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US Nuclear Generating Costs 2017 show USD33.50/MWh for nuclear energy, the lowest since 2008, as capital expenditures, fuel costs, and operating costs declined after license renewals and uprates, supporting a reliable, low-carbon grid.

Key Points

The 2017 US nuclear average was USD33.50/MWh, lowest since 2008, driven by reduced capital, fuel, and operating costs.

✅ Average cost USD33.50/MWh, lowest since 2008

✅ Capital, fuel, O&M costs fell sharply since 2012 peak

✅ License renewals, uprates, market reforms shape competitiveness

Average total generating costs for nuclear energy in 2017 in the USA were at their lowest since 2008, according to a study released by the Nuclear Energy Institute (NEI), amid a continuing nuclear decline debate in other regions.

The report, Nuclear Costs in Context, found that in 2017 the average total generating cost - which includes capital, fuel and operating costs - for nuclear energy was USD33.50 per megawatt-hour (MWh), even as interest in next-generation nuclear designs grows among stakeholders. This is 3.3% lower than in 2016 and more than 19% below 2012's peak. The reduction in costs since 2012 is due to a 40.8% reduction in capital expenditures, a 17.2% reduction in fuel costs and an 8.7% reduction in operating costs, the organisation said.

The year-on-year decline in capital costs over the past five years reflects the completion by most plants of efforts to prepare for operation beyond their initial 40-year licence. A few major items - a series of vessel head replacements; steam generator replacements and other upgrades as companies prepared for continued operation, and power uprates to increase output from existing plants - caused capital investment to increase to a peak in 2012. "As a result of these investments, 86 of the [USA's] 99 operating reactors in 2017 have received 20-year licence renewals and 92 of the operating reactors have been approved for uprates that have added over 7900 megawatts of electricity capacity. Capital spending on uprates and items necessary for operation beyond 40 years has moderated as most plants are completing these efforts," it says.

Since 2013, seven US nuclear reactors have shut down permanently, with the Three Mile Island debate highlighting wider policy questions, and another 12 have announced their permanent shutdown. The early closure for economic reasons of reliable nuclear plants with high capacity factors and relatively low generating costs will have long-term economic consequences, the report warns: replacement generating capacity, when needed, will produce more costly electricity, fewer jobs that will pay less, and, for net-zero emissions objectives, more pollution, it says.

NEI Vice President of Policy Development and Public Affairs John Kotek said the "hardworking men and women of the nuclear industry" had done an "amazing job" reducing costs through the institute's Delivering the Nuclear Promise campaign and other initiatives, in line with IAEA low-carbon lessons from the pandemic. "As we continue to face economic headwinds in markets which do not properly compensate nuclear plants, the industry has been doing its part to reduce costs to remain competitive," he said.

"Some things are in urgent need of change if we are to keep the nation's nuclear plants running and enjoy their contribution to a reliable, resilient and low-carbon grid. Namely, we need to put in place market reforms that fairly compensate nuclear similar to those already in place in New York, Illinois and other states," Kotek added.

Cost information in the study was collected by the Electric Utility Cost Group with prior years converted to 2017 dollars for accurate historical comparison.

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BC Hydro Review Phase 2 Recommendations advance affordable electricity rates, clean energy adoption, electrification, and demand response, supporting heat pumps, EV charging, and low-income programs to cut emissions and meet CleanBC climate targets.

Key Points

Policies to keep rates affordable and accelerate clean electrification via heat pump, EV, and demand response incentives.

✅ Optional rates, heat pump and EV charging incentives

✅ Demand response via controllable devices lowers peak loads

✅ Expanded support for lower-income customers and affordability

The Province and BC Hydro have released recommendations from Phase 2 of the BC Hydro Review to keep rates affordable, including through a provincial rate freeze initiative that supported households, and encourage greater use of clean, renewable electricity to reduce emissions and achieve climate targets.

