G20 Foundation Publications Australia 2014 | Page 90

90
ENERGY
ENERGY
Nuclear energy – a
favourable climate
Jean-Jacques Gautrot, Chairman, World Nuclear Association
As countries commit to
decarbonise electricity supply,
nuclear energy is reclaiming a
space at the top of the agenda.
Recent developments are
encouraging and signal a positive
outlook for a technology that over
the last four years has been beset
by heightened public concerns and
challenging economic conditions.
It is clear that over the longer term
nuclear is growing as it remains
essential for meeting the world’s
increasing need for affordable,
reliable and clean energy.
The USA has stepped up its response
to climate change with new proposals
put forward by government that seek
to curb greenhouse gas emissions from
the energy sector. At a time when a
combination of factors have coincided to
put significant pressure on the country’s
reactor fleet, leading to some early plant
closures, the new rules may finally reflect
the intrinsic value of nuclear’s clean-air
and grid reliability qualities. The use of
nuclear energy in the USA prevents the
emission of 590 million tonnes of CO 2
annually – roughly the same amount as is
put out by 113 million cars.
This year’s polar vortex induced severe
winter strongly emphasises the need
for reliable and diverse power supplies.
No power source does reliability quite
like nuclear. intensive low-carbon energy projects.
To date nuclear has been largely
excluded from European climate goals
and support programs which have
exclusively favoured renewable energy
sources and efficiency measures.
Consensus is building however that on
their own these cannot substitute for
base-load electricity sources. Nuclear
energy is uniquely suited to this task.
In Europe, several countries have
expressed their unified and adamant
belief that nuclear energy must be part
of the climate solution and that market
changes are needed to encourage
the necessary investment in capitally- Hinkley Point C is the first in a queue
of UK projects which seeks to take
advantage of national market reforms
designed to encourage a range of low-
carbon technologies in a deregulated
electricity market. This project has now
Who supplies uranium to the EU?
4%
18%
18%
Russia
Canada
2%
2%
Other
21%
Uranium resources
are available from
a diversity of
suppliers
Kazakhstan
Europe
4%
USA
Uzbekistan
13%
12%
Niger
5%
South Africa
& Namibia
Source: EURATOM suply agency, 2013
Australia
been cleared by the EU – an immensely
encouraging decision that could
open the flood gates on a program of
nuclear new build across the continent
– creating many jobs and associated
economic benefits.
G-20 governments are re-focussing on
ensuring the availability and stability of
energy resources (particularly gas and oil)
in light of recent geo-political events. It
should be noted that nuclear is particularly
beneficial from an energy security
standpoint. Uranium is abundant, supplied
by many countries and nuclear fuel can be
easily stored in large quantities. Moreover
the cost of nuclear energy is relatively
insensitive to fuel price movements.
Nowhere are energy issues felt
more keenly than where demand is
growing fastest. In the world’s rapidly
industrialising economies this is truest of
all. China leads the charge on new nuclear
development and plans to boost its
installed capacity from 19.8 GW at the end
of 2013 to about 130 GW by 2030 as it sets
out to maintain its industrial growth and
to minimize the environmental impacts
caused by its current coal reliance. Other
countries with committed plans include
Russia, South Korea and India, while
newcomer countries continue to move
ahead with their programs – UAE, Belarus,
Turkey, Saudi Arabia, Poland and Vietnam.
Japan’s 48 operable reactors have stood
mostly idle since utilities gradually took
them offline following the Fukushima
accident; a situation which has affected
global nuclear generation figures
significantly. However the recent draft
safety approval issued by the new nuclear
regulator paves the way for the restart
of the idled fleet and is a clear and
welcome sign that the country is ready to
move forward in its recovery. The extra
money spent on fossil fuel imports to
cover the nuclear shutdown amounts to
¥ 3 – 4 trillion per year ($30 – 40 billion)
according to government estimates.
Where demand is flat or grids are modest
nuclear energy has long been discounted
as an option. However a new technology
under development offers the potential
“We are convinced that nuclear
energy should keep its proper place in
European energy policy in accordance
with the Treaties. Nuclear energy
perfectly fits the three pillars of
energy