How big a factor is cost in developing and operating nuclear power projects?
Due to the transition to competitive electricity markets, nuclear utilities are reassessing the economic value of their reactors. Where governments formerly subsidized some of the high costs of building and operating reactors, that burden is now shifting to investor-owned utilities. Utilities have responded by reviewing their reactor operations in detail. Less productive reactors are being sold or prematurely shut down. Owners of more productive reactors are pursuing capacity upgrades and licence extensions. In 2007, US nuclear power plants achieved a record low average electricity production cost of 1.68 cents per kilowatt hour. For a comparison of nuclear’s cost to those of other fuels, please see the Fuel Comparisons section. For more information on nuclear energy, please go to the Nuclear Energy Institute www.nei.org. By comparison with coal, oil and gas consumed in generating electricity, the fuel cost in nuclear power is relatively minor compared to total nuclear costs. This rema
