Monthly Archives: February 2023

Small modular nuclear reactors:  A bad deal for Southwest Virginia! And all of us!

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Infographic shows how small modular nuclear reactors work
Source: U.S. Department of Energy

In announcing his 2022 Virginia Energy Plan, Gov. Youngkin said, “A growing Virginia must have reliable, affordable and clean energy for Virginia’s families and businesses.” The Governor’s plan to promote and subsidize Small Modular nuclear Reactors (SMnRs) in Southwest Virginia fails all three of the Governor’s own criteria:

  1. SMnRs can’t be reliable when they cannot reliably be built and brought on line in a predictable and timely fashion.
  2. SMnRs can’t be affordable because nuclear power is close to the costliest of all forms of electric power generation.
  3. SMnRs can’t be clean since they produce extremely toxic high and low-level nuclear waste, which has no safe storage or disposal solution.

Appalachia has long served as a sacrifice zone for rapacious energy ambitions of other regions. Southwest Virginians have had reason to hope that would change as opportunities for low-cost solar development emerged in recent years. Instead, politicians like Youngkin are making too-good-to-be-true promises about SMnRs, sidelining opportunities to promote solar, which can produce power in a matter of weeks, not decades.

Imposing SMnRs on Southwest Virginia is disturbing. My father worked for the Atomic Energy Commission in the 1950s. The promise the nuclear industry and the government touted then – “electricity, too cheap to meter” – never has been realized. TVA and other utilities abandoned nuclear plants under construction, leaving costly monuments to that folly and sticking electricity customers with the bill. 

COSTS: It’s not at all clear that SMnR technology will succeed, or when. Levelized cost charts of electric power generation rate nuclear as among the very most expensive means to generate electric power at utility scale. If nuclear waste management, insurance, and decommissioning costs are counted, actual costs are far higher. (Some of these costs are already socialized for nuclear power – e.g. insurance in the Price-Anderson Act.) 

The first commercial SMnR is not expected to be completed until 2029, but already its developers have raised the target price of its power by 53%. This is not a surprise; nuclear power construction history documents an extremely strong correlation between new designs and cost increases and project delays. Indeed, the Lazard research shows that nuclear is the ONLY grid-wide generation source to increase in price, 2009-2021. The increase was 36%!

NUCLEAR WASTE, TRANSPORT, AND REPROCESSING: Nuclear waste and reprocessing are also serious concerns. Make no mistake, unreprocessed nuclear waste, for all practicable purposes, is FOREVER. The fact that we have become accustomed to risk does not, by any means, reduce risk. Nor will SMnRs generate less waste than their larger forebears. Indeed, a recent Stanford University study concluded that “small modular reactors may produce a disproportionately larger amount of nuclear waste than bigger nuclear plants.” 

Safeguarding this waste is already costing taxpayers and utility customers tens of billions of dollars. With the failure of the U.S. to designate a central storage facility, nuclear power plants are forced to continue to store the waste in pools on site. 

Yet nuclear waste recycling, known as reprocessing, is no panacea. In November, the Governor spoke in Bristol in support of recycling nuclear waste from SMnRs: “I think the big steps out of the box are the technical capability to deploy in the next 10 years and on top of that to press forward to recycling opportunities for fuel.” He may have had in mind BWX Technologies of Lynchburg, which is beginning reprocessing of uranium at its Nuclear Fuel Services (NFS) plant just south of the Virginia border in Erwin, Tennessee, for nuclear weapons. 

It took over a decade, but in 1984, Congress finally killed the last proposal to reprocess nuclear waste into nuclear fuel. The reprocessing would have taken place at the Clinch River Breeder Reactor, also south of the Virginia border, near Oak Ridge, TN. The concern then was the potential for accidental highly toxic “spills” of nuclear wastes or purposeful diversion of plutonium into the international weapons market. I recall this clearly because I spoke at a public hearing in Abingdon about the transportation of nuclear waste that would be bound for the Clinch River plant.

Transportation of SMnR nuclear wastes along Virginia mountain roads or railroads across the border to Erwin presents further risk of accident and contamination. Longstanding concerns about transportation and security of nuclear wastes have never been adequately addressed.

In addition, Princeton University physicist, Frank N. von Hippel reported in the Bulletin of Atomic Scientists that the Nuclear Regulatory Commission, charged with protecting U.S. citizens from reactor disasters such as Three Mile Island, Chernobyl, or Fukushima, has moved toward offering greater flexibility for a nuclear industry plagued by cost overruns and calls for safety improvements, rather than hewing to its primary responsibility for maintaining safety of nuclear generating facilities and the American people. The Bulletin also reports that, because of longstanding financial troubles experienced by the commercial nuclear power industry, state legislatures are increasingly being asked and are feeling compelled to subsidize nuclear power. Gov. Youngkin’s state energy plan would take Virginia down that road, a road that could be very long. 

