Welcome to AtomWatch - world nuclear power news and analysis

This blog is aimed at tracing the world news related to nuclear power development internationally and in particular countries. Being an independent resource, we accept all kinds of opinions, positions and comments, and welcome you to discuss the posts and tell us what you think.

Tuesday, September 30, 2008

On 17 September 2008, the OECD Nuclear Energy Agency (NEA) published a new report:

Market Competition in the Nuclear Industry

This is a timely and useful overview of the world nuclear industry, with a focus on
the OECD. This report provides (for only US$60!) an excellent summary of the markets and competition issues associated with all aspects of the nuclear industry, including power plants, front and back end of the nuclear fuel cycle, power plant services, and decommissioning.

NEA’s Synopsis:

Nuclear power plants require a wide variety of specialised equipment, materials and services for their construction, operation and fuelling. There has been much consolidation and retrenchment in the nuclear industry since the 1980s, with the emergence of some large global nuclear companies. Electricity market liberalisation in many OECD countries has meanwhile placed nuclear plant operators under increased competitive pressure.

These structural changes in both the producer and consumer sides of the nuclear industry have had implications for the level of competition in the nuclear engineering and fuel cycle markets. With renewed expansion of nuclear power now anticipated, this study examines competition in the major nuclear industry sectors at present, and how this may change with a significant upturn in demand.

Link to this document on NEA publications page: http://www.nea.fr/html/pub/ret.cgi?id=new#6246

See my LinkedIn profile at: http://www.linkedin.com/in/edwardkee

Monday, September 29, 2008

US House approves US-India Nuclear deal


Today, the U.S. House of Representatives gave final approval to the U.S.-India Civilian Nuclear Cooperation Initiative with a bipartisan vote of 298-117.

The bill must now be approved by the Senate. There are already reports that Secretary of State Condoleezza Rice may fly to New Delhi shortly to complete the process.

Approval of this is expected to open up business opportunities for companies such as General Electric, Westinghouse, Bechtel and Stone/Webster as India prepare to spend up to $100 billion on new nuclear power plants. French and Russian companies are also likely to compete for this business.

There’s been a lot of malarkey about the agreement. Some of this malarkey comes from the democratic congressman from Massachussetts, Rep Ed Malarkey, eh Markey. He argued incredibly that ” opposing the bill did not mean opposing India. This is a debate about Iran. This is a debate about North Korea, about Pakistan, about Venezuela, about any other country in the world that harbors the goal of acquiring nuclear weapons.”

The deal has made it through Congress so far in just a few weeks since the Nuclear Supplier Group gave the nod in early September. But AFP reports today that “The agreement had long been stalled in Congress,”. It seems that both Rep Markey and the AFP are distracted by the financial meltdown.
(Source: Khabrein.info)

Hugo Chavez wants Venezuela to build nuclear programme

Venezuelan President Hugo Chavez has announced he wants the country to develop a nuclear programme with the help of Russia. He insists, as do the Iranians, that it would be for purely peaceful purposes.

"We certainly are interested in developing nuclear energy, for peaceful ends of course, for medical purposes and to generate electricity," Mr Chavez said during a political rally of his United Venezuelan Socialist Party in Caracas. "Brazil has various nuclear reactors, as does Argentina. We will have ours and Vladimir [Putin, the Russian prime minister] said Russia is ready to help Venezuela develop nuclear energy."

The Venezuelan president recently returned from Moscow, where increasingly close ties were cemented with planned joint military exercises, energy accords and a Russian offer of a billion-dollar credit line to Venezuela for further arms purchases. Mr Chavez has already spent $4.4 bn on Russian aircraft, submarines and weapons. The Venezuelan president said he had forged a "profound friendship" with Mr Putin.

Colombia and other neighbours are worried by Mr Chavez. A source in the Colombian Defence Ministry said that intelligence reports suggested that while Mr Chavez had publicly called for Colombian rebels to lay down their arms, Caracas was still providing covert support for Colombian guerrillas.

"We know that there are still rebel camps on the Venezuelan side of the border and that the guerrillas move around with relative impunity," said the source, adding that the acquisition of nuclear weapons by Venezuela would destroy the balance of power in the region.

Mr Chavez has supported Iran's nuclear project and turned the Middle Eastern nation into a strategic partner, combining efforts to restrict oil production to keep prices high and engaging in joint economic ventures. Iranian President Mahmoud Ahmadinejad visited Caracas in September last year.

(Source: Telegraph.co.uk)

West, Islamic nations split at nuclear meeting

Islamic anger over Israel's nuclear program and bids by Iran and Syria to gain more influence threaten to turn this week's 145-nation International Atomic Energy Agency meeting into an unprecedented showdown between the West and the developing world.

Opening Monday, the IAEA's general conference has traditionally been an annual chance for the United Nations nuclear monitoring agency's member countries to plan general nuclear policies that range from strengthening nonproliferation to programs of medical and scientific benefit.

Decisions are traditionally made by consensus, a practice that had led all sides to bridge sometimes substantial differences and opt for compromise on most issues for most of the general conference's 52-year history. A vote on any topic is unusual and considered a huge dent in the meeting's credibility.

But Islamic frustration over Israel's refusal to put its nuclear program under international purview and resistance by the Jewish state to Muslim pressure on the issue threatens to force a vote for the third year running.

After losing the vote two consecutive years, Islamic nations are threatening to up the ante this year, warning they will call for a ballot on every item, no matter how uncontroversial, unless they get conference backing on the issues close to their heart.

"In all my years of dealing with the general conference, I have never seen it as divided as this," said one conference veteran Sunday, the eve of the conference. The diplomat demanded anonymity because he wasn't authorized to comment to the media.

As in the past two years, Islamic IAEA members are expected to put forward a resolution urging all Mideast nations to refrain from testing or developing nuclear arms and urging nuclear weapons states "to refrain from any action" hindering a Mideast nuclear-free zone.

Israel, widely considered the only Mideast nuclear weapons state, last year called for a vote on that resolution because of the introduction of a separate Arab-backed resolution deeming Israel a "nuclear threat" and refusal by its sponsors to withdraw it. The resolution was defeated but the fact it was put to the ballot further weakened the consensus principle.

Arab members — backed by Iran — this year have again asked conference organizers to include a similar item. Although it is now labeled "Israeli Nuclear Capabilities" instead of "Nuclear Threat," the Jewish State still objects to being singled out. And diplomats told The Associated Press ahead of the meeting that it will again force a vote on the Mideast nuclear-free zone resolution unless the second item is withdrawn.

Focusing on Israel by name "is substantially unwarranted and flawed," said a letter prepared for review by the conference from Israel Michaeli, the Jewish State's IAEA representative.

Sponsors of the item should instead "address the most pressing proliferation concerns in the Middle East," said the letter in allusion to Iran's defiance of U.N. Security Council sanctions for refusal to stop uranium enrichment and world concerns about allegations that Tehran had past plans to make nuclear weapons.

On Saturday, the U.N. Security Council approved a fourth resolution critical of Tehran's defiance on uranium enrichment, which can create both nuclear fuel and the fissile core of warheads.

But Iran, along with ally Syria, figures even more directly at the Vienna conference because they are among four nations seeking their geographic region's nomination for a seat on the IAEA's decision-making 35-nation board.

Iran's bid is strategic. Tehran is running to counteract a U.S. push to have Afghanistan or outsider Kazakhstan elected over Syria, which is under IAEA investigation for allegedly hiding a secret nuclear program, including a nearly completed plutonium producing reactor destroyed last year by Israel.

Tehran is ready to withdraw from the race if Afghanistan does so, narrowing the field to favored Syria and Kazakhstan, diplomats told the AP. But as of Sunday, Afghanistan, backed by the U.S. and its allies, was not ready to do so.

If the regional group does not agree on a candidate by the time the conference turns to the issue, the meeting will also be asked to vote on which nation should take the board seat.
(Source: AP)

US House backs India nuclear deal

The US House of Representatives has voted in favour of a landmark nuclear deal between India and the US.

The agreement now goes to the Senate for final approval, before President George W Bush signs it into law.

India PM Manmohan Singh, who was in New York for the UN General Assembly, has said India is close to securing a "new status" in the world nuclear order.

India says the agreement is vital for it to meet its energy demands. Critics say it creates a dangerous precedent.

They say the deal allows India to expand its nuclear power industry without requiring it to sign the Non-Proliferation Treaty (NPT) as other nations must.

Under its terms, India would get access to US civilian nuclear technology and fuel.

In return, Delhi would open its civilian nuclear facilities to inspection - but its nuclear weapons sites would remain off-limits.

Race against time

The House passed by the agreement 298-117 votes. Reports say it is likely to go for a final approval to the Senate this week.

"I am happy that one hurdle has been crossed, but it is not the end of the Congressional process and we need to wait for the final outcome," Manmohan Singh told reporters.

US President George W Bush urged the Senate to "quickly" vote on the deal before it adjourns before October.

"Signing this bipartisan bill will help strengthen our partnership with India," he said in a statement.

The US restricted nuclear co-operation with India after it tested a nuclear weapon in 1974.

"India will be liberated from the constraints of technology denial of 34 years," Mr Singh was quoted as saying in a statement issued by his office.

"The civilian nuclear cooperation is in the interest of India, in the interest of the US and in the interest of the world at large," he said.

Correspondents say it will be a race against time if the two sides sign the deal - first agreed three years ago - and regarded as a key foreign policy priority for both the Indian and US governments.

Earlier this month, the Nuclear Suppliers Group lifted a ban that had stopped India from getting access to the global nuclear market.

(Source: BBC)

India, France set to sign nuclear agreement

India and France are poised to ink a landmark civil nuclear deal similar to the one with the United States, which will be the first such agreement to be initialled by any country with New Delhi signalling an end to its 34-year-old nuclear apartheid.

