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Written by Tom Vulcan  |

September 28, 2011

Outlook For Nuclear Power, Uranium Not So Dire After Japan

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Despite many countries abandoning or scaling back nuclear power projects, long-term prospects for industry remain favorable.

Six months after a devastating tsunami hit the coast of Japan and precipitated the crises at the country’s Fukushima-Daiichi nuclear plant, the nuclear industry is still feeling the repercussions and will probably do so for some time to come.

However, the long-term prospects both for nuclear power generation and uranium do not appear that bleak. Here’s a look around the world at how countries and investors are wrestling with this energy issue.

Europe

Even before the catastrophic events of March this year, several European countries that had previously espoused nuclear power generation were already re-examining their industries.

With the specter of Chernobyl still quite fresh in its mind, Germany was already seriously reconsidering its power generation policies, especially in light of the increasing emphasis being laid on renewable energy. Within a couple of days of the events at Fukushima, the government took ”offline” eight of its oldest reactors, leaving just over half its 17 reactors running. Some months later, plans were announced that all the remaining reactors would be shut down, with an end to German nuclear power generation finally coming in 2022.

And, as if to underline its government’s decision, the German engineering giant, Siemens, announced Sept. 18 that it would cease to build nuclear power plants — wherever they might be — period. (However, careful not to be seen to be turning its back fully on the industry, the company did say it would continue to produce the likes of steam turbines that can be used both in nuclear and conventional power plants.)

On May 25, Switzerland voted to abandon nuclear power and to shut down the reactors it does have at the end of their useful lives. Three new reactors, for which approval had been suspended in March, will be abandoned, and the last of the country’s five remaining reactors will finally go offline in 2034.

In June this year, in the face of a desire by Prime Minister Silvio Berlusconi to restart its nuclear industry (abandoned in 1987 after Chernobyl), Italy, in a countrywide referendum, also voted to reject nuclear energy.

While Finland and Sweden are continuing in the short term with their existing nuclear policies, both are actively re-examining their plans for long-term nuclear expansion. In the meantime, though, Finland is in the process of building its fifth reactor, with plans for a further two approved.

However, for various other European countries, abandoning their nuclear industries is not a choice they have made. For example, the United Kingdom will continue to generate and consume nuclear power, as will both the Netherlands (which intends, also, to build further new plants) and Poland.

And neither the Czech Republic nor France, both of which generate (and export) considerable quantities of nuclear-generated power, has indicated any intent to curb their nuclear activities. In addition to the Czech Republic and Poland, Bulgaria, Lithuania, Romania, Slovakia and Turkey all have plans to build new nuclear power stations.

Eighteen months or more ago, some 14 out of 27 countries in the EU had nuclear reactors, and, at the end of May this year, there were some 134 reactors operating in the region.