Advanced reactor economics and markets
The viability of nuclear power ultimately depends on economics. Safety is a requirement, but it does not determine whether a reactor will be deployed. The most economical reactor maximizes revenue while minimizing costs. The lowest-cost reactor is not necessarily the most economical reactor. Different markets impose different requirements on reactors. If the capital cost of Reactor A is 50 percent more than Reactor B but has characteristics that double the revenue, the most economical reactor is Reactor A.
The most important factor is an efficient supply chain, including on-site construction practices. This is the basis for the low capital cost of light water reactors from China and South Korea. The design of the reactor can significantly affect capital cost through its impact on the supply chain. The question is, how can advanced reactors boost revenue and reduce costs?
