NUCLEAR
ENERGY MEETS
CLIMATE CHANGE
REVITALIZING NUCLEAR
ENERGY TO DECARBONIZE
ELECTRICITY IN THE
UNITED STATES
October 2021
Zakaria Hsain,
Alissa C. Johnson,
Erin K. Reagan
1
STATUS OF NUCLEAR ENERGY
Nuclear energy is an important component of the
U.S. clean energy portfolio. Across the nation, 94
commercial nuclear reactors produce more than 50%
of all emissions-free electricity (U.S. Nuclear Regulatory
Commission 2020a). As the U.S. prepares to meet the
goal proposed by President Biden of 100% emissions-
free electricity by 2035 (Waldman 2021), the future
contribution of nuclear energy is contested. Reaching
this ambitious goal, however, may require not only
massive investments in grid-scale energy storage and
renewable energy generation (e.g., solar, wind), but also
the expansion of nuclear energy capacity.
Construction of new nuclear plants has recently seen
a surge in many parts of the world, most notably in
China where nuclear capacity grew by more than 400%
NUCLEAR ENERGY MEETS CLIMATE CHANGE
REVITALIZING NUCLEAR ENERGY TO DECARBONIZE ELECTRICITY IN THE UNITED STATES
Zakaria Hsain, Alissa C. Johnson, Erin K. Reagan October 2021 kleinmanenergy.upenn.edu
TABLE 1: NUCLEAR ENERGY DATA FOR THE U.S. AND SELECT COUNTRIES
Country
Nuclear
Capacity
in 2009 (GW)
Share of
Electricity
Generation
in 2009 (%)
Share of
Electricity
Generation
in 2020 (%)
Cumulative
Capacity
Addition
2010–2020 (GW)
Cumulative
Capacity
Retirement
2010–2020 (GW)
Capacity Under
Construction
(GW)
United States 100.75 20.2 19.7 1.17 8.37 2.23
France 63.26 75.2 70.6 0 0.46 1.63
Japan 46.82 29.2 5.1 0 15.50 2.65
Russia 21.74 17.8 20.6 8.36 2.25 3.46
Germany 20.48 26.1 11.3 0 12.38 0
South Korea 17.70 34.8 29.6 6.58 1.24 5.36
Canada 12.57 14.8 14.6 1.51 0.63 0
United Kingdom 10.14 17.9 14.5 0 0.92 3.26
China 8.44 1.9 4.9 38.59 0 15.97
India 4.00 2.2 3.3 2.24 0 4.19
Nuclear energy capacity in 2009, the share of nuclear energy in electricity generation in 2009 and 2020, cumulative capacity addition and retirement between 2010 and 2020, and capacity
currently under construction.
Source: International Atomic Energy Agency
2 kleinmanenergy.upenn.edu
between 2010 and 2020, with an additional 16 GW of
capacity set to be connected to the grid in the next few
years (Table 1). In contrast, Japan and Germany have
sharply reduced their nuclear capacity by 33% and 60%
respectively in the aftermath of the 2011 Fukushima
accident (Table 1).
The U.S. has seen a slow decline in nuclear capacity
in the past decade, as shown in Table 1, and is set to
lose even more capacity in the coming decade as more
reactors shut down without replacement (Figure 1).
Five reactors have closed between 2019 and 2021,
while only two are under construction (International
Atomic Energy Agency 2021). This decline in nuclear
capacity is occurring while demand for electricity
continues to increase in the U.S., particularly from the
transportation sector (Figure 1).
The decline of U.S. nuclear capacity can be attributed to
two major causes—both price-related.
CONSTRUCTION COSTS
Nuclear reactor construction projects have faced rising
costs despite a low interest rate environment, which has
discouraged private investment. The overnight cost of
projects initiated between 1970 and 1986 exceeded
budget by 241% on average. More recently, two 1.1 GW
reactors in South Carolina would have entered service
in 2020 if they were not canceled due to delays and
billions of dollars in cost overruns (Cunningham and
Polson 2017).
