[nl]

The issue with base load contracts is that they are increasingly being undermined by power that is much cheaper, and reliable almost enough to substitute for base power.

Generally speaking most jurisdictions would have to be stupid to sign up to new long term (20 year+) base power contracts, but that's what nuclear power needs to pat for the high upfront costs.

As this article shows, new storage tech and load management tech makes it likely that base load will be less and less important over time.

[exelius]

Yeah, but the long-term outlook for fossil fuels is still rising prices. If given the choice between building a new LNG plant or a new nuclear plant, are LNG fuel prices low enough and stable enough over the long term to justify over a 20 year+ contract? This is an honest question and I'm sure the energy industry has a legion of forecasters and quant jocks on it, but I personally don't know how the economics work out.

There's also the carbon footprint aspect to consider. If the "carbon tax" is successful, nuclear could be a more cost-effective option than hydrocarbon-fired plants in areas without a more stable "natural" power source like hydroelectric or geothermal. The petrochemical industry likely has enough political pull to neuter any carbon tax law, but in theory that's how it should work.