IB88090
Nuclear Energy Policy
June 14, 2005

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	United States Diplomatic Mission to Italy
	University of North Texas Libraries

Summary:

Nuclear energy policy issues facing Congress include whether to provide federal incentives for a new generation of commercial reactors, radioactive waste management, research and development priorities, power plant safety and regulation, terrorism, and the Price-Anderson Act nuclear liability system. The Bush Administration has stressed the importance of nuclear power in the nation's energy policy. For nuclear energy research and development, the Administration is requesting $389.9 million for FY2006. In addition to that funding, the Department of Energy (DOE) Office of Nuclear Energy, Science, and Technology would receive $123.9 million for defense-related management and security at the Idaho National Laboratory (INL). The Nuclear Energy office's total FY2006 funding request of $513.8 million is slightly above the FY2005 level. The FY2006 Energy and Water Development appropriations bill passed by the House May 24, 2005 (H.R. 2419, H.Rept. 109-86) would boost nuclear energy to $515.1 million. Nuclear provisions are included in energy legislation approved by the House April 21, 2005 (H.R. 6), and reported by the Senate Energy and Natural Resources Committee June 9, 2005 (S. 10, S.Rept. 109-121). The bills would extend Price-Anderson coverage for new commercial reactors and new DOE nuclear contracts through the end of 2025. The same extension for commercial reactors is included in a bill approved by the Senate Environment and Public Works Committee June 8, 2005 (S. 865). H.R. 6 and S. 10 would also authorize a DOE hydrogen-producing demonstration reactor at INL, and S. 10 would authorize loan guarantees for commercial advanced nuclear power plants. The September 11, 2001, terrorist attacks on the United States raised questions about nuclear power plant security. Reactor security provisions are in the energy bill approved by the House, including a presidential study of security threats to nuclear facilities, force-onforce security exercises at nuclear power plants, the establishment of federal security coordinators, and the fingerprinting of nuclear facility workers. Similar provisions were included in a nuclear security bill approved by the Senate Environment and Public Works Committee June 8, 2005 (S. 864). Disposal of highly radioactive waste has been one of the most controversial aspects of nuclear power. The Nuclear Waste Policy Act of 1982 (NWPA, P.L. 97-425), as amended in 1987, requires DOE to conduct detailed physical characterization of Yucca Mountain in Nevada as a permanent underground repository for high-level waste. Upon releasing the civilian nuclear waste program's FY2006 budget request, program officials announced that the opening of DOE's planned nuclear waste repository at Yucca Mountain, Nevada, would be delayed at least two years from the previous goal of 2010. The waste program's funding request of $651.4 million is about 14% above the FY2005 level. The House voted an additional $10 million for DOE to develop an interim nuclear waste storage site. Whether progress on nuclear waste disposal and other congressional action will revive the U.S. nuclear power industry's growth will depend primarily on economic considerations. Natural gas- and coal-fired power plants currently are favored over nuclear reactors for new generating capacity. However, some electric utilities are seeking approval of sites for possible new reactors.