Nuclear power bill could see new life in special session

 

The Callaway Nuclear Power Plant in Fulton, Mo. Photo by Rebecca Townsend/Missouri News Horizon

Call it the little nuclear-power-funding-bill that could.

It seems increasingly likely that a controversial piece of legislation that would allow Ameren Missouri and other utility companies to increase rates to finance a second nuclear power reactor in Callaway County will come up for debate if the governor decides to call a special legislative session.

The bill, which would overturn the 35-year-old, voter-approved anti-CWIP law forbidding the state’s utility companies from passing on construction costs to consumers before power plants are operational, has been declared dead by politicians several times this year only to rise again.

The most recent rebirth came with a letter sent out by legislative leaders to gauge whether or not the main players in the deal are still on board with a compromise that was reached in the final hours of the legislative session in May. The deal failed to garner the approval of senators who felt they were being force fed a deal by special interest groups.

“The compromise that Sen. (Brad) Lager brought to the floor on the last day of session was something that we supported then,” said Chris Roepe, director of the Fair Energy Rate Action Fund, a consumer protection group. “Ameren supported (it) then. And we continue to support that. And if that’s the compromise that comes forward in a special session, we would continue to be supportive of that.”

The most recent incarnation of the bill would have allowed utility companies to raise rates on consumers up to $45 million to finance the obtainment of an early site permit from the Nuclear Regulatory Commission. Several consumer protections were written into the proposal including a $3 million annual funding increase for the Office of Public Council – which represents Missouri ratepayers in cases against utility companies – and language that would allow consumers to receive a rebate if the plant is never built.

In a letter written in response to Senate President Pro Tem Rober Mayer, R-Dexter, and Speaker of the House Steve Tilley, R-Perryville, Roepe said his organization would be willing to support a similar deal if it were to be brought up in a special session. Mayer, Tilley and other legislative leaders are scheduled to meet with Gov. Jay Nixon next week about calling a special session to finish up several pieces of legislation, including the early site permit bill and a jobs bill.

“The important thing is the office of public counsel will receive funding at an adequate level so they will be able to do an effective job to represent and protect consumers out there,” Roepe said. “That was not in the bill originally.”

But not everyone is on board. The Missouri Coalition for the Environment has been a vocal critic of any plans to build a second reactor at the Callaway nuclear power plant. Ed Smith, the No-CWIP coordinator for the group, said the fact that Ameren and the other utility companies need to raise rates to finance a nuclear power generator is proof that the nuclear energy is a bad decision.

“If the nuclear industry cannot finance their own reactors without taxpayer money upfront and ratepayer money upfront, then maybe we need to look to alternatives we can afford,” Smith said.

Smith rejects arguments from many Callaway II supporters who point toward the fact that the legislation would only apply to that one project. It would not permanently waive the anti-CWIP provision. But Smith argued that making the exception once allows for it to be made repeatedly.

Although the legislation only deals with the financing of the project, safety concerns associated with nuclear power have underlined the entire debate – particularly in the wake of multiple meltdowns at the Fukushima-Daiichi nuclear plant in Japan. The disaster occurred just two days after the first Callaway II senate hearing and made an already controversial bill an even tougher sell in the general assembly. And no doubt the current flooding of two nuclear power plants in Nebraska along the Missouri River will be factored into the debate if the issue were brought up in a special session.

Ameren has said however that its mid-Missouri facility is safe from floodwaters and that its reactors would not face the same threats as the Japanese plant which was disabled by a tsunami caused by a massive earthquake.

But that wasn’t enough for Smith, who said the problem of radioactive waste continues to be a major cloud looming over the nuclear power industry.

“We would be against it even if Ameren were able to fund it, for the simple fact that we’ve been producing nuclear waste for decades and we don’t know what to do with the first cup full,” he said.

The governor could call a special session as early as next week.

 


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Posted by on July 9, 2011. Filed under Featured. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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