A stormy future? Financial impact of climate change-related disruptions on nuclear power plant owners. (April 2023)

• Record Type: Journal Article
• Authors: Ahmad, Ali; Covatariu, Andrei; Ramana, M.V.
• Is Part Of: Utilities policy. Volume 81(2023)
• Publication Date: 2023-04
• Subjects: Climate disruption -- Nuclear plant -- Financial loss; Public utilities -- United States -- Periodicals; Public utilities -- Government policy -- United States -- Periodicals; 363.6
• DOI: 10.1016/j.jup.2022.101484
• Languages: English
• ISSNs: 0957-1787

Abstract

Abstract: In recent years, extreme weather events potentially caused by climate change have led to several nuclear power plants being shut down for varying periods, and such unplanned outages will become more frequent in the future. Nuclear plants are already finding it difficult to compete in electricity markets due to the availability of cheaper alternatives. We quantitatively assess the additional impact of such extreme weather events on the finances of plant owners using Western Europe as a case study and draw some policy implications for existing owners and those considering new nuclear plants. Highlights: Globally, climate change driven extreme events are impacting nuclear power plants. Nuclear reactors in Western Europe are particularly vulnerable to extreme weather. We project an increase in climate-linked unplanned outages in Western Europe nuclear reactors. Adaptation options include financial and contractual measures and maintenance planning.