Released October 16, 2015 | GALWAY, IRELAND
en
Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Germany's nuclear operators have set aside 38.3 billion euros ($44 billion) to cover the cost of decommissioning all of their nuclear plants.
Following an independent financial "stress test," funded by the government, Germany's Economy Minister Sigmar Gabriel announced: "The stress test shows that the companies concerned have made sufficient provisions to cover all of the costs. The companies' combined assets cover the costs of the decommissioning of the nuclear power plants and the disposal of the radioactive waste. As agreed by the leaders of the parties forming the coalition, the Federal Cabinet is soon to establish a commission for the review of the financing of the nuclear phase-out, and to adopt draft legislation on extended liability for the dismantling of nuclear power plants and the disposal of nuclear waste."
After the Fukushima Daiichi nuclear accident in Japan in 2011, Germany's government made the surprise decision to exit the nuclear power sector. The decision saw the immediate closure of the seven oldest nuclear plants, with a plan to shut the remaining 10 reactors by 2022. For additional information, see May 30, 2011, article - Germany Votes to Dump Nuclear Power.
Nuclear's contribution to the country's electricity mix has fallen from more than a fifth in 2011 to about 16% today. The affected companies--E.ON AG (OTC:EONGY) (Dusseldorf, Germany), RWE AG (OTC:RWEOY) (Essen, Germany), Energie Baden-Württemberg AG (EnBW) (Karlsruhe, Germany), Stadtwerke Munchen GmBH (SWM) (Munich) and Vattenfall AB (Stockholm, Sweden)--have all launched separate legal actions against the German government over what they called the "unlawful" closure of their plants, a punitive nuclear tax and lost revenues. The exit has cost them billions of euro to date in lost revenues.
Germany is undergoing an energy transition to cleaner fuels and will be hoping to fill the looming energy gap with new gas-fired plants and renewable energy, particularly solar and offshore wind. Industrial Info has reported previously on the fact that Germany will need up to 20,000-megawatts (MW) of fossil-fuelled plants--mainly gas-fired--by 2020. For additional information, see June 16, 2011, article - Germany Needs 20 Gigawatts of Fossil-Fuel Power Plants.
Dismantling costs in Germany are "higher than the international average" according to the auditor, with each reactor expected to cost an estimated $981 million to dismantle, compared to between 235 million and 620 million euros in other countries.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
Following an independent financial "stress test," funded by the government, Germany's Economy Minister Sigmar Gabriel announced: "The stress test shows that the companies concerned have made sufficient provisions to cover all of the costs. The companies' combined assets cover the costs of the decommissioning of the nuclear power plants and the disposal of the radioactive waste. As agreed by the leaders of the parties forming the coalition, the Federal Cabinet is soon to establish a commission for the review of the financing of the nuclear phase-out, and to adopt draft legislation on extended liability for the dismantling of nuclear power plants and the disposal of nuclear waste."
After the Fukushima Daiichi nuclear accident in Japan in 2011, Germany's government made the surprise decision to exit the nuclear power sector. The decision saw the immediate closure of the seven oldest nuclear plants, with a plan to shut the remaining 10 reactors by 2022. For additional information, see May 30, 2011, article - Germany Votes to Dump Nuclear Power.
Nuclear's contribution to the country's electricity mix has fallen from more than a fifth in 2011 to about 16% today. The affected companies--E.ON AG (OTC:EONGY) (Dusseldorf, Germany), RWE AG (OTC:RWEOY) (Essen, Germany), Energie Baden-Württemberg AG (EnBW) (Karlsruhe, Germany), Stadtwerke Munchen GmBH (SWM) (Munich) and Vattenfall AB (Stockholm, Sweden)--have all launched separate legal actions against the German government over what they called the "unlawful" closure of their plants, a punitive nuclear tax and lost revenues. The exit has cost them billions of euro to date in lost revenues.
Germany is undergoing an energy transition to cleaner fuels and will be hoping to fill the looming energy gap with new gas-fired plants and renewable energy, particularly solar and offshore wind. Industrial Info has reported previously on the fact that Germany will need up to 20,000-megawatts (MW) of fossil-fuelled plants--mainly gas-fired--by 2020. For additional information, see June 16, 2011, article - Germany Needs 20 Gigawatts of Fossil-Fuel Power Plants.
Dismantling costs in Germany are "higher than the international average" according to the auditor, with each reactor expected to cost an estimated $981 million to dismantle, compared to between 235 million and 620 million euros in other countries.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
