$18.5 billion has been ear marked to back loans for the construction of nuclear power plants. This is a major boost to Unistar Nuclear Energy, Scana Corp, Southern Co and NRG Energy Inc. The four utility companies will utilize the federally guaranteed loans to construction new facilities.
The guaranteed loan program is intended to boost the adoption of newer technology based nuclear power facilities. Nuclear power plants are GHG (greenhouse gas) free and will likely play an increased role in energy creation. Opponents of power derived from nuclear energy maintain that the new plants are far too expensive to be viable without the federal loan guarantees and therefore should not be built. They also would rather see additional support of renewable energy which they claim are a better and more economically feasible option. New nuclear power plants are expected to cost between $6 billion and $12 billion.
The four companies that will receive the benefit of a federal loan guarantee are planning on expanding existing facilities to aid in the approval process. The companies are split 50/50 between regulated and unregulated companies. The two companies that are regulated are expected to seek cost recovery from local customers.
Westinghouse design will be used by Souther Co and Scana. Westinghouse's nuclear division is now associated with Toshiba. NRG is expected to use a Toshiba owned design while Unistar is going with a design by GE-Hitachi.
A total of $122 billion in federally backed loans was applied for by 17 companies and 21 nuclear reactors. The almost $19 billion in loan guarantees was initiated by the Busch administration.
Enriched Uranium
