Skip to main content

Reauthorizing Ex-Im Bank is Vitally Important to Small Business

Seth Grae
The following is a guest post from Seth Grae, president and CEO of Lightbridge Corporation, a leading innovator of nuclear fuel designs and provider of nuclear energy consulting services.

There is a notion among some members of Congress that one way to shrink the U.S. government is to allow the U.S. Export-Import Bank to cease to exist at the end of September by refusing to reauthorize it. Allowing the Ex-Im Bank to die would actually increase the federal deficit by about a billion dollars per year and would be devastating to small businesses across the country. Overall, about 85% of Ex-Im’s transactions support US small companies.

Lightbridge Corporation (NASDAQ: LTBR) is a small company that has a world-class team of experts advising governments that are starting or expanding nuclear energy-generation programs. We have the opportunity to see the bid specs these countries use in procuring nuclear power plants. From what we’ve seen, if the US loses the Ex-Im Bank, US reactor vendors will not be able to meet the bid specs overseas. If this happens, the impact will ripple across the nation. When large US companies deploy reactors in other countries, they buy goods and services from smaller US companies through supply chains that reach hundreds of businesses. These supply chains often last for decades, during the operating life of the reactors.

Lightbridge has not applied for or received support from the Ex-Im Bank because we are paid directly by foreign governments and companies for services we provide, but we have firsthand knowledge of how vital the Ex-Im Bank is for other small US companies. Even where large American companies are not the reactor vendors, some US companies we work with receive support directly from the Ex-Im Bank for their involvement in overseas nuclear power programs.

These companies bring unique, world-leading expertise in vital areas, including nuclear safety and nonproliferation. The United States invented the nuclear reactor and our companies have the longest and deepest experience in running reactors safely. Having American personnel on the ground brings our expertise directly into foreign programs.

Congress’s failure to reauthorize the Ex-Im Bank would cost taxpayers billions over the long term, hurt small businesses across the country, and limit the amount of American nuclear safety and nonproliferation expertise in foreign nuclear programs.

Comments

Popular posts from this blog

Wednesday Update

From NEI’s Japan micro-site: NRC, Industry Concur on Many Post-Fukushima Actions Industry/Regulatory/Political Issues • There is a “great deal of alignment” between the U.S. Nuclear Regulatory Commission and the industry on initial steps to take at America’s nuclear energy facilities in response to the nuclear accident in Japan, Charles Pardee, the chief operating officer of Exelon Generation Co., said at an agency briefing today. The briefing gave stakeholders an opportunity to discuss staff recommendations for near-term actions the agency may take at U.S. facilities. PowerPoint slides from the meeting are on the NRC website. • The International Atomic Energy Agency board has approved a plan that calls for inspectors to evaluate reactor safety at nuclear energy facilities every three years. Governments may opt out of having their country’s facilities inspected. Also approved were plans to maintain a rapid response team of experts ready to assist facility operators recoverin...

Fluor Invests in NuScale

You know, it’s kind of sad that no one is willing to invest in nuclear energy anymore. Wait, what? NuScale Power celebrated the news of its company-saving $30 million investment from Fluor Corp. Thursday morning with a press conference in Washington, D.C. Fluor is a design, engineering and construction company involved with some 20 plants in the 70s and 80s, but it has not held interest in a nuclear energy company until now. Fluor, which has deep roots in the nuclear industry, is betting big on small-scale nuclear energy with its NuScale investment. "It's become a serious contender in the last decade or so," John Hopkins, [Fluor’s group president in charge of new ventures], said. And that brings us to NuScale, which had run into some dark days – maybe not as dark as, say, Solyndra, but dire enough : Earlier this year, the Securities Exchange Commission filed an action against NuScale's lead investor, The Michael Kenwood Group. The firm "misap...

Activists' Claims Distort Facts about Advanced Reactor Design

Below is from our rapid response team . Yesterday, regional anti-nuclear organizations asked federal nuclear energy regulators to launch an investigation into what it claims are “newly identified flaws” in Westinghouse’s advanced reactor design, the AP1000. During a teleconference releasing a report on the subject, participants urged the Nuclear Regulatory Commission to suspend license reviews of proposed AP1000 reactors. In its news release, even the groups making these allegations provide conflicting information on its findings. In one instance, the groups cite “dozens of corrosion holes” at reactor vessels and in another says that eight holes have been documented. In all cases, there is another containment mechanism that would provide a barrier to radiation release. Below, we examine why these claims are unwarranted and why the AP1000 design certification process should continue as designated by the NRC. Myth: In the AP1000 reactor design, the gap between the shield bu...