Enhanced regulatory scrutiny after the 1979 Three Mile
Island accident has contributed to the cost increases
due to inspection disruptions, design changes, and
additional spending on safety features. Reactors
under construction during the accident took 2.2 times
longer to complete and were 2.8 times more expensive
compared to reactors completed before the accident
(Lovering, Yip, and Nordhaus 2016).
Regulatory scrutiny, however, is not the dominant
contributor to the overall increase in costs. By examining
the construction cost of the largest reactor component,
the containment structure, a recent analysis (Eash-
Gates et al. 2020) revealed that significant cost
increases occurred between 1976 and 2017 mainly
because material use increased (due to design changes)
and labor productivity declined (due to construction
management and supply deficiencies). Only 30% of
these cost increases could be directly attributed to
safety-related spending.
COMPETITION
The second major cause of stagnating U.S. nuclear
capacity is overwhelming competition from natural gas
power plants. Technological advances in hydraulic
fracturing (fracking) and horizontal drilling have allowed
the extraction of enormous shale gas reserves that were
previously inaccessible (Elliott and Santiago 2019). The
increased U.S. production of natural gas, which reached
an all-time high of 34 trillion cubic feet in 2019 (U.S.
Energy Information Administration 2019), has driven down
prices, thus making natural gas a more attractive energy
source relative to nuclear energy. The use of natural
gas has been further buoyed by favorable provisions in
the U.S. tax code (e.g. drilling costs deduction) and the
absence of taxes on carbon emissions (Environmental
and Energy Study Institute 2019).
FIGURE 1: PAST AND PROJECTED NUCLEAR ENERGY CAPACITY
(IN GIGAWATTS) AND TOTAL ELECTRICITY GENERATION
(IN TERAWATT-HOURS) IN THE U.S. BETWEEN 1957 AND 2040
Source: U.S. Energy Information Administration
Nuclear Energy Meets Climate Change: Revitalizing Nuclear Energy to Decarbonize Electricity in the United States 3
Using data on the capital cost of various energy
technologies (see the appendix), we estimate that natural
gas power plants currently generate the cheapest
electricity in most of the U.S. while nuclear energy is
the least expensive energy source in limited parts of the
Midwest region (Figure 2).
In this era of low natural gas prices, nuclear reactors
are becoming too unprofitable to operate. In fact, 21
reactors, accounting for almost a quarter of total nuclear
energy capacity, are at risk of closing (Clemmer et al.
2018). If these reactors are closed and replaced by
natural gas plants, annual carbon dioxide emissions
would increase by about 80 million metric tons (U.S.
Energy Information Administration 2020d), thus
jeopardizing progress towards the full decarbonization
of the electric grid by 2035.
NUCLEAR IN THE ENERGY TRANSITION
Currently, about 60% of U.S. electricity is produced
through the combustion of coal and natural gas (U.S.
Energy Information Administration 2020e). The U.S. has
committed in 2021 to substitute fossil fuels in electricity
generation with emissions-free energy sources such as
solar, wind, hydropower, and nuclear energy by 2035
(Waldman 2021).
While wind and solar energy are economically
competitive with fossil fuels in many parts of the country
(Figure 2), their ability to generate electricity depends
on the weather and time of day. As a result, wind and
solar photovoltaics only operate at 40% and 30% of
their maximum generating capacity in a given year
(U.S. Energy Information Administration 2020c).
FIGURE 2: U.S. MAINLAND MAP SHOWING THE ENERGY TECHNOLOGY WHICH PRODUCES THE LEAST EXPENSIVE ELECTRICITY IN EACH COUNTY
ASSUMING NO CARBON PRICE
Natural Gas Coal Solar PV Wind Nuclear
Nuclear technology is represented by the AP1000 Westinghouse large-scale pressurized water reactor (PWR).
4 kleinmanenergy.upenn.edu
On the other hand, nuclear plants consistently operate at
over 90% of their maximum capacity on average, higher
than natural gas plants which operate at 60% capacity on
average (U.S. Energy Information Administration 2020c).
In addition, nuclear energy has a high power density, as it
requires, per unit of power generation, 36 times less land
area than solar energy and 130 times less land area than
wind energy (van Zalk and Behrens 2018).