Though Indian officials said that the Indo-French Nuclear Cooperation Agreement is expected to be signed soon, France gave its clear indications that it will be inked during Prime Minister Manmohan Singh's visit to Paris tomorrow for talks with French President Nicolas Sarkozy.

Sarkozy had told PTI that the prospects of cooperation between France and India in the civil nuclear field are "very promising" considering his country's expertise, long tradition of cooperation with New Delhi and an atmosphere of trust.

India and France had initialled the Framework Agreement for Civil Nuclear Cooperation in January but could not sign it pending a waiver from the 45-nation Nuclear Suppliers Group. Now that the NSG has given its nod, New Delhi and Paris are free to sign the agreement during Singh's visit to Paris.

The framework agreement was inked during Sarkozy's visit to India in January this year.

"We have already initialled the framework agreement in civil nuclear matters. It will certainly come up for review and possible signature during my visit," Singh told reporters yesterday when asked whether he expected the nuclear agreement to be signed during his two-day tour to Paris.

(Source: Press Trust of India)

S. Korean leader arrives in Russia for nuclear, gas talks

South Korea's president arrived in Moscow on Sunday for a three-day visit expected to focus on the international standoff over North Korea's nuclear programme and energy ties.

South Korean President Lee Myung-Bak landed at Moscow's Sheremetyevo airport at 1:30 pm (0930 GMT).

Lee is scheduled to meet his Russian counterpart Dmitry Medvedev and Prime Minister Vladimir Putin on Monday, news agencies reported earlier, citing the South Korean embassy in Moscow.

His visit comes days after the UN's atomic energy watchdog said Pyongyang was about to restart a nuclear reprocessing plant and Seoul's foreign minister warned that six-party talks aimed at disarming North Korea were near breakdown.

"The future of the six-party talks will be discussed" at Lee's meetings with Russian officials, ambassador Lee Kyu-Hyung was quoted as saying in Moscow.

Lee also hopes to discuss building a gas pipeline linking Russia to South Korea, the ambassador said.

A pipeline delivering Russian gas to South Korea would have to pass through the communist North, which tested an atomic weapon in 2006.

Encouraged by the international community, Pyongyang began disabling its Yongbyon reactor last November, but halted work last month to protest a US refusal to drop it from a blacklist of countries supporting terrorism.

The International Atomic Energy Agency said Wednesday that North Korea had told the agency that it would restart nuclear reprocessing at Yongbyon, which is used to make weapons-grade material.

Russia -- along with South Korea, the United States, China and Japan -- is one of the five countries negotiating with Pyongyang to achieve nuclear disarmament in exchange for economic aid.

(Source: AFP)

Russia: Upgrade of Nuclear Deterrent Ordered

President Dmitry Medvedev on Friday announced plans to create an upgraded nuclear deterrence system by 2020, including a space defense system and new nuclear submarines.

He said the need for the upgrade was demonstrated by the conflict with Georgia last month, when Russia launched a massive counter-offensive to crush an attempt by Georgian forces to retake the breakaway South Ossetia region.

"A guaranteed nuclear deterrent system for various military and political circumstances must be provided by 2020," Medvedev told military commanders after military exercises in the southern Orenburg region.

"Large-scale construction of new types of warships is planned, primarily nuclear submarines armed with cruise missiles and multipurpose submarines. An air and space defense system will be created," Medvedev said in remarks posted on the Kremlin web site and carried by state news agencies.

The president made no mention of the new Borei-class nuclear submarines, which are designed to carry a new intercontinental missile that is seen as a key future component of Russia's nuclear forces. The missile was successfully test fired earlier this month after repeated failures. The first of the new submarines is to be commissioned later this year, and two more are being built.

Medvedev ordered military commanders to present him with an action plan for implementing the changes by December.

"Just recently, we have had to rebuff an aggression unleashed by the Georgian regime and, as we found, a war can flare up suddenly and can be absolutely real. And local, smoldering conflicts, which are sometimes even called 'frozen conflicts,' will turn into a real military conflagration," Medvedev said.

(Source: Moscow Times)

Nuclear developments in North Korea, India and Iran

NORTH KOREA: A top U.S. envoy plans to travel to the secretive communist nation this week, seeking to salvage a faltering accord to end Pyongyang's nuclear weapons programs, sources said. North Korea said last week that it plans to begin reprocessing spent fuel rods into the raw material needed for weapons. Its leaders are furious that President Bush has not removed their country from a U.S. list of state sponsors of terrorism. In June, North Korea blew up a nuclear reactor cooling tower to signal its commitment to ending its weapons programs. But it has rejected U.S. proposals for verifying other matters.

INDIA: The U.S. House voted overwhelmingly to allow the U.S. to provide nuclear materials to India. The deal, which faces obstacles in the Senate, would reverse three decades of U.S. policy. India would get atomic fuel in return for allowing international inspections of its civilian reactors. Military reactors would not be examined. Supporters say the deal would bring India's atomic program under closer scrutiny. Critics say it would spark an arms race in South Asia and send the wrong message to countries – such as Iran – that are pursuing atomic programs. India has refused to sign pledges not to pursue nuclear weapons.

IRAN: The U.N. Security Council unanimously reaffirmed previous sanctions on Iran for refusing to halt its uranium enrichment program. The council introduced no new sanctions. Iran said it remained determined to pursue "peaceful uses of nuclear technology."

(Source: Dallas News)

First Nuclear Agreement for Alstom's Russian Joint Venture

Alstom Atomenergomash LLC signed an agreement with Atomenergoproekt for the engineering of the turbine generator package and turbine hall equipment, based on Alstom’s ARABELLE™ technology, that will equip the Seversk nuclear power plant in the Tomsk region, Siberia.

This is the first agreement signed by the joint venture established in 2007 between Alstom and OAO Atomenergomash, a subsidiary of Russia’s state-owned Atomenergoprom. The client, Atomenergoproekt, is one of the key engineering companies of Rosatom, the Russian nuclear energy state corporation, and has designed most nuclear power plants in Russia, Eastern Europe and the CIS. The Seversk NPP Project is a two-unit power plant with a total capacity of 2,400 MW (2 x1,200 MW) to be constructed as of 2010 as part of the "AES-2006” Project*, in compliance with the Russian Federal Target Programme.

Alstom Atomenergomash LLC was established in order to equip the turbine islands of nuclear power plants constructed in Russia under the Federal Target Programme, with equipment based on Alstom’s half-speed technology ARABELLE™. The turbines produced by the joint venture will also be supplied to nuclear power plants outside of Russia when based on Russian nuclear reactor technology. Alstom Atomenergomash has manufacturing facilities in Podolsk, near Moscow, where it also has its headquarters, and an engineering centre in St Petersburg.

The ARABELLE™ turbine is central to Alstom’s nuclear technology. Widely acknowledged as the best in the market, the "half-speed” turbine offers outstanding power output (1,000 to 1,800 MW), efficiency and reliability, using a specific architecture and the exclusive welded-rotor technology developed by Alstom Power Systems, used on all Alstom gas and steam turbines. This technology ensures unparalleled efficiency, resistance to corrosion, longevity (60 years), and optimal maintenance, along with minimal costs and call-out times.

Philippe Joubert, President of Alstom Power Systems said: "This agreement demonstrates that our joint venture with Atomenergomash based on the ARABELLE™ half-speed technology has now successfully established itself as a key player on the Russian nuclear market”.

*AES-2006 (or NPP-2006) project is the name of a standard nuclear power plant with a 1200 MW VVER reactor, intended for implementation both in Russia and abroad.

(Source: Welt Online)

Saturday, September 27, 2008

Eskom's nuclear plan hit by crises

Plans by South African utility Eskom to invest heavily in new nuclear generating capacity look uncertain. Political turmoil within the ruling African National Congress (ANC) and doubts about the utility's ability to secure international funding for the program have fuelled concerns that the country's energy woes are far from resolution.

In early 2007, Eskom's board approved a plan to boost electricity output to 80 GWe by 2025. This included the construction of 20 GWe of new nuclear capacity, which would see nuclear's contribution grow to 25% from the present 5%. The plan for the nuclear new-build program would kick-start with up to 4 GWe of pressurised water reactor (PWR) capacity, to be constructed from about 2010 with commissioning in 2016. Five sites in the Cape Province were under consideration, although the most likely initial site would be that of Koeberg, where South Africa's only nuclear power plant of some 1900 MWe has been in operation for the past 22 years.

Following the ANC decision that President Thabo Mbeki should step down on 21 September, a further eleven cabinet ministers and three deputy ministers have also resigned. Whilst the resignation of Mbeki had very little impact on market sentiment, bad planning and a lack of public information saw the business sector and the market react unfavourably to the announcement of the resignation of long-standing finance minister Trevor Manuel. Other high profile resignations included Deputy President Phumzile Mlambo-Ngcuka, minister of science and technology Mosibudi Mangena, and public enterprise minister Alec Erwin.

Mbeki resigned after accusations that he interfered in the prosecution of ANC president Jacob Zuma on corruption charges. The ANC - which is rupturing on what is commonly believed to be tribal differences of long-standing between the Zulu supporters of Zuma and those supporters of the original Xhosa leadership of Mandela and now Mbeki - has chosen ANC deputy president Kgalema Motlanthe as South Africa's President until next year's general election.

The resignations of Mbeki and the government ministers have raised investor concerns over political stability in South Africa. Zuma has pledged that the ANC would ensure a smooth transition and economic policy continuation. However, process so far has only raised question of whether this is possible. The political turmoil comes at exactly the time Eskom indicated, after the last decision was postponed, that it would make its announcement on the preferred supplier of its nuclear new build - or 'Nuclear 1' plans. Eskom initially indicated it would make public its decision during the first half of 2008, but this was postponed until September. The company is now saying there will be a 'decision before the end of the year'.

