Determining the economic value of nuclear power in Spain

The nature of deregulated energy markets in the United States has forced several nuclear reactors into early retirement over the next few years subjecting the energy market and economy as a whole to uncalculated risk. The unforeseen implications of early retirements of nuclear assets has inspired a cause for concern in Spain where nuclear power faces similar problems. In order to assess the danger that Spain's current market structure incentivizes a premature retirement of nuclear assets and suggest possible implications for carbon emissions, this thesis research project analyzed the economic performance of nuclear power generators in Spain and identified the underlying factors driving it. This was done by calculating the short run profitability of each nuclear reactor. Historical data on the generation, operating costs, and marginal price from the Spanish electricity market was gathered to develop a net profit model. The model was then applied looking forward into the future and revealed an average profitability of +32.24523 E/MWh for the nuclear reactors in Spain. These results point to a positive future for nuclear power in Spain and an incentive to extend the licenses of soon-to-be-retired reactors.

Department dc:contributor.department

Massachusetts Institute of Technology. Department of Nuclear Science and Engineering.

Grantor dc:publisher

Massachusetts Institute of Technology

Year dc:date.issued

2018

Author dc:creator

• Fils-Aime, Fabrice A

Advisor dc:contributor.advisor

• Michael Short.

• Nuclear Science and Engineering.

Statement dc:rights

• MIT theses are protected by copyright. They may be viewed, downloaded, or printed from this source but further reproduction or distribution in any format is prohibited without written permission.

Licence dc:rights.uri

• http://dspace.mit.edu/handle/1721.1/7582

Language dc:language.iso

eng

Handle dc:identifier.uri

http://hdl.handle.net/1721.1/119100

OAI identifier oai:identifier

oai:dspace.mit.edu:1721.1/119100