A group of six organizations have issued a statement to world leaders currently gathered at the G7 summit in Germany that highlights nuclear energy’s strengths in addressing the current global challenges of environmental sustainability and energy security and urges additional support.

Westinghouse Electric Company and South Korea’s Hyundai Engineering & Construction have signed an agreement to “jointly participate in global AP1000 plant opportunities,” the Pennsylvania-based nuclear technology firm announced on May 24.

Craig Piercy
cpiercy@ans.org

Laurence J. Peter, author of The Peter Principle, said, “An economist is an expert who will know tomorrow why the things he predicted yesterday didn’t happen today.” By that definition, I guess we are all economists now.

As I write this column, it’s still too early to know exactly how the Russian invasion of Ukraine, and the world’s response to it, will shape the long-term economics of energy production, and specifically the economics of nuclear energy. But we can make a few logical guesses.

First, I think we will see a stronger security “overlay” to every energy policy decision we make in the next few years. Energy security is a potent motivator. France’s decision to go nuclear wasn’t a decarbonization play; it was a direct result of the Arab oil embargo of 1973, when most of its electricity was generated by oil-fired power plants.

Upton

McMorris Rodgers

Rep. Cathy McMorris Rodgers (R., Wash.), ranking member of the House Energy and Commerce Committee, and Fred Upton (R., Mich.), ranking member of the Subcommittee on Energy, sent a letter to energy secretary Jennifer Granholm on April 27 urging that more be done to secure America’s nuclear energy sector.

Excerpt: “Russia’s invasion of Ukraine exposes the risks of weakening American energy security,” McMorris Rodgers and Upton write. “These risks extend beyond our oil and gas assets to include supply vulnerabilities in our civilian nuclear sector. This sector is essential for national and energy security and for strengthening the geostrategic relationships necessary to compete with Russia, China, and other adversaries.

Risch

Manchin

Sens. Joe Manchin (D., W.Va.) and Jim Risch (R., Idaho) recently introduced the International Nuclear Energy Act of 2022, a measure aimed at developing a strategy to counter the growing influence of Russia and China on the global civil nuclear export market.

Manchin is chairman of the Senate Energy and Natural Resources Committee, and Risch is the ranking member of the Foreign Relations Committee.

Bill basics: The legislation, according to the lawmakers, would:

• Establish an office to coordinate civil nuclear exports strategy, establish financing relationships, promote regulatory harmonization, enhance safeguards and security, promote standardization of licensing framework, and create an export working group.

Three factors will drive nuclear exports: energy security, decarbonization, and geopolitics. Recent power prices in Europe, coupled with the situation in Ukraine, demonstrate the interplay of all three factors. Nuclear exports have to be viewed in the context of the current geopolitical climate, particularly relative to Russian and Chinese competitive offerings. Finally, the critical importance of nuclear energy in meeting global decarbonization efforts can be a driving force for exports, further enhanced by the inclusion of nuclear energy in clean/green taxonomies and the accompanying support from the ESG (environmental, social, and governance) investor community.

The Department of Energy last week released America’s Strategy to Secure the Supply Chain for a Robust Clean Energy Transition, billed by the DOE as “the first-ever comprehensive plan to ensure security and increase [the nation’s] energy independence.”

The 76-page document was produced in response to President Biden’s February 2021 executive order on U.S. supply chains, which called for a plethora of department reports on the subject, including one from the DOE on supply chains for the energy-sector industrial base.

What they’re saying: “Taking bold action to invest in our supply chains means America will reap the tremendous opportunities that tackling climate change presents to kickstart domestic manufacturing and help secure our national, economic, and energy security,” said Secretary of Energy Jennifer Granholm. “The strength of a nation relies on resilient and reliable critical supply chains across sectors, and DOE’s report provides the key strategies and recommendations for Congress and the federal government to act now to help deliver more jobs and a stronger, cleaner future.

The Biden administration has launched an initiative to enhance the cybersecurity of U.S. electric utilities’ industrial control systems (ICS) and secure the nation’s energy sector supply chain, the Department of Energy announced on April 20. The 100-day plan is a coordinated effort between the DOE, the Cybersecurity and Infrastructure Security Agency, and the electricity industry.