DOE signs $6.5 billion federal nuclear loan guarantee for Vogtle 3 & 4

Aerial image of Plant Vogtle Nuclear Generating Station - photo credit to High Flyer. The photo shows the operating Units 1 and 2, as well as the construction site for proposed new Units 3 and 4.U.S. Secretary of Energy Ernest Moniz has announced that the Department of Energy (DOE) will sign an agreement with Southern Co. and Oglethorpe Power for a $6.5 billion loan guarantee that puts federal taxpayers on the hook if the Vogtle 3 & 4 new reactor project defaults on its loan repayments. Energy Secretary Ernest Moniz will speak at the proposed new reactor construction site at 2 PM Eastern today, Thursday, Feb. 20th (you can listen to his address by calling 1-800-282-1696).

President Obama gave the Vogtle 3 & 4 federal loan guarantee offer (for a total of $8.3 billion) the highest profile possible, by announcing it himself at a press event in Feb. 2010. Despite this, it has taken over four years for the project proponents to sign on the dotted line, given their reluctance to put any of their own "skin in the game," in the form of credit subsidy fees. The nuclear loan guarantee program was authorized in the 2005 Energy Policy Act, and $22.5 billion was approved by Congress and George W. Bush for new nuclear facilities on Dec. 23, 2007 ($18.5 billion for new reactors, $4 billion for new uranium enrichment).

The $8.3 billion Vogtle 3 & 4 federal loan guarantee is 15 times bigger than the infamous Solyndra solar loan guarantee, which defaulted on its loan repayment, a $585 million loss to the U.S. Treasury. But the Vogtle 3 & 4 loan guarantee is at much higher financial risk of default than was the Solyndra solar project!

Beyond Nuclear's Paul Gunter blasted the deal in a Common Dreams interview. Southern Alliance for Clean Energy (SACE) also blasted the deal in a press release. Harvey Wasserman has penned an essay entitled "Obama's Nuke-Powered Drone Strike on America's Energy Future."

Please contact President Obama and Energy Secretary Moniz, registering your disapproval of this $6.5 billion nuclear loan guarantee, and urging them not to grant the remaining $1.8 billion nuclear loan guarantee to project partner MEAG for Vogtle 3 & 4. Also urge them to withdraw any further nuclear loan guarantee offers, with the remaining $10.2 billion authorized for new reactors, and $4 billion authorized for new uranium enrichment.

But the federal nuclear loan guarantees, and even the CWIP charges which are gouging Georgia ratepayers, are not the only subsidies benefitting this proposed new reactor project. If Vogtle 3 & 4 do get built and operated, the George W. Bush DOE also obligated U.S. taxpayers to ultimate liability for the risks and costs of the high-level radioactive waste they would generate. DOE hastily signed the contract in the last days of the Bush administration, despite the fact that federal courts are awarding $500 million per year in damages to nuclear utilities for DOE's breach of contract for failing to begin taking title to irradiated nuclear fuel in 1998 under the contractual agreements signed in the mid-1980s. The hastily signed contacts were exposed by D.C. attorney Diane Curran, IEER President Arjun Makhijani, and Beyond Nuclear's Kevin Kamps in a March 24, 2010 press conference based on a FOIA Request.

Beyond Nuclear/PSR speaking tour across MI a big success!

Alfred Meyer, PSR board memberAlfred Meyer (photo, left), national board member of Physicians for Responsibility (PSR), spoke throughout Michigan on a tour organized by Beyond Nuclear from Feb. 12-17. His presentations of "Nuclear Power: What You Need to Know about Price, Pollution and Proliferation" were dedicated to the memory of Dr. Jeff Patterson, PSR's Past-President.

Alfred's first stop on Feb. 12, at Grand Rapids' Fountain Street Church, drew 35 attendees, despite the wintry weather. Corinne Carey of Don't Waste MI video-recorded the talk, and will post it to cable access t.v. in the near future.

Alfred had a productive day in Kalamazoo on Feb. 13th. His presentation at Western Michigan University (WMU) was attended by over 50 people, and garnered an extended interview by Gordon Evans on WMUK Radio, as well as an article by Yvonne Zipp in the Kalamazoo Gazette. Alfred also spoke at a press conference held at WMU's impressive solar panel array, launching a campus climate campaign to divest the university from fossil fuel investments. Alfred was also interviewed by Dr. Don Cooney, WMU Social Work professor and Kalamazoo City Commissioner, and Dr. Ron Kramer, WMU criminology prof., on "Critical Issues: Alternative Views" t.v. program. The interview will be aired on Kalamazoo cable access in the near future, as well as posted to YouTube.

The tour stop in South Haven (4 miles from Entergy's Palisades atomic reactor) on Feb. 14 drew 25 attendees, despite it being Valentine's Day. Kraig Schultz of Michigan Safe Energy Future--Shoreline Chapter video-recorded the talk, and will post the recording to the MSEF YouTube channel in the near future.

Ferndale in Metro Detroit on Feb. 15 drew 75 attendees. Damon J. Hartley of the Peoples Tribune did a write up and took lots of photos.

Monroe's event (within the 10-mile Emergency Planning Zone from the GE BWR Mark I, Fermi 2, as well as the proposed Fermi 3) on Feb. 16, drew 30 attendees, and garnered coverage in the Monroe News (text, PDF). The Ann Arbor (home base for PSR's new MI chapter) event on Feb. 17 also drew an audience despite an impending winter storm.

Beyond Nuclear has been honored and privileged to work with the following groups to make this speaking tour a success: Michigan Physicians for Social Responsibility; Sierra Club; Fountain Street Church; WMU Lee Honors College; WMU Environmental Studies program; WMU Institute of Government and Politics; Michigan Safe Energy Future (both Kalamazoo and South Haven chapters); Don't Waste Michigan; Ferndale Public Library; Alliance to Halt Fermi 3; Ellis Library; Don't Waste Michigan; Coalition for a Nuclear-Free Great Lakes; and the Ecology Center.