“Keeping life affordable for people is a key priority of our government,” said Bruce Ralston, Minister of Energy, Mines and Low Carbon Innovation. “Affordable electricity rates not only help British Columbians, they help ensure the price of electricity remains competitive with other forms of energy, supporting the transition away from fossil fuels to clean electricity in our homes and buildings, vehicles and businesses.”

While affordable rates have always been important to BC Hydro customers, amid proposals such as a modest rate increase under review, expectations are also changing as customers look to have more choice and control over their electricity use and opportunities to save money.

Guided by input from a panel of external energy industry experts, government and BC Hydro have developed recommendations under Phase 2 of the BC Hydro Review to reduce electricity costs for individuals and businesses, even as a 3.75% increase has been discussed, as envisioned by the CleanBC climate strategy. This is also in alignment with TogetherBC, the Province’s poverty reduction strategy, and its guiding principle of affordability.

“As we promote increased use of electricity in B.C. to achieve our climate targets, we need to continue to focus on keeping electricity rates affordable, especially for lower-income families,” said Nicholas Simons, Minister of Social Development and Poverty Reduction. “Through the BC Hydro Review, and continuing engagement with stakeholders and organizations to follow, we are committed to finding ways to keep rates affordable, so everyone has access to the benefits of B.C.’s clean, reliable electricity.”

Recommendations include having BC Hydro consider providing more support for lower-income BC Hydro customers, informed by a recent surplus report that highlighted funding opportunities. These include incentives and exploring optional rates for customers to adopt electric heat pumps, and facilitating customer adoption of controllable energy devices that provide BC Hydro the ability to offer incentives in return for helping to manage a customer’s electricity use. 

Electrification of B.C.’s economy helps customers reduce their carbon footprint and supports the Province’s CleanBC climate strategy, and is an important part of keeping electricity affordable even amid higher BC Hydro rates in recent periods. As more customers make the switch from fossil fuels to using clean electricity in their homes, vehicles and businesses, BC Hydro’s electricity sales will increase, providing more revenue that helps keep rates affordable for everyone.

“We’re making the transition to a cleaner future more affordable for people and businesses across British Columbia through our CleanBC plan,” said George Heyman, Minister of Environment and Climate Change Strategy. “By working with BC Hydro and other partners, we’re making sure everyone has access to clean, affordable electricity to power technologies like high-efficiency heat pumps and electric vehicles that will reduce harmful pollution and improve our homes, buildings and communities.”

Chris O’Riley, president and CEO, BC Hydro, said: “Given the impact of COVID-19 on British Columbians, affordability is more important than ever. That’s why we are committed to continuing to keep rates affordable and offering customers more options that allow them to save on their bills while using clean electricity.”

In July 2021, the Province announced a first set of recommendations from Phase 2 of the BC Hydro Review amid a 3% rate increase approved by regulators. The next announcement from Phase 2 will include recommendations to increase the number of electric vehicles on the road.

In addition, as part of the Draft Action Plan to advance the Declaration on the Rights of Indigenous Peoples Act, the Province is proposing to engage with Indigenous peoples to identify and support new clean energy opportunities related to CleanBC, the BC Hydro Review and the British Columbia Utilities Commission Indigenous Utilities Regulation Inquiry, and to consider lessons from Ontario's hydro policy experiences as appropriate.

B.C. is the cleanest electricity-generation jurisdiction in western North America, with an average of 98% of its electricity generation coming from clean or renewable resources.

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TTC Winter E-Bike and E-Scooter Ban addresses lithium-ion battery safety, mitigating fire risk on Toronto public transit during cold weather across buses, subways, and streetcars, while balancing micro-mobility access, infrastructure gaps, and evolving regulations.

Key Points

A seasonal TTC policy limiting lithium-ion e-bikes and scooters on transit in winter to cut battery fire risk.

