http://www.usec.com/NewsRoom/NewsReleases/USECInc/2009/2009-07-28-Department-Of-Energy-Denies.htmI work at USEC, and if you haven't heard, we have been developing centrifuge uranium enrichment technology, and building the machines and everything else to produce enriched uranium for our country's needs well into the future. We were led to believe by the Department of Energy last year that we would more than qualify for their Loan Guarantee program for cutting edge energy technologies. We are the
only US company that enriches uranium...that stuff the rest of the nuclear world uses as fuel. USEC currently uses an old method called gaseous diffusion, and has only one plant left enriching uranium. This method is very expensive and energy inefficient. Centrifuge technology is incredibly more efficient than gaseous diffusion, which is why USEC decided to develop along that route. The French and the Russians both have centrifuge technology enriching uranium today, so this technology is proven. USEC set out to make it better than theirs, and we think we have. After spending over a Billion of our own capital for the research and development, the project depended on the loan guarantee from the DOE program to actually put it into full scale operation. There are many reasons why such a facility would be important, not just to those of us in the nuclear industry, but to our nation's security interests. The DOE has, however, decided to not award USEC the loan guarantee, and the project is on a precipice.
This is a bad sign from the current administration. This shows that the DOE is willing to place our energy needs in the hands of foreign companies, to get the fuel for our reactors. In the case of Areva, they are owned by the French government. Areva also has bid for the loan guarantee...this means the French government is looking for American taxpayer's money to develop French interests. I don't know if the DOE will respond the same way to Areva or not. All I can say is that my confidence in the current administration's feelings towards nuclear energy has been shaken. President Obama himself campaigned here in Southern Ohio last year and promised to support USEC in getting the loan guarantee. Perhaps a domestic source of enriched uranium is now not a priority to Mr. Chu or the President now.
Obviously, I want USEC to succeed. But I'm sharing this recent news and my perspective on it with you all because it's not just about USEC, or even where our reactors will get their fuel in the future. I fear what this means for the whole nuclear industry. I am worried that the current administration might be more hostile towards nuclear energy than we thought. I'd pay attention to this situation, and see if and how the President reacts to it. A group of Congressmen and women are meeting tonight at about 8:30pm eastern to discuss this situation in a special meeting. You should be able to see it on C-SPAN. They have promised to take this issue up with the President, and remind him of his promise he made last year.
