GRM 2010 GRM 2011

Abstract Details

 
AUTHOR NAME
 
Family Name:
Barkatullah
 
First Name:
Nadira
 
ABSTRACT OF PAPER
 
Title of Paper:
Financing Nuclear Power Projects: Challenges and Approaches
 
Paper Proposal Text :
Traditionally, governments have used public sector funds either using tax revenue or
electricity tariff subsidies to finance nuclear power projects. However, a recent trend shows
that governments, world-wide, are increasingly looking to new financing approaches of
different risk and ownership structures that target risk mitigation, and to new contractual
arrangements that aim to lower the fiscal burden associated with nuclear power projects.
This paper gives an overview of the major challenges related to financing nuclear power
plants such as the high upfront capital cost, sensitivity to interest rate and long construction
time. The paper then discuses existing and emerging financing strategies and contractual
arrangements for both, government and industry investors. The analysis eventually
evaluates the potential of the emerging financing approaches to resolve some of the
challenges associated with the deployment of nuclear power- but there is no one-answer,
as each project is unique and requires careful review regarding the applicability of the
financing model, as some of these approaches may have their own challenges, in the
implementation process.
 
 
 

WITH THE GENEROUS SUPPORT OF