URANIUM MINING in VIRGINIA? Because of toxic pollution risks, mining uranium in Virginia is currently prohibited under a moratorium enacted by the General Assembly. Coles Hill in Pittsylvania County contains the largest deposit of uranium in the U.S. Just a month ago, Consolidated Uranium, a Canadian company, announced its purchase of Virginia Energy Resources, which owns Coles Hill. It sounds like those executives think that another run at overturning the mining moratorium might be successful. That this purchase announcement comes so shortly after Youngkin’s announcement of SMnRs in his Virginia Energy Plan feels like more than coincidence. 

Uranium mining in a wet, eastern location would present a far higher opportunity for contamination than mining that has for years had problems affecting water and public health in the West. We Appalachians know the social and environmental costs of an extractive economy. We should not support any enterprise that forces that kind of exploitation upon our neighbors, especially mining with known, pervasive health, safety and environmental risks.

CORPORATE CRONYISM and POLITICAL BOONDOGGERY: BWX Technologies of Lynchburg (formerly Babcock and Wilcox) is the nuclear contractor we can anticipate would be charged with Gov. Youngkin’s wish to reprocess nuclear waste into fuel. BWX has been on the ropes for years, since nuclear became so unpopular with utilities in the wake of the Three Mile Island accident. It has managed to stay afloat with military contracts and wants to develop the reactors it builds for subs and aircraft carriers for commercial power production. The SMnRs are its ticket, and Gov. Youngkin is playing both their salesman and the state’s purchasing agent. Some General Assembly members are angling to help their localities and favored industries cash in.

Here’s how the boondoggery works:

  • Del. Danny Marshall, representing Danville and Pittsylvania Co. – where those huge untapped uranium reserves lie – submitted HB 2333: “It is the policy of the Commonwealth to promote the development and operation of small modular nuclear reactors at the earliest reasonable time possible, with a goal of having the first small modular nuclear reactor operating by the end of 2032, and requires the State Corporation Commission to establish a small modular nuclear reactor pilot program…The pilot program shall be limited to three small modular nuclear reactor sites [note: the bill allows for multiple SMnRs at each site] in the Commonwealth… In considering an application for a certificate of public convenience and necessity for a small modular nuclear reactor under the pilot program…in the coalfield region of the Commonwealth.” The pilot program requires the SCC to grant coalfield SMnRs special treatment under a state-mandated SMnR pilot program. Under this bill, Virginia’s largest utilities, Dominion Energy and American Electric Power would be granted permission from the General Assembly to charge its customers for SMnR construction, regardless of whether these unproven facilities are ever able to produce a kiloWatt of power.
  • Del. Kathy Byron, representing Lynchburg – home of BWX Technologies – is patron for  HB2197, which defines “advanced nuclear [SMnR] technology…as renewable energy,” which allows SMnRs to access the benefits under law afforded to renewable energy under Virginia’s Renewable Energy Portfolio Standards, designed to incentivize  adoption of renewable energy by utilities.
  • Del. Israel O’Quinn, representing Bristol, Washington Co. area, introduced HB 1780, that would establish “A revenue-sharing agreement requiring the Counties of Buchanan, Dickenson, Lee, Russell, Scott, Tazewell, and Wise and the City of Norton to enter into a perpetual revenue-sharing agreement regarding advanced nuclear technologies and an advanced nuclear reactor to be located in one of these localities.” The legislation would have divided property tax benefits from SMnRs among coalfield counties by a formula, since no one yet knows which ones will have the “benefit” of hosting SMnRs. 

All three bills passed the Virginia House and moved to the Senate last week. A Senate committee has since rejected Del. O’Quinn’s bill.

UNDERMINING REGIONAL GREEN ENERGY DEVELOPMENT: Given the questions about cost, practicality, and safety, the governor’s choice of SMnRs as the cornerstone for future energy development in the coalfields of Southwest Virginia risks leaving residents here with nothing. This is especially worrisome as it pulls state support from proven, cheaper, and ready-to-deploy-now solar and energy storage applications. 

It also redirects government resources away from homegrown economic projects, like the New Economy Program, based on cleaning up and repurposing unrestored mine lands for a burgeoning utility solar energy industry, employing local residents and adding restored land to productive purpose and to the taxbase.

