Nuclear generation owners (Exelon, First Energy and Talen Energy Companies) are trying to achieve legislation to create nuclear plant cost subsidies.
- Energy Intensive Consumers support a diverse power plant generation portfolio including nuclear power plants. We do not support a unique subsidy for those plants.
- While increasing electricity rates on households and small businesses are bad enough, the brunt of the impact will be felt by large-scale users of electricity, including our manufacturers, schools, transit systems and city governments.
- Large manufacturers with multiple facilities could see more than $6 million in additional energy costs annually.
- Pennsylvania consumers have already paid Billions in costs for these plants during the de-regulation of the electric industry. These plants have already been paid for.
- Additionally, nuclear plant owners and their shareholders made substantial profits for many years prior to the Marcellus Shale Gas market development. The PJM Market has already provided plant owners the opportunity to collect over $1.95 Billion in revenues from 6/1/16 – 5/31/20 in the Capacity Market (in addition to energy revenues).
- Offering a subsidy to nuclear plant owners is discriminatory to the larger population of power plants supporting consumers.
- Nuclear plants are fundamentally different than a direct comparison to Solar & Wind renewables, future generations must manage the nuclear waste for thousands of years.
- Proponents of a Nuclear Bailout to continue operations at Pennsylvania's Nuclear Power plants tout a minor cost impact for consumers. A $2/month to $4/month increase to residential homeowner bills is used to represent the financial impact. Annual financial impacts for the average IECPA member is approximately $500,000 per year using the $2/month rate and $1,000,000 per year at the $4/month rate. Now consider that Bailouts are promoted for ten years or more and the impact becomes $5 to $10 million or more. This cost would dramatically impact job retention/job creation initiatives at Pennsylvania's largest employers, diminish funds for innovation, reduce investment, minimize energy efficiency efforts and generally diminish the competitiveness of Pennsylvania companies.
IECPA will be having meetings in Harrisburg with Legislators and continuing or efforts to prevent a costly nuclear bailout in PA.
The passage of a nuclear subsidy in NJ (Nuclear subsidy approved, could cost NJ ratepayers billions) has re-energized the discussions in PA.
The nuclear energy caucus held their meeting this past Tuesday which included "testimony" from representatives from FirstEnergy, Exelon, Talen, and Brattle Group. A link to the video from the meeting can be found here.
IECPA letters to Pennsylvania federal Congressman regarding the federal coal/nuclear bailout policies being considered.
IECPA Executive Director Rod Williamson participated in interview with the Pennsylvania Business Report and made significant contribution to an article on the issue.