Nuclear Power: What it means in Illinois

The Department of Nuclear, Plasma, and Radiological Engineering at the University of Illinois at Urbana-Champaign, theAmerican Federation of Labor and Congress of Industrial Organizations, and North America’s Building Trades Unions, cosponsored the informational forum, “Nuclear Power: What it means in Illinois,” on Tuesday, October 18, 2016, in Chicago’s
Bilandic Building.
A host of national policy leaders outlined the sustainability and economic impacts of nuclear energy in the state,particularly in light of recent proposed closures of Illinois-based nuclear generation plants. A video of the forum in its
entirety is available at https://www.youtube.com/watch?v=NXDpeOTMchc . Viewing of the event as it took place was madepossible through a live webcast at http://www.ilga.gov/. The forum was partially supported by the NSF PIRE: “Nuclear
Energy Systems and Materials under Extreme Conditions.”
The event was part of NPRE’s Leadership Speaker Series, intended to provide a forum for global leaders to present policies
and platforms that shape the sciences of nuclear, plasma and radiological disciplines. The Leadership Speaker Series, aneffort of NPRE and its sponsoring alumni group, the Constituent Alumni and Industry Advisory Board, carries impact
across the University of Illinois and beyond. This also fits with the major initiative on the University of Illinois campus todevelop strong leadership in the areas of sustainable energy and environment.
cheaper (but carbon-emitting) energy sources.

Executive Summary
The impact of imminent nuclear power plant closures in Illinois was thefocus of a major forum with the participation of bipartisan elected officials,
government, labor, university and local citizen contributions. In all previous
cases, nuclear plant closures are seen to have had major negative impacts inboth the near term and in the long term. Near term impacts include the lossof jobs, particularly skilled labor positions; loss of local and State revenue andtax streams; the loss of Illinois’ ability to ensure it can meet future electricity
demand and controllable prices; and the loss of an important source ofcarbon-free electricity generation, including the ability to meet the coming
commitments to the Clean Power Plan. The impetus for the plant closures isa short-term economic problem due to the competition with other, currently

Other low- or non-polluting energy sources,
particularly wind and solar, enjoy production
credit subsidies which leads to market distortion.
These economic pressures and the current
electricity auction structure have forced Exelon
Corp. to consider plant closures. However, thedecision to close nuclear power plants, all withexcellent operational and safety records, basedon short-term electricity prices, will have major
negative impacts immediately and for generations
to come.
Some states, New York in particular, havedeveloped a mechanism to address
the financial mismatch between
carbon-free nuclear power and othercurrently cheaper electricity sources.
They have accomplished this througha measured action of the New York
Public Service Commission. They
have implement this action to meettheir Clean Energy Standard which
recognizes the major contributionof nuclear power to carbon-free

Cheri Bustos, Lonnie Stephenson, and John Kotek

electricity production. Other states,in particular Vermont, have allowed a1

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Report from Informational Forum, October 18, 2016

plant closure despite its benefits and felt a majorof the pending closuresnegative impact of the plant closure including

was that, with the current

job loss and rising cost of electricity. The generalelectricity rate structure,

position of the participants in this forum was thatthese plants could not

the best approach to preserving a major base-

operate without financial

load energy resource in Illinois is to place it onlosses. In fact, Exelon Corp.

competitive footing with other energy resources.

has lost $800 million over theThis would preserve the current economic andlast six years operating theseenvironmental advantages these plants provide.

plants. As a corporate entity,

One major avenue to making this happen is

Exelon Corp. could not afford

through the action and support of the State

to continue operations ofGovernment, similar to steps supported by thethese plants at a loss.

Governor of New York and taken by the New YorkThe meeting concentrated

Public Service Commission.

on various types of impacts
that are foreseen based

Introduction

Jeff Binder

on the possible plants

This document reports on the presentations
and outcomes of the Nuclear Power: What itmeans in Illinois meeting on October 18, 2016.
The meeting and all of the presentations canbe viewed in full at https://www.youtube.com/
watch?v=NXDpeOTMchc .
The meeting was organized to address the issues
and impact surrounding the potential closure of
two nuclear power plants owned and operated
by Exelon Corp. in Illinois: the Clinton Nuclear
Power Station near Clinton, Illinois; and the Quad
Cities Generating Station near Cordova, Illinois.
The Clinton Nuclear Power Station consists of one
Boiling Water Reactor rated at 1098 MWe and theoperating license was granted on April 17, 1987. The
Quad Cities Nuclear Generating Station consistsof two Boiling Water Reactors with a combined

closures. These impacts are described below. These portray the thoughts andcontributions of the participants to this forum. In all cases, the participants
found that there are major negative consequences foreseen from the plantclosures. The closures are also known to be an irreversible process: once theclosure process is started through an application to MISO or PJM, there is no
turning back. Once the plants are shut down, there is no way to restart them.
Based on the outcome of the forum, a decision to close these three nuclear
reactor units in Illinois would have dire economic, social, and environmental
impact that would be irreversible. High-paying skilled craft and labor
positions will be lost. This is put very succinctly by Illinois Senator Chapin
Rose: “This is a generational decision” which will have long-term negative
impacts in addition to the short-term immediate impacts on the local
communities, the local labor force, and the State’s economy. This sentiment
was echoed by all of the other speakers at the forum.
A program and full list of meeting participants can be found on pages 6-10.