In a zero-emissions grid with no nuclear energy, solar
and wind farms would, in 2050, span over 1 million
km2, or an area roughly the size of Arkansas, Iowa,
Kansas, Missouri, Nebraska, Oklahoma, and West
Virginia combined (E. Larson et al. 2020), which could
complicate the siting of new energy projects and
exacerbate conflicts over land use (Mai et al. 2021). In
contrast, if nuclear energy is significantly expanded, an
area slightly smaller than West Virginia and Nebraska
combined (about 250,000 km2) would be required for
electricity generation (E. Larson et al. 2020). Therefore,
nuclear energy may be needed to transition the U.S. to a
100% emissions-free grid while ensuring grid reliability
and minimizing land use.
Many, however, see nuclear plants as too unsafe to
contribute to the transition to a clean grid despite their
excellent safety record compared to fossil fuel plants.
Since the first U.S. nuclear plant opened in 1958, there
has been only one major incident, a partial meltdown at
Three Mile Island in 1979. This incident was met with
public uproar, though it did not lead to any adverse
health consequences because, thanks to redundant
safety features, radiation was successfully contained
(Chapin et al. 2002; World Nuclear Association 2019).
Overall, the death toll of U.S. nuclear plants, 21 in total,
has been limited to workplace accidents such as falls and
electrocutions (Environmental Progress 2021). U.S. fossil
fuel plants, on the other hand, cause between 23,000
and 94,000 premature deaths annually due to particulate
matter pollution (Caiazzo et al. 2013). Coal power plants,
in particular, produce substantial amounts of highly
radioactive ash (Hvistendahl 2007). By comparison,
nuclear plants release negligible levels of radiation during
their normal operations, due to strict monitoring and
regulation (R. Rhodes 2018; Davis 2018).
Nonetheless, one issue that elicits legitimate concerns
and may impede the expansion of nuclear capacity is the
disposal of spent nuclear fuel. The U.S. has yet to settle
on a long-term solution to this issue, which protects
environmental and human safety, ensures secure
storage, and minimizes costs.
Currently, spent nuclear fuel rods are stored in dozens
of sites across 34 states, mostly near or within nuclear
plants (U.S. Nuclear Regulatory Commission 2020b).
The spent fuel is stored either in water pools, or in
sealed dry casks that provide radiation shielding and
secure storage for at least 100 years (Conca 2020;
Chapin et al. 2002). This fragmented system of spent
fuel storage, though it does not pose any significant
safety risks, places financial and logistical burdens on
nuclear plant operators, sometimes long after a plant
is decommissioned.
The U.S. Department of Energy (DOE) collected billions
of dollars in fees over 30 years from nuclear plant
operators, with the promise that their spent fuel would
be collected and stored in a permanent geological
repository in Yucca Mountain, Nevada. However, the
Yucca Mountain site, despite its technical and safety
merits, never materialized due to stiff political opposition
(Dixon 2013; U.S. Nuclear Regulatory Commission
2014). Two other proposed repositories in New Mexico
and Texas are also facing legal and political hurdles
(Bryan 2021; Douglas 2021). As a result, the DOE
is now liable for $35 to $50 billion in refunds and
damages to nuclear plant operators, with the bill rising
each year that a permanent repository is not available
(Dixon 2013). By comparison, collecting, encapsulating,
and storing all spent fuel in Yucca Mountain may cost
as little as $20 billion (in 2020 dollars) once the site is
open (OECD 1993).
The example of other nations that have found success
in establishing permanent geological repositories
shows that the challenge resides not in technical
considerations, but rather in politics and community
engagement. Finland, for instance, saw early and
sustained engagement with the communities that lived
close to the candidate repository sites. This engagement
built trust and assuaged concerns, so that when it
came time for the final selection one municipality even
Nuclear Energy Meets Climate Change: Revitalizing Nuclear Energy to Decarbonize Electricity in the United States 5
volunteered to host the repository if all other candidate
sites were taken out of consideration (Fountain 2017).