✅ Targets lithium-ion fire hazards in confined transit spaces

✅ Applies Nov-Mar across buses, subways, and streetcars

✅ Sparks debate on equity, accessibility, and policy alternatives

The Toronto Transit Commission (TTC) Board recently voted to implement a ban on lithium-ion-powered electric bikes (e-bikes) and electric scooters during the winter months, a decision that reflects growing safety concerns. This new policy has generated significant debate within the city, particularly regarding the role of these transportation modes in the lives of Torontonians, and the potential risks posed by the technology during cold weather.

A Growing Safety Concern

The move to ban lithium-ion-powered e-bikes and scooters from TTC services during the winter months stems from increasing safety concerns related to battery fires. Lithium-ion batteries, commonly used in e-bikes and scooters, are known to pose a fire risk, especially in colder temperatures, and as systems like Metro Vancouver's battery-electric buses expand, robust safety practices are paramount. In recent years, Toronto has experienced several high-profile incidents involving fires caused by these batteries. In some cases, these fires have occurred on TTC property, including on buses and subway cars, raising alarm among transit officials.

The TTC Board's decision was largely driven by the fear that the cold temperatures during winter months could make lithium-ion batteries more prone to malfunction, leading to potential fires. These batteries are particularly vulnerable to damage when exposed to low temperatures, which can cause them to overheat or fail during charging or use. Since public transit systems are densely populated and rely on close quarters, the risk of a battery fire in a confined space such as a bus or subway is considered too high.

The New Ban

The new rule, which is expected to take effect in the coming months, will prohibit e-bikes and scooters powered by lithium-ion batteries from being brought onto TTC vehicles, including buses, streetcars, and subway trains, even as the agency rolls out battery electric buses across its fleet, during the winter months. While the TTC had previously allowed passengers to bring these devices on board, it had issued warnings regarding their safety. The policy change reflects a more cautious approach to mitigating risk in light of growing concerns.

The winter months, typically from November to March, are when these batteries are at their most vulnerable. In addition to environmental factors, the challenges posed by winter weather—such as snow, ice, and the damp conditions—can exacerbate the potential for damage to these devices. The TTC Board hopes the new ban will prevent further incidents and keep transit riders safe.

Pushback and Debate

Not everyone agrees with the TTC Board's decision. Some residents and advocacy groups have expressed concern that this ban unfairly targets individuals who rely on e-bikes and scooters as an affordable and sustainable mode of transportation, while international examples like Paris's e-scooter vote illustrate how contentious rental devices can be elsewhere, adding fuel to the debate. E-bikes, in particular, have become a popular choice among commuters who want an eco-friendly alternative to driving, especially in a city like Toronto, where traffic congestion can be severe.

Advocates argue that instead of an outright ban, the TTC should invest in safer infrastructure, such as designated storage areas for e-bikes and scooters, or offer guidelines on how to safely store and transport these devices during winter, and, in assessing climate impacts, consider Canada's electricity mix alongside local safety measures. They also point out that other forms of electric transportation, such as electric wheelchairs and mobility scooters, are not subject to the same restrictions, raising questions about the fairness of the new policy.

In response to these concerns, the TTC has assured the public that it remains committed to finding alternative solutions that balance safety with accessibility. Transit officials have stated that they will continue to monitor the situation and consider adjustments to the policy if necessary.

Broader Implications for Transportation in Toronto

The TTC’s decision to ban lithium-ion-powered e-bikes and scooters is part of a broader conversation about the future of transportation in urban centers like Toronto. The rise of electric micro-mobility devices has been seen as a step toward reducing carbon emissions and addressing the city’s growing congestion issues, aligning with Canada's EV goals that push for widespread adoption. However, as more people turn to e-bikes and scooters for daily commuting, concerns about safety and infrastructure have become more pronounced.

The city of Toronto has yet to roll out comprehensive regulations for electric scooters and bikes, and this issue is further complicated by the ongoing push for sustainable urban mobility and pilots like driverless electric shuttles that test new models. While transit authorities grapple with safety risks, the public is increasingly looking for ways to integrate these devices into a broader, more holistic transportation system that prioritizes both convenience and safety.