Community and Social impact

rating of 1880 MWe. Unit 1 was commissioned on

All of the governmental representatives, labor representatives and local

February 18, 1973 and Unit 2 was commissioned

community representatives provided their view on the impact of planton March 10, 1973. On June 1, 2016, Exelon Corp.

closures on the areas they represent. This impact is not restricted to theannounced that, pending no change in the current

plant employees, thought they are the most directly impacted. The wholecost structure, the Clinton Plant would be closed

community is impacted through the follow-on loss of employment of people

on June 1, 2017, and the Quad Cities Plants wouldin other local services, the tax base that supports the local school systems

be closed on June 1, 2018.

and the other businesses that locate in those areas due to the attractive

The major issue involving the announcement

local services, schools and other infrastructure. In fact, a strong local tax

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Nuclear Power: What it means in Illinois

base provides an environment

generating capacity, there is less certainty thatthat is highly attractive to otherelectricity prices will be either controllable orbusinesses because they can alsostable in future years. Maintaining the current fullcount on a predictable market

nuclear generating capacity is essential to keep

and tax base.

Illinois in control of its energy resources. This is

Many of these same speakers

particularly the case in areas in the western partalso have strong ties to workersof the State and down-State, outside the greaterand family members who are

Chicago area. Loss of nearly 3000 MWe of power is

employees in these plants.

likely to eventually lead to an increase in electricity
price, thus negatively impacting the State’sLabor impact
Nuclear power plants are wellknown as high-tech systems.
Petros Sofronis

economic competitiveness.

Operational and safety record

Their operation and maintenance

A major feature of the Clinton power station andare tied to a highly skilled and

the Quad Cities power station is that all of thehighly trained workforce. Workers

reactors have set and met very high performanceat these plants are part of the most skilled sector of the State and National

standards. They operate with a high availability

workforce. They are also a major part of the pool of available skilled workers(i.e. the fraction of time the plant is operating at

in Illinois.

full capacity) – the Clinton power station – 2015 at
92.5%; and the Quad Cities power station – 2015 at

Financial Impact

95%. These plants are in excellent condition. These

The nuclear power stations in Illinois have a history of providing substantial
financial benefits to the State and to the local communities through theircontributions to employee pay, through their contributions to community
service, and through their contributions to the local and State tax rolls.

plants have also maintained an excellent safety
record.

Regulatory Implications

The communities in which these power plants are located understand and

The power requirements for the electricity

appreciate the major role that these plants play in the economic well-being

distribution area served by the Quad Cities powerof their communities. Their businesses and schools depend on these benefits

plants are covered by PJM (originally named forthat often have a much broader, statewide impact on the overall Statethe region Pennsylvania-New Jersey-Maryland)

economy. The loss of these nuclear power plants would have an immediate

Interconnection, a regional transmission operator

negative impact on the communities and the State, and this impact would(RTO). The Clinton power station is covered bypersist over decades as has been seen in the closures of other major facilities.

MISO, the Midcontinent Independent Service

It is important to note that these power plants are fully safe and operational:

Operator that provides open access transmission

the possible closures are not due to outdated or non-functioning facilities.

services to the central region of the US and

The possible closures are due to a current pricing differential between

Canada. It also assesses the electricity generation

nuclear-generated electricity and electricity cost from cheaper fuels orneeds to meet (peak) demand to insure there is

subsidized generators.

sufficient generation capacity at the best cost.

