Economics of Nuclear

Coal-To-Nuclear / Reactors ‘A Compelling Option’, But Prominent Issues Need To Be Resolved, Says Report

By David Dalton
2 November 2023

Redeveloping sites could be next step in clean energy transformation

Reactors ‘A Compelling Option’, But Prominent Issues Need To Be Resolved, Says Report

Existing coal plants can provide key benefits and opportunities that make them “a compelling option” for the deployment of nuclear generation, but prominent issues around perceived risk and nuclear waste management need to be resolved, a report concludes.

The Electric Power Research Institute (EPRI) report, From Coal to Nuclear: A Practical Guide for Developing Nuclear Energy Facilities in Coal Plant Communities, says repurposing a coal plant’s infrastructure could be an option to help sustain coal communities while providing a carbon-free source of generation through nuclear power.

It outlines the process for determining if locations are suitable for development, factors to consider when selecting the reactor type, and regulatory considerations including water and transmission rights.

From a technical perspective, issues such as perceived risk and nuclear waste management can be overcome, and many advanced reactor designs address these concerns, the report says. But “it is something that must be understood and evaluated when making the business decision to deploy nuclear”.

“Since coal communities have had experience with power generation, this shared experience can be a good point for the owner-operator and local stakeholders to start a conversation,” the report says.

Power plant closures can adversely impact local communities that benefit from the facility through jobs and tax revenue. Until recently, newly constructed natural gas-fired power units often replaced decommissioned coal plants, but governments are encouraging the redevelopment of the sites for other forms of low- or zero-carbon power generation.

According to the report, nuclear power is key to bringing emissions targets within reach for many countries. With the retirement of more coal plants, redeveloping these sites to deploy new nuclear generation could be the next step in the clean energy transformation.

Since 2000, more than 90 GW of US coal units have been retired, driven in large part by efforts to meet decarbonisation goals. By 2050, coal plants across 2,400 sites in 79 countries are expected to retire, representing 1,000 GW.

There are several advantages to repowering an existing coal site for new generation, including existing transmission infrastructure and interconnection permits that may be able to be reused, modified, or extended. Many such sites have access to well-developed transportation infrastructure and existing utility connections for buildings. Existing environmental permits for a coal facility may be modifiable.

Key Findings Focus On Water, Land And Transmission

The report says many current sites offer the advantage of access to a large daily water withdrawal and water discharge allowance. In the US, the right to withdraw water is under more scrutiny, and there are reputational and permitting advantages to modifying existing water withdrawal and discharge permits rather than undergoing the permitting process in a new area.

In its key findings, the report says water, land and transmission availability are the greatest resources available from an existing coal plant for the development and deployment of a nuclear plant. It says reuse of infrastructure, such as the balance of plant or the turbine cycle of the coal plant, should include a thorough review of all technical aspects of the system, structures, and components to make sure they meet all technical and licensing requirements for nuclear deployment.

A March 2023 report by the Washington-based Bipartisan Policy Center thinktank said nearly one-fourth of the current US coal-fired fleet is scheduled to retire by 2029, providing opportunities to use existing infrastructure for small modular reactors and reduce construction costs by 17% to 35%,

The report said there are a number of challenges to address. Coal plant retirement and SMR operation dates must be aligned for a smooth workforce transition and to prevent existing transmission and water infrastructure from being used by another project.

TerraPower, a company co-founded by Bill Gates, has already said it plans to deploy its Natrium SMR at a retiring coal site in Wyoming.

During a visit to a closed-down coal-fired plant in Glasgow, West Virginia, in January, Gates said he was looking for more sites as he steps up efforts to deploy the Natrium reactor technology.

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