Wisconsin Energy wants nuclear moratorium repealed

Gale Klappa, the Milwaukeebased utility holding companyÂ’s chairman, president and chief executive officer, said there are no proposals pending to build new nuclear plants in the foreseeable future, but with the moratorium in place the company canÂ’t adequately plan for its future base load electricity needs.

In addition to revealing his companyÂ’s plans to lobby for a repeal of the nuclear moratorium, Klappa also told more than 300 people at The Business Journal Power Breakfast March 26 that utilities could meet the state mandate to produce 25 percent of WisconsinÂ’s electricity from renewable sources by 2025.

“Thing is, it’s going to be expensive,” Klappa said.

The construction of more wind, biomass, hydroelectric and solar energy power sources in Wisconsin is one of several factors leading to higher electricity rates in the state, according to Klappa.

At some point in the future, Klappa said nuclear power may be the best option for a lowcarbon solution to future base load energy needs. Plus, nuclear is a lowcost generation source that can be combined with renewables to keep utility rates low. The cost of producing electricity from nuclear generation is 4.5 cents per kilowatt hour compared to 11 cents per kilowatt hour from wind energy.

Currently, coal is the second most costefficient source of electricity at 6 cents per kilowatt hour, said Klappa.

Wisconsin EnergyÂ’s utility companies in Wisconsin and MichiganÂ’s Upper Peninsula are producing 4.25 percent of the companyÂ’s overall power, he said.

The Wisconsin Citizens Utility Board, a watchdog group based in Madison, has been a longtime opponent of adding more nuclear power plants in Wisconsin. However, the group reached a compromise to modify the moratorium as part of Gov. Jim DoyleÂ’s Task Force on Global Warming.

Charlie Higley, Citizens Utility Board executive director, said the group would support new nuclear reactors in the state if they are deemed economically advantageous to utility ratepayers.

“We also believe nuclear power is more expensive to build, so utilities will have a hard time winning the economics argument,” Higley said.

Klappa said Wisconsin EnergyÂ’s former Point Beach nuclear plant was originally designed for four reactors and there are two operating at the Manitowoc County site. Wisconsin Energy sold Point Beach in 2007 for an estimated $1 billion to Florida Power & Light Group, which is currently managing the plants.

While there are no nuclear power plants under construction in the United States at the present time, improved nuclear power technology with lower construction costs may make nuclear more attractive in the future, said Wisconsin Energy spokesman Brian Manthey.

“Right now, it’s important to get into a position to have a productive discussion about nuclear power in Wisconsin’s future,” he said.