There is so much excess production capacity for pumps, pipes, and parts that few plan expansion when orders show up
This is updated coverage for Fuel Cycle Week, V11;N454 January 5, 2012 published by International Nuclear Associates, Washington, DC.
The U.S. Nuclear Regulatory Commission voted unanimously on Dec. 22 to approve the Westinghouse AP1000 reactor design for use in the United States. The action sets the stage for construction of two of these reactors at Southern's Vogtle site in Georgia and two more at Scana's V.C. Summer station in South Carolina.
..."There is no great upwelling of enthusiasm among our members about the first four AP1000s,” Ames said. “Our members tell me they have sufficient capacity now. If a second round of plants get commitments, then people will invest in new production facilities."
The NFC official cited the low price of natural gas, uncertainty over how long the low prices will hold, and whether Southern and Scana can bring in their four reactors on time and within budget, as factors for the consortium’s caution.
"There's a lot of fear we could get a situation like the one in Finland," Ames said, which could deter other utilities from moving forward with new reactors.
There are significant differences in the costs of the projects. Southern, which has an $8.3 billion loan guarantee from the Department of Energy, says its two reactors will cost $14 billion. Scana, which did not pursue a loan guarantee, says its plants will cost $9 billion. Southern's reactors are expected to come online in 2016 and 2017, and Scana's in 2016 and 2019.
