Best of the Week
Most Popular
1.North Korean Chinese Proxy vs US Military Empire Trending Towards Nuclear War! - Nadeem_Walayat
2.Researchers Find $10 Billion Hidden Treasure In A Dead Volcano - OilPrice_Com
3.Gold and Silver : The Battle for Control - Rambus_Chartology
4.Asda Sales Collapse and Profits Crash! UK Retailer Sector Crisis 2017 - Nadeem_Walayat
5.Deep State Conspiracy or Chaos - James_Quinn
6.The Stock Market Guns of August, Trade Set-Up & Removing your Rose Tinted Glasses - Plunger
7.Gold Stocks Coiled Spring - Zeal_LLC
8.Neil Howe: The Amazon-Walmart Rivalry Will Determine the Future of Retail - John_Mauldin
9.Crude Oil Price Precious Metals Link in August - Nadia_Simmons
10.Gold and Silver Precious Metals Nearing Breakout - Jordan_Roy_Byrne
Last 7 days
Global Financial Crisis 10 Years On: Gold Rises 100% from $650 to $1,300 - 23rd Aug 17
GBP/USD Extends Losses - 23rd Aug 17
Donald Trump Terrorist in Chief, “We Aren’t Nation-Building Again, We Are Killing Terrorists” - 23rd Aug 17
How Planned Fed Rate Increases Impact The National Debt & Deficits - 23rd Aug 17
The 3 Assets to Add to Your Stocks Portfolio in This Rate Tightening Cycle - 23rd Aug 17
Half Price UK Theme Parks Entry 2017 With Cheap Chocolate Packs - 23rd Aug 17
[GIFT] Market Control System! - 23rd Aug 17
4 Reasons European Stocks Will Make a Big Comeback This Year - 22nd Aug 17
3 Lesser-Known Charts Revealing a Massive Stock Market Disconnect - 22nd Aug 17
U.S. Treasury Secretary: "I Assume Fort Knox Gold Is Still There" - 22nd Aug 17
Is the Stock Market Setting itself up for a Spectacular Crash? - 22nd Aug 17
Power Elites Launches Civil War Against Trump - 22nd Aug 17
The Stock Market No Longer Cares About Trump - 21st Aug 17
The Coming Boom Of Productivity Will Get Our Economy Back On Track - 21st Aug 17
Buffett Sees Stock Market Crash Coming? His Cash Speaks Louder Than Words - 21st Aug 17
This Could Be The Biggest Gold Discovery In History - 21st Aug 17
Stock Market Correction in Full Swing - 21st Aug 17
Seeking Confirmations – US Stock Market - 21st Aug 17
The changing demographic of online gamblers - 21st Aug 17
Gold is a coiled spring… the breakout is here, fundamentals are in place, technicals are compelling - 20th Aug 17
A Midsummer Night's Dream: Buy Gold and Silver - 20th Aug 17
Gold Mining Stocks 2017 Fundamentals - 20th Aug 17
EIA Weekly Report and Crude Oil - 19th Aug 17
4 Insights for Adjusting Your Portfolio in a Rate-hike Environment - 19th Aug 17
Gold Direction Indicator - 19th Aug 17
Historical Inevitability and Gold and Silver Ownership - 19th Aug 17
You Are Being Lied To About “Low” Gold Demand - 19th Aug 17
This is Why Cocoa's Crash Was a Perfect Setup - 19th Aug 17
Gold, Silver Consolidate On Last Weeks Gains, Palladium Surges 36% YTD To 16 Year High - 19th Aug 17
North Korea Is Far From Being Irrational… It Has A Plan - 18th Aug 17
US Civil War - FUNCTIONAL ILLITERATES TRYING TO ERASE HISTORY - 18th Aug 17
Bitcoin Hits New All-Time High Over $4,400 As It Catches Paypal In Total Market Cap - 17th Aug 17
3 Psychological Ingredients behind Great Web Content - 17th Aug 17
The War on Cash - Rogoff, Orwell and Kafka - 17th Aug 17
The Stock Market Guns of August, Trade Set-Up & Removing your Rose Tinted Glasses - 16th Aug 17
Stocks, Bonds, Interest Rates, and Serbia, Camp Kotok 2017 - 16th Aug 17
U.S. Stock Market: Sunrise ... Sunset - 16th Aug 17

