The Financial Equation Behind Nuclear Energy Viability

Nuclear energy becomes financially viable through the strategic use of production tax credits, which provide a significant economic advantage when restarting existing reactors compared to constructing new ones. The restart costs range from one to two billion dollars, while the tax credits can yield three cents per kilowatt hour over two decades, maximizing revenue from high operational efficiency. Nuclear plants operate at an average capacity of 92%, far surpassing the 25% capacity of solar farms, leading to higher profitability. Long-term contracts for the sale of generated power further enhance returns. Companies like Constellation benefit from existing nuclear sites, and partnerships with major corporations like Microsoft and Meta indicate a strong market demand for continuous clean energy, bolstering the case for additional reactor development. This combination of tax incentives, reliable operational capacity, and committed buyers creates a favorable financial equation for the nuclear energy sector.