An additional financial issue is the price stability and security of electricity inIn this cost-based system, power providers must

Illinois. Nuclear plant closures will reduce the electricity-generating capacity

compete on cost to have their power plants

in the state, opening the door for other generators from outside the state toincluded in the electricity generation base. Under

wheel power into Illinois to meet the current demand. With a lower internal

the current assessment criterion, the Clinton and3

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Report from Informational Forum, October 18, 2016

Quad Cities nuclear plants are not able to meetresources to reduce or curtail emissions or embark on carbon capture andtheir operational costs under the price ceilings set

sequestration (CCS) technologies to reduce emissions. The latter approachby the auction process under MISO.

will come at some cost and will be passed along as a part of the electricity

In the current process, when Exelon Corp.

price. Maintaining the current nuclear generating capacity in Illinois is a

decides to close a nuclear power plant, it submits

major value proposition for meeting future Clean Power Plan goals.

an application to MISO. MISO is then required to

In addition to the CPP goals, there is a broader reason for Illinois to meetexamine the impact of the closure on the regionaland surpass the 2030 goals. The recent COP21 agreement went into force

ability to supply sufficient electricity to all points

on November 4, 2016. This agreement sets ambitious goals for holding CO2

in its grid. If it is possible to provide sufficientemission levels below those that will result in a 2°C warming. This requires aelectricity supply without the nuclear (or other)

substantial commitment by the US to exceed the Clean Power Plan goals both

power plant, the plant may close. If is it notin amount and in time. Illinois can lead the way by keeping all of its nuclear

possible to meet peak demand without that power

power stations online.

plant, the plant is required to stay open. Once theIn addition to the benefit to the environment through the continuing use

application for plant closure to MISO is made,of nuclear power in Illinois, there are other benefits to maintaining a secure

there is no possibility to reverse the decision. If

electricity base-load generating capacity. In the near future, the rise of

MISO determines that the plant is not necessary,

electricity use around the clock will be pushed through the expanded use of

it must close. Once the plant is closed and placed

better electric vehicles, home electricity (battery) storage systems, increasedin SAFSTOR, it cannot be relicensed and reopened.

use of computer server farms and systems, and increased use of robotic

The closure decision is final. A similar processdevices for a whole variety of applications. In all of these areas, reliable 24/7

would be followed with PJM in the case of thebase load power is necessary. In fact, the development of battery electric

Quad Cities power plants.

vehicles is a good example of how carbon-free electricity can be used toreplace gasoline and diesel fuel to reduce emissions from the transportation

Clean Power Plan and Future Needs
Under the Final EPA Clean Power Plan (CPP),
Illinois will be required to reduce its CO2
emissions from a 2012 annual level of 96,106,169

sector in a major way. It is notable that carbon capture and sequestration are
not viable on passenger or heavy duty vehicles, whereas nuclear-generated
electricity can be used as a power source with no environmental impact. The
rise of self-driving cars will further push the desire for battery electric or fuelshort tons per year (or a rateof 2,208 lbs/net MWh) to
66,477,157 short tons per year
(or a rate of 1,245 lbs/net
MWh) by 2030. This reduction
will directly impact the useof fossil fuels for electricity
generation in Illinois. It also
shows the value of the nuclear
power stations which emit 0
short tons of CO2. The lossof the zero carbon-emitting
nuclear power stations willplace an even greater burden
on other electricity generation

David Foster, Donne Trotter, and Jim Stubbins

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Nuclear Power: What it means in Illinois

cell electric vehicles. Similar advances
are foreseen in the use of robotics toperform a variety of functions. The
main energy source will be electricity
and, since there is no limitation on
work cycles, these systems could work
equally well any time of the day ornight.

Legislative Opportunities
The best approach to dealing with
Maria Korsnick, William Hite, and Matt Bennett

the short-term and long-term effectsof the loss of nuclear generating capacity throughthe shuttering of the Clinton power station and thequad cities power station is for the Illinois state
government to intervene to provide a competitive
pricing structure, among other initiatives, for the
Illinois nuclear fleet.
In this respect, the current Illinois State Senate
Bill 1585 is a major step in this direction.
Among the participants to this forum were
three State Senators who have drafted andendorsed this bill. Based on the comments ofnearly all of the speakers at this forum, there is
wide-spread support for this approach and an
acknowledgement that action must be taken
quickly to prevent the loss of important carbon-

Tim Followell and Henry Marquard

free electricity resources in Illinois.

Chapin Rose, Neil Anderson, Susan Tierney, and David Boyd5

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Report from Informational Forum, October 18, 2016

PROGRAM
Welcome1:00 p.m. –James F. Stubbins, NPRE Department Head

Opening Addresses
1:10 p.m. –Lonnie Stephenson, International President, International Brotherhood of Electrical Workers

1:30 p.m. –Cheri Bustos, U.S. Representative from Illinois, 17 th Congressional District

1:50 p.m. –John Kotek, Acting Assistant Secretary for the Office of Nuclear Energy, U.S. Department of Energy

