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Competitiveness of Nuclear Energy Dr. Sama BILBAO Y LEON OECD Nuclear Energy Agency

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Page 1: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

CompetitivenessofNuclearEnergy

Dr. SamaBILBAOYLEON

OECDNuclearEnergyAgency

Page 2: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

Is Nuclear energy cost competitive?

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OCGT CCGT Coal Nuclear Wind-Onshore Solar

Levelised

Costo

fElectric

itygen

eration(USD

/MWh)

Investment O&MFixed O&MVariable Fuel Carbon

• Today’s nuclear energy plants are a very competitive source of long-term electricity supply

• Costs of renewables are dropping, but without subsidies are still high

• Costs of natural gas still set the pace for the market and are generally lowLevelised Cost for Plants Built in 2020

Source:NEA

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Itdepends…

Page 3: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

Apricethatreflectsthetruevalue

Accountingforfullcostsinformspublicdebatebutcannotsubstituteforit.Socialandpoliticaldiscussionswillgivedifferentweightstodifferentvariablesindifferentcountries

Plant-level productioncostsatmarketprices

Grid-levelcostsoftheelectricitysystem

Fullcostsincludingsocialcostsof

emissions,land-use,climatechange,

securityofsupply,etc.

Page 4: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

Grid-levelsystemcosts

Grid-levelSystemCostsforagridwith10%and30%ofVariableRenewableGenerationSource:OECD/NEA

Page 5: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

0 100 200 300 400 500 600 700 800 900 1000 1100 1200 1300 1400

lowhigh

NUCLEARonshore,lowonshore,highoffshore,lowoffshore,high

WINDlowhigh

BIOMASSlowhigh

HYDROlowhigh

PHOTOVOLTAICwithCCSwithSCR

lowhigh

NATURALGASCCcombinedcycle

lowNOxHEAVYFUELOIL

withCCSwithFGD,lowwithFGD,high

COALwithFGD,lowwithFGD,high

LIGNITE

tonnesCO2 eq./GWh

DirectEmissions

IndirectEmissions

Along-terminvestmentincleanenergyDirectandindirectGHGemissionsLifetimecost(€/kW)

Sources:OECD/NEA,MitigationofClimateChange,IntergovernmentalPanelonClimateChange,2007

Page 6: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

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Nuclearpowerplantscanbeflexible

Courtesy of Électricité de France (EDF)

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11/07/2008 30/08/2008 19/10/2008 08/12/2008 27/01/2009 18/03/2009 07/05/2009 26/06/2009 15/08/2009

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18/12/2008 19/12/2008 20/12/2008 21/12/2008 22/12/2008 23/12/2008 24/12/2008 25/12/2008 26/12/2008 27/12/2008

Courtesy of Électricité de France (EDF)

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18/12/2008 19/12/2008 20/12/2008 21/12/2008 22/12/2008 23/12/2008 24/12/2008 25/12/2008 26/12/2008 27/12/2008

PowerhistoryofaFrenchPWRreactor

Wholecycle 10-dayperiodaroundChristmas

Source:EDFandOECD/NEA

Fresh Water District Heating

Industrial Heat

Hydrogen

Page 7: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

Sanmen units1and2(Image:SNPTC) Barakah unit2(Image:ENEC)

Taishan 1(Image:CGN) Novovoronezh II-2(Image:Rosatom)

Themoreyoubuildnuclearpowerplantsthebetteryougetatit:practicedoesmake

perfectinthenuclearbusiness

Page 8: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

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NEA:Helpinggovernments

AllNEApublicationsavailableatwww.oecd-nea.org

Page 9: Competitiveness of Nuclear Energy · Competitiveness of Nuclear Energy Dr.Sama BILBAO Y LEON OECD Nuclear Energy Agency. Is Nuclear energy cost competitive? 0 20 40 60 80 100 120

The NEA: A framework to address global challenges

The role of the NEA is to:

• Foster international co-operation to develop the scientific, technological and legal bases required for a safe, environmentally friendly and economical use of nuclear energy for peaceful purposes.

• Develop authoritative assessments and forge common understandings on key issues as input to government decisions on nuclear technology policy.

• Conduct multinational research into challenging scientific and technological issues.

NEA countries operate nearly 90% of the world's installed nuclear capacity

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