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The economics of new nuclear power plants in liberalized electricity markets

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  • Linares, Pedro
  • Conchado, Adela

Abstract

Even after Fukushima, the nuclear debate is strong in many countries, with the discussion of its economics being a significant part of it. However, most of the estimates are based on a levelized-cost methodology, which presents several shortcomings, particularly when applied to liberalized electricity markets. Our paper provides results based on a different methodology, by which we determine the break-even investment cost for nuclear power plants to be competitive with other electricity generation technologies. Our results show that the cost competitiveness of nuclear power plants is questionable, and that public support of some sort would be needed if new nuclear power plants are to be built in liberalized markets.

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Bibliographic Info

Article provided by Elsevier in its journal Energy Economics.

Volume (Year): 40 (2013)
Issue (Month): S1 ()
Pages: S119-S125

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Handle: RePEc:eee:eneeco:v:40:y:2013:i:s1:p:s119-s125

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Web page: http://www.elsevier.com/locate/eneco

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Keywords: Nuclear power; Economics; Liberalized electricity markets;

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Cited by:
  1. Rodica Loisel & David Shropshire & Christian Thiel & Arnaud Mercier, 2014. "Flexibility assessment in nuclear energy dominated systems with increased wind energy shares," Working Papers hal-00934217, HAL.
  2. Gérard Mondello, 2014. "Splitting Nuclear Parks or Not? The Third Party Liability Role," GREDEG Working Papers, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis 2014-05, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis.
  3. Gérard Mondello, 2011. "Civil Liability, Safety and Nuclear Parks: Is Concentrated Management Better?," Working Papers 2011.34, Fondazione Eni Enrico Mattei.

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