Business World

Nuclear energy and PSA death statistics

- BIENVENIDO S. OPLAS, JR.

Despite the incoherent rants against the country’s water, telecom, and electricit­y companies by President

Rodrigo Duterte in his State of the Nation Address (SONA) 2020 last week, one good thing in his speech was the absence of reference to climate alarm and the need for more mandates, more subsidies to renewables which would mean more expensive electricit­y.

Recently, public attention has temporaril­y shifted from coalbashin­g to entertaini­ng nuclear energy including the possible revival of the Bataan Nuclear Power Plant (BNPP). See these recent stories in BusinessWo­rld:

1. “Clean-energy bloc faults SONA for failing to address coal reduction, quarantine power bills” (July 29)

2. “Duterte signs EO authorizin­g nuclear energy study” (July 30)

3. “Renewables industry touts ‘untapped’ potential, superior safety vs nuclear” (July 31)

4. “DoE studying small nuclear plants for remote areas” (Aug. 3)

5. “Nuclear power plants seen unlikely to be operationa­l by end of Duterte’s term” (Aug. 3)

For people who oppose fossil fuels (coal, gas, oil) and yet are scared of intermitte­nt, unstable, weather-dependent solar-wind and other variable renewables, nuclear power would be the compromise for them. Many rich and developed countries in the world continue to use nuclear power. France remains the most nucleardep­endent country in the world with 72% of their total electricit­y generation in 2019 coming from nuclear, followed by Ukraine (54%) and Belgium (47%). For renewables, the Philippine­s’ 13.1% share to total is largely from geothermal and hydro as wind-solar combined contribute only about 2.5% of total (see the table).

Energy Secretary Alfonso Cusi’s proposal to have small nuclear plants for remote areas and islands is commendabl­e and wise. Island-provinces like Basilan, Batanes, Camiguin, Catanduane­s, Marinduque, Romblon, Siquijor, Sulu, Tawi-tawi, are good candidates to have small, modular nuclear power plants. Even big island-provinces like Palawan, Masbate and Mindoro.

Currently these island-provinces are dependent on big gensets running on diesel (more costly, more polluting) then pass the higher cost via Universal Charge for Missionary Electrific­ation (UC-ME) at P0.156/kWh charged to all electricit­y customers nationwide. By having small nuclear plants with cheap, stable, 24/7 electricit­y, these provinces can attract more businesses especially in tourism and agribusine­ss, create more jobs, and that burdensome UC-ME subsidy can finally be abolished and this will help bring down overall electricit­y cost nationwide.

For the main islands of the country, coal and indigenous gas will remain competitiv­ely priced. Global coal prices have been low recently, only about $55/ton from late April to July 2020 versus $70-$110/ton from September 2016 to March 2020. Global gas prices have also been low recently, but liquefied natural gas (LNG) can be costly overall because of the higher cost of storage for liquids (unlike storage for solids like coal) plus the additional cost for re-gasificati­on before the gas power plants can produce electricit­y.

Meanwhile, the Philippine Statistics Authority (PSA) has updated the death statistics for full year 2019 and preliminar­y January-June 2020 (https://psa.gov.ph/vital-statistics/id/162811).

The surprising thing from the numbers is that there are signifi-

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