More UK nuclear could add 32,000 jobs: EDF report

Expanding Britain’s nuclear reactor fleet could boost the UK economy by more than five billion pounds and create 32,000 nuclear jobs, a report commissioned by atomic plant developer EDF Energy said on Tuesday.

Nuclear energy policy in Britain must first provide long-term guarantees to investors before the manufacturing and economic gains can be realised, EDF said, at a time when uncertainty over renewable subsidies and new nuclear plants threatens the future of low-carbon power generation in the UK.

Britain is trying to woo nuclear investors by reforming its electricity market in a way that guarantees a minimum price for producers of low-carbon energy, including nuclear power, but uncertainty over details of the reform has kept investors wary.

The government had said it will need about 18 gigawatts (GW) of new non-renewable power generation capacity, which also includes nuclear, by 2025 to meet its energy and climate change targets.

EDF Energy said its decision on whether to invest in building four new nuclear plants with combined output of 6.4 GW in Somerset and Suffolk at the end of 2012 will hinge on the evolution of nuclear policy between now and then.

“Investment in nuclear energy will have benefits in contributing to both economic growth and job creation and has the potential to give Britain a greater share in the export market,” according to the Institute for Public Policy Research (IPPR), which was commissioned by EDF to write the report.

“If the government makes a clear and credible long-term commitment to nuclear energy in the form of a long-term nuclear energy strategy, and if it has all-party support in doing so, then UK industry can be reasonably confident that there will be a steady stream of work and contracts in the future,” it said.

The report also found that UK electricity export revenues may more than double to 1.2-1.7 billion pounds per annum by 2030, based on current power prices.

Source: http://uk.reuters.com/article/2012/06/25/uk-nuclear-idUKBRE85O1D020120625

Only renewables – not nuclear – could be too cheap to meter

Germany’s long support for wind and solar energy is delivering zero-cost electricity at times. In contrast, the UK’s new energy policy seeks to underwrite the rising cost of nuclear.

“Too cheap to meter”: that was the infamous boast of the nuclear power industry in its heyday. It has been catastrophically discredited by history.

Yet the phrase may yet see a new life – not of course for nuclear power – but for renewable energy. As the UK government publishes its draft energy bill on Tuesday, acknowledged by all but ministers themselves as primarily an arcane way of getting new nuclear power stations built, I am in Germany.

Already, on one particularly windy weekend here, the surge of electricity drove the price down to zero. Very soon, due to the 25GW of solar capacity Germany has already installed, hot summer’s days will see the same effect: electricity too cheap to meter.

Now hang on, I hear you say, free electricity is actually crazy as it means there’s no incentive to invest in new, clean generation capacity, which almost every country needs as the world seeks to cut the carbon emissions driving climate change. Germany’s renewable energy policy, which began with a feed-in-tariff in 1990, deals with this by continuing to pay the producer, even when the electricity is sold for nothing.

Crazy again, right? No, says Andreas Kraemer, director of the Ecologic Institute, an energy research policy centre, because the tax benefit to the Germany, via 400,000 renewables jobs in the €40bn-a-year renewables industry is outweighs than the cost of the subsidy. Furthermore, he says, the contribution of renewable energy in cutting peak prices mean the wholesale cost of electricity is 10% lower than it would be without them. “The money flowing out in FITs is less than the money saved by the end consumer,” he says. And all the while a clean, sustainable energy system is built.

But real problems do exist, and will intensify as Germany approaches its goal of 100% renewable electricity, from its current 20%. As that comes closer, the policies will have to change. Energy storage, already incentivised in Germany today, will need to be available, as will high-voltage interconnectors to move power around the continent and a smart grid to cleverly match demand to supply. It’s an attractive vision: clean energy, securely supplied and coming down in price.

Compare all this with the UK, where the nuclear industry is so embedded in government it supplies staff free-of-charge to work within the energy ministry. Perhaps it’s no wonder that even when half of the UK’s big six energy companies bale out of nuclear on cost grounds, ministers plough on regardless.