In addition to establishing a permanent geological
repository, scaling up reprocessing can further improve
the management of spent fuel and radioactive waste.
Reprocessing involves the separation of uranium
in the spent fuel from the fission products (e.g.,
cesium, strontium) and the transuranic elements (e.g.,
neptunium, americium, plutonium). The uranium can
be incorporated into new fuel rods or used in other
applications. The fission products and transuranic
elements can be isolated for future use or concentrated
and encapsulated for long-term storage.
Reprocessing not only reduces the quantity of
radioactive material that requires storage in a geological
repository, but also ensures efficient use of available
uranium reserves. Though widely used in France, the
United Kingdom, and Russia, the reprocessing of spent
fuel has not been performed in the U.S. in decades even
though a federal ban on the practice was lifted in 1981
(World Nuclear Association 2020a).
Since about 80% of the uranium used in U.S.
nuclear plants is imported (U.S. Energy Information
Administration 2020a), reprocessing would also reduce
reliance on foreign uranium mines, which expose
many marginalized communities around the world to
environmental and health hazards (Dewar, Harvey, and
Vakil 2013; Nuclear Free Future Foundation et al. 2020).
In addition to the issue of spent fuel and radioactive
waste, there is also a growing concern about the
aging state of many operational reactors. Out of 94
U.S. commercial reactors, 47 are more than 40 years
old and four are more than 50 years old (U.S. Nuclear
Regulatory Commission 2020a). These reactors require
increased maintenance and many of their control rooms
are still equipped with analog systems that afford limited
functionality and access to information compared to
state-of-the-art digital systems.
The Nuclear Regulatory Commission (NRC) licenses
reactors for 40 years initially, then extends licenses
for 20 years at a time. To obtain a license renewal, the
NRC requires the remediation of safety issues and the
establishment of a monitoring and maintenance program
(Gormley, Sinkiewicz, and Wolfe 2020). But beyond
compliance with NRC regulations, many operators
have little incentive to engage in costly innovation or
modernization programs. In response, Congress passed
legislation in 2019 that instructs the NRC to establish by
2027 an updated regulatory framework that encourages
greater innovation within the nuclear industry (Nuclear
Energy Innovation and Modernization Act 2019).
For over 60 years, U.S. nuclear plants have produced
reliable emissions-free energy while maintaining a strong
safety record. As a substitute to fossil fuels for baseload
power generation, nuclear energy would significantly
reduce greenhouse gas emissions, and could provide
valuable ancillary services such as district heating and
hydrogen production. Coupled with a rapid increase
in the capacity of renewables and energy storage,
expanding nuclear energy could be a viable pathway to
rapidly decarbonize the grid by 2035.
Achieving this expansion, however, might be derailed
by an aging infrastructure and the lack of a cost-
effective system for the management and disposal of
spent nuclear fuel and other radioactive waste. These
issues should be addressed so that nuclear energy can
safely and effectively contribute to full decarbonization
of the electric grid.
EXPANDING NUCLEAR CAPACITY
A Princeton University report estimates that, in a
scenario where renewable energy and nuclear energy
are both used to decarbonize the grid, about 260 GW of
nuclear capacity would need to be constructed by 2050
(E. Larson et al. 2020). Small modular reactors (SMRs),
which generate 300 MW or less compared to around
1,000 MW for standard reactors, could provide a less
capital-intensive and more flexible means to increase
nuclear capacity, and replace many aging reactors
currently in operation.
Safety concerns have, however, been raised about
SMRs due to their small containment structures, the
lack of some active safety features, and the potential
6 kleinmanenergy.upenn.edu
for interactions between adjacent reactors during an
accident (Lyman 2013). On the other hand, these SMRs
are designed with many safety improvements compared
to existing large-scale reactors such as passive
safety features that do not require human interaction,
emergency power, or mechanical pumps (Cho 2019;
Conca 2018; World Nuclear Association 2020b).
