Showing posts with label renewables. Show all posts
Showing posts with label renewables. Show all posts

Thursday, October 13, 2011

60 Years of Energy Incentives – An Analysis of Federal Expenditures for Energy Development from 1950-2010

In 2008, NEI published a study based on an analysis by the Management Information Systems, Inc. that detailed the amount of subsidies that go to each energy source. The study has just been updated and now shows 60 years of energy incentives. Here’s the intro:

With concern about the price and availability of energy increasing, public interest in the role of federal incentives in shaping today’s energy marketplace and future energy options has risen sharply. That interest has met with frustration in some quarters and half-truths in others because of the difficulty in developing a complete picture of the incentives that influence today’s energy options.

The difficulty arises from the many forms of incentives, the variety of ways that they are funded, managed and monitored, and changes in the agencies responsible for administering them. It is no simple matter to identify incentives and track them through year-to-year changes in legislation and budgets over the 50-plus years that federal incentives have been a significant part of the modern energy marketplace.

The findings indicate that the largest beneficiaries of federal energy incentives have been oil and gas, receiving more than half of all incentives provided since 1950. The federal government’s primary support for nuclear energy development has been in the form of research and development (R&D) programs, one of the more visible types of incentives identified. In the past 10 years, federal spending on R&D for coal and renewables has exceeded expenditures for nuclear energy R&D.

Below are two key charts showing the latest numbers on pages 10 and 12:

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And a little bit more on page 17:

The common perception that federal energy incentives have favored nuclear energy at the expense of renewables, such as wind and solar, is not supported by the findings of this study. The largest beneficiaries of federal energy incentives have been oil and gas, receiving more than half of all incentives provided since 1950.

The federal government’s primary incentive to nuclear energy has been in the form of R&D programs, one of the more visible types of incentives identified. Since the end of funding for the breeder reactor program in 1988, federal spending on nuclear energy research has been less than spending on coal research and since 1994 has also been less than spending on renewable energy research.

The analysis takes you back into some good history of U.S. energy policy since 1950. There is a telling story on renewables on page 52 and some interesting incentive figures for each nuclear technology (light-water reactors, heavy-water reactors, gas cooled, sodium cooled and others) on page 35. Make sure to take a gander at the full report.

Sunday, August 14, 2011

65th Carnival of Nuclear Energy: Turning Inspiration Into Action, Not Just Nuclear, And The Bigger Pictures

For the sixth time in the carnival’s 15-month history, we have the privilege of hosting. Each time we’ve written, the number of contributions from pro-nuke bloggers has increased. Today we have posts from 13 folks discussing all sorts of topics.

Inspiration Into Action

Suzy Hobbs at the ANS Nuclear Cafe asked:

Inspiring people to learn about energy issues is a huge step, but how do we turn that inspiration into action?

Her answer:

My best piece of advice to a newly minted nuclear supporter is to be bold and talk about it. Talk about it every chance you get. Bring it up, even at the risk of creating or escalating a conflict.

Will Davis at Atomic Power Review did just that. He recently chatted with a friend who had seen the Davis-Besse plant at a distance while on vacation. Addressing his friend’s concerns, Davis started a frank discussion about perceived risk and how big media drives and controls it.

Rod Adams hosted two gentlemen on his Atomic Podcast Show: Ben Heard of Decarbonise SA (South Australia) and Barry Brook of Brave New Climate. Ben grew up assuming that nuclear energy was dangerous, but after evaluating all available options, he changed his mind. He is now running a campaign that he calls Decarbonise SA. The other guest, Dr. Barry Brook, is a scientist who focuses on the earth’s climate. He never opposed the use of nuclear energy but now recognizes just how effective of a tool it can be.

As Ms. Hobbs suggested, inspiration can lead to action.

Not Just Nuclear

Dr. Ulrich Decher also at the ANS Nuclear Cafe published his third piece of his series on California's Renewable Energy Portfolio. The Doc continued to analyze the assumptions and predictions underlying California’s energy goals. This time he took a special focus on issues arising from the intermittency of renewable sources.

Dr. John Bickel at Evergreen Nuclear presented some enlightening numbers on the radioactive releases from natural gas production compared to nuclear. There is clearly a big difference on how the nuclear industry handles radiation compared to the gas industry (looks like they don’t).

Steve Aplin at Canadian Energy Issues called out environmentalists and the Sierra Club for their disconnect on their natural gas policies.

