A message from our director, Tom “Smitty” Smith:
Today the House and Senate are working to reconcile their different versions of the long-awaited economic stimulus package. The stakes are now higher than ever for Texans, who stand to gain from billions that could go toward developing renewable energy and efficiency in the state, reducing pollution from diesel engines, and cleaning up abandoned nuclear waste sites.
But as much as the state needs that massive investment in our energy future, there is a troubling side to the senate version of the stimulus package: Senators amended the stimulus bill to include $50 billion in loan guarantees for new nuclear plants in Texas and elsewhere in the nation.
If Congress needs a reminder why this is a bad deal, it should just ask Wall Street why it doesn’t loan money for nuclear reactors. According to the Congressional Budget Office, nuclear loans default at a rate of 50%. Banks learned long ago that these plants simply can’t be built on budget and aren’t viable without massive taxpayer subsidies. Texans are still paying for the last generation of over-budget nuclear plants each month in a hidden charge on their electric bills. (more…)
