tag:blogger.com,1999:blog-10911751.post7339713287634448524..comments2024-03-07T02:00:01.582-05:00Comments on NEI Nuclear Notes: In the Tank for Nuclear Energy? John McCain and Subsidizing New PlantsUnknownnoreply@blogger.comBlogger2125tag:blogger.com,1999:blog-10911751.post-34245511462425182372008-06-14T06:08:00.000-04:002008-06-14T06:08:00.000-04:00Based on dozens of discussions with potential inve...Based on dozens of discussions with potential investors, I can testify that the current uncertainty in carbon rules is a much larger benefit for quickly constructed - and depreciated - wind turbines and solar panels than it is for nuclear systems (including Adams Engines(tm)) that need analysis of payoffs over a much longer time frame.<BR/><BR/>Under current tax rules, wind turbines and solar panels qualify for both the Production Tax Credit (PTC) and 5 year accelerated depreciation. They also meet state imposed Renewable Energy Portfolio standards so they receive extra credit in the spreadsheets for avoiding penalties or receiving rewards (depending on the state, the mechanism for imposing REP varies).<BR/><BR/>Though the investors all agree that the federal government wants to discourage carbon emissions, there is a vast amount of uncertainly about how large the cost will be or how valuable each kilowatt of near zero carbon electricity will be.<BR/><BR/>When financing an investment that has to adhere to a 15 year or longer depreciation schedule and expects to be in operation for 30-80 years, a bit more numerical certainty would aid in the already difficult analysis.<BR/><BR/>That is especially true since the large carbon emitters have already proven that they have a lot of power to write the rules to protect their own interests and raise the barriers for all others. (Think about the grandfather clause that has allowed old coal plants to continue avoiding the costs imposed by the Clean Air Act of 1992.)Rod Adamshttps://www.blogger.com/profile/03652375336090790205noreply@blogger.comtag:blogger.com,1999:blog-10911751.post-24091425296535483602008-06-14T01:52:00.000-04:002008-06-14T01:52:00.000-04:00Also, the broad spectrum subsidies risk attracting...Also, the broad spectrum subsidies risk attracting hordes of scam artists who get rich off subsidies for their cold fusion plants or dowsing to find geo-thermal sites.jj mollohttps://www.blogger.com/profile/15011855944240477996noreply@blogger.com