The TTC’s decision to ban lithium-ion-powered e-bikes and scooters during the winter months is a necessary step to address growing safety concerns in Toronto's public transit system. Although the decision has been met with some resistance, it highlights the ongoing challenges in managing the growing use of electric transportation in urban environments, where initiatives like TTC's electric bus fleet offer lessons on scaling safely. With winter weather exacerbating the risks associated with lithium-ion batteries, the policy seeks to reduce the chances of fires and ensure the safety of all transit users. As the city moves forward, it will need to find ways to balance innovation with public safety to create a more sustainable and safe urban transportation network.

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Ontario Global Adjustment Charge faces constitutional scrutiny as a regulatory charge vs tax; Court of Appeal revives case over electricity pricing, feed-in tariff contracts, IESO policy, and hydro rate impacts on consumers and industry.

Key Points

A provincial electricity fee funding generator contracts, now central to a court fight over tax versus regulatory charge.

✅ Funds gap between market price and contracted generator rates

✅ At issue: regulatory charge vs tax under constitutional law

✅ Linked to feed-in tariff, IESO policy, and hydro rate hikes

Ontario’s court of appeal has decided that a constitutional challenge of a steep provincial electricity charge should get its day in court, overturning a lower-court judgment that had dismissed the legal bid.

Hamilton, Ont.-based National Steel Car Ltd. launched the challenge in 2017, saying Ontario’s so-called global adjustment charge was unconstitutional because it is a tax — not a valid regulatory charge — that was not passed by the legislature.

The global adjustment funds the difference between the province’s hourly electricity price and the price guaranteed under contracts to power generators. It is “the component that covers the cost of building new electricity infrastructure in the province, maintaining existing resources, as well as providing conservation and demand management programs,” the province’s Independent Electricity System Operator says.

However, the global adjustment now makes up most of the commodity portion of a household electricity bill, and its costs have ballooned, as regulators elsewhere consider a proposed 14% rate hike in Nova Scotia.

Ontario’s auditor general said in 2015 that global adjustment fees had increased from $650 million in 2006 to more than $7 billion in 2014. She added that consumers would pay $133 billion in global adjustment fees from 2015 to 2032, after having already paid $37 billion from 2006 to 2014.

National Steel Car, which manufactures steel rail cars and faces high electricity rates that hurt Ontario factories, said its global adjustment costs went from $207,260 in 2008 to almost $3.4 million in 2016, according to an Ontario Court of Appeal decision released on Wednesday.

The company claimed the global adjustment was a tax because one of its components funds electricity procurement contracts under a “feed-in tariff” program, or FIT, which National Steel Car called “the main culprit behind the dramatic price increases for electricity,” the decision said.

Ontario’s auditor general said the FIT program “paid excessive prices to renewable energy generators.” The program has been ended, but contracts awarded under it remain in place.

National Steel Car claimed the FIT program “was actually designed to accomplish social goals unrelated to the generation of electricity,” such as helping rural and indigenous communities, and was therefore a tax trying to help with policy goals.

“The appellant submits that the Policy Goals can be achieved by Ontario in several ways, just not through the electricity pricing formula,” the decision said.

National Steel Car also argued the global adjustment violated a provincial law that requires the government to hold a referendum for new taxes.

“The appellant’s principal claim is that the Global Adjustment was a ‘colourable attempt to disguise a tax as a regulatory charge with the purpose of funding the costs of the Policy Goals,’” the decision said. “The appellant pressed this argument before the motion judge and before this court. The motion judge did not directly or adequately address it.”

The Ontario government applied to have the challenge thrown out for having “no reasonable cause of action,” and a Superior Court judge did so in 2018, saying the global adjustment is not a tax.

National Steel Car appealed the decision, and the decision published Wednesday allowed the appeal, set aside the lower-court judgment, and will send the case back to Superior Court, where it could get a full hearing.