Environmentalists who make a big deal out of opposing the proposed expansion of the Keystone pipeline do so on the grounds of the sheer amount of carbon it represents. Keystone carries synthetic crude from the Alberta oil sands to refineries in the U.S. Natural gas is a vital ingredient in oil sands processing, and is the main source of oil sands carbon emissions. Now, if oil sands carbon is bad, and that carbon comes from natural gas, then why do the same environmentalists who oppose Keystone support the increased use of natural gas for power generation in Ontario? … In Ontario, Sierra opposes new nuclear build and favours, incredibly, natural gas.

Meredith Angwin at Yes Vermont Yankee created a slide show presentation on Vermont's energy future and Vermont Yankee issues. In the slide show, she explains what "buying from the grid" in New England means (hint, it's fossil). She also covers nuclear safety issues, including concerns based on Fukushima, and a significant section on the economics of Vermont Yankee. The show provides a strong context for understanding the future of electric generation in New England.

Back to All Nuclear

Charles Barton at Nuclear Green has re-posted a blog entry by Bill Hannahan in response to an attack on the Molten Salt Reactor by DA Ryan, a British anti-nuke. From Barton:

Ryan began with questionable assumptions, failed to note well regarded information sources that simply disagreed with his controversial views, then proceeded to reason from unsupported assumptions to dogmatic conclusions about nuclear energy.

The essay rebuttal is not only a defense of the Molten Salt Reactor concept but of nuclear in general.

Brian Wang at Next Big Future has the latest on reactor construction in South Korea and new plant starts in China. He also reported on the International Energy Agency’s monthly nuclear stats worldwide and country by country. Looks like Japan’s decline in nuclear generation this year is going to make a dent in nuclear’s worldwide fuel share. New plants in India and China may be able to make up the slack though.

Bigger Pictures

Margaret Harding at 4 Factor Consulting published the fourth piece in her series that reviews strategic factors affecting the nuclear industry. Using the PESTEL analysis (acronym for Political, Economic, Social, Technical, Environmental, and Legal), Margaret’s latest piece looked at a high level economic overview of the nuclear industry.

Gail Marcus at Nuke Power Talk discussed the three types of regulatory independence that the Japanese should factor into the new regulatory organization they are developing: organizational independence, independence from the licensee, and ability of staff to assess the technical situation independently.

And Slow and Steady Progress

Last but not least, Dan Yurman at Idaho Samizdat has two posts to mention. Closely following the progress of the Vogtle reactors, Dan notes that the Georgia Public Service Commission will not adopt a controversial cost risk sharing plan with Southern Company. Instead, the regulatory agency and the utility have agreed to a "look back / look forward" program that reviews all costs as necessary and prudent under the state's CWIP program. The decision allows Southern to move forward with additions to the rate base to pay for the construction of twin Westinghouse AP1000 nuclear reactors at the Vogtle site.

Dan also reported that the NRC issued the final safety evaluation report for the combined construction and operating license for the Vogtle reactors. The NRC is on the home stretch with the safety review of the AP1000 reactor design!

That’s it for the week’s carnival. Always something going on, always something to say. Hope you enjoyed. Stay tuned for the next carnival at the ANS Nuclear Cafe. :)

Friday, August 5, 2011

Updated EIA Subsidy Report for 2010

In 2008, the Energy Information Administration published a report that provided a snapshot of the amount of federal incentives each energy technology received during the year 2007. Three years later, EIA released an updated analysis that looked at the federal incentives received in 2010.

Below is the summary table EIA generated by examining the energy incentives for all sectors (p. xii). Renewables by far have received more incentives in 2010 than any other beneficiary: 40 percent of the total.

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If we look at the incentives received in just the electric sector (a subset of the overall energy sector), the numbers expose even more favor for renewables, which garnered 55 percent of the electric sector’s incentives in 2010 (p. xviii).

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What about nuclear?

Incentives for nuclear have largely been for research and development. Since 1978, nuclear has received more R&D incentives than any other technology. Most of the R&D expenditures for nuclear took place in the 1970s and 1980s (p. 34).

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Times have changed though. R&D for renewables has doubled over the last three years and surpassed nuclear in 2010 (p. 35).

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Predictably, the report has not been well received by a number of the renewable fans. Basically, folks are knocking the new analysis because it only looks at one year’s worth of incentives and doesn’t quantify fully all of the incentives available for all technologies (as if that’s easy to do).