Counties across eastern and Piedmont Virginia are benefitting from a property tax bonanza flowing from utility scale solar development. Coalfield counties are being told to ignore a sure solar bet and place their few economic development chips on a risky, unproven, costly, pie-in-the-sky energy prospect.

Why should SWVA be forced to endure the burden of risky and more costly electric energy, subsidized by the state to benefit powerful corporations, which seek to exploit our region and its people? Why indeed, while the rest of Virginia benefits economically from low-cost, safe solar energy and advanced energy storage systems?

This same shell game occurred when state mining regulation allowed mountaintops to be blown away and thousands of acres of forestland despoiled. Once again, government officials are choosing to make decisions which benefit the interests of corporations outside the region instead of the people who actually live here.

Rees Shearer is a retired school counselor and community organizer who has researched and organized around regional environmental protection and clean energy issues for over 50 years. He lives with his wife Kathy in Emory, VA.

This article originally appeared in the Virginia Mercury on February 16, 2023. 

Don’t give data centers a pass on pollution

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Senator Petersen and a group of advocates
Senator Chap Petersen talks with advocates at the General Assembly on February 3. Photo courtesy of Piedmont Environmental Council

In 2019, with Northern Virginia’s data center boom well underway, I worked with the Sierra Club to provide comments to the Department of Environmental Quality (DEQ) on a proposed major source air permit for a data center. 

We urged that the data center, owned by Digital Realty, be required to minimize its reliance on highly-polluting, back-up diesel generators by installing on-site solar and battery storage. While rooftop solar alone wouldn’t produce more than a fraction of the energy a data center uses, solar panels and batteries could provide a strong first line of defense against grid outages, without the air pollution. 

It wasn’t a new idea; other data centers elsewhere were using clean energy and storage or installing microgrids capable of providing all of the power the facility needed. Yet DEQ rejected the suggestion and gave the go-ahead for the data center to install 139 diesel generators with no pollution controls. 

Three years later, data centers have proliferated to such a degree that the power grid can’t keep up. DEQ is now proposing that more than 100 data centers in Loudoun, Prince William and Fairfax counties be given a variance from air pollution controls so they can run their diesel generators any time the transmission system is strained. DEQ is taking comments on the proposal through March 14 and will hold a hearing at its office in Woodbridge on February 27.

As a resident of Fairfax County, I’ll be one of the people forced to breathe diesel pollution to keep data centers running. Make no mistake: There would be no grid emergency without these data centers’ thousands of megawatts worth of electricity demand. And there wouldn’t be a threat to Northern Virginia’s air quality without their diesel generators. 

It’s fair to ask: Should these data centers have been built if the infrastructure to deliver power to them wasn’t ready? I’d also like to know why DEQ thinks it’s okay to impose on residents the combined pollution from many thousands of diesel generators firing at once, when it has known since at least 2019 that viable, clean alternatives exist. 

Batteries alone are an obvious solution for short-term emergency use, and can provide exactly the kind of help to the grid that will be needed this year. Instead of calling on data centers to run diesel generators, a grid operator can avoid the strain by tapping into a data center’s battery, a solution Google is implementing.      

But data centers can economically lower their energy and water costs as well as reduce strain on the electric grid by reducing their energy use and using on-site renewable energy. Global energy management companies like Schneider Electric, Virginia AECOM and Arlington’s  The Stella Group design microgrid solutions for data centers and other facilities that need 24/7 power.

I contacted Stella Group president Scott Sklar to ask how feasible it is for Northern Virginia’s data centers to meet their needs without diesel generators, given land constraints that limit their ability to meet demand with on-site solar. He told me data centers can start by reducing their cooling load by two-thirds by using efficiency and waste heat; cooling, he says, accounts for 38% to 47% of electricity demand. Cost-effective energy efficiency can reduce energy demand by one-third, and waste-heat-to-electricity can meet another 25% to 38% of the remaining electric load. “If you cut the cooling load and use waste heat to electricity, then you only need renewable energy and batteries for a maximum of half,” he concluded. “That’s doable.”

If Virginia data centers don’t start taking these kinds of measures, the situation will get worse. This year’s grid strain may be relieved through construction of new generation and transmission infrastructure, but the industry’s staggering growth rate threatens to create future problems. In 2019, when the Sierra Club was urging DEQ to think about the environmental impact of data centers, the industry consumed 12% of Dominion Virginia Energy’s total electric supply. Today, that number has risen to 21%, a figure that does not include the many data centers served by electric cooperatives rather than Dominion.  