Eskom has shortlisted Areva's EPR and Westinghouse's AP1000 reactors for Nuclear-1. Areva heads up the EPR Consortium which includes South African engineering group Aveng, French construction group Bouygues and Electricité de France (EdF), which has submitted a bid to supply two EPR units of 1650 MWe. Toshiba's Westinghouse is matching this with a bid of three 1134 MWe AP1000 units. The Westinghouse-led N-Powerment consortium includes the Shaw Group and the South African engineering and construction firm Murray & Roberts.

Areva and Westinghouse have also offered to build the full 20 GWe - with a further ten large EPR units or 17 AP1000 units by 2025. This would be coupled with wider assistance for the local nuclear industry, in Westinghouse's case including development of the Pebble Bed Modular Reactor (Westinghouse is an investor in the PBMR company).

The question though on industry watchers' minds is whether Eskom, in the current climate, has the muscle or influence any longer to fund a nuclear expansion program. The utility has been downgraded by credit rating agency Moody's, with further downgrades also possible from Standard & Poor's and Fitch Ratings.

The current global economic crisis may also make foreign funding hard to come by. The country's National Treasury has committed to a mere 60 billion rand ($7 billion) over the next three years, leaving a very significant shortfall to reach Eskom's 343 billion rand ($42 billion) expansion plans.

(Source: World Nuclear News)

Friday, September 26, 2008

China, Germany say unity key on Iran nuclear program

The foreign ministers of China and Germany agreed Thursday that world powers must be united in their approach to Iran over its disputed nuclear program, a diplomatic source said.

Yang Jiechi of China and Germany's Frank-Walter Steinmeier met on the sidelines of the UN General Assembly after the five UN Security Council members plus Germany canceled a meeting this week on Iran's sensitive nuclear work.

"Both ministers underlined the importance of the 3+3 format and called for a united front on the issue," the source said on condition of anonymity.

The three European partners on Iran, France, Britain and Germany, plus three permanent Security Council members Russia, China and the United States decided to call off a meeting of their foreign ministers on Iran Thursday in New York.

The cancelation came after Moscow pulled out of the event, complaining Washington sought to "punish" it, apparently over the Georgia crisis.

Moscow also cited US refusal to hold meetings this week of the Group of Eight industrial countries, composed of the United States, Russia, Canada, Japan, Britain, France, Italy and Germany.

The United States and Russia appeared to climb down from the dispute Wednesday, agreeing here to hold further ministerial-level meetings in the future on Iran's nuclear program.

The West says Iran aims to produce an atomic bomb -- a charge Tehran strongly denies. But China and Russia have been reluctant to seek new sanctions against Iran despite its continued defiance of the UN nuclear watchdog.

Steinmeier warned repeatedly after the meeting's cancellation that it would be difficult to bring pressure to bear on Iran to stop uranium enrichment if world powers did not demonstrate unity.

The source said Yang and Steinmeier also discussed last month's war in Georgia and that Yang had also stressed his country's interest in stability in the region.

They also covered the US financial crisis and said it pointed up the need for better "international financial regulations".

They added that they hoped a US rescue package would quickly be passed by the Congress and that it would stem the global impact of the market turmoil.

Steinmeier said earlier that he was pleased Chinese-German ties were returning to normal after a rift last year over Chancellor Angela Merkel's decision to meet the exiled Tibetan spiritual leader, the Dalai Lama, at her office.

He announced that a regular bilateral dialogue on human rights would resume in November.

(Source: IC Publications)

New nuclear commission set to meet in Sydney

India and Pakistan will attend an international nuclear disarmament conference for the first time in Sydney next month, Australia's government said Friday, even though the nuclear-armed foes have consistently shunned a nonproliferation treaty.

The 15-member International Commission on Nuclear Nonproliferation and Disarmament will meet Oct. 19-21 to "shape a global consensus" on improving the 28-year-old Nuclear Nonproliferation Treaty before it is reviewed in 2010, the government said in a statement.

"The commission's two-year mandate is to reinvigorate the global debate on the need to prevent the further spread of nuclear weapons and for nuclear disarmament," Australian Prime Minister Kevin Rudd was quoted as saying.

Australia's former foreign minister, Gareth Evans, will co-chair the event with Yoriko Kawaguchi, an ex-foreign minister in Japan, the government said. Senior Indian diplomat Brajesh Mishra and Pakistan's ex-army chief Jehangir Karamat are to be among the delegates.

Evans has recently said all nuclear powers — including those who have refused to join the nonproliferation treaty such as India, Pakistan, North Korea and Israel — must be included in the new process if the world is to ever achieve disarmament.

Commissioners from five nuclear powers — United States, China, Russia, Britain and France — will attend, as well as representatives from Saudi Arabia, Indonesia, Germany, Norway, South Africa and Mexico, the statement said.

Ron Huisken, a nuclear proliferation expert from the Australian National University's Strategic and Defense Studies Center, said the inclusion of India and Pakistan was significant because neither country had been directly involved in such negotiations since the treaty came into force in 1970.

"Somehow you have to bring them into a regime of restraint," said Huisken, who described India and Pakistan's inclusion as "very sensible."

"If they're going to reverse a pretty serious erosion of the whole nonproliferation drive, they do need to get all the players, both incipient and actual, into the exercise," he added.

The 190-nation nonproliferation treaty was established to prevent the spread of nuclear weapons and technology and to further the goal of nuclear disarmament. It is reviewed every five years.

Under the treaty, only countries that tested nuclear weapons before 1967 are allowed to remain nuclear powers. India and Pakistan would have to disarm if they were to join.

(Source: AP)

IAEA chief: Report on Syrian nuclear plans needs more time

The chief of the International Atomic Energy Agency (IAEA) has said that it needs more time to prepare a report on Syria's nuclear plans as required by the United States.

"It is impossible for the International Atomic Energy Agency to issue the report on Syrian nuclear plans within a few weeks as required by the United States, said Mohammed ElBaradei, IAEA Director General, here on Thursday evening.

ElBaradei also noted that the IAEA's work should not be guided by political intentions, and that the IAEA will not issue the report before it fully understands the facts, according to media news here on Friday.

ElBaradei also showed dissatisfaction to the United States and Israel for only providing the IAEA with photos of the destroyed facility in Syria after the Israeli air force bombed it out.

He pointed out that the photos only show destructed buildings, but "It is very difficult for us to find out the facts after the destruction of this building."

Israeli air force bombed out a facility in the remote desert region of east Syria in Sept. 2007. The United States and Israel claimed this facility to be a secret nuclear reactor, but Syria said it is only a normal military facitlity. Therefore, the IAEA began probing the area and has required further explanation from Syria.

So far, the IAEA has found no radioactive material in the area of the destructed facility, but the IAEA would continue its investigation, ElBaradei said on the IAEA council meeting in Vienna on Sept. 22.

(Source: ChinaView)

Prospects for nuclear deal uncertain in Congress

A landmark agreement on civilian nuclear cooperation between India and the U.S. has been a high priority for President Bush and the Indian government, but time is running out as lawmakers wrap up this year's session to campaign for the November elections.

And the bill faces long odds.

A Senate committee overwhelmingly approved a bill on the nuclear agreement this week, but the measure has not been presented to the full Senate or in the House.

In remarks at the start of an Oval Office meeting Thursday with Indian Prime Minister Manmohan Singh, Bush said the deal is an example of how the U.S.-India relationship has changed for the better during his administration.

"It has taken a lot of work on both our parts, a lot of courage on your part," Bush said, looking toward Singh. "Of course we want the agreement to satisfy you. We have to get it out of our Congress. We are working hard to get it passed as quickly as possible."

The pact would allow the U.S. to sell nuclear materials to a country that has tested nuclear weapons but has refused to sign international treaties designed to limit the illicit spread of such materials. The accord would reverse three decades of U.S. policy by shipping atomic fuel to India in return for international inspections of India's civilian, but not its military, reactors.

India has faced a nuclear trade ban since its first atomic test in 1974.

In a sign of the difficulty facing the measure, Rep. Edward J. Markey, D-Mass., a member of the House Energy and Commerce Committee, said the deal poses unacceptable risks to U.S. national security.

"Unbelievably, if India tests a new nuclear weapon, the deal does not cut off their supply," Markey said in a statement.

Supporters had hoped to have it included in a broader spending bill Wednesday, but the legislation passed the House without it.

The House and the Senate would have to pass the bill and send it to Bush for the deal to go through before a new administration takes office in January. The last-minute attempt comes as Congress debates the bank bailout plan and rushes to pass numerous important measures before shutting down for the year.

This month, the 45-nation Nuclear Suppliers Group of countries that supply nuclear material and technology agreed to lift the ban on civilian nuclear trade with India, the last necessary step before Congress could consider the deal. The ban was imposed because India is not a signatory to the Nuclear Nonproliferation Treaty and has developed nuclear weapons.

The administration has warned that failure to ratify the deal would keep U.S. companies from doing business in India's multibillion-dollar nuclear energy sector.

