Uncompetitive IL nukes to recieve $600 million annual subsidy under PJM plan

"Burning money" image by Gene Case, Avenging AngelsAs reported by Scott DiSavino in Reuters, a new "capacity factor" subsidy, at ratepayer expense, is being offered by the Pennsylvania New Jersey Maryland (PJM) grid operator to Exelon Nuclear, to help prop up several uncompetitive atomic reactors in Illinois.

"Capacity factor" refers to nuclear power's 24/7 "baseload" avaiability, but ignores the fact that nuclear power plants can experience years-long safety-related shutdowns.

The article concludes that "extra revenues from the capacity auction could keep the money losing reactors operating for a few more years until possible new carbon standards are available," as Exelon lobbies "federal, state and regional policy makers [to] find ways to compensate generators for the environmental and reliability benefits that non-carbon emitting nuclear plants provide."

Of course, nuclear power is not zero carbon. And, as David Kraft, Director of NEIS, has pointed out, other sources of electricity have inherent upsides, deserving of societal support. Wind power and solar photo-voltaics, for example, as well as energy efficiency, release even less greenhouse gases than nuclear power, and also do not generate forever deadly radioactive waste.

Nor do efficiency and renewables risk catastrophic reactor meltdowns, as Exelon's age-degrading reactors in IL are at ever greater risk of experiencing. Yet, these renewable and efficiency electricity sources are not being awarded benefits, at ratepayer expense, for such society-friendly aspects.

One of those federal policies that could unduly further benefit the nuclear power industry is the Obama industry's Clean Power Plan, to be announced on August 3rd.

Exelon threatens to close three reactors by early next year, absent $1.8 billion IL bailout

NRC file photo of two-reactor Quad Cities nuclear power plant in ILScott Stapf of the Hastings Group's tweet put it well: Nuclear blackmail: Exelon threatens to kill Quad Cities plant if IL lawmakers don't hand over loot.

As reported by Crain's Chicago Business, despite a windfall compliments of regional grid operator PJM (provided at ratepayer expense), Exelon Nuclear is nonetheless still threatening to close its two reactors at Quad Cities, unless the Illinois State Legislature provides it another massive bailout, to the tune of $1.8 billion.

Exelon has also said its downstate single reactor plant, Clinton, could be next to close, early next year, absent the state bailout. A dozen years ago, the Clinton site was a "Nuclear Renaissance" showcase, with a Nuclear Regulatory Commission rubber-stamped "Early Site Permit" for a second new reactor there, a proposal suspended many years ago now.

Nuclear Energy Information Service of Chicago has led the charge in opposition to the state nuclear bailout.

Earlier this week, E&E published an interview with John Rowe in which the former Exelon CEO said that shutting Illinois's uncompetitive atomic reactors is "the proper market-driven answer."