It’s interesting that the Union of Concerned Scientists, Climate Progress, Grist and others looked for reasons to dismiss the whole report, and – surprise – found some.

Although EIA only quantifies a few years’ worth of data, the report clearly shows renewables have been receiving the lions’ share for a number of years.

It’s funny, the critics demand incentives for renewables to level the playing field. But when the data show that renewables have been receiving a good portion of incentives for a while now, the critics ignore it so they can spin the data to hammer other technologies. Which is it? Are incentives good or bad? Or is it that they’re good for renewables and bad for nuclear? Can’t have your cake and eat it too, guys.

For a study that calculates all of the incentives for all technologies back to 1950, check out this 2008 report written by the Management Information Services, Inc (pdf). The table pasted below sums up the results quite efficiently.

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Wednesday, July 6, 2011

(Top Secret, Eyes Only) – The Blog Post Congressman Ed Markey Shouldn’t See

Earlier today Congressman Ed Markey sought to score political points for renewables by referencing a monthly report on energy use (pdf) by the Energy Information Administration.

Here’s Markey:

Buried in a report issued by the U.S. Energy Information Administration are these facts: domestic production of renewable energy has now surpassed nuclear energy, and is swiftly gaining on oil. In their “Monthly Energy Review” released last week, the EIA said that in the first quarter of 2011, total domestic production of renewable energy (2.245 quadrillion BTUs of wind, solar, water, geothermal, biomass/biofuels) outpaced domestic production of nuclear energy (2.125 quadrillion BTUs).

While words and numbers can explain a lot, below is the applicable chart that shows trends in U.S. energy production since 1973. Nuclear energy surpassed renewable energy in the early 1990s and has been ahead for most of the last 20 years.

Primary Energy Production (Quadrillion Btu) p. 4

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There’s a little bit more to the story, of course. The thing about using overall energy numbers is that it compares and includes production from all sectors. So while renewables have produced more energy than nuclear for the first three months of 2011, that number includes biofuels and biomass used in the industrial and transportation sectors. When we look at generation in the electric sector where nuclear actually competes, renewables produce about half as much electricity as nuclear. Renewables still have a long way to go to match nuclear’s electric generation. See chart below and pages 94 and 95 from EIA.

Electricity Net Generation (Billion Kilowatt-hours)

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Back to the Congressman:

The [EIA] report comes after years of nuclear energy boosters continually suggesting that a “nuclear renaissance” was just around the corner

Hmm, it might be good for the Congressman to read more of the EIA report before making this claim. A full read shows that U.S. nuclear stations broke their record in 2010 for most generation in a year, p. 115 (pdf). The nuclear industry continues to pump more megawatt-hours on the grid even with the same number of units.

But the number is about to change. Here are pictures of nuclear construction going on around the country.

Vogtle 3 and 4

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Watts Bar 2 

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V.C. Summer 2 and 3

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Looks like the industry is alive, kicking and growing.

Back to politics from the Congressman:

The [EIA] report comes ahead of a week when House Republicans will put a 2012 energy spending bills [sic] to a vote in the House of Representatives that prescribes devastating cuts to clean energy while actually increasing investments in coal, natural gas, nuclear, and other traditional technologies.

While I don’t know all of the specifics of the new energy spending bill, I’m reminded of the American Recovery and Reinvestment Act (ARRA) that passed in 2009. Wikipedia notes that ARRA provided $27.2 billion for “energy efficiency and renewable energy research and investment” while excluding incentives for nearly all other so-called traditional technologies.

So if the nuclear and fossil industries don’t want folks to see the EIA report because renewables are apparently taking over, it looks like the Congressman’s news release is trying to hide the billions in loan guarantees, production tax credits, grants, etc. made available to renewables in a previous stimulus bill…

Friday, June 10, 2011

Grist’s Anti-Nuclear Campaign Distorts Reality (Part 1 of 3)

Over the past week or so at Grist, it’s been hit-jobs galore against nuclear. A fellow by the name of Arne Jungjohann published four negative pieces loaded with jaded contentions to stir up discussion. Later in the campaign, another fellow by the name of Paul Gipe brought up a flawed study on nuclear costs and risks to add to Grist’s polemic.

Here is the first of what will be a 3-part series of responses:

Grist’s Part 1 - Why is the United States so obsessed with nuclear power?