(Source: AP)

Thursday, September 25, 2008

Eskom's nuclear plan hit by crises

[More information on the goings on in SA. Looks like new nuclear will be delayed for a while.]

http://www.world-nuclear-news.org/C-Eskom_expansion_plan_hit_by_political_and_financial_crises-2509084.html

25 September 2008
Plans by South African utility Eskom to invest heavily in new nuclear generating capacity look uncertain. Political turmoil within the ruling African National Congress (ANC) and doubts about the utility's ability to secure international funding for the program have fuelled concerns that the country's energy woes are far from resolution.
In early 2007, Eskom's board approved a plan to boost electricity output to 80 GWe by 2025. This included the construction of 20 GWe of new nuclear capacity, which would see nuclear's contribution grow to 25% from the present 5%. The plan for the nuclear new-build program would kick-start with up to 4 GWe of pressurised water reactor (PWR) capacity, to be constructed from about 2010 with commissioning in 2016. Five sites in the Cape Province were under consideration, although the most likely initial site would be that of Koeberg, where South Africa's only nuclear power plant of some 1900 MWe has been in operation for the past 22 years.
Following the ANC decision that President Thabo Mbeki should step down on 21 September, a further eleven cabinet ministers and three deputy ministers have also resigned. Whilst the resignation of Mbeki had very little impact on market sentiment, bad planning and a lack of public information saw the business sector and the market react unfavourably to the announcement of the resignation of long-standing finance minister Trevor Manuel. Other high profile resignations included Deputy President Phumzile Mlambo-Ngcuka, minister of science and technology Mosibudi Mangena, and public enterprise minister Alec Erwin.
Mbeki resigned after accusations that he interfered in the prosecution of ANC president Jacob Zuma on corruption charges. The ANC - which is rupturing on what is commonly believed to be tribal differences of long-standing between the Zulu supporters of Zuma and those supporters of the original Xhosa leadership of Mandela and now Mbeki - has chosen ANC deputy president Kgalema Motlanthe as South Africa's President until next year's general election.
The resignations of Mbeki and the government ministers have raised investor concerns over political stability in South Africa. Zuma has pledged that the ANC would ensure a smooth transition and economic policy continuation. However, process so far has only raised question of whether this is possible. The political turmoil comes at exactly the time Eskom indicated, after the last decision was postponed, that it would make its announcement on the preferred supplier of its nuclear new build - or 'Nuclear 1' plans. Eskom initially indicated it would make public its decision during the first half of 2008, but this was postponed until September. The company is now saying there will be a 'decision before the end of the year'.
Eskom has shortlisted Areva's EPR and Westinghouse's AP1000 reactors for Nuclear-1. Areva heads up the EPR Consortium which includes South African engineering group Aveng, French construction group Bouygues and Electricité de France (EdF), which has submitted a bid to supply two EPR units of 1650 MWe. Toshiba's Westinghouse is matching this with a bid of three 1134 MWe AP1000 units. The Westinghouse-led N-Powerment consortium includes the Shaw Group and the South African engineering and construction firm Murray & Roberts.
Areva and Westinghouse have also offered to build the full 20 GWe - with a further ten large EPR units or 17 AP1000 units by 2025. This would be coupled with wider assistance for the local nuclear industry, in Westinghouse's case including development of the Pebble Bed Modular Reactor (Westinghouse is an investor in the PBMR company).
The question though on industry watchers' minds is whether Eskom, in the current climate, has the muscle or influence any longer to fund a nuclear expansion program. The utility has been downgraded by credit rating agency Moody's, with further downgrades also possible from Standard & Poor's and Fitch Ratings.
The current global economic crisis may also make foreign funding hard to come by. The country's National Treasury has committed to a mere 60 billion rand ($7 billion) over the next three years, leaving a very significant shortfall to reach Eskom's 343 billion rand ($42 billion) expansion plans.

India PM to meet Bush as Congress weighs nuke deal

Indian Prime Minister Manmohan Singh is visiting Washington to rally support in Congress for a civilian nuclear cooperation agreement reached long ago with the Bush administration.

Congressional approval of the deal has been in question as proponents scrambled to win approval before lawmakers wrap up this year's session to campaign for the November elections. Singh was meeting with President Bush at the White House late Thursday as the administration pressed lawmakers to approve a deal that has been a high priority for the U.S. and Indian governments.

A Senate committee overwhelmingly approved a bill on the nuclear agreement this week, but the measure has not been presented to the full Senate or in the House.

Supporters had hoped to have it included in a broader spending bill Wednesday, but the legislation passed the House without it. Lawmakers on Thursday were looking for other ways to win approval.

The House and the Senate would have to pass the bill and send it to Bush for the deal to go through before a new administration takes office in January.

The last-minute attempt to finish the nuclear cooperation agreement comes as Congress debates a critical bank bailout plan and rushes to pass numerous important measures before shutting down for the year.

The Bush administration needs the Democratic-controlled Congress' help to overcome a law that says Congress may not ratify the accord sooner than 30 working days after receiving it. The Bush administration rushed the deal to Congress on Sept. 10, but that left insufficient time for ratification before the election break without a change in the law.

This month, the 45-nation Nuclear Suppliers Group of countries that supply nuclear material and technology agreed to lift the ban on civilian nuclear trade with India, the last necessary step before Congress could consider the deal. The ban was imposed because India is not a signatory to the Nuclear Non-Proliferation Treaty and has developed nuclear weapons.

The administration has warned that failure to ratify the deal would keep U.S. companies from doing business in India's multibillion-dollar nuclear energy sector.

The accord would reverse three decades of U.S. policy by shipping atomic fuel to India in return for international inspections of India's civilian, but not its military, reactors. India has refused to sign the non-proliferation treaty or other such agreements and has faced a nuclear trade ban since its first atomic test in 1974.
(Source: AP)

U.K. Faces Power Shortage on Nuclear, Coal-Plants

The U.K., Europe's second-largest economy, risks power shortages and a jump in electricity costs this winter because of corroded wires and other repairs at nuclear reactors and pollution rules that keep coal plants idle.

The nation's electric grid has so little spare capacity that the loss of any one of its 15 largest power stations at a time of peak demand risks forcing factories to shut down to save energy, data from network manager National Grid Plc show. The last time that happened, in May, wholesale electricity costs jumped 13 percent in a day.

U.K. power prices for this winter are already more than double a year ago after British Energy Group Plc closed two of its eight nuclear power stations and extended maintenance at others, while curbs on sulfur dioxide emissions forced coal-fed plants to cut operating hours. One of the reasons the government supported Electricite de France SA's 12.5 billion-pound ($23-billion) agreement yesterday to buy British Energy was its pledge to build Britain's first atomic plants since 1995.

``On paper, it looks like we're going to be very tight, potentially looking at another brownout,'' said Paul Love, an analyst at Dunfermline, Scotland-based McKinnon & Clarke, which advises companies on energy prices.

National Grid said last week that surplus power supplies this winter will be as little as 1,373 megawatts, or 2.5 percent of consumption. The amount represents what's left after the grid meets peak demand and maintains a margin to provide reliable service.

Limited Flexibility

The estimates leave little flexibility. The grid's forecast is based on information provided by the country's electricity generators. Peak demand for the week of Nov. 3 is forecast at 55,300 megawatts.

Winter baseload power, the contract traded via energy brokers guaranteeing around-the-clock deliveries, touched 103.75 pounds-a-megawatt-hour yesterday, more than double the 43 pounds-a- megawatt-hour price for winter a year ago. November baseload power traded at 115.10 pounds a megawatt hour yesterday, the highest price for a monthly contract since at least 2001.

The forecast indicates that for now there's enough generation available, said Stewart Larque, a Warwick, England-based spokesman for National Grid.

``The reason why it is published is so that people can make the right decisions,'' he said. ``If the figures were negative, that's when it becomes a signal to the market to make more capacity available.''

Demand and Prices

Electricity can't be stored, so production needs to continually meet demand. The power grid has spare plants that only run at times when demand and prices are at their highest. Mothballed generators can return to service if the cushion threatens to disappear, Larque said.

``It only takes a few unplanned outages to push it the other way,'' said McKinnon & Clarke's Love.

Supplies may push prices to ``the sort of level that forces industrial demand off the system,'' said Jeremy Nicholson, the director of the Energy Intensive Users Group, whose members include the steel and glass industries. ``We are heading in that direction.''

Day-ahead baseload power prices this month have been as high as 124.50 pounds a megawatt hour, the highest since March 2006, and more than three times costs the same time last year. The next-day contract traded at 99 pounds a megawatt hour as of 8:35 a.m. in London today.

National Grid said on May 27, the day when the shutdown of British Energy's 1,200-megawatt Sizewell-B power plant caused supply interruptions in parts of England, that steps to reduce demand were imminent because of insufficient spare supplies. It was the first such notice since 2006. This year it has warned five times that spare supplies aren't adequate in addition to the demand-reduction notice.

Upgrading Plants

Scottish & Southern Energy Plc and International Power Plc are upgrading plants to comply with restrictions on gas emissions. They may resume normal output in the coming months.

``Until that work has been completed, presumably there's some risk,'' Nicholson said.

British Energy plans to start four reactors in the fourth quarter that have been closed for a year because of corroded wires.

Those plants may be needed. Winter temperatures may be colder than normal, according to Jim Dales, senior forecaster at British Weather Services, which sells forecasts to businesses including energy companies.

November and December may be milder, while January and February may ``deliver significantly below-average temperatures,'' he said.

(Source: Bloomberg)

Sole bidder in Turkey's first nuclear plant tender Atomstroyexport

Turkey received six envelopes in the tender for the construction of the first nuclear power plant but only one of them was a bid, the general manager of Turkey's Electricity Trade Corp (TETAS) said Wednesday.

Haci Duran Gokkaya said Atomstroyexport-Inter Rao-Park Teknik joint venture is the sole bidder of the tender, adding the rest of the submitted envelopes were expressions of thanks.

“The competition process continues since we have a bid, and the final decision would be made by the tender commission,” Gokkaya told reporters when asked about whether the tender would be renewed or not.

He did not disclose the details of the bid and the proposal of the joint venture would be assessed by the commission for approval.

Suez-Tractebel, Atomic Energy of Canada Limited, Unit Investment N.V., Sabanci Holding's Ak Enerji and Hattat Holding-Hema were the other companies who submitted envelopes.

The company submitted three envelopes including letters for their bid. In the first envelope, which was opened on Wednesday, includes the application form, temporary assurances and other related documents mentioned in the tender file.

The second envelope consists of the documents showing the company meets the standards of the Turkish Atomic Energy Agency (TAEK) and the third envelope includes the production levels and the sale prices for the electricity that would be produced at the power plant.

The bid submitted by the Russian Atomstroyexport would be send to TAEK for the assessment. TAEK would make its evaluation on the second envelope submitted by the company and deliver its decision in two weeks.

