NRC members outline limitations in shaping nuclear market solutions before Senate panel

Members of the Nuclear Regulatory Commission (NRC) testified before a Senate panel on Thursday that finding a market solution to build new nuclear plants, or to keep existing nuclear plants online, is outside of NRC’s purview.

In testimony before the Senate Environment and Public Works (EPW) Committee, NRC commissioners said NRC has little power to sway the “larger economic forces” impacting nuclear energy. NRC Commissioner Jeff Baran identified “low wholesale electricity prices” as a major market factor.

“It is very disappointing and discouraging to see safe, and safely operating, nuclear plants that produce carbon-free power have to close down in order to build and run new, carbon pollution-generating plants simply because of market failure,” U.S. Sen. Sheldon Whitehouse (D-RI), a member of the committee, said. “I hope that I can continue to work with colleagues to try to get something done.”

U.S. Sen. Shelley Moore Capito (R-WV), another member of the committee, noted that NRC’s budget request for fiscal 2017 exceeds agency needs, according to a Government Accountability Office report. Capito highlighted the importance of NRC’s budget request reflecting its needs.

“It seems as though the NRC is keeping two sets of books,” Capito said. “Where are these extra dollars that were actually appropriated that were not fulfilled?”

NRC Chairwoman Kristine Svinicki said there were “a lot of moving parts” involved with the funding request. Funding differences result from carryover from one budget year to the next, Svinicki added, and it’s difficult to forecast the difference when projecting budgets two years in advance.

Svinicki also noted that NRC has implemented many aspects of Project Aim, a 2014 framework that aims to help NRC plan and operate in a more effective, efficient and agile manner.

“We are now marrying the Project Aim efforts into the broader culture at the agency that says where we can find improvements in efficiency and effectiveness we are doing that,” Svinicki said.

Svinicki encouraged lawmakers to engage with the agency early on when it comes to critical issues.

“I think consistent engagement that you have with our commission as a committee…allows your staff to develop knowledge and expertise on our issues and I think that really benefits us,” Svinicki said. “It’s a helpful back-and-forth engagement.”