Australia’s Liberal-National Coalition proposed a AU$331 billion taxpayer-funded nuclear power plan on December 13, saying it will deliver cheaper and cleaner energy, along with consistent power supply.
The Coalition has criticised Labor’s renewables-only plan, with opposition leader Peter Dutton arguing against its high cost and saying a transition to nuclear energy could potentially save up to AU$263 billion.
“It will make it cheaper for Australians, and it will help us decarbonize.”
The Coalition’s proposal includes the construction of seven commercial nuclear plants by 2050, with the first expected to be operational by 2036. Nuclear power has been banned in Australia since 1998.
Uranium mining is also banned in two areas, namely Western Australia and Queensland.
ASX-listed uranium stocks were on the rise following the Coalition’s announcement, responding to optimism that restrictions will be lifted if the plan is approved, creating more opportunities for Australia-focused uranium companies.
However, the reactions haven’t all been positive — Bloomberg notes that the Commonwealth Scientific and Industrial Research Organisation has said renewable energy, such as wind and solar energy, is more cost effective.
Responding to the plan, Chris Bowen, minister for climate change and energy, called it a “fatal error.”
No further comments had been made by the Coalition at the time of this writing.
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: Boss Energy is a client of the Investing News Network. This article is not paid-for content.
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