Just last month, Gov. Youngkin announced that Amazon Web Services will invest $35 billion in  new data centers in Virginia, at least doubling Amazon’s existing investments here. By way of thanks, Youngkin wants taxpayers to provide up to $140 million in grant funding to Amazon and extend Virginia’s already-generous tax subsidy program. Ratepayers would also subsidize the build-out by contributing to the cost of new generation and transmission.

Amazon claims to lead the list of tech companies buying renewable energy, though its investments are mostly in other states and abroad. A scathing report in 2019 showed Amazon owned the majority of the data centers in Virginia at that time, but had made few investments in renewable energy here. Since then, Amazon has developed new solar facilities statewide, including enough to power its new Arlington headquarters. But as I discussed in a previous column, all the solar in Virginia would not be enough to make a dent in the energy appetite of Northern Virginia’s data centers, of which Amazon owns more than 100.  

I have no special beef with Amazon, but I do think that a rich tech company with pretensions to sustainability leadership should do more to walk the walk in the state that hosts so much of its operations. Surely that includes not relying solely on diesel generators for back-up power at its data centers. 

I also have no beef with data centers in general. They provide necessary services in today’s world, and they have to go somewhere. Data centers could be a valuable source of revenue and economic development for Southwest Virginia and other parts of the state that are not grid-constrained, if there are guardrails in place to protect nearby communities and the environment, and if they help rather than hurt our clean energy transition. Right now, none of this is the case.

Unfortunately, Gov. Youngkin not only doesn’t want guardrails, he doesn’t even want to know where and why they are needed. On February 3, a representative of his administration spoke in committee in opposition to legislation filed by Sen. Chap Petersen, D-Fairfax that would have the Department of Energy and DEQ study the impact of data centers on Virginia’s environment, energy supply and climate goals. The Senate agreed to the study, but a similar bill died in the House, and a House subcommittee killed Petersen’s Senate version Monday on a 2-1 vote. (The vote was later changed to 3-2 when two delegates who missed the meeting, and the discussion, added their votes. Killing a bill in a tiny subcommittee is one way House procedures allow delegates to avoid accountability on controversial issues — but that’s a topic for another day.)

I spoke with Sen. Petersen by phone after the subcommittee hearing. He pointed out that the administration would have been able to shape the study any way the governor wanted, and would have had control over the recommendations as well. Petersen’s conclusion: “He just doesn’t want anyone looking at it.”

Refusing to look at a problem, however, never makes it go away. And in this case, the problem is just getting bigger.

This article was originally published in the Virginia Mercury on February 15, 2023.

Update: On March 7, DEQ issued a new permit variance limited to data centers in Loudoun County. Although DEQ doesn’t say so, it appears that the original proposal has been modified. The comment period will now run through April 21, and another hearing will be held on April 6.

The gas stove culture wars come to Virginia

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Gas stoves have been in the headlines a lot recently. On the heels of a studyquantifying their contribution to childhood asthma, Consumer Product Safety Commission member Rich Trumka, Jr. issued a tweet suggesting the agency might take them off the market, a comment he later walked back. 

Too late: cue the outrage from the right. “If the maniacs in the White House come for my stove, they can pry it from my cold dead hands,” tweeted Rep. Ronny Jackson, R-Texas. A number of people tweeted back that they were eager to see this happen, but then it turned out no one in the White House actually wants to ban gas stoves, anyway.

What kind of stove you use might seem an odd contender for a culture war issue, but the outrage beast needs constant feeding. The ranting leaves no time for anyone to point out that electricity powers the great majority of U.S. stoves, methane gas isn’t even an option in much of the country, and — eh — we Americans don’t really cook that much, anyway. If we were arguing over microwave ovens, more of us would have a dog in this fight.

But the mere fact that you never gave your stove much thought before does not excuse you from taking sides now. If you are a Democrat, you must drool over induction stoves, even if you aren’t sure what they are or how they work. If you are a Republican, you must support burning fossil fuels in the kitchen and weep for the plight of Michelin-starred chefs whose restaurants you can’t afford to go to (and indeed, many of whom have been won over by induction, the ingrates). 

One of the difficulties the gas industry faces in politicizing stoves is that it wins over the wrong people. An Energy Information Agency map shows the percentage of households that cook with gas is highest in a bunch of blue states like California and New York, and lowest in the deep-red South and the Dakotas. 

The reasons are pragmatic, not political. Gas utilities in rural states like North Dakota are much less likely to have invested in the expensive network of distribution pipelines needed to bring service to far-flung communities. The rural geography problem affects much of the South as well, but weather is a factor, too. Since furnaces, not cookstoves, are the big fuel users, the relatively warm winters of the South make it a less lucrative market than the colder North. Thus, electricity dominates heating as well cooking in southern states. 

