demanding expenditures (especially for waste disposal that far exceed these amounts. Lay people must be asked to join scientists in demanding a proper comparison with other sources of electricity generation and appropriate changes in all aspects of the industry including its regulation. If nuclear proponents are correct these will enable economic operation again. Unless this happens soon, the present competent people in the nuclear industry will leave and new students will not be attracted. It will then be more expensive and less safe to start again. Although I do not now foresee such a change, it might happen fast.

For the countries of the Pacific Rim, Japan, Korea, Taiwan and even mainland China:
- the scientific future is the same as in the USA;
- the technical future is the same as in the USA;
- the economic future is bright and;
- the political future looks excellent.

This might be seen as one more example of why the next century will be an "oriental century." The resurgence of nuclear power may come from the orient; let us also hope that if and when it is again economically and environmentally attractive for the USA, our country will follow close behind. Otherwise our economy will inevitably decline and we will become an undeveloping country.

References

ANS (1992) "Workshop on Safety of Soviet Designed Nuclear Power Plants", American Nuclear Society, Chicago, IL.

Ayyaswami P., B Haas, T Hsieh, A. Moscati, T.E.Hicks, D.Okrent (1974) "Estimates of the risks associated with dam failure" University of California at Los Angeles, UCLA ENG-7423 March

California (1976) #25524.2 of the California Public Resources Code.

Colgate S. (1974) Privately circulated memorandum.

Grubb, M.J., (1991) Energy Policies and the Greenhouse Effect, Dartmouth Publishing Company, Hants, England.

Hadjian A.,et. al. (1978) Report to the Government of the Republic of Armenia.

Hebel, L.C., E.L.Christensen, F.A.Donath, W.E Falconer, L.J.Lidofsky, E.J.Moniz, T.H.Moss, R.L. Pigford, G.J.Rochlin, R.H.Silsbee, M.E Wrenn, (1978) "Report to the American Physical Society by the study group on nuclear fuel cycles and waste management" Rev. Mod Phys. 50 number 1, part II S1 to S186.

Heintzman D.W., Director, Corp. Cummunications PGE, letter to R. Wilson.

IAEA (1991), "Environmental effects of electricity generation: Report of an expert symposium." International Atomic Energy Agency, Vienna XXXXXXXXXX

Hansen, K. et. al. (1989) xxxxxx Technology Review

Jorgensen, DW and Wilcoxen PJ (1990), "The Cost of Controlling the Greenhouse Emissions", Workshop on Modeling for Climate Policy Analysis, Washington, DC, (October).

Kadak, A (1992), Yankee Atomic Electric Company, letters to R. Wilson.

Kapitsa, S.P., (1991) Scientific American, October

Mahoney S. (1992) "PLEX: Nuclear Power Plant Life Extension or Extinction?", Public Utilities Fortnightly, Nov. 15.

Nordhaus WD (1991) "To Slow or Not to Slow: The Economics of the Greenhouse Effect", Economic J. (July).

NRC (1980) "Emergency Planning: Final Rule", US Nuclear Regulatory Commission; chanegs to 10CFR50, Federal Register 45, 55402 August 19th

OPUC (1992), "External Cost Proceedings", Oregon Public Utility Commission (Docket UM-424)

Ottinger R.L. (1991) "Environmental Costs of Electricity", report from Pace Institute.

Parkinson C.N. (1950) ,"Parkinson's Law"

Pasternak, A.D. and R. Budnitz, (1987) "State-Fededral Interactions in Nuclear Regulation", Lawrence Livermore Laboratory, Livermore, CA, UCRL 21090

SFDN (1980) "Colloque sur Les Risques Sanitaires des Differentes Energies", Societé Française d'Energie Nucleaire, Gedim, Paris.

Silkwood (1984), Bill. M. Silkwood,... appellant v. Kerr-McGee Corp... et.al. No 81-2159. Decision of the U.S.Supreme Court 464 US 238, 78L Ed 2d 443,104 S Ct 615. January 11th

Stever, G.G. et.al. (1991) "Report of Fusion Power Advisory Committee (FPAC)" US DOE.

Tribe, L. (1983) Counsel for the California Energy Commission; quoted in Sacramento Union, April 21st

Trojan (1992) "Least Cost Analysis for Trojan"

Wells CW (1989), "Prudence Audits Are Narrowing Our Energy Choices", Public Utilities Fortnightly, p. 11, May 11th.

Wilson, Richard (1972), "Kilowatt Deaths", Letter to Physics Today Vol 25, p. 73.

Wilson, Richard, et. al. (1992) "Nuclear Power Operations in Taiwan", Report to the Honorable Vincent Siew, Minister of Economic Affairs, March 29th. (made public by the Minister in English and in Chinese)

Wilson, R, (1989) "Global Energy Use: a quantitative analysis" in Global Climate Change Linkages, Ed J.C.White, Elsevier

Figures

Figure 1: Some Energy Projections/ Compared
Figure 2: As 1 but will my suggestions of nuclear power increase
Figure 3: Total Cost of Yankee Rowe
Figure 4: Operating Cost of Yankee Rowe
Figure 5: Staff of Yankee Rowe
Figure 6: Operating for Industry (from Trojan)
Figure 7: Natural Gas Prices Next Few Years















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