The news that EDF, the French-state-owned giant that runs many of the UK’s nuclear plants, wants to extend the lifetimes of their ageing reactors confirms their attraction to the so-called carbon floor price. This leg of government energy policy puts a minimum price on carbon emissions, delivering large windfalls to existing nuclear plants. New nuclear plants will also have to be subsidised, more than onshore wind and possibly more than offshore wind, according to recent analyses, which is shameful for a 60 year-old technology.

“In general in industry,” says Kraemer, “when the production of something doubles, the cost falls by about 15%. The only notable exception is the nuclear industry which gets more expensive the more you build.” Recent reports, not denied by EDF, put the cost of their new plants in the UK at £7bn each, 40% higher than previously stated.

So while mass-produced renewable energy technologies are pushing the costs  downwards, nuclear energy is completing the journey from “too cheap to meter” to “too expensive to count”. “It surprises me that something that is completely obvious to people in Germany is suppressed in the UK,” says Kraemer.

A final note. I am here with half a dozen of the UK’s most senior energy policy academics. When I mention the guarantee repeatedly given by the coalition government that new nuclear plants in the UK will get “no public subsidy”, the only response are roars of incredulous laughter. Energy bill payers, who fund all the energy schemes, are unlikely to be similarly amused.

Read more at the Guardian

Vacancy – Senior Environmental Officer – Environmental Risk Mitigation

The individual will join a team of professional scientists and engineers working upon a diverse range of environmental issues for the EDF Energy’s Nuclear Generation Fleet. They should be an experienced environmental and project professional with a proven record of delivery and commitment to environmental excellence. They should have experience in the special environmental challenges that are faced by the nuclear industry. They will be required to deliver effective and robust solutions that support world class environmental performance across the company’s power station fleet. The work will involve governance, oversight and operational support activities. The post holder will need to manage key internal and external stakeholders, including Regulators. The individual will report to the Head of the Environmental Risk Mitigation Group.

Read More: http://www.energyjobline.com/career/27117/Senior-Environmental-Officer-Environmental-Risk-Mitigation-State-South-West

Nuclear Energy can be replaced with Renewable Energy

The elimination of nuclear power plants cannot be achieved over a short period of time. Therefore, we basically support the government’s intention to consider the matter from short-, medium- and long-term perspectives. It is necessary to set a clear timeline if the government is to draw a realistic roadmap toward the goal.

In the short run, there is no choice but to switch to thermal power generation using natural gas. The government should promptly initiate its work to do so because it normally takes about a decade to complete a thermal power station, considering the time required to select and procure a site for the facility.

Circumstances surrounding natural gas have drastically changed. The amount of natural gas produced has sharply increased since the technology of extracting gas from shale was established in the United States. Shale gas fields are being developed in China and many other countries in the world. The International Energy Agency estimates that the amount of gas consumed on a global scale will increase by 50 percent by 2030. The natural gas age has arrived.

Germany, which has decided to pursue a society without nuclear power, intends to make up for a shortage of electric power with that generated by thermal power stations. However, the price of natural gas will certainly rise because its demand is expected to sharply expand. Measures should be taken on a global scale to not only guarantee contracts to purchase gas but also to expand interest in gas field exploitation.

Of thermal power plants using fossil fuels, those powered by coal emit the largest amount of carbon dioxide, a type of greenhouse gas. However, coal can be stably procured from all over the world, and its price is relatively low. Electric power generated by such plants accounts for approximately 25 percent of electricity consumed in Japan. To ensure a stable supply of electricity, Japan will need to maintain its coal-powered thermal electric power plants. Germany relies on coal-powered electric power plants for 41 percent of electricity consumed domestically, far above the ratio in Japan.

In short, there is no choice but to make up for a shortage of electric power as a result of decreasing nuclear power plants with power generated by thermal power stations until the ratio of power generated by renewable energy sources rises significantly.

However, there are problems involving such efforts including a rise in the costs of generating electric power and an increase in greenhouse gas emissions.

According to an estimate made by the Institute of Energy Economics, Japan, if all domestic nuclear power plants are shut down, the cost of Japan’s imports of fuel will increase by 3.473 trillion yen next fiscal year, increasing the monthly average electricity charge by 1,049 yen per household and by 36 percent for businesses.