To begin, here’s Mr. Jungjohann’s dramatic start to his series:

Fukushima provides enough grounds to take every single nuclear power plant on the face of the Earth off-line. Regardless of whether the cause is an earthquake, a tsunami, a flood, a plane crash, a terrorist attack, or simple human error, failure of the emergency power system leads to uncontrollable consequences.

Enough grounds? Uncontrollable consequences? Although Fukushima Daiichi is still recovering, an historical tsunami is the the real disaster. The latest numbers (pdf) show there are almost 24,000 people dead or missing (3 at Fukushima). At Fukushima, there are zero radiation-related deaths and the most severe health effects appear to be two workers who have received doses above emergency level limits. Here’s IAEA last week (pdf):

To date no health effects have been reported in any person as a result of radiation exposure from the nuclear accident.

While radiation data will continue to be analyzed and based on what we currently know, the results are unlikely to change.

Interesting enough, Mr. Jungjohann never mentioned these facts in any of his posts and the nuclear critics deliberately or blindly ignore them.

Farther down Mr. Jungjohann’s first piece, the following paragraph appears:

One is centralized, capital-intensive, ponderous, outdated, and anti-democratic, whereas the other is flexible, smart, labor-intensive, and open for community participation.

Nuclear, of course, is meant to fit his negative adjectives, renewables the positive. Many of the negative adjectives, however, can easily fit his favorite technologies and the positive adjectives can fit nuclear.

For instance, on nuclear being “outdated,” Mr. Jungjohann may not know that wind has been around for more than 2,000 years compared to nuclear energy which has been around about 100 years. As well, on nuclear being “ponderous,” other technologies are not immune to start-up delays as well (who hasn’t heard of Cape Wind?).

On being “anti-democratic,” everyone has the opportunity to comment to the NRC on virtually every aspect of nuclear, whether it be license renewals, design certifications, new plant applications or megawatt enhancements. How is that not democratic?

Does nuclear fit any of the positive adjectives that are described for renewables? Let’s see.

Nuclear is clearly “smart.” Below is an artist’s rendering of Korea’s SMART 100 MW reactor they’re planning to build.

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Here’s a picture showing nuclear’s “labor-intensity.”

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And here’s another on “community participation.”

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On to Mr. Jungjohann’s last bit from his first piece that we’re going to discuss:

As a German living in Washington, D.C., you can't help asking in return: Why is the accident of Fukushima perceived as something far away without consequences for a broad discussion of the future U.S. energy infrastructure? Why does the myth survive that America depends on nuclear power and must do so in the future? And overall, why is American society so pro-nuclear?

I don’t know what Mr. Jungjohann is reading but Fukushima is not something perceived as far away. There are 23 units in the US like Fukushima and the industry and NRC are analyzing and verifying that all plants are appropriately protected. The industry has been doing this since day one of the accident and there are clearly many folks and critics overseeing this.

Further, what myth is he talking about? Study after study has shown that nuclear needs to be an important part of the mix and it is currently the only energy source that’s been able to compete against and displace fossil fuels.

Below are two charts from the International Energy Agency (pdf) showing how nuclear worldwide has replaced a portion of fossil’s market share in energy and electricity over the last 30 years while renewables have remained flat (in the chart, “TPES” means total primary energy supply).

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image Many here in the US know that planning for the future also means not necessarily relying on technologies that haven’t been demonstrated on a large scale. Perhaps American reliance on clean, domestic nuclear power today and in the future, what Jungjohann calls a myth, is in fact the reality.

As for Mr. Jungjohann’s third question, is it that hard to believe that people can be in favor of nuclear? My question is: why is Germany so anti-nuclear? Germany didn’t grow to be one of the world’s largest economies without reliable electricity supplies.

Grist’s Part Two - The nuclear industry has powerful backers and weak opponents in D.C.

Mr. Jungjohann’s second piece was our favorite here at NEI. That’s basically because it was an attempt to smear our organization and nuclear companies for lobbying. The piece, however, clearly shows ignorance of how energy politics work in the US.

Living around Washington DC, Mr. Jungjohann should know that in the US, every energy industry has a trade association that represents itself here. Perhaps he’s heard of the American Gas Association, the American Petroleum Institute, the American Wind Energy Association, and the Solar Energy Industries Association? Not only that, hopefully he’s aware that trade associations spend money on, among other things, informing policymakers, petitioning Congress and federal agencies, and yes, on lobbying.

