• 16 hours Watch for biofuels policy changes ...
  • 11 hours EPA's Pruitt cites Bible to justify administration policies
  • 22 hours Syria's Ghouta - Is there Threat Of Genocide? The World Is Silent.
  • 18 hours Norway - World's Most Democratic Country! Where is the U.S. on the list?
  • 21 hours Majority unlikely to use self-driving cars
  • 23 hours Saudi Arabia's Building a $500 billion Mega-City and Will Run 100% on Renewable
  • 2 days Elon Musk Steps Down From OpenAI Board to Dodge “Potential Future Conflict”
  • 18 hours US shale production dull until someone starts talking shareholder payback
  • 2 hours Perovskite Co.'s will they live to the promise?
  • 16 hours First Oklahoma, Now Kansas Fracking Tied to Earthquakes
  • 2 days US admin to kill Energy Star program
  • 6 hours Ideas on demand
  • 22 hours VW Looks At Apple For Electric-Car Design Guidance
  • 20 hours HAPPY RIG COUNT DAY!!
  • 23 hours DNA Robots Target Cancer
  • 19 hours Plastic bans to dent oil demand growth-BP
Oil Prices Diverge On Mixed Data

Oil Prices Diverge On Mixed Data

Dwindling Cushing inventories and a…

OPEC And Shale Keep Oil Prices Between $60-$75

OPEC And Shale Keep Oil Prices Between $60-$75

The battle between U.S. shale…

Congress To Pass Budget Deal Benefitting Biofuels And Nuclear Sectors

Trump

President Trump has, last night, signed a budget deal to raise spending and reopen the government. In its current form, the biofuels and nuclear power industries are set to benefit from the compromise deal.

A two-year agreement would provide tax incentives for the two energy sectors as well as credits for energy efficient car purchases of models manufactured in 2017. Another $1-a-gallon tax credit applies to refiners who mix biofuel in their products. Cellulosic ethanol, produced from garbage, algae, and corn stover, will also get an extension on its $1.01 per gallon credit.

An energy production tax credit for Southern Co.’s nuclear plants in Georgia will help the facilities there get off the ground.

In the last 20 years, the U.S. has seen only one new nuclear reactor that is functional, constructed by a government entity – the Tennessee Valley Authority. Further, the Nuclear Regulatory Commission shows that there are only four reactors currently under construction in the entire country. Two would be at the Alvin W. Vogtle station in Georgia, and two at the Virgil C. Summer plant in South Carolina.

These projects are implementing reactors manufactured by Westinghouse. Construction on all four are currently delayed over three years and are billions over-budget. Westinghouse itself was one of the last private companies to be commissioned for the manufacture of nuclear reactors—before over-budget, inefficient projects such as these pushed them into ruin. So far, Westinghouse remains committed to completing the projects.

Related: LNG: Glut Today, Shortage Tomorrow

Southern Co. also recently abandoned a coal-gasification plant project in Mississippi, which countered President Donald Trump’s plans to increase clean coal’s grip on the American energy mix.

“They’ve got the conundrum of having spent billions of dollars [on nuclear projects],” Glenrock Associates analyst Pail Patterson told Bloomberg over the phone. “That’s why abandonment in the middle of a project usually looks unattractive.”

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News