“The appellant’s claim is sufficiently plausible on the evidentiary record it put forward that the applications should not have been dismissed on a pleadings motion before the development of a full record,” wrote Justice Peter D. Lauwers. “It is not plain, obvious and beyond doubt that the Global Adjustment, and particularly the challenged component, is properly characterized as a valid regulatory charge and not as an impermissible tax.”

Jerome Morse of Morse Shannon LLP, one of National Steel Car’s lawyers, said the Ontario government would now have 60 days to decide whether to seek permission to appeal to the Supreme Court of Canada.

“What the court has basically said is, ‘this is a plausible argument, here are the reasons why it’s plausible, there was no answer to this,’” Morse told the Financial Post.

Ontario and the IESO had supported the lower-court decision, but there has been a change in government since the challenge was first launched, with Progressive Conservative Premier Doug Ford replacing the Liberals and Kathleen Wynne in power. The Liberals had launched a plan aimed at addressing hydro costs before losing in a 2018 election, the main thrust of which had been to refinance global adjustment costs.

Wednesday’s decision states that “Ontario’s counsel advised the court that the current Ontario government ‘does not agree with the former government’s electricity procurement policy (since-repealed).’

“The government’s view is that: ‘The solution does not lie with the courts, but instead in the political arena with political actors,’” it adds.

A spokesperson for Ontario Energy Minister Greg Rickford said in an email that they are reviewing the decision but “as this matter is in the appeal period, it would be inappropriate to comment.” 

Ontario had also requested to stay the matter so a regulator, the Ontario Energy Board, could weigh in, while the Nova Scotia regulator approved a 14% hike in a separate case.

“However, Ontario only sought this relief from the motion judge in the alternative, and given the motion judge’s ultimate decision, she did not rule on the stay,” Thursday’s decision said. “It would be premature for this court to rule on the issue, although it seems incongruous for Ontario to argue that the Superior Court is the convenient forum in which to seek to dismiss the applications as meritless, but that it is not the convenient forum for assessing the merits of the applications.”

National Steel Car’s challenge bears a resemblance to the constitutional challenges launched by Ontario and other provinces over the federal government’s carbon tax, but Justice Lauwers wrote “that the federal legislative scheme under consideration in those cases is distinctly different from the legislation at issue in this appeal.”

“Nothing in those decisions impacts this appeal,” the judge added.
 

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Brazil Energy Emergency Loan Package aims to bolster utilities via BNDES as coronavirus curbs electricity demand. Aneel and the Mines and Energy Ministry weigh measures while Eletrobras privatization and auctions face delays.

Key Points

An emergency plan supporting Brazilian utilities via BNDES and banks during coronavirus demand slumps and payment risks.

✅ Modeled on 2014-2015 sector loans via BNDES and private banks

✅ Addresses cash flow from lower demand and bill nonpayment

✅ Auctions and Eletrobras privatization delayed amid outbreak

Brazil’s government is considering an emergency loan package for energy distributors struggling with lower energy use and facing lost revenues because of the coronavirus outbreak, echoing strains seen elsewhere such as Germany's utility troubles during the energy crisis, an industry group told Reuters.

Marcos Madureira, president of Brazilian energy distributors association Abradee, said the package being negotiated by companies and the government could involve loans from state development bank BNDES or a pool of banks, but that the value of the loans and other details was not yet settled.

Also, Brazil’s Mines and Energy Ministry is indefinitely postponing projects to auction off energy transmission and generation assets planned for this year because of the coronavirus, even as the need for electricity during COVID-19 remained critical, it said in the Official Gazette.

The coronavirus outbreak will also delay the privatization of state-owned utility Eletrobras, its chief executive officer said on Monday.

The potential loan package under discussion would resemble a similar measure in 2014 and 2015 that offered about 22 billion reais ($4.2 billion) in loans to the sector as Brazil was entering its deepest recession on record, and drawing comparisons to a proposed Texas market bailout after a winter storm, Madureira said.

