Nuclear power expansion and its economic implications to the energy security of the Czech Republic

The global energy sector is currently undergoing some of the most fundamental changes in its history. The world today experiences what could be called another revolution or paramount switch with the emergence of renewable and alternative sources of energy. One of the most environmentally friendly sources with regards to emissions is nuclear energy. The Czech academic debate on the issue has been so far negligible, and especially its economic dimension seems to be overshadowed by international security and environmental concerns. The article aims to identify and evaluate the implications to the economic dimension of the energy security of the Czech Republic resulting from the currently discussed expansion of nuclear energy through the construction of a new reactor-unit. The article aims to answer the research question of "What are the possible economic implications of nuclear power expansion for the energy security of the Czech Republic?" The analysis has the form of a case study, and the main method is the qualitative analysis of texts and data. The economic dimension of nuclear energy security is introduced and evaluated through the "costs and benefits analysis" related to the nuclear power unit/plant construction. Financial aspects are analysed through the prism of the financing mechanism and public/private participation. The article also discusses the economic effects of the nuclear facility expansion on the labour market and workforce. The main possible economic implication in the short-term is the financial and capital burden associated with nuclear-power specific requirements of enormous upfront costs. The burden includes debt financing, future debt operation, cost escalation due to delays and budgetary excesses, together with the legal arrangement of the listed and associated issues (e.g. state guarantees on electricity prices). In the long-term, the expansion should have benefits in forms of electricity sales (also to abroad), available jobs, tax revenues, or reduction of externalities due to the low carbon pollution. In the current Czech debate, the economic perspective (possible costs and benefits) is side-lined by the national security aspects (supplier and technology). The main problem is the lack of coordination among the key political actors (the government, non-governmental organizations, and political opposition), which should be solved as fast as possible since all mistakes made in this case are irreversible.