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One Title Is Worth A Thousand Words
Some reports need not be read. The title alone makes the point. For example, the Government Accounting Office recently published a report entitled:
NUCLEAR REGULATION:
NRC'S LIABILITY INSURANCE REQUIREMENTS
FOR NUCLEAR POWER PLANTS
OWNED BY LIMITED LIABILITY COMPANIES.
If you're slow like Winston, the Report gives you another hint. The front page has a picture of the Three Mile Island nuclear power plant in Pennsylvania. Yes, that's the nuke that had an unfortunate incident about 25 years ago.
Do not misunderstand Winston. He is not a member of the no-nukes pack. Winston thinks nuclear power is an essential component of the US electric supply system that is under utilized and unfairly criticized. Nuclear power may be safer and more environmentally friendly than fossil-fueled power.
However, in the unfortunate and unlikely event of a serious nuclear power plant release or other misadventure, the consequences could be very expensive. The NRC has insurance coverage regulations promulgated under the Price-Anderson Act. These regulations require both primary and secondary liability insurance coverage. The problem with nuclear power accidents is that the worst-case scenario may not be completely covered by the insurance, so one might have to look to other assets. More and more nukes are being owned by limited liability companies, and LLCs are exactly what they say they are: limited liability companies. The NRC has already taken some regulatory action to ensure that sufficient assets are available to cover worst-case accident scenarios, but the growth of LLC ownership of nukes has generated further regulatory attention and concern.
The appropriate regulatory authorities are on top of the issue, which will probably remain only a hypothetical and not a real problem.
Click for GAO report
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