Kristina Shevory reports for TheStreet.com on the resurgence of interest in nuclear power.
Nuclear power, whose growth phase ended two decades ago amid the public terror over Three Mile Island and Chernobyl, finds itself on the precipice of rebirth.
After years of being shunned for political and financial reasons, nuclear energy is back in vogue as prices for other fuels have spiraled skyward. Rising electricity demand, billions of dollars in new federal subsidies and pollution controls on coal- and gas-fired power plants are weakening old taboos. For the first time since the Arab oil embargo, utilities are applying to build new reactors in the U.S. -- 12 at last count.
Probably the biggest single factor in the resurgent interest in nuclear power is the rise of natural gas prices to record highs; prices have quadrupled over the past 10 years to $8.34 per million British thermal units. Even though oil and gas companies have stepped up their drilling, supplies have not kept pace with demand. The country now depends on natural gas for 24% of its energy consumption, thanks to a construction boom of natural-gas-fired power plants in the 1990s.
Rising energy prices have changed public opinions about nuclear power -- although significant opposition still exists. In a May 2005 Gallup poll, 54% of respondents said nuclear energy should be used to generate electricity, a 6-percentage-point increase since 2001. Still, most Americans, about 63%, say they don't want a nuclear plant built near their home.
Nuclear energy has gotten a boost from President Bush, who sees alternative fuels as a way to reduce the country's reliance on imported oil and boost homeland security. Last year's energy bill streamlined licensing regulations and gave the nuclear industry $2 billion in incentives and tax breaks. Nearly $10 billion has been earmarked toward developing alternative energies, such as nuclear, since 2001. In his State of the Union speech Tuesday night, Bush announced a new initiative to increase clean energy research in coal, solar, wind and "clean, safe nuclear energy" by 22%.
Nuclear power, whose growth phase ended two decades ago amid the public terror over Three Mile Island and Chernobyl, finds itself on the precipice of rebirth.
After years of being shunned for political and financial reasons, nuclear energy is back in vogue as prices for other fuels have spiraled skyward. Rising electricity demand, billions of dollars in new federal subsidies and pollution controls on coal- and gas-fired power plants are weakening old taboos. For the first time since the Arab oil embargo, utilities are applying to build new reactors in the U.S. -- 12 at last count.
Probably the biggest single factor in the resurgent interest in nuclear power is the rise of natural gas prices to record highs; prices have quadrupled over the past 10 years to $8.34 per million British thermal units. Even though oil and gas companies have stepped up their drilling, supplies have not kept pace with demand. The country now depends on natural gas for 24% of its energy consumption, thanks to a construction boom of natural-gas-fired power plants in the 1990s.
Rising energy prices have changed public opinions about nuclear power -- although significant opposition still exists. In a May 2005 Gallup poll, 54% of respondents said nuclear energy should be used to generate electricity, a 6-percentage-point increase since 2001. Still, most Americans, about 63%, say they don't want a nuclear plant built near their home.
Nuclear energy has gotten a boost from President Bush, who sees alternative fuels as a way to reduce the country's reliance on imported oil and boost homeland security. Last year's energy bill streamlined licensing regulations and gave the nuclear industry $2 billion in incentives and tax breaks. Nearly $10 billion has been earmarked toward developing alternative energies, such as nuclear, since 2001. In his State of the Union speech Tuesday night, Bush announced a new initiative to increase clean energy research in coal, solar, wind and "clean, safe nuclear energy" by 22%.