Multiple companies are working to develop,
demonstrate, and gain regulatory approval for their
SMR designs. A notable example is NuScale, which
developed a light-water SMR that can modulate its
power output, with a maximum capacity of 72 MW
(Ingersoll et al. 2015). After receiving NRC approval
for its SMR design in 2020 (U.S. Nuclear Regulatory
Commission 2020a), NuScale is poised to start the
construction of a nuclear plant with twelve 60-MW
SMRs in Idaho (World Nuclear News 2020).
Another SMR design under development is a hybrid
plant that integrates an advanced sodium fast reactor
(SFR) with a molten salt energy storage system (Patel
2020). In a future electric grid with a high share of
renewable sources, both of these SMR designs are
valuable because they can modulate their output in
response to grid fluctuations, thus ensuring reliable and
flexible generation (Ingersoll et al. 2015; Patel 2020).
With rising construction costs a major obstacle to
expanding nuclear capacity, SMRs promise to be
significantly cheaper and easier to build than large-scale
reactors. Each NuScale SMR is entirely fabricated in a
factory then installed on-site, which would help reduce
its cost as production is scaled up. Hence, a NuScale
SMR plant is expected to cost about $3850 (in 2020
dollars) per kilowatt (Black, Aydogan, and Koerner
2019), compared to about $6000 per kilowatt for a
large-scale 1-GW reactor (U.S. Energy Information
Administration 2020b).
If a $52/ton price (in 2020 dollars) were placed on
carbon dioxide emissions, as recommended by a
consortium of federal agencies (U.S. Interagency
Working Group on Social Cost of Greenhouse Gases
2016), nuclear plants with costs comparable to the
large-scale reactor would be competitive only in limited
areas of the U.S. East and Midwest (Figure 3a). In
comparison, a nuclear SMR plant would produce the
least expensive electricity in almost all the U.S. (Figure
2b), and could, thus, effectively compete with natural
gas and renewable energy.
To accelerate the deployment of SMRs to the grid, the
Department of Energy has provided support which
has been critical in enabling SMR developers to clear
technological and regulatory hurdles (World Nuclear
Association 2020b; NuScale Power 2020). In fiscal
year 2020, Congress appropriated $230 million to the
demonstration of advanced reactors and $100 million
to support the design and licensing of SMRs (U.S.
Senate Appropriations Committee 2020). This support
was continued into 2021 (S.4049: National Defense
Authorization Act 2020).
But while SMRs might require at least another decade
to be deployed at scale, upgrading operational reactors
can be a quicker and more cost-effective method to
increase nuclear capacity. Since half of U.S. commercial
reactors are more than 40 years old, supporting the
replacement of aging components and upgrade of
control rooms and safety mechanisms can allow many
reactors to safely remain in operation for decades to
come (Voosen 2009).
This support can also allow a reactor operator to seek
NRC approval for a “power uprate,” whereby the reactor
is reconfigured to produce a higher power output
(Trehan 2004). As a result, nuclear capacity can be
increased, up to safe operation limits (IAEA 2004), while
avoiding the logistical and financial burdens of building
new reactors. Power uprates have been used in the U.S.
since 1996 to add over 6.7 GW of capacity, and could
enable at least another 6.5 GW to be added in the next
few years (A. Larson 2019; Trehan 2004).
Power uprates, however, might not be sufficient.
Decarbonizing the grid might require a massive
expansion in nuclear capacity, as recommended by
the Princeton University report, which will be fraught
with challenges. The federal government is uniquely
positioned to tackle these challenges because it not
only can spend without financial constraints (unlike state
governments and the private sector), but can also use
fiscal and legal tools to fully employ human and material
resources while avoiding supply bottlenecks and
inflationary pressures (Nersisyan and Wray 2021).
Nuclear Energy Meets Climate Change: Revitalizing Nuclear Energy to Decarbonize Electricity in the United States 7
FIGURE 3: U.S. MAINLAND MAPS SHOWING THE ENERGY TECHNOLOGY WHICH PRODUCES THE LEAST EXPENSIVE ELECTRICITY IN EACH COUNTY
ASSUMING A $52/TON CARBON PRICE
Natural Gas Coal Solar PV Wind Nuclear
(a) With large-scale PWR (AP1000 Westinghouse)
(b) With NuScale SMR
Nuclear technology is represented by (a) the AP1000 Westinghouse pressurized water reactor (PWR) and (b) the NuScale small modular reactor (SMR).
