Friday, February 19, 2010

Great News!!! We're Getting More Nuclear Plants!!

I'm not serious about the headline but the reality is the Obama administration is planning to offer loan guarantees to fund the construction of nuclear plants.  If the plants are going to be such a boon and savior why do they need the guarantees?  Probably because they are only able to get funding if the federal government guranatees it.  I'm sure there exists a minimum price that consumers will pay for the power too.  To make the deal even sweeter the government will find a cheap/free way for the companies to get rid of the waste.  What an awesome deal for the taxpayer.  We subsidize the construction, guarantee a minimum return, take out the garbage and let somebody else enjoy the profit. 

The problem lies in the business as usual approach to policy that supports private profits and shifts all the risk to the public.  It seems like nothing can be done without a government guarantee or subsidy.  If that is the case maybe we need to revisit the "free market" concept and decide if we want it free or just pretend.

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