Market Oracle FREE Newsletter

3 Videos + 8 Charts = Opportunities You Need to See - Free

Nuclear Power, The Economic Dirty Bomb

Politics / Nuclear Power Aug 16, 2011 - 12:06 PM GMT

By: Andrew_McKillop

Politics

Best Financial Markets Analysis ArticleWithin the next 15 years as many as 100 industry standard 900 MW nuclear reactors, concentrated in the "old nuclear' countries will have to be decommissioned, dismantled and made safe - unless the sinister farce of reactor operating lifetime extensions goes on playing. In some countries, especially Germany, Switzerland and probably Japan this farce has already ended or could end very soon. When it does, nuclear debt will go into overdrive from its already high gear shift setting.


Nuclear power is capital intensive, lives on subsidies, thrives on false hopes and dies in debt.

Putting a figure on how much the nuclear "decomm" story will cost is in fact impossible - and is signalled by the tell-tale anticipative action of nuclear friendly governments, for example the UK, which now sets decomm as an activity that will only need to start a generous or foolhardy 30 or 40 years after the reactor was powered down and removed from the national power grid. Until then, the reactor can stay on the horizon as a contribution to national culture, or something. Decomm periods could or might be as long as 125 years, according to some nuclear apologists: why not 250 years ?

Staying an extra moment in the UK which this month of August 2011 had a three-day low level civil war outbreak, countered by PM David Cameron with the same phlegmatic repressive "courage" as Bashr el Assad facing his own five-month real civil war in Syria, we get an additional glimpse of nuclear power's real and open ended risks and costs.

In a real civil war, in any country with real nuclear power plants, who exactly is going to tell us these giant Dirty Bombs will not get hit - possibly as early priority targets for insurgents and anti-government forces ?  In that case, what will be the economic costs and sequels of this ?

ECONOMIC DISASTER
The keyword "disaster" suffers from overuse and erosion, for example the loss of Michael Jackson is a "disaster" for world culture, but nuclear disaster has a real and known meaning. While we do not know and will not know the real cost of the Fukushima 4-reactor meltdown because a period of 10 years is about the minimum needed to get a handle on it, the economic damage and loss from the Chernobyl 1-reactor meltdown has been relatively well costed - over the years since it happened in 1986. At a minimum and in today's depreciating and devaluing dollars, the cost ballpark starts at about $ 250 bn.

To be sure, this is chickenfeed relative to the multi trillion-euro and trillion-dollar sovereign debts being juggled in Europe and the USA (or the 1000 trillion yen sovereign debt of Japan), but it concerns real world spending in the real economy. The leverage relation between the real economy, and the high speed fantasy world of sovereign debts, is hard to estimate but we can suggest that $1 spent in the real economy is equal to at least $100 of funny debt fiat money being refinanced, restructured and extended.

Next we add that these two nuclear catastrophes, grave as they were, extreme as they were, occurred a long way from dense urban areas with high value properties and businesses, and millions of residents. The chance of Nuclear Luck continuing, with rural-type disasters rather than city region disasters, is not guaranteed - but nuclear power's extreme high costs and risks are guaranteed, sure and certain.

Worst-case scenarios for nuclear collateral damage in so-called "mature democracies" facing civil war because of political decisions made by the elite to defend their shrinking middle classes, waking up to the reality they are getting poorer, not richer, are relatively easy to construct. We can likely multiply the Chernobyl tab for economic and loss and damage by a factor of four, for city regional nuclear catastrophes of the future, taking the real economy risk of loss to around $ 1 trillion, a respectable number for players like Obama to put through their teleprompters. The impact of this on already so-fragile national finances and economic confidence in the Old Rich/New Poor countries would be, very simply, catastrophic.

RECYCLE, REUSE AND DEFEND THE ECONOMY
Nuclear waste business, as we know, is not business friendly and leads to the very basic reflex of simply dumping a considerable and growing part of the world's unmanageable nuclear wastes from the current world fleet of around 436 operating civil reactors (depending on how many Japanese reactors are brought back into service). Proliferation risks are in a decidedly Olde Worlde 1950s-way restricted only to conventional explosive nuclear weapons - totally ignoring both Depleted Uranium weapons using and "recycling" nuclear wastes, value-adding too, and the future Dirty Bombs which with almost no possible doubt will be used in coming civil wars and international wars. Both of these nuclear war options are above all cheap, and of course dirty.