Public and private banks including BNDES, Caixa Economica Federal, Itau Unibanco and Banco Bradesco participated in those loans.

Three sources involved in the discussions said on condition of anonymity that the Mines and Energy Ministry and energy regulator Aneel were considering the matter.

Aneel declined to comment. The Mines and Energy Ministry and BNDES did not immediately respond to requests for comment.

Energy distributors worry that reduced electricity demand during COVID-19 could result in deep revenue losses.

The coronavirus has led to widespread lockdowns of non-essential businesses in Brazil, while citizens are being told to stay home. That is causing lost income for many hourly and informal workers in Brazil, who could be unable to pay their electricity bills, raising risks of pandemic power shut-offs for vulnerable households.

The government sees a loan package as a way to stave off a potential chain of defaults in the sector, a move discussed alongside measures such as a Brazil tax strategy on energy prices, one of the sources said.

On a conference call with investors about the company’s latest earnings, Eletrobras CEO Wilson Ferreira Jr. said privatization would be delayed, without giving any more details on the projected time scale.

The largest investors in Brazil’s energy distribution sector include Italy’s Enel, Spain’s Iberdrola via its subsidiary Neoenergia and China’s State Grid via CPFL Energia, with Chinese interest also evidenced by CTG's bid for EDP, as well as local players Energisa e Equatorial Energia. 

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KHNP Shortlisted for Belene Nuclear Power Plant, named by the Bulgarian Energy Ministry alongside Rosatom and CNNC; highlights APR1400 reactor expertise, EPC credentials, and expansion into the European nuclear energy market.

Key Points

KHNP is a strategic investor candidate for Bulgaria's Belene NPP, leveraging APR1400 and European market entry.

✅ Selected with Rosatom and CNNC by Bulgarian Energy Ministry

✅ Builds on APR1400 reactor design and EPC track record

✅ Positions KHNP for EU nuclear projects and O&M services

Korea Hydro & Nuclear Power (KHNP) has been selected as one of the three strategic investor candidates for a Bulgarian nuclear power plant project amid global nuclear project milestones worldwide.

The Bulgarian Energy Ministry selected KHNP of Korea, RosAtom of Russia and CNNC of China as strategic investor candidates for the construction of the Belene Nuclear Power Plant, KHNP said on Dec. 20. The Belene Nuclear Power Plant is the second nuclear power plant that Bulgaria plans to build following the 2,000-megawatt Kozloduy Nuclear Power Plant built in 1991 during the Soviet Union era. The project budget is estimated at 10 billion euros.

By being included in the shortlist for the Bulgarian project, KHNP has boosted the possibility of making a foray into the European nuclear power plant market, as India takes steps to get nuclear back on track worldwide. KHNP began to export nuclear power plants in 2009 by winning the UAE Barakah Nuclear Power Plant Project, with Barakah Unit 1 reaching 100% power as it moves toward commercial operations. The UAE plant will be based on the APR1400, a next-generation Korean nuclear reactor that is used in Shin Kori Units 3 and 4 in Korea.

The ARP1400 is a Korean nuclear reactor developed by KHNP with investment of about 230 billion won for 10 years from 1992. The nuclear reactor became the first non-U.S. type reactor to receive a design certificate (DC) from the U.S. Nuclear Regulatory Commission (NRC), as China's nuclear energy program continues on a steady development track globally. By receiving the DC, its safety was internationally recognized. In June, the company also won the maintenance project for the Barakah Nuclear Power Plant, completing the entire cycle from the construction of the nuclear power plant to its design, operation and maintenance. However, U.S. and U.K. companies took part of the maintenance project for the nuclear power plant.

In July, KHNP officials visited Turkey and contacted local energy officials to prepare for nuclear power plant projects to be launched in that country, as Bangladesh develops nuclear power with IAEA assistance in the region. Earlier in May, the company also submitted a proposal to participate in the construction of a new nuclear power plant in Kazakhstan, while Kenya moves forward with plans for a $5 billion plant.

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