If gas companies have chosen not to serve areas where they would make less money, who can blame them? On the other hand, with gas furnaces increasingly unable to compete with more efficient heat pumps, they now risk losing their northern customers to electric alternatives. Either they sit and stare into the abyss of an all-electric future in which they are obsolete, or they have to do what they can to slow their inevitable decline.

And so they set out to convince state legislatures to prevent local governments from barring new gas hookups in their communities, as many left-leaning cities have been doing in the interests of climate and health. Gas stove diehards are the industry’s unwitting (and sometimes witting) poster children.  

On the face of it, the gas industry has been successful: at least 20 statescontrolled by Republican legislatures have enacted gas ban preemption laws. Sadly for the gas utilities, the wins have occurred in those southern and rural states where they don’t have as much business to protect anyway. 

That’s what makes Virginia an important next target. Almost one-third of Virginia households are customers of natural gas utilities, and only a handful of rural Virginia counties have no gas service at all. There is certainly room for growth. Yet a number of urban and suburban localities have adopted climate goals that call on their governments to lower greenhouse gas emissions. The gas industry fears these localities may decide banning new gas hookups could be one step towards the goal. 

The risk seems slight. Virginia is a Dillon Rule state, meaning local governments have only the authority delegated to them by the General Assembly. Given the difficulty Virginia localities have had even getting authority to ban single-use plastic bags (they still can only tax them, not pry them from your cold, dead hands), it seems unlikely they would seek, or get, authority to ban new gas hookups any time soon.

Indeed, when the General Assembly first considered legislation to preempt gas bans last year, the focus was on the City of Richmond and the incompatibility of the city’s 2050 carbon-neutrality pledge with its continued operation of its own gas utility. The city itself didn’t seem to be thinking that far ahead, and climate activists have since complained that Richmond is more intent on upgrading its gas infrastructure than in phasing it out. Still, the gas industry had a target to point to.

The House was willing to adopt the full gas preemption ban, but a Senate committee reworked the legislation to focus on the problem at hand. The law that passed imposed a requirement that any municipality with a gas utility notify its customers and put the utility up for sale before exiting the business. All parties pronounced themselves satisfied, declared victory and went home. 

This year the gas industry has no threat to point to but is nonetheless again trying to get the preemption bill passed. The bill language includes a kind of culture war code term, a declaration that “energy justice” means you have the right to buy gas if you can afford it and the gas company has the right not to supply you if you can’t, or if serving you isn’t profitable for the company. 

The better description for this, surely, is the free market, which is quite distinct from justice. So, is it justice or merely irony that even if it were to pass, many Republicans who voted for the bill still wouldn’t get gas service for their constituents because serving rural areas is not in the interests of the industry? 

As it did last year, the Republican-led House has passed the industry’s bill along party lines. In the Democratic-controlled Senate, though, matters get interesting. This year the gas industry secured a Senate patron, Democrat Joe Morrissey. Though Morrissey is hardly popular in the party, he is still at least one Democratic vote for the bill in a closely divided chamber. 

It seems obvious enough that the preemption ban is on the wrong side of history, at a time when our burning of fossil fuels is already causing climate chaos. It’s also not going to stave off the inevitable for long. Building electrification will continue. Over time, more consumers will choose heat pumps and induction stoves over methane gas, not for political reasons but for health reasons and because the technology is better. 

But if we agree the gas industry will lose out in the end, is it really a big deal if Virginia localities are barred from doing something they don’t seem to have authority to do anyway?

Well, actually, yes. Even if Virginia localities can’t make a blanket prohibition on new gas connections, it’s not hard to imagine that a locality might choose to reject a particular gas connection to a particular construction project or subdivision where the gas line would cross parkland or wetland, or be problematic for some other very specific, very local and very legitimate reason. 

Virginia’s balance of power has always recognized that land-use decisions should be made at the local level. This legislation hands a cudgel to the gas industry and developers to override a legitimate local land use decision.

For that, legislators should have a better reason than taking sides in a culture war.

This article was originally published by the Virginia Mercury on February 7, 2023.

Note: A reader in rural Virginia pointed out that the legislation also protects users of propane, which is a common heating fuel in rural areas that are not served by methane gas utilities. I didn’t address propane because although the bill addresses it, it’s really peripheral to the point of the legislation. The gas industry lives and dies on methane, not propane, and propane is so often used for heating in rural areas that there’s little chance of any rural locality wanting to ban it. So no, that still is not a reason to support the bill.