8 kleinmanenergy.upenn.edu
Various policy options are available to provide this
federal investment. One option would establish a fund
under the U.S. Department of Energy that provides
financing for utilities interested in upgrading or
constructing nuclear reactors. This financing can take
the form of grants or low-interest loans as appropriate
for the risk and scale of each project, with preferential
terms given to cooperatives and publicly owned utilities.
Another option would fund the expansion of nuclear
capacity via five regional power marketing administrations
(PMAs) (Bruenig 2019). These include the four PMAs that
Congress created to sell federally owned hydropower
and achieve rural electrification (Campbell 2019), in
addition to a new PMA that covers U.S. territory not
covered by the others (Figure 4). The five PMAs would
be provided with the financing and legal mandate
necessary to significantly expand zero-emissions energy
capacity including nuclear energy, as well as build
transmission infrastructure to support this expansion.
FIGURE 4: U.S. TERRITORY COVERED BY EACH POWER MARKETING ADMINISTRATION
BPA: Bonneville Power Association; WAPA: Western Area Power Administration; SWPA: Southwestern Power Administration; SEPA: Southeastern Power Administration. PMAs sell
electricity from power generation facilities owned by three federal agencies (CORPS: Army Corps of Engineers; RECLAMATION: Bureau of Reclamation; IBWC: International Boundary
and Water Commission).
Source: Oak Ridge National Laboratory
Corps Reclamation IBWC
Nuclear Energy Meets Climate Change: Revitalizing Nuclear Energy to Decarbonize Electricity in the United States 9
MARKET INCENTIVES FOR
EMISSIONS-FREE ENERGY
In addition to direct federal investment, providing market
incentives to emissions-free generators commensurate
with the carbon emissions they prevent, is an effective
means to accelerate the decarbonization of the electric
grid and encourage private investment in nuclear energy
and other clean energy technologies.
One mechanism to provide such incentives is a direct
tax on fossil fuel plants for each ton of carbon emissions.
This tax would increase the cost of electricity generated
from fossil fuels, thus giving emissions-free generators
a sustained market advantage. A carbon tax policy is
transparent and simple to design and enforce, but it
has garnered timid political support partly due to its
regressive effects (Gleckman 2021).
Another mechanism to incentivize emissions-free
generation is a technology-neutral clean energy standard
(CES) program, which compels utilities to source a
predetermined share of their electricity from emissions-
free producers. This share is enforced either through
regulations or through a market-based system in which
a limited number of emissions allowances are issued
either for free or via an auction, and are subsequently
traded between utilities to meet their clean generation
targets (Center for Climate and Energy Solutions 2019).
A well-designed CES program increases the share of
clean electricity at predictable rates with the goal of
reaching 100% emissions-free electricity at a predefined
year, while preventing disruptions in energy markets and
ensuring that retail electricity prices remain affordable.
While complex and opaque compared to a carbon tax,
CES programs have enjoyed wide adoption at the state
and local levels: thirty states and the District of Columbia
have some form of CES in place (Barbose 2019; Center
for Climate and Energy Solutions 2021). These programs
have preserved several at-risk nuclear plants. For
instance, CES programs in New York and Illinois have
prevented the closure of six reactors, totaling about 5.7
GW of capacity (Nuclear Energy Institute 2018; U.S.
Nuclear Regulatory Commission 2019).
Since many states have no carbon pricing policies
in place or very timid decarbonization targets, a
federal CES would provide much-needed certainty
and consistency in the path to full decarbonization by
2035, while allowing more ambitious states such as
California, Maine, and New York to set an even faster
decarbonization pace (Barbose 2019).
A bill was introduced in 2019 to establish a technology-
neutral market-based federal CES that would achieve
full grid decarbonization by 2050, though it never
received a vote (H.R.2597: Clean Energy Standard
Act 2019). The provisions of this bill would avoid the
retirement of 43 GW of nuclear capacity, while only
raising average electricity rates by 4% (Picciano,
Rennert, and Shawhan 2019). President Biden has
endorsed a more ambitious version of this bill, aiming for
full decarbonization by 2035, as part of his multi-trillion
dollar infrastructure spending plan (McDonnell 2021).
