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The second French nuclear bet

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  • Perrier, Quentin

Abstract

Following the first oil crisis, France launched the world's largest ever nuclear energy program, commissioning 58 new reactors. These reactors are now reaching 40 years of age, the end of their technological lifetime. This places France at an energy policy crossroads: should the reactors be retrofitted or should they be decommissioned? The cost-optimal decision depends on several factors going forward, in particular the expected costs of nuclear energy production, electricity demand levels and carbon prices, all of which are subject to significant uncertainty.

Suggested Citation

  • Perrier, Quentin, 2018. "The second French nuclear bet," Energy Economics, Elsevier, vol. 74(C), pages 858-877.
  • Handle: RePEc:eee:eneeco:v:74:y:2018:i:c:p:858-877
    DOI: 10.1016/j.eneco.2018.07.014
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    Cited by:

    1. Behrang Shirizadeh & Quentin Perrier & Philippe Quirion, 2019. "How sensitive are optimal fully renewable power systems to technology cost uncertainty?," Policy Papers 2019.04, FAERE - French Association of Environmental and Resource Economists.
    2. Behrang Shirizadeh & Philippe Quirion, 2020. "Low-carbon options for the French power sector: What role for renewables, nuclear energy and carbon capture and storage?," Policy Papers 2020.01, FAERE - French Association of Environmental and Resource Economists.

    More about this item

    Keywords

    Power system; Uncertainty; Nuclear costs; Robust Decision Making; Investment;

    JEL classification:

    • C6 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling
    • D8 - Microeconomics - - Information, Knowledge, and Uncertainty
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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