US President Barack Obama announced last week that the Department of Energy (DoE) has offered conditional commitments for a total of $8.33 billion in loan guarantees for the construction and operation of two new nuclear reactors at a plant in Burke, Georgia, USA. The project is scheduled to be the first US nuclear power plant to be constructed in nearly three decades.
“To meet our growing energy needs and prevent the worst consequences of climate change, we need to increase our supply of nuclear power and today’s announcement helps to move us down that path. But energy leaders and experts recognise that as long as producing carbon pollution carries no cost, traditional plants that use fossil fuels will be more cost-effective than plants that use nuclear fuel. That is why we need comprehensive energy and climate legislation to create a system of incentives to make clean energy profitable,” said Obama.
The two new 1,100 MW Westinghouse AP1000 nuclear reactors at the Alvin W. Vogtle Electric Generating Plant will supplement the two existing reactor units at the facility. “This is a significant step by the Obama Administration to restart our domestic nuclear industry, helping to create valuable long-term jobs and reduce our greenhouse gas emissions,” Energy Secretary Steven Chu said. Project sponsors include Georgia Power Co, Oglethorpe Power Corp, the Municipal Electric Authority of Georgia and the City of Dalton, Georgia.
The Energy Policy Act of 2005 authorised the DoE to issue loan guarantees for projects that avoid, reduce, or sequester air pollutants or anthropogenic emissions of greenhouse gases and employ new or significantly-improved technologies as compared to technologies in service in the US at the time the guarantee is issued.
The nuclear facility is eligible for loan guarantees because it achieves substantial environmental benefits by reducing greenhouse gases and other pollutants. In addition, the Westinghouse AP1000 reactor has incorporated numerous innovations resulting in significant operational, safety, and cost enhancements.
The DoE says Georgia’s need for electricity is growing and is expected to increase by around 30% over the next 15 years. When the new nuclear reactors come on line, they will provide reliable, base-load electricity capable of serving about 550,000 residences or 1.4 million people.