CONCLUSION
The signs of climate change are already abundantly
clear in the U.S.; from droughts and fires in Western
states to violent storms along the East Coast. Nuclear
energy, due to its safety, reliability, small land footprint,
and zero carbon emissions, can effectively contribute to
decarbonizing electricity generation, though it faces rising
capital costs and competition from natural gas plants.
Continuous investment in the development and
demonstration of small modular reactors, direct
federal investment in the construction of new reactors
and the modernization of existing reactors, and the
provision of market incentives through carbon taxation
or a clean energy standard would, combined, enable a
much-needed increase in U.S. nuclear energy capacity.
There is still hope that coupling the continued growth in
renewable energy with an increase in nuclear capacity
would allow the U.S. to phase out fossil fuel plants in
time to effectively mitigate the most catastrophic
effects of climate change.
10 kleinmanenergy.upenn.edu
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APPENDIX
To generate the maps shown in Figures 2 and 3, we
used an online tool provided by the Energy Institute in the
University of Texas at Austin (Energy Institute–UT Austin
2020). The tool produces a map of the mainland United
States, with each county colored according to the energy
technology which generates the least expensive electricity
within it. The cost of various technologies is compared
based on their levelized cost of electricity (LCOE) which
is calculated using overnight capital cost, fuel price,
plant lifetime, and discount rate (10 %), as well as other
operating costs that vary by geographical location and
energy technology (J. D. Rhodes et al. 2017).
We obtained estimates of the overnight capital cost for
all energy technologies from the U.S. Energy Information
Administration (U.S. Energy Information Administration
2020b), with the exception of estimates for the nuclear
SMR which were obtained from a recent economic
analysis (Black, Aydogan, and Koerner 2019).
TABLE A1: DATA USED TO ESTIMATE LEVELIZED COST OF
ELECTRICITY UNDER VARIOUS SCENARIOS.
Energy Technology
Overnight
Capital
Cost
($ per kW)
Fuel Price
($ per billion
Btu)
Plant
Lifetime
(years)
Nuclear (2 x AP1000
PWR Plant)
6,041 0.70 50
Nuclear (12 x
NuScale SMR Plant)
3,850 0.70 50
Wind (200 MW
Onshore Pant)
1,265 0 25
Solar Photovoltaics
(Utility)
1,313 0 25
Natural Gas (H-Class
Turbine, Combined
Cycle with No
Carbon Capture)
1,084 5.07 35
Coal (Ultra-
Supercritical with
No Carbon Capture)
3,676 2.16 40
Nuclear Energy Meets Climate Change: Revitalizing Nuclear Energy to Decarbonize Electricity in the United States 12
ACKNOWLEDGEMENTS
We are grateful to Angela Pachon, Dr. James R. Hines
Jr., Dr. Shannon Wolfman, Jake Hoffman, and Stephen
Mell for their valuable comments. We also thank Lindsey
Samahon for copyediting.
ABOUT THE AUTHORS
Zakaria Hsain is a Ph.D. candidate in the Department
of Mechanical Engineering and Applied Mechanics at
the University of Pennsylvania, with a research focus on
nature-inspired functionalities in metallic materials such
as morphing and self-healing. He is also member of the
Penn Science Policy and Diplomacy Group.
Alissa C. Johnson is a Ph.D. candidate in the Department
of Mechanical Engineering and Applied Mechanics at
the University of Pennsylvania, with a research focus on
battery architectures and multifunctional energy storage
systems. She earned both her bachelors and master’s
degrees in mechanical engineering from the University
of Pennsylvania.
Erin K. Reagan is a Ph.D. candidate in the Cell and
Molecular Biology Graduate Group at the University of
Pennsylvania, researching mRNA vaccine design for
infectious disease. She is also president of the Penn
Science Policy and Diplomacy group.
Cover Photo: istockphoto.com/portfolio/Dobresum
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