Wednesday, October 28, 2009
Up Up and Away STNP Costs Already Escalating
The price for the South Texas Nuclear Project expansion just went up by $4 billion, now at $17 billion. Toshiba (the designer) apparently cannot agree on the price - thus the City of San Antonio is re-thinking this - and postponing their decision on whether to invest in 20 to 40 percent of the expansion. This is absolutely amazing, since nuclear proponents insist (indeed, shout it from the rooftops!) that Toshiba's Japanese nuclear plants are old technology by now - with modular construction and known costs. Apparently not! Stay tuned in Texas!
This is an amazing jump in the price, roughly 33 percent, and construction has not yet started! When one adds in the inevitable delays, unforeseen conditions, change orders, escalations for materials, services, and labor, then interest on the construction loans, plus legal costs, this plant (if it ever gets built) will easily cost $25 to $30 billion.
And that is why nuclear power plants make zero sense in the USA.