Peril at Home

Deck: 
We could see 11-22GW of nuclear facing early retirement in the next 10 years.
Fortnightly Magazine - July 2014
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The existing U.S. nuclear fleet, representing 100GW or 20% of our electric generation, is in economic peril and in danger of declining even more rapidly than expected driven by five dominant factors:

• Sluggish Demand.

• Low Gas Prices.

• Aging Inventory.

• Escalating Costs.

Christopher Dann is a Partner in the energy, chemicals, and utilities practice of Strategy& (formerly Booz & Company), a member of the Pwc network of consulting firms.

• Competition from Renewables.

Sluggish Demand. Persistently low power demand in most markets driven by demand destruction during the recession and a prolonged sluggish recovery has depressed power prices in most markets - average reserve margins remain above 20% through 2018 in the NERC LTRA Anticipated Case.

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