Nuclear energy is currently the largest low-CO2 energy source in the EU, which makes it an important contributor to the climate change mitigation. It also contributes significantly to alleviating the risks related to growing external dependency on imported fossil fuels, mainly coming from unstable regions. The fuel requirements in nuclear power plants are very small. The cost of that fuel represents small proportion of the total costs with little impact on the cost of electricity even in light of uranium price increases.

Moreover, nuclear fuel remains usable in a nuclear reactor for many years and uranium as well as uranium products are held in stock at the various fuel cycle facilities in the EU. Nuclear generation is not vulnerable to sudden disruptions in supply or fuel price hikes as other energy sources are. The operation of a nuclear power plant delivers electricity at predictable and stable costs. Studies on the economics of power generation (eg Projected Costs of Generating Electricity, IEA/NEA 2005) indicate that nuclear power is one of the cheapest ways of producing electricity.

Even maintaining the EU's nuclear electricity share at the current level of 31%, taking into account growing energy demand and shutting down of ageing nuclear power reactors will require major nuclear new build as well as life time extension and increased capacity in existing plants. Therefore the issue of nuclear investment is of paramount importance for the industry and ENEF participants should discuss how nuclear investments could be promoted. To foster new investment in nuclear power the political and regulatory framework should be stabilised in all European countries.

The EU should give a clear signal to national governments to streamline licensing, public enquiry, site selection procedures and the construction regulatory approval process. In this respect, the nuclear industry calls on the EU to deliver a stable, long-term and low-carbon energy policy.

Implementing solutions for the disposal of radioactive waste will be an important factor in enhancing public acceptance, which will in turn help alleviate barriers to private investment.

FORATOM recommends ENEF to:

• Analyse the need for nuclear new build by 2030 in order to maintain the current share of EU electricity generation as well as promote life-time extension and increasing of capacity in existing nuclear power plants where possible
• Send a strong signal to national governments on the need to streamline the licensing and regulatory processes, taking into account the work of the industry carried out in initiatives such as EUR (European Utility Requirements), ENISS (European Nuclear Installations Safety Standards) and the experience of WENRA
• Assess factors contributing to a positive investment climate, i.e. limit the financial risk in order to facilitate nuclear investment
• Assess possible role of European financial institutions in nuclear energy projects (EIB, EURATOM, EBRD)
• Address the challenge of a qualified workforce for the development of new nuclear power plants in order to encourage ambitious education & training programmes and create interest of young professionals and students in nuclear energy
• Prepare for the long term security of supply with due consideration of advanced nuclear technologies further improving the sustainability of nuclear energy
• Encourage policy makers and industry leaders to get more involved in a transparent dialogue with the public in order to improve awareness

For further information on the issue and to know more about FORATOM's work in this field, please go to the security of supply section of the website.