Moody’s reports: Nukes dangerous to a utility’s rating

A trade publication reported today that Moody’s Investors Service believes that a utility’s credit quality could be negatively impacted by building a new nuclear power plant, as much as a 25 to 30% reduction in it’s financial credit metrics.

Apparently the bottom line is that the size, cost and complexity of new plants can increase risk, possibly leading to lower bond ratings in the short to intermediate term.

The same article goes on to say that nukes will cost more than $7000 per installed kilowatt, twice as expensive as a “clean coal” power plant, and three times more than a natural gas fired combined cycle power station. Not only that, but in the case of a combined cycle gas fired power station, they can go from idea to reality in under five years.

The Moody’s report also pointed out that utilities should not depend on government deals to guarantee them a profitable nuclear future. They warn, as new leadership takes control they may not be as enthusiastic about nuclear.

Anyone wondering why we Greens say “No nukes is good nukes.”