Business leaders have expressed grave concern that if a shortage of electric power becomes chronic and electric power rate rises as a result, it will force businesses to shift their factories abroad, speeding up the hollowing out of Japan’s industry. Some view the shortage of electric power as a unique opportunity to transform Japan’s economy, which consumes a massive amount of electric power, into one that relies less on energy. However, adverse changes in the economy, such as a sharp rise in the unemployment rate, must be avoided by all means.

The hollowing out of domestic industry is very complex and it cannot be attributed solely to a rise in energy expenses. Behind the problem are also various factors such as the sharp appreciation of the yen, inadequate infrastructure for manufacturing, a shortage of human resources that have received advanced education, high corporate tax rates and a lack of leadership ability on the part of the government, which cannot decide whether Japan should participate in the Trans-Pacific Partnership Agreement. The government needs to clarify its stance toward supporting businesses and implement specific measures to that end.

If Japan’s reliance on nuclear power plants declines, it will be difficult for the government to achieve its goal of reducing greenhouse gas emissions by 25 percent from 1990s levels. Therefore, it should review its goal.

After the Kyoto Protocol on greenhouse gas emission expires, a new system should be created under which Japan’s exports of devices that help reduce greenhouse emissions to developing countries can be recognized as reductions in Japan’s greenhouse gas emissions. It should not use taxpayers’ money to buy surplus emission credits from other countries in a desperate bid to achieve its numerical target.

In the medium- and long term, Japan should develop and use more renewable energy. Germany’s policy of seeking to eliminate nuclear power stations is coupled with its strategy of seeking to be a leader in the field of renewable energy. The level of Japan’s environmental protection technology is equal to that of Germany’s. Japan has the potential to become a leader in an environment-friendly energy revolution.

The Environment Ministry estimates by 2030, approximately 330 billion kilowatts per hour can be generated in Japan solely with renewable energy if its land is fully utilized. The figure is about 30 percent of electric power currently generated throughout Japan and equal to the amount of power currently generated by all nuclear power plants across the country. Theoretically, all atomic energy used for power generation in Japan can be changed to renewable energy. It is not easy to achieve this but the government should try by setting this as a target.

Among various electric power generation methods using renewable energy sources, Japan has placed priority on solar power generation. At one point, Japan was the No. 1 country in the world in terms of the amount of power generated by solar panels. Various experiments are being conducted, such as storing electric power generated by solar panels in batteries for electric vehicles. The problem involving solar power generation is its high costs. However, as the method becomes widespread, the costs will certainly decrease.

Wind power generation is the most widespread in the world because its costs are relatively low. Japan is ranked only 12th in the world in the volume of power generated by wind power generators. There are various challenges that must be overcome, such as their noise. However, there are many such generators in the Tohoku and other regions, and their potential is particularly high. Floating wind power generators are fitted for Japan, which is surrounded by little sea with shoals. Moreover, the government should promote the introduction of geothermal power generation, which could be stable sources of electric power, and small- and medium-scale hydraulic power generation for local consumption.

One of the disadvantages of natural energy sources is that their ability to generate electric power depends on the amount of sunshine and wind and is therefore unstable. This is the main reason why electric power companies have been reluctant to connect such power generators to their power grids. To overcome this problem, power suppliers should expand their power interchange capacity between themselves and install special batteries to stabilize electric power in their respective grids. In the long run, power suppliers’ regional monopoly needs to be reviewed.

Above all, reductions in energy consumption are most important. The Institute of Energy Economics, Japan estimates that by replacing all incandescent bulbs in Japan with light-emitting diode (LED) bulbs, electric power equal to that generated by four nuclear reactors can be saved. This is why it is said that “saving energy is creating energy.”

Future generations will feel the limited nature of energy more than us. Japan must reform itself into a country that can efficiently function with smaller amounts of energy. The system to supply energy needs to be restructured into one based on local production for local consumption. Renewable energy is most suitable for such an energy-supply system. Prompt action is called for to ensure energy safety and security for future generations.