Since the 1991 Gulf War 1 against Iraq, the war against Afghanistan starting in 2001, and second war against Iraq of 2003, at least 2500 tons of Depleted Uranium weapons have been used by the US, UK and France in these delightfully far away and "over the horizon" Indiana Jones type war theaters - causing a conservatively estimated 10 000 cancer deaths, and as many as 50 000 living sufferers of cancer in Iraq and Afghanistan. This has easily calculated economic consequences - when this concerns white democratic middle class sufferers of the same types of cancers: roughly $ 40 000 for a cancer death and $ 25 000-per-year fur surviving cancer sufferers.

To be sure these cancer deaths and injuries are chickenfeed in relation to the civilian deaths and refugees caused by the West's "pre-emptive" attack against Saddam Hussein's Iraq and its virtual stock of Mass Destruction weapons, and revenge crusade against the Taliban for so expertly organizing the demolition of New York's Twin Towers in 2001, exactly like the ratio of real economy damage cause by nuclear power and the notional debt mountains of the formerly-rich countries. However, total civilian deaths in these two completely illegal wars - probably more than 250 000 - and the real suffering caused to millions by these illegal wars will we can hope some day give way to reparations, which will be payable and due, exactly like debt repayment by the Old Rich/New Poor countries. The "cute idea" of recycling nuclear wastes as DU ordnance will generate the economic damage that these filthy weapons should generate. Those who profit from misery will finally pay.

To be sure, this cozy morality is fine - as long as the best0by date for muddling through is way in the future. When it comes home to roost with the very shrinking number of bird numbers - even bird species - this is another kettle of also rapidly depleting open ocean fish.

LOSS AVOIDANCE IS THE ONLY SOLUTION
Turning off the nuclear tap will soon become the only solution. With civil nuclear power plant growth and  proliferation already cancelled in several countries, including Germany, Japan and Switzerland and likely to be placed on hold because of nuclear debt and the sheer un-economic nature of nuclear power in other countries - to be sure with China and India coming very late to the party - we can be sure that Nuclear Nirvana's murky underside of a Pandora's Box of evils will soon cause a sea shift in ruling elite thinking.

Options exist for the rapid removal of nuclear power from the scene. Since 2008, in more than a half of OECD countries exposed to the realities of the sovereign debt crisis, electricity consumption has fallen by double-digit amounts in 3 years. The need for nuclear power is cut by this real world trend. To be sure there are long-term and rising nuclear debts due to accumulated wastes and to the near-term future crisis of reactor decommissioning - which should (in a sane world) only hasten the total abandonment of this failed option for supplying "cheap, clean and safe" power.

The options are better known than ever. The pathology of "we didnt know" has worn awfully thin after the Fukushima disaster. The same applies to Depleted Uranium weapons, so nicely reserved for expert commentators to pontificate on - but which cause cancers and economic loss every day in Iraq and Afghanistan.

The choices and options are on the table for those who want to admit them. Unfortunately our current political decider elite is congenitally unable to admit them. Soldiering along and muddling through with the deadly, high cost option of nuclear power will continue - but not for long.

By Andrew McKillop

Contact: xtran9@gmail.com

Former chief policy analyst, Division A Policy, DG XVII Energy, European Commission. Andrew McKillop Biographic Highlights

Andrew McKillop has more than 30 years experience in the energy, economic and finance domains. Trained at London UK’s University College, he has had specially long experience of energy policy, project administration and the development and financing of alternate energy. This included his role of in-house Expert on Policy and Programming at the DG XVII-Energy of the European Commission, Director of Information of the OAPEC technology transfer subsidiary, AREC and researcher for UN agencies including the ILO.

© 2011 Copyright Andrew McKillop - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2017 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Comments

Mark Goldes
16 Aug 11, 19:30
AN UNRECOGNIZED NUCLEAR THREAT

MELTDOWNS OF MULTIPLE NUCLEAR PLANTS ARE A HIDDEN HAZARD!

The largest solar flare in years erupted earlier this month. Had its emission slammed into our geomagnetic field it could have collapsed critical global power grids for months.

A nuclear plant without grid power for a month is a meltdown candidate.

See the Aesop Institute website for an overview of the problem and a few maps that illuminate the threat, which is far greater than any terror attack.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Catching a Falling Financial Knife