| > ren require by default more transmission due to distributed deployment Which has been calcualted by GenCost to add up to ~€10B for Australia. That is less than the subsidies a single reactor needs. > France is open to subsidize epr2 project. The challenge is, edf must first show a bill by EOY and, EC must approve state funding, unlike ren subsidies. Epr2 is expected to cost about 60-80bn, half being offered by the state as 'nice loans'. 40bn is about what Germany pours into EEG alone in merely 2y. This is very typical of nuclear bros. You can never look forward. The EEG is a backwards looking metric, a ton of extremely expensive solar was added 10-15 years ago which still get paid. You can look at the historical cost of the EEG system to see it decreasing. - 2019: €27B - 2020: €30B - 2021: €17B Those payments support 153 GW of infrastructure. Again you do realize as soon as we compare with new built nuclear power, adjusting for capacity factors, it just becomes lunatic to suggest nuclear power? The question is where we spend our money today. The subsidy needed for renewable deployment in 2025 is 0. As can be seen by the 16 GW built without subsidies. > The installed capacity of renewable installations not eligible for payments under the EEG was 16.2 GW That's just equivalent to a few nuclear reactors. Nothing big! > Germany can reuse own konvoi designs or try to make a deal with khnp and Westinghouse Or they can just let the French folly continue and see the state finances crash when loaning becomes even more expensive. > French debt and electricity/edf are not connected. Most of the debt is from pension system because well, work hours, pension age and vacation days vs neighbors. It becomes connected when the state subsidizes nuclear power to enormous amounts which could have gone to balance the budget. > Edf debt is peanuts in comparison. In fact it's debt to ebitda ratio is in normal range. I love this sleight of hand. Debt to ebitda is fine, when considering that Hinkley Point C gets a completely insane 17 cents/kWh. And that the state will subsidize the EPR2 program. EDF is fine if the state takes all the costs. So funny. |
GenCost predictions are already failing if you look at the state of current transmission projects in Australia (huge cost increases across the bord, and not just transmission). And for Germany it'll be even harder due to more nimbys (hello sudlink that was protested even by greens at some point) and different weather/generation patterns.
EEG is not a backwards system or something of the past. It's still in place and it's projected to grow despite most expensive 20y contracts being gone https://www.ewi.uni-koeln.de/en/news/medium-term-forecast-ar...
The reason is the need to protect investments from self cannibalization. Offshore in Germany is already facing challenges like in UK and DK.
https://www.cleanenergywire.org/news/no-bids-german-offshore...
https://www.reuters.com/sustainability/climate-energy/denmar...
https://www.bbc.co.uk/news/business-66749344.amp
It'll be gradually the same with onshore and even some solar.
Nuclear has advantages beyond CF, like firm generation, less system costs. Even Fraunhofer/bnetza understand this, that's why both are pushing to expand gas to firm renewables(because well, nuclear is out of discussion for em)
French national debt is 3.5 TRILLION, most because of social system. EDF debt is 50bn while debt/ebitda ratio is about 2 (while EON/RWE have a worse ratio) To suggest EDF debt has any meaningful impact here is borderline insane.
HPC CFDs are smaller vs what Germany or UK offers for biomass, or what UK offered for greenvolt, and soon to be in line with what UK will offer for new wind projects in latest AR rounds https://assets.publishing.service.gov.uk/media/6880d6f8f47ab... There are some wild numbers there for some tech, HPC looking cheap in comparison
EDF is not subsidized by France, yet. You can consider a one off 9bn nationalization but that's peanuts vs eeg and hardly a subsidy considering debt/ebitda. In fact edf is subject to profit tax called arenh (the one that caused high debt in 2022), soon to be replaced with another profit sharing mechanism. Arenh was mandated by EU so that EDF doesn't erase competition. EDF financials are public and there aren't any mentions about state pouring money except renewables sector. As said, EPR2 will get some subsidies, but make no mistakes, compared to EEG it'll be peanuts.
Mind you, Germany already spent on EEG alone almost 2x the cost of entire french nuclear fleet (looking at public numbers from court/DE) but it still has worse emissions. In a similar timeframe (messmer) france almost finished the job.
On the other hand, both the praised California and South Australia, leaders in ren deployment, do have both worse emissions than France and higher household prices
It's indeed funny to me how people are so concerned about the costs of nuclear but are just fine with full system costs of renewables that strangely, are not that cheap as predicted by orgs like aemo/csiro in Australia and even more so in other markets.