In the third stage, the envelope that includes the price bid would be opened and the lowest bid would be submitted to the government for approval.

The Turkish government had expressed its commitment to nuclear energy despite opposition to the power plants over environmental and security concerns. Turkey’s previous three attempts for nuclear power plants had failed.

TETAS held its fourth tender for the construction of a nuclear power plant, which is expected to meet a minimum 8 percent of Turkey’s electricity generation by 2020, and 20 percent by 2030.

The Akkuyu power plant on the Mediterranean coast in the southern province of Mersin has a planned capacity of 4,000 megawatts, plus or minus 25 percent. The firm promising to sell the cheapest electricity to the state for 15 years would win the tender.

SUSPENSION POSSIBILITY
Foreign companies interested in the tender had previously demanded extra time and a suspension of the tender due to worsening global financial conditions. Experts had speculated that TETAS may suspend the tender if no company submits a bid.

On Monday Turkish Prime Minister Tayyip Erdogan ruled out the possibility of any suspension. Still experts had said it would not be surprising if no company bids for the tender and the process is suspended.

Companies such as Sabanci, General Electric, Hitachi Nuclear Energy and Spanish utility Iberdrola SA had expressed interest in the tender.

Firms taking tender documents had included Korean Electric Power Corp, Atomic Energy of Canada Limited, Japan's Itochu Corporation, France's Vinci Construction Grands Projets, Suez-Tractebel and Russian state firm Atomstroyexport

RISING PROTESTS
Around 500 nuclear protestors on Wednesday gathered in the Black Sea port city of Sinop to demonstrate the planned construction of Turkey’s second nuclear power plant in the region, Dogan News Agency reported.

"We do not want any nuclear power plants," the protestors said, criticizing the government and demanding an end to the process.

"The entire world knows that there is no safe way to store nuclear wastes. These plants create massive problems for the next generations and accidents can happen at these plants. Even if no accidents occur, those living in the vicinity of these plants have a more likely to develop cancer... This deadly tender should be ended," Dogan News Agency quoted one protestor as saying.

Turkish police had detained 34 activists in the capital Ankara during a peaceful nuclear protest against the bid process on Tuesday.

Police broke up the unauthorized protest in front of Turkey's energy ministry and detained the protesters, who had dressed in black and posed as dead bodies to highlight the dangers of nuclear power plants.

Turkey, which is a net importer of gas and oil, imports nearly 67 percent of its supply, a figure that is expected to reach 75 percent by 2020. In the next few years, the country's energy demand is set to rise by 8 percent annually.

(Source: Hürriyet, Turkey)

Wednesday, September 24, 2008

Turkish nuclear plant tender attracts just one bid

[For anyone that has worked on one of these nuclear proposals, they are onerous. With Turkey so often cancelling the bid, I am personally not surprised at the lack of response...]

http://www.jpost.com/servlet/Satellite?cid=1222017380754&pagename=JPost%2FJPArticle%2FShowFull

By ASSOCIATED PRESS ANKARA, Turkey


Russia's Atomstroiexport has become the only bidder to construct Turkey's first nuclear power plant, and five other firms have refrained from submitting bids, authorities said Wednesday.
Haci Duran Gokkaya, the head of Turkey's state-run electricity company, said authorities would evaluate the bid and it was not clear yet if the tender would be canceled.
The reason for failure to attract more bidders by the deadline Wednesday was not known, but some firms complained that they needed more time to prepare.
Activists often protest against plans to build the plant on the Mediterranean coast. Turkey also plans to build a second nuclear plant later, near the Black Sea port city of Sinop.

The new nuclear power plant of Murmansk

Russia’s powerful state corporation on nuclear energy Rosatom has decided to construct a new nuclear power plant in the Kola Peninsula. The new plant will replace the capacities of the existing Kola NPP and begin production in the period 2017-2019.

The Kola NPP-2 will be built on the coast of the Imandra Lake about ten kilometres from the existing Kola NPP, Rosatom’s department on contact with public organisations and the regions, Igor Konyshev said to news agency Rosbalt.

He confirmed that the new plant will replace the capacities of the existing and aging Kola NPP, located in Polyarnye Zory south in the Kola Peninsula. Two of the four reactors at the existing plant have already exceeded their lifetime limit, and now continue generation with special permissions.

The reactors each have a 440 MWh capacity. The plant today provides about 50 percent of the region’s energy demands.

The reactors of the new NPP is believed to be typed BBER-300 - a hybrid of a regular land-based reactor and the KLT-40S reactor used in nuclear-powered ships. The new type of reactors is currently being developed by a Russian-Kazakh joint venture, Interfax earlier reported.

(Source: Barents Observer)

Turkey launches first nuclear power plant tender to meet energy demand

Turkey would hold a tender for the construction of its first nuclear power plant on Wednesday to reduce its dependence on foreign energy and to meet its increasing energy demand.

The Turkish government had expressed its commitment to nuclear energy despite opposition to the power plants over environmental and security concerns. Turkey’s previous three attempts for nuclear power plants had failed.

Turkey's Electricity Trade Corp (TETAS) will hold its fourth tender for the construction of a nuclear power plant in the Akkuyu region of the southern province of Mersin.

Turkey is planning to meet a minimum 8 percent of its electricity generation through the nuclear power plants by 2020, and 20 percent by 2030.

The Akkuyu power plant on the Mediterranean coast has a planned capacity of 4,000 megawatts, plus or minus 25 percent. The firm that promises to sell the cheapest electricity to the state for 15 years will win the tender.

TETAS will collect bids for the tender until 2:00 p.m. (1100 GMT) on Wednesday, and start opening bids at 2:30 p.m. (1130 GMT).

At the first phase of the tender, envelopes will be opened and the companies that meet the required conditions will be reported to the Turkish Atomic Energy Agency (TAEK) for approval. The envelopes, including the bid prices, will be opened following TAEK's thumbs up.

Suspension Possibility


Foreign companies interested in the tender had previously demanded extra time and a suspension of the tender due to worsening global financial conditions. TETAS may suspend the tender if no company submits a bid.

On Monday Turkish Prime Minister Tayyip Erdogan ruled out the possibility of any suspension. Still experts say it would not be surprising if no company bids for the tender and the process is suspended.

Companies such as Sabanci, General Electric, Hitachi Nuclear Energy and Spanish utility Iberdrola SA have expressed interest in the tender.

Firms taking tender documents also included Korean Electric Power Corp, Atomic Energy of Canada Limited, Japan's Itochu Corporation, France's Vinci Construction Grands Projets, Suez-Tractebel and Russian state firm Atomstroyexport.

Protests Against Tender

Turkish police Tuesday detained 34 activists during a peaceful nuclear protest against the bidding process.

The police broke up the unauthorized protest in front of Turkey's energy ministry and detained the protesters, the Anatolian Agency (AA) reported. The protesters, dressed in black, posed as dead bodies to highlight the dangers of nuclear power plants, AA added.

Turkey also plans to later build a second nuclear plant near the Black Sea port city of Sinop.

Turkey, which is a net importer of gas and oil, imports nearly 67 percent of its supply, a figure that is expected to reach 75 percent by 2020. In the next few years, the country's energy demand is set to rise by 8 percent annually.

(Source: Hürriyet, Turkey)

EDF Buys British Energy to Expand in Nuclear Power

Electricite de France SA, the world's largest operator of nuclear reactors, agreed to buy British Energy Group Plc for 12.5 billion pounds ($23 billion) after raising its offer for the U.K. power producer.

EDF will pay 774 pence a share for the East Kilbride, Scotland-based utility, according to a statement today. That's 35 percent above the stock's closing price on March 14, the last trading session before British Energy said it may receive an offer. Centrica Plc, the U.K.'s biggest energy supplier, is in talks to take a 25 percent stake in the acquired company.

The French utility will gain control of eight British nuclear plant sites where it plans to build four new reactors. The purchase by EDF, whose 58 nuclear units produced 77 percent of France's electricity last year -- the highest in the world -- comes as Britain's Prime Minister Gordon Brown seeks investment in atomic energy.

``It kickstarts the government's drive to facilitate new nuclear build,'' Tina Cook, an analyst at Charles Stanley & Co. in London, said today by phone. ``British Energy's existing assets are aging. EDF will contribute its expertise, as well as replacing those assets.''

British Energy, the country's largest power producer, jumped as much as 6.6 percent in London and traded at 769 pence as of 8:15 a.m. local time. Centrica increased 3.6 percent to 338.25 pence. EDF rose 4.8 percent to 52.54 euros in Paris. British Energy is 36 percent owned by the U.K. government while EDF is 85 percent state-owned.

Shield Customers

Centrica will also pay 774 pence a share for its stake, according to the statement. Its Chief Executive Officer Sam Laidlaw is seeking assets to reduce the company's exposure to energy market fluctuations and shield customers from price swings. EDF has 5 million customers in the U.K. where it owns gas- and coal-fired plants.

The offer to British Energy shareholders includes an alternative to an all-cash offer, in the form of 700 pence plus Contingent Value Rights, or CVRs, which give shareholders a slice of profits from the existing stations for the next ten years.

British Energy rejected an approach on July 31 from EDF at 765 pence a share, because its biggest private shareholders said the bid undervalued its nuclear stations and adjacent land. Invesco Ltd., the company's biggest private shareholder, will accept the EDF offer and take CVRs, the French utility said.

British Energy Chief Financial Officer Stephen Billingham said the majority of shareholders will support the deal even though one is opposed to it.

Constellation Offer

Together with U.S. buyout firms KKR & Co. and TPG Capital, EDF last week offered $6.2 billion for Constellation Energy Group Inc., 32 percent more than a rival bid by Warren Buffett. Constellation Chief Executive Officer Mayo Shattuck said Sept. 22 that the $4.7 billion approach by Buffett's MidAmerican Energy Holdings Co. was ``superior'' to any alternative.