For comparison, after doing very little digging, here’s what AWEA (the wind energy lobby) spent last year:

The association has a yearly budget of $35 million, and last year spent almost $2.5 million in lobbying efforts on Capitol Hill, down from the peak of over $4 million in 2009 … Through its political action committee, WindPAC, campaign contributions in the 2010 election cycle totalled around $320,000. … That compares to campaign donations of just under $30,000 in 2000.

That’s nearly identical to NEI’s spending according to the Politico article Mr. Jungjohann cites:

NEI, the industry’s biggest voice in Washington, for example, spent $3.76 million to lobby the federal government and an additional $323,000 through its political action committee on a bipartisan congressional slate

Looks like Democrats and Republicans in Congress also “feed” into the wind industry’s “trough,” as Mr. Jungjohann says about nuclear in part three. We don’t even need to go into the money spent by fossil industry groups for lobbying, those sums are much greater than wind and nuclear’s combined.

Mr. Jungjohann may also be unaware that the utility companies he mentions (Exelon, Duke, FPL and Entergy) are the same companies that will be building the renewable technologies he wants. FPL is currently the largest renewable energy company in the US. The lobbying dollars from these companies weren’t spent just on nuclear, they were spent to represent each company’s interests which includes many different technologies.

On to the next one:

The anti-nuke movement is as weak as the nuclear lobby is strong.

Our jobs would be much easier if that were true. Unfortunately for the public, the anti-nukes are strong on distorting information, skewing opinions and creating fear, uncertainty and doubt. Crying “poor antis” doesn’t work here, they are a vocal community that’s been well-trained in using catchy sound bites to manipulate the discussion. They also engage in lawsuits and file untold numbers of petitions to intervene in various federal and state proceedings, usually on rather thin grounds.

Stay tuned for more of our critique of Grist’s anti-nuclear campaign.

Friday, April 22, 2011

Renewables did not surpass nuclear in 2010

Cleantechnica has a post referencing a report (pdf) from the Worldwatch Institute that claims renewables (wind, solar and biomass) have surpassed nuclear energy. This is only true if we were to look at one metric: capacity additions (megawatts). A more important metric, however, is output (megawatt-hours). Here’s the Institute’s claim (page 4):

In 2010, for the first time, worldwide cumulated installed capacity of wind turbines (193 gigawatts*), biomass and waste-to-energy plants (65 GW), and solar power (43 GW) reached 381 GW, outpacing the installed nuclear capacity of 375 GW prior to the Fukushima disaster.

Good job for those technologies. They still have a long ways to go, however, to be able to match the same output as nuclear.

Below is a chart showing the electric generation fuel shares worldwide from the International Energy Agency’s 2010 Key Stats report (pdf).

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Nuclear provided 13.5% of the world’s electricity in 2008 and renewables provided 2.8% (excluding hydro). The Other category includes the same renewable technologies as the Worldwatch’s report plus a few others. Yet, despite renewables “outpacing” nuclear in capacity in 2010, the actual output was more like one-fifth of nuclear’s output. If renewables were to surpass nuclear in output, then the amount of capacity needed would be almost five times as much.

Further, Cleantechnica and the Worldwatch’s report referenced an analysis from a Duke University professor (prepared for NC WARN) claiming solar is now cheaper than nuclear. The New York Times even picked up on the Duke report. But what they probably missed was that the NY Times had to distance themselves from the analysis and that the actual report had flaws in and of itself.

If Worldwatch wanted to provide a meaningful report, then they should use some of its efforts for analyzing nuclear and apply it to other technologies for comparison. There are a lot of folks who would be interested to know the historical performances of wind, solar and other techs. I’m sure we’d find that other technologies do not have rosy histories either. Otherwise, Worldwatch's annual regurgitation of nuclear statistics does little to provide readers with any perspective.

Update 4/22, 1 pm EDT: I left the following comment at 10 am on two posts at Cleantechnica's site and they haven't shown up yet three hours later. A few other comments have been approved since then. Hmmm...

When it comes to actual production, renewables are far from surpassing nuclear worldwide. Folks here may be interested in a different take: http://neinuclearnotes.blogspot.com/2011/04/renewables-did-not-surpass-nuclear-in.html

David Bradish
Nuclear Energy Institute