Pilgrim Closing: Nuclear Street Closing. (Declaring War On Liberals)

Basically Entergy declared war on liberal Massachusetts and their Republican Governor Baker.

Entergy To Shut Down Pilgrim NPP In Massachusetts Rate This Nuclear Street News
Tue, Oct 13 2015 2:21 PM
Entergy Corporation, one of the largest energy companies in the United States, said Tuesday it would close down the Pilgrim Nuclear Power Plant in Plymouth, Mass., by June 1, 2019, citing economic factors. 

The decision to close Pilgrim 1, a General Electric Type 3 boiling water reactor with a viable operating license that expires June 8, 2032, was based on a number of financial factors, Entergy said. Most pointedly, the company pointed to low current and forecast wholesale energy prices brought about by record low natural gas prices, driven by shale gas production. This has significantly impacted the nuclear power station's revenues, said Entergy, which, as a whole, has annual revenues of about $12 billion. 

Do you think this only applies to Entergy??? 

The company also said “policy-related issues” have eroded wholesale energy prices with current and forecast power prices down about $10 per megawatt hour. This represents an annual loss of more than $40 million in revenues for Pilgrim, Entergy said. 

The company pointed out “design flaws” in the energy market that do not compensate nuclear power plants for providing carbon-free, large-scale 24/7 energy generation and onsite fuel storage. Entergy also blamed “unfavorable state energy proposals that subsidize renewable energy resources at the expense of Pilgrim and other plants.” There is also a proposal in the state that could hurt the nuclear plant financially, as it would provide above-market prices to utilities in Canada for hydro power representing about 33 percent of the state's electricity demand. Another detrimental factor is a recent state order that would further lower the price of natural gas and increase the region's reliance on it. 

Entergy's Chairman and Chief Executive Officer Leo Denault called the decision to shutter Pilgrim “incredibly difficult … because of the effect on our employees and the communities in which they work and live.” 

In addition, the company pointed out that it had invested hundreds of millions of dollars to improve Pilgrim's safety, as well as its reliability and security. In turn, they company is faced with increased operating costs and enhanced Nuclear Regulatory Commission oversight.
Entergy said it predicted closing the plant would have a “neutral to positive” effect on cash flow through 2020, depending on uncertainty about the shutdown date, the plant's capacity supply obligation and costs related to the NRC's recent placement of Pilgrim in Column 4 of the Reactor Oversight Process Action Matrix. 

After shutdown, Pilgrim will transition to decommissioning. The Pilgrim nuclear decommissioning trust had a balance of approximately $870 million as of Sept. 30, 2015, representing excess financial assurance of approximately $240 million for license termination activities above NRC-required assurance levels. Filings with the NRC for planned shutdown activities will determine whether any other financial assurance may be required and will specifically address funding for spent fuel management, which will be required until the federal government takes possession of the fuel and removes it from the site, per its current obligation.

Currently, no additional funding is anticipated, Entergy said.