Gordon Brown supports the expansion of nuclear power to replace older plants and cut carbon-dioxide emissions, and the sale of British Energy to EDF to accomplish that goal.

British Energy's land is attractive to EDF, which has plans for at least four new U.K. reactors from 2017. EDF wants to operate 10 plants of a new design, the European Pressurized Reactor, or EPR, in the U.S., China, U.K. and South Africa by 2020, Chairman Pierre Gadonneix said in May.

Reactor Costs

Each EPR will cost about 4.5 billion euros, Patrice Lambert-de Diesbach, an analyst at CM-CIC Markets, wrote in a report Sept. 15. That's higher than the 3.3 billion-euro price tag EDF has put on its Flamanville reactor in Normandy, which will be the country's first EPR.

British Energy, led by Chief Executive Officer Bill Coley, has sought to improve the reliability of its nuclear power stations and to secure extensions for their operating lives.

The U.K. utility posted a 65 percent drop in first-quarter profit to 62 million pounds on lower output. Its reactors produced 27 percent less power than a year earlier because of closures following the discovery of corroded wires.

The country's Nuclear Decommissioning Authority, an agency that cleans up older plants, said Sept. 10 it would auction three pieces of land. EDF already bought property adjacent to sites owned by both British Energy and the authority. E.ON AG, Germany's biggest utility, has a grid agreement for a new plant at one site starting in 2020.

The U.K. government acquired a stake in British Energy after rescuing it from collapse in 2004. At the time of its bailout of British Energy, the state took responsibility for the cost of closing the company's plants and cleaning up the sites. It created a Nuclear Liabilities Fund to pay for decommissioning costs, which would receive cash flow equivalent to the size of the state's holding in the company.

(Source: Bloomberg)

Iran's president, at UN, defends right to use nuclear power

Iranian President Mahmoud Ahmadinejad took thinly veiled jabs at the United States, Israel, the United Nations and European powers here as he defended his country's ambitions to harness and use nuclear power in an address before nearly 200 world leaders.

Ahmadinejad spoke for a half hour at the UN General Assembly just hours after a speech by President George W. Bush, who has chided Iran for seeking nuclear power, saying the country's desires for such power are likely for defensive or offensive purposes, not to tap the atom for domestic energy supplies.

But Ahmadinejad said his country, which in recent weeks has drawn some criticism from the United Nations' International Atomic Energy Agency for not fully cooperating with the monitoring agency, has the right to seek nuclear energy.

He said a number of countries, seeking to maintain their own hegemony of world affairs, try to keep Iran and other weaker nations under control by monopolizing the knowledge, resources and access to nuclear power. And he said the UN is too weak to resist actions by the dominant nations.
"A few bullying powers have sought to put hurdles in the way of the peaceful nuclear activities of the Iranian nation by exerting political and economic pressures against Iran," he said.

"These are the same powers that produce new generations of lethal nuclear arms and possess stockpiles of nuclear weapons that no international organization is monitoring; and the tragedies of Nagasaki and Hiroshima were perpetrated by one of them," he said, referring to the United States dropping the atomic bomb on the two Japanese cities in 1945, an action that ended World War II.

The IAEA has said Iran has not altogether halted its nuclear program, in violation of UN sanctions. Its report is prompting several nations to discuss a new round of sanctions on Tehran.

The United States was conspicuously absent from Ahmadinejad's speech, as no one sat in the chair reserved for a U.S. representative. But the Iranian leader was present when Bush spoke to the group.

Ahmadinejad declined to refer to Israel by name but referred to "occupying Zionists" and "Zionist murderers" when he mentioned Palestinians, adding that UN resolutions "that have addressed the plight of the Palestinian people have been relegated to the archives unnoticed."

He also called the United States and Britain "occupiers" for their roles in invading Iraq and removing Saddam Hussein, saying that under the "pretext" of searching for weapons of mass destruction, "millions of people have been killed or displaced, and the occupiers, without a sense of shame, are still seeking to solidify their position in the political geography of the region and to dominate oil resources."

(Source: Newsday.com)

Tuesday, September 23, 2008

Nuclear and coal plants 'vital' to UK energy future

John Hutton, the Business Secretary, vowed yesterday to take on critics of new coal and nuclear power stations, arguing that their construction was vital to securing Britain's long-term energy needs.

Addressing the Labour Party Conference in Manchester, he said that an international battle for energy security was emerging as one of the most significant threats to both Britain's competitiveness and its sovereignty. He said that the country's growing reliance on imported gas from some of the world's most unstable regions was unacceptable and he called for a renaissance of nuclear power.

Mr Hutton, speaking before the expected announcement of a £12.4 billion takeover of British Energy by EDF tomorrow, said that he was

“determined to press all the buttons to get nuclear built in this country at the earliest opportunity ... And because energy security is a first thought, not an afterthought, I will not turn my back on another critical source of energy security for the UK - coal.”

He lambasted opponents of both fuels, including environmental campaigners and other political parties, which he said were “posturing” over energy policy. “Tories say ‘no' to new coal and send mixed messages on nuclear; Lib Dems say ‘no' to new coal and nuclear. No coal plus no nuclear equals no lights. No power. No future.”

The Business Secretary accepted that people had concerns about the contribution that new coal-fired power stations would make to climate change, but he argued that British emissions were capped by European Union legislation and that building new coal plants would make no difference overall.

“Additional emissions will have to be offset by reductions elsewhere,” he said, “so stopping the building of new coal-fired power stations would make no difference to the UK's total carbon emissions - but I think it would damage our energy security. So there is no sense in our turning our backs on coal. Let's keep cleaning it up, not ruling it out.”

Mr Hutton's remarks were condemned by John Sauven, the executive director of Greenpeace, who said that new coal-fired power stations could not be an option because of their huge contribution to climate change.

Mr Hutton's speech came as Westinghouse, the Japanese-owned nuclear reactor maker, published research claiming the British economy could receive a £30billion boost from the construction of new stations, including the creation of thousands of skilled engineering jobs.

David Powell, Westinghouse's UK vice-president, said that half of the total would come through the construction of new sites, a third from operating the plants and the rest from servicing.

The EDF takeover of British Energy will mean that the bulk of Britain's nuclear industry will pass into the hands of the French state-controlled utility giant. EDF has lifted its initial offer of 765p a share to 774p. It wants to use its acquisition of British Energy to oversee construction of four nuclear plants on existing UK sites.

(Source: Times Online)

With nuclear deal a step away, Manmohan heads to New York

With the US pulling out all stops to get the Congressional nod for the India-US nuclear deal in a couple of days, Prime Minister Manmohan Singh Tuesday left for New York where he will address the UN General Assembly before he meets US President George W. Bush in Washington.

Manmohan Singh and Bush will not sign the 123 bilateral nuclear pact when they meet in the White House Thursday, but there is a strong likelihood that the two principal architects of the India-US nuclear entente will formally announce the consummation of the deal, leaving the actual signing for a later stage.

The business committee of the US Congress is likely to take a decision Tuesday on waiving the mandatory condition of the 30-day period for the legislation to be considered by Congress. It will also decide if there will be a separate or joint resolution of Congress to approve the 123 pact by an up and down vote.

Besides the nuclear deal which will be in the global eye, Manmohan Singh and Bush will focus on taking India-US ties to new heights by focusing on expanding cooperation across a wide spectrum of areas, including business, agriculture education and high-technology trade.

With business on mind, Manmohan Singh, the economist credited with opening India's inward-looking economy in 1991, will meet World Bank president Robert B Zoellick and CEOs of leading American companies at a lunch to be hosted by India's ambassador to the US Ronen Sen.

Looking beyond the Bush and White House, he will also meet Republican presidential candidate John McCain and have a telephone chat with Democratic contender Barack Obama to sustain bipartisan momentum for bolstering India-US ties.

Although his meeting with Bush and the fate of the nuclear deal will hog global limelight, Manmohan Singh has a substantial agenda in New York before he goes to Washington.

With the NSG waiver brining India out of the nuclear cold after a gap of over three decades, Manmohan Singh will harness India's added global weight to press for "collective and multilateral approach" to global problems ranging from food and energy security to terrorism, the UN reforms and nuclear disarmament.

This will be his second address to the UN General Assembly Friday. He skipped the UNGA in 2006 and 2007.

As Pakistan sinks into a downward spiral of violence and anarchy due to militancy in its tribal areas bordering Afghanistan, his meeting with Pakistan President Asif Ali Zardari Wednesday will be keenly watched at home as well as in Washington which has lately stepped up pressure on Islamabad to deliver on the war against terror.

With terror blasts in Delhi fresh in mind, Manmohan Singh is set to convey a strong pointed message to Zardari to end cross-border terror and ceasefire violations that have cast a shadow on bilateral ties. It will also be an opportunity for Manmohan Singh to gauge Zardari's clout in the new dispensation in Pakistan that seems to be torn between multiple centres of power in that country.

In yet another important sideshow on the sidelines of the UNGA, Manmohan Singh will meet Chinese Premier Wen Jiabao Wednesday - the first meeting between the two leaders since reports of Beijing's negative role in the Nuclear Supply Group (NSG) cast its shadow on ties between the two countries. With Beijing sending positive feelers, India does not want to stretch the NSG issue further and will be keen to focus on greater cooperation on global issues.

The prime minister will also meet British Prime Minister Gordon Brown, Italian President Silvio Berlusconi and Namibia's President Hifikepunye Pohamba on the sidelines of the UNGA.

(Source: Economic Times, India)

IAEA finds no nuclear material in Syria

The International Atomic Energy Agency (IAEA) has found no trace of nuclear material in Syria's Al-Kibar so far, but it would continue sampling in this area to analyze, said Mohammed ElBaradei, IAEA director general, in Vienna Monday.

ElBaradei also pointed out at an IAEA council meeting that Syria has not provided IAEA supplement information so far about its related nuclear activities as requested.

