If private insurers refuse to cover nuclear reactors the financial risks will be shifted onto Australian taxpayers, meaning we are still unclear how much taxpayers will have to cover the nuclear bill.
Australians for Affordable Energy has expressed deep concern over the revelation the private sector may not be able to insure nuclear reactors, following comments on Monday from the CEO of the Insurance Council of Australia.
Many of Australia’s leading insurance companies won’t cover damage from a nuclear disaster, leaving the government as the insurer. By shifting the financial burden of insuring nuclear facilities onto taxpayers, Australians could be exposed to potentially tens of billions of dollars in liabilities if a nuclear accident were to occur.
“We know that private investors won’t put money into building the industry, that we will need to create a massive new government agency to oversee it, and now we are hearing that we will need to pay for the insurance too? What’s next?”
“Advocates for nuclear energy need to say whether it can stand on its own, including paying their insurance. And they need to tell us what other costs we might be asked to carry. The fact is by the time the reactors are done it won’t be us paying the bills for the insurance, it’ll be our grandkids. I’d like to know what we’re signing them up for. ”
Australians for Affordable Energy spokesperson Jo Dodds, a bushfire survivor and advocate for evidence-based policy, said: “Australians are already struggling with rising energy costs, the last thing we need is a power source that could further inflate our electricity bills and our taxes.
“The high costs associated with uninsured nuclear power could be passed onto consumers, who are already looking at paying higher bills if we were to shift to nuclear power. This is money hardworking Australians simply can’t afford to pay.”
AFAE is warning against locking into costly or uncertain energy options and is calling for greater transparency on the long-term costs of competing energy plans.
Also from Australians for Affordable Energy: Before we decide where to dump nuclear waste, let’s answer the bigger questions
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Because of the potential for widespread devastation from nuclear accidents and the long term health implications, insurers have generally avoided providing insurance cover for nuclear risks.
Whilst the coalition are being a bit wishy-washy about this, let's be clear it is the taxpayer who will foot the bill for any nuclear accidents and resultant contamination.
If the nucleophiles are looking for funds to build their nuclear cookers why not lobby the Government to withdraw from the AUKUS cash consuming debacle.. Oh, wait a minute, that project was also pushed by the nucleophiles so no doubt both "industries" will attract parasitic money munchers whilst the taxpayers will be left standing with their gobs open!!
Who ever builds the nuclear power stations will want a return on their investment, gained by selling the generated power, so somehow or other the Australian tax payer will foot the bill.
Check your insurances. None cover problems arising from any type of nuclear incident. For example, page 27 of my NRMA insurance, under exclusions: "loss, damage, liability or death caused by or arising from any nuclear, radioactive, biological or chemical material, or the use, handling, transportation or storage of such materials". Insurance companies are definitely averse to providing cover for anything to do with nuclear.
It's not just insurance. If nuclear is the ultimate solution to energy provision, why isn't the private sector lining up slavering to invest?
Leefe: we all know the answer to that.
If the LNP gains government and this bonkers suggestion goes ahead, Australian taxpayers, for decades into the future, will:
1. Pay what will no doubt be the substantial legal costs for overturning the ban on nuclear power both federally and statewise.
2. Pay to purchase the sites where they say the plants will be located (seeing they are all privately owned)
3. Pay the hundreds of billions to build the nuclear plants
4. Pay the cost of maintenance
5. Pay the cost of storage of nuclear waste
6. Pay the cost of insurance
7. Pay higher power bills