In September 2007, Israeli air force struck over 100 kilometer deep into Syria and bombed out a facility in Syrian Al-Kibar. Then Israel claimed that Syria was developing nuclear weapons in that area, but Syria keeps denying the facility is for nuclear activities. Therefore, IAEA began probing Syria and required further explanation about it.

ElBaradei also noted on the council meeting Monday that IAEA can not make sure so far whether Libya is involved in activities of nuclear weapon development in the country. Libya's explanation of its nuclear program accords with the outcome of IAEA's investigation, but IAEA would continue normal security inspection, so as to ensure Libya owns no secret nuclear materials.

Libya announced at the end of 2003 that it is willing to abandon its plan of developing weapons of mass destruction and to receive supervision on weapons from the international society.

(Source: ChinaView)

Monday, September 22, 2008

Turkey to hold tender for first nuclear power plant

The previous three tenders for the construction of a nuclear power plant failed.

Turkey will hold a tender to construct its first nuclear power plant on Wednesday.

Turkey's Electricity Trade Corp. (TETAS) will hold its fourth tender for the construction of a nuclear power plant in Akkuyu region of the southern province of Mersin on September 24th.

The previous three tenders for the construction of a nuclear power plant failed.

TETAS will continue collecting bids for the tender till 2 p.m. on Wednesday, and start opening bids at 2:30 p.m.

Turkish, Canadian, Japanese, French, Russian, South Korean, Chinese, Dutch and German firms are interested in the tender.

TETAS may extend the tender process in case firms do not submit bids for the tender. The firm that promises to sell the cheapest electricity to the state for 15 years will win the tender.

Turkey prefers building a nuclear power plant to reduce energy dependence on foreign countries and acquire the cleanest energy, and aims to raise the share of nuclear power plants in electricity generation to minimum 8 percent till 2020, and 20 percent till 2030.

Below are the thirteen companies that have received specifications for the tender so far.

-AECL Atomic Energy Of Canada Limited (Canada)
-Itochu Corporation (Japan)
-Vinci Construction Grand Projets (France)
-Suez Tractebel (France-Belgium)
-Atostroyexport (Russia)
-KEPCO (South Korea-Turkey)
-China Nuclear Power Components Co. (China)
-Unit Investment N.V. (The Netherlands)
-Haci Omer Sabanci Holding (Turkey)
-Alsim-Alarko Sanayi Tesisleri (Turkey)
-Hattat Holding (Turkey)
-RWE (Germany)
-Ak Enerji (Turkey)

(Source: World Bulletin)

Australian business pushes for nuclear power

SMALL businesses are worried they will suffer under emissions trading and have delivered a blunt message to the federal Government - consider nuclear power.

The Australian Chamber of Commerce and Industry, which represents more than 350,000 businesses, carried the concerns of business to the federal government today.

The Chamber wants nuclear power on the table as a smart way to tackle climate change.

"Nuclear power provides Australia with a low-cost abatement option compared with other technologies,'' the Chamber said in a formal submission to the government.

The submission said emissions trading "should include all technologies in Australia's energy mix, including nuclear power''.

Australia has high per-capita emissions because of a heavy reliance on coal-fired electricity, the submission noted.

It said comparable countries had lower per-capita emissions because they used nuclear power, which is not available here.

The Chamber said it supported emissions trading, but warned it could hurt the profits of many small and medium-sized enterprises (SMEs).

Emissions trading will levy a tax on carbon pollution from 2010.

SMEs will probably have to pay more for electricity and some transport fuels.

The Chamber said some firms would not be able to pass on the costs to consumers, and might go bust.

Many SMEs could not shift offshore, downsize, or invest heavily in adapting to emissions trading, the Chamber said.

The submission was made in response to the government's green paper on climate change, which set out plans for how emissions trading could work.

The Chamber wants agriculture included eventually, and has reservations about a plan to shield transport fuels from emissions trading for at least the first year.

The government has suggested giving away 30 per cent of carbon permits to business and industry, but the Chamber wants more free permits.

It also wants emissions to be allowed to increase above any agreed cap, to allow for new investment.

The federal Government says it does not support nuclear power.

The opposition would like nuclear power considered, but says any push must be bipartisan. There are varying degrees of support for nuclear power within the opposition.

(Source: The Australian)

Fire shuts 1 unit at Michigan nuclear power plant

A small fire led to the shutdown of one of the two units at a nuclear power plant in southwestern Michigan, utility officials said today.
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The fire happened Saturday night in a non-nuclear section of the Donald C. Cook Nuclear Plant and there was no release of radioactive material or other danger.

No injuries were reported.

The cause of the fire wasn’t yet known.

American Electric Power Co. spokesman Bill Schalk said today the fire started in a turbine generator that uses steam to generate electricity.

The Cook plant is near Bridgman on Lake Michigan, about 180 miles west of Detroit. It generates about 6 percent of the utility’s power. Schalk said the company will use its coal-burning plants and possibly turn to other utilities to replace the electricity that would have been produced by the idled plant.

“The fact that Cook is out of service will have no effect on customers,” he said.

When operating at full power, the plant’s two units make enough power to serve about 1.5 million homes, Schalk said.

Unit 1 went online in 1975 and Unit 2 in 1978. In 2005, the U.S. Nuclear Regulatory extended American Electric Power’s license to run Unit 1 until 2034 and Unit 2 until 2037.

The Columbus, Ohio-based utility generates the most electricity in the nation, serving about 5 million customers in 11 states.

(Source: Detroit Free Press)

Saturday, September 20, 2008

Nuclear power for India: cost and benefits

A section within India and the non-proliferation Ayatollahs outside are praying hard that the US Congress rejects the 123 agreement and thus mark the end of the much talked about civilian nuclear deal with the United States. But their hopes were actually dashed at the meeting of the Nuclear Suppliers Group in Vienna last month when India received the waiver from the group of 45 nations that entitles India to enter the world of nuclear trade even without signing the NPT.

It is difficult to imagine that President George W. Bush would not do all he can to see that the 123 agreement sails through the Congress. He has invested heavily in the civilian nuclear deal, convinced that it will herald a new chapter in Indo-US bilateral relations. It can also be seen as a significant indication that Washington no longer sees India and Pakistan with the same prism.

When the Pakistanis whined and asked the US for a similar deal, Bush had summarily rejected it because Pakistan was ‘another country’, different from India in many ways—a clear reference to the roguish ways of Pakistan. Of course, Pakistan is now looking to China to give it something similar.

For India, the next logical step after the NSG waiver would appear to be starting work for building reactors for electricity generation. With nuclear cooperation agreements already in place with France and Russia, it may not be difficult to look for options while shopping for new generation nuclear reactors even if for some reason the US Congress turns down the 123 agreement. But there are questions that have to be considered before the country starts working on tripling its nuclear power generation—the stated target of nuclear power generation.

It is finding money to buy and build reactors that may come up as an initial hurdle. The cost of building a nuclear reactor is prohibitive. There are many who believe that it may not be wise to spend too much money on new reactors. Even if the country can raise the necessary funds from taxpayers—the investors are not known to be keen on lending money for ‘unprofitable’ projects-- the electricity generated by a nuclear reactor will not come cheap.

The question of electricity tariff needs to be considered seriously because it has become a very sensitive political issue. After the trouble at Dhabol in Maharashtra the electricity tariff issue has perhaps dispelled many potential investors in the power sector. The government’s efforts at augmenting power supply cannot succeed without help from the private sector which needs advance assurances on the tariff issue.

Despite all the advantages that nuclear power is supposed to offer it is a very costly affair. In defence of nuclear power it is said that it is the initial capital cost that is very high and thereafter it is not a very costly business. It should not be necessary to impose a high tariff for supplying power from nuclear plants. But it will still not make nuclear power cheaper than the hydel or thermal power that currently meets the bulk of electricity supply demand in the country.

Some way, therefore, will have to be found to get round this problem. Perhaps, the government might like to explore the possibility of selling all the nuclear power generated in future, or the major part of it, to bulk consumers like the industries. Indian Railways could be another possible client for nuclear power but the populist politics in the country would perhaps never allow the railways, already used to cheaper tariff, to pay high bills for electricity consumption.

In the present scenario of acute power shortage across the country it is common to see many industries depending heavily on captive power plants. The cost of electricity generation with these diesel-run mini plants is also high. The industrial sector will certainly protest but it will be in a better position to absorb the high cost of nuclear electricity in comparison with the agriculture sector and the domestic user.

A question might arise that if there is going to be a problem of selling nuclear power why go for it? To go back further, why have the deal with the US at all if in the end nuclear power is to be beyond the reach of most people in the country?

If the arguments of most of the critics of the nuclear deal are to be listened carefully it would be apparent that very few voices have been raised about the economics of the nuclear deal with the US. It is politics all the way. The BJP is carping about the deal because despite preparing the groundwork for it, it is the Congress which is cornering the credit for the Indo-US civilian nuclear deal. The Left is opposed to it because of ‘ideological’ reasons—dislike for anything that is associated with the US, except when the dollars flow into West Bengal or Kerala. (What about Tripura?)

Among the many alternative sources of energy nuclear power is a key component, especially when some of these alternatives are still not found viable. In many parts of the world it is being given a fresh lease of life even as some of the misgivings about the plant safety and waste disposal remain. Britain has become perhaps the most ardent supporter of nuclear power, having decided to revive old plants and build many new ones.

In the current presidential race in the US the Republican candidate, John McCain has spoken of building 45 new nuclear reactors with an investment of $315 billion. Forty years ago the Italians had said through a referendum that their nuclear energy programme be scrapped. Italy became the world’s biggest importer of electricity. Now the Italians are planning to revive the nuclear power industry.

France probably never had much reservation about nuclear power as nearly 80 percent of its needs is supplied by nuclear plants. France is also the largest exporter of electricity. The resistance to nuclear electricity in Germany is breaking.

Despite all the controversy surrounding the Iranian nuclear programme the fact is that the government in Tehran has been maintaining all along that the Bushehr plant is meant to produce electricity. Russia, another big producer of oil and gas, has a thriving nuclear power sector. In fact, most of the major oil producers are keen to run nuclear power plants. In such a context India cannot afford to turn its back on nuclear power generation. But each country has its own problems and in India the tariff remains a key issue in electricity supply. It needs to be dealt with before the country leaps into the age of nuclear electricity.

(Source: Asian Tribune)

Enel sees nuclear plant operating in Italy in 2017

Italy, which rejected nuclear power 20 years ago, may see a nuclear plant up and running in 2017, the country's biggest utility, Enel said on Friday.

Italy banned nuclear power after holding a referendum on the issue in 1987, following the Chernobyl disaster in Ukraine. But the nuclear-friendly government of Prime Minister Silvio Berlusconi has pledged to lift the ban and create conditions for a nuclear energy relaunch by 2012.

"With a busy schedule, we count to be able to make one power station operating by 2017," Giancarlo Aquilanti, head of Enel's nuclear energy development unit, told MF newspaper.

Enel owned all the nuclear plants in Italy before the referendum. Recently, it has been building its nuclear business abroad with acquisitions in Slovakia and Spain, and joint work in France with that country's power giant, EDF.

The government plans to select sites for new nuclear power plants in the near future so Enel can start working on projects, Aquilanti said.

The nuclear-energy revival plan, part of a wider energy programme the government has been working on, is likely to run into fierce opposition from environmentalists and ordinary Italians who do not believe atomic power is safe.

(Source: Reuters)

Pakistan considers buying N-power plants

Prime Minister Yousaf Raza Gilani on Friday met senior officials to discuss the possibility of buying nuclear plants to meet the country’s energy shortages.

Project: Sources told Daily Times that Gilani approved a satellite communications project and set up a committee to work out the modalities regarding the purchase of nuclear plants. The Reuters news agency quoted an official as saying that the committee would also decide on “the financial arrangements before a formal decision is made on the purchase of nuclear energy plants”.

The Planning Commission deputy chairman, the finance, foreign affairs and water and power secretaries and the Strategic Plans Division (SPD) director general comprise the committee that will execute financial arrangements before a formal decision is made regarding the purchase of nuclear energy plants and satellite communications system.

The prime minister was earlier briefed on nuclear energy and satellite communications projects by Joint Chiefs of Staff Committee Chairman Gen Tariq Majeed, the Planning Commission deputy chairman and the SPD director at the Prime Minster’s House.

Defence Minister Ahmed Mukhtar, Finance Minister Naveed Qamar, federal secretaries and senior government officials also attended the meeting.

(Source: Daily Times, Pakistan)

Friday, September 19, 2008

Rogers and Foster shun nuclear design framework

[This article is rare in that the discussion of aesthetics is seldom brought up in the nuclear discussion.]

http://www.building.co.uk/story.asp?sectioncode=29&storycode=3122812&c=0

19 September 2008
By Dan Stewart
EDF lines up big-name architects for new-build programme, but fails to entice the biggest names of all
Britain’s two most celebrated architects have rejected the opportunity to contribute designs to a new generation of nuclear power stations.
It has emerged that the practices of Norman Foster and Richard Rogers have been approached by French energy giant EDF Energy with a view to including them in a framework to design stations. SMC Alsop and Building Design Partnership are also understood to have been approached by EDF, which wants to build at least four stations.
However, Rogers Stirk Harbour + Partners (RSH+P) declined to tender on ethical grounds. Andrew Morris, the practice’s commercial director, said: “Ethically, we wouldn’t get involved in projects like this. We have a fairly strict constitution set up by Richard [Rogers] which prohibits work on military schemes and power stations.”
It is understood that EDF approached the firm again after its refusal, but was refused a second time.
Meanwhile, a spokesperson for Foster + Partners said the firm had declined EDF’s invitation for business reasons.
Despite being shunned by Foster and Rogers, EDF’s move will please those who are worried that the UK’s next generation of power stations will be eyesores like Hartlepool and Dungeness.

“Ethically, we wouldn’t get involved in projects like this”
Andrew Morris, RSH+P

One architect invited to tender for the framework said: “Power stations used to be designed by great architects such as Giles Gilbert Scott, so why not again?”
John McAslan, whose practice is designing a distinctive power station for another French energy firm, GDF Suez, on the Olympic site, welcomed news that EDF was seeking prominent architects.
He said: “There has to be a new generation of energy centres, and I think companies like EDF have realised that involving architects to work on them adds value.”
EDF said it had arranged for presentations to be made by practices to show their capability to work on the project, as well as to gauge their interest in participating in a tender process.
The news emerged in the same week as EDF continued talks to buy the UK’s nuclear power company British Energy.
EDF is understood to have tabled a higher bid than the £12bn it offered in July, which was turned down. British Energy’s board was due to discuss the bid as Building went to press.

Thursday, September 18, 2008

First block of Visaginas nuclear power plant to be erected by 2018, second – by 2020

The first block of Visaginas nuclear power plant, with the capacity of reactor reaching 1100 megawatts, may be erected in 2016 according to the optimistic plan, or in 2018 according to the pessimistic one. The second block with the same capacity would be erected in two years and it would start operating in 2018 or 2020 according to the corresponding plans. The erection of the third block with the same capacity is not foreseen in the long-term activities strategy until 2022 of the national investment company LEO LT.

LEO LT heads and shareholders presented the aforementioned strategy to the Government"s supervision committee on Thursday. The strategies also foresee the erection of two electricity links to Poland and Sweden that would be extended in 2014-2016. It is foreseen that the new nuclear power plant will be financed from the finances of the shareholders of LEO LT – the Economy Ministry and private NDX Energija and the electricity links are expected to be extended for the EU financial assistance money and finances accumulated by shareholders from electricity tariffs that are foreseen to be raised next year about 3 cents per kilowatt-hour for residents.

Reactors for the new nuclear power plant are planned to be purchased from U.S. companies, however a tender is yet to be announced for their production, reports ELTA.

"Two nuclear blocks and both electricity links are expected to cost a total of 28 billion litas (8 billion euros), Lithuania will have to allocate 17 billion litas (4.86 billion euros). 3 billion litas (857.9 million euros) will be needed for the electricity bridges, and 14 billion litas (4 billion euros) – for the erection of Visaginas nuclear power plant. Lithuania has to accumulate about 1.5 billion euros (5.2 million litas) for the erection of the first block," Rymantas Juozaitis, chairman of the board of directors of LEO LT, explained after the strategy presentation.

Currently LEO LT has 600 million litas (171.6 million euros) that have been received as dividends from merged company VST.

(Source: The Baltic Course)

NASA Mulls Nuclear Power for Moon Base

Nuclear power could make a comeback beyond Earth if NASA goes forward with a proposed a fission reactor in its future moon base.

A fission-powered system could generate up to 40 kilowatts and give any lunar outpost enough power to supply eight houses on Earth.

More importantly, astronauts will require a reliable and steady energy source on the moon and Mars.

"The problem with power on the moon is that, depending on where you're located, you may have 14 days of darkness," said Lee Mason, an engineer at NASA's Glenn Research Center in Cleveland, Ohio, who heads the project. "We think nuclear offers some advantages there in terms of a continuous power source in sun or darkness."

Engineers envision a nuclear reactor buried under the surface of the moon so that lunar soil, known as regolith, can act as shielding against the reactor's radiation.

Power converters would sit atop a tower jutting above the surface, changing the reactor's heat energy into electrical energy for astronauts to use.

The tower would also boast two 50-foot (15-meter) panels made of polymer composite material that could give off excess heat from the nuclear reactor.

Far-flung robotic missions, such as the Cassini orbiter currently orbiting Saturn, have relied on a different nuclear technology, Radioisotope Thermoelectric Generators (RTG), which draws on the energy from the natural decay of radioactive plutonium.

Current RTGs produce roughly 100 watts of electricity, in comparison to the tens of thousands of watts produced by nuclear fission reactors that split uranium atoms.

NASA previously launched just one nuclear reactor into space in 1965, but the experimental SNAP-10A reactor shut down after just 43 days of operation.

Nuclear power made a brief reappearance in the Jupiter Icy Moons Orbiter (JIMO) proposal, but the mission was scrapped in 2005 due to budget constraints.

"JIMO was a little ahead of its time, a very ambitious program, and it didn't just quite fit in with the budget projections," Mason told SPACE.com.

Now the moon base proposal offers a new possibility, but Mason's NASA Glenn team must first decide which power converter engine to use for any nuclear reactor.

One design, a piston Stirling design from Sunpower Inc., of Athens, Ohio, uses two back-to-back piston engines that cancel out each other's mechanical vibration.

The second design, by Barber Nichols Inc. of Arvada, Colo., relies on a closed Brayton cycle engine that has a rotary system not unlike jet turbine engines. Both power converters can produce 12 kilowatts, or roughly 40 kilowatts in a pack of four.

NASA engineers hope to test the efficiency of power converters without the nuclear reactor in 2012 or 2013. A non-nuclear reactor simulator would provide the heat source for the tech demonstration on Earth, courtesy of NASA's Marshall Space Flight Center in Huntsville, Ala.

The space agency continues to ponder non-nuclear options such as solar power for a future lunar base.

If NASA does use a nuclear reactor, it will resemble reactor technology that the U.S. Department of Energy (DOE) "has operated for many years," said John Warren, executive head of NASA's Space Power Systems Program in Washington, D.C.

Mason said that the project should finish on schedule if it continues receiving the $10 million funding shared between NASA and the DOE.

"We would like to design a system that can last eight years without any maintenance whatsoever," Mason said. "The technology is there to achieve that."

(Source: Fox News)