Panel 1 - Impact of Closures
2:15 p.m. –Moderator, Dr. Jeffrey Binder, Director, Applied Research Institute, University of Illinois at Urbana-				Champaign
David Foster, Senior Advisor, Office of the U.S. Secretary of Energy
James F. Stubbins: “Energy and Environmental System Impacts on Nuclear Closures”
Donne Trotter, Illinois State Senator, 17 th District
Break
Discussion
2:45 p.m. –Facilitator, Matt Bennett, Senior Vice President, Third Way
Maria G. Korsnick, Chief Operating Officer, Nuclear Energy InstituteWilliam Hite, General President, United Association of Journeymen and Apprentices of the Plumbing 				and Pipe Fitting Industry, United States and Canada

Panel 2 - Solutions
3:25 p.m. –Moderator, Prof. Petros Sofronis, Director, WPI International Institute on Carbon Neutral Research, 				

University of Illinois at Urbana-Champaign
Dr. David Boyd, MISO External Affairs Team
Susan F. Tierney, Senior Advisor, Analysis Group
Chapin Rose, Illinois State Senator, 51 st District		Neil Anderson, Illinois State Senator, 36 th District

Perspective
4:00 p.m. –Tim Followell, City Administrator, Clinton, Illinois

		Henry Marquard, Director of Government Affairs, Quad Cities Chamber of Commerce

Conclusion
4:30 p.m. –James F. Stubbins

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Nuclear Power: What it means in Illinois

SPEAKERS
Illinois State Sen. Neil Anderson has

David Boyd is a lead member of theco-sponsored Senate Bill 1585 with theExternal Affairs team for MISO, a regional

intent of keeping open the Quad Cities

transmission organization that provides

Nuclear Power Station in Cordova,

electric power across 15 states and theIllinois, located within the state’s 36th

Canadian province of Manitoba. Boydlegislative district that Rose represents.

serves as MISO’s primary liaison withThe Senate Bill would establish a Low

the governors and state regulatory andCarbon Portfolio Standard (LCPS) thatlegislative policymakers on footprint wide

would help to reduce carbon emissions, increase renewable

matters in the MISO region. In addition, heenergy and maintain a stable and secure electricity supply

monitors and integrates the activities of federal regulatorsin the state.

and legislators into MISO’s overall policies.
Matt Bennett is a co-founder of Third

U.S. Congresswoman Cheri Bustos

Way, a center-left think tank that isrepresents Illinois’ 17th Congressional

committed to developing and promoting

District, including the location of thepolicies to help in the fight against

Quad Cities Nuclear Generating Station.

climate change. Third Way maintains that

She has joined other elected officials in

low-carbon technologies such as nuclear

calling on Illinois Gov. Bruce Rauner andenergy and carbon capture and storage

leaders of the state House and Senate to(CCS) must be included in the mix ofconsider legislation that would help keepsociety’s energy solutions.

the state’s economically at-risk nuclear
energy facilities operating.

Jeffrey L. Binder, an NPRE alumnus, hasserved as Director of the Illinois Applied

City Administrator Tim Followell has had

Research Institute (ARI) at the University

40 years experience working for the cityof Illinois at Urbana Champaign sinceof Clinton, Illinois, and has been a lifelong

November 2013. This November, he willresident.

assume a new position as Associate
Laboratory Director for the Argonne
National Laboratory’s Energy and Global
Security Directorate. Before ARI, Binder worked at Oak
Ridge National Laboratory, rising to the position of AssociateDavid Foster joined the Energy

Laboratory Director for Nuclear Science and Engineering.

Department as a senior advisor on
industrial and economic policy in June,
2014. Prior to his appointment, he served
eight years as the founding Executive
Director of the Blue Green Alliance, anational partnership of labor unions andenvironmental organizations dedicated to expanding thenumber and quality of jobs in the clean economy.

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Report from Informational Forum, October 18, 2016

SPEAKERS
William Hite has been General President

Henry Marquard, is the Director ofand chief officer of the 340,000-member

Government Affairs at the Quad Cities

United Association of Journeymen andChamber of Commerce. The Clinton andApprentices of the Plumbing and Pipe

Quad Cities Nuclear Power Stations are

Fitting Industry of the United States andamong plants slated for closure.

Canada since December 2004. The General
President represents the face of theUnited Association in dealings with highlevel government officials, contractors,
contractor associations, project owner organizations, fellow

Illinois State Sen. Chapin Rose has co-labor unions and the general public.

sponsored Senate Bill 1585 with the intent
of keeping open the Clinton Nuclear PowerMaria G. Korsnick is the Chief Operating

Station in Clinton, Illinois, located within

Officer of the Nuclear Energy Institute.

the state’s 51st legislative district that

NEI fosters the beneficial uses of nuclear

Rose represents. The Senate Bill would

technology before Congress, the White

establish a Low Carbon Portfolio Standard

House and executive branch agencies,(LCPS) that would help to reduce carbon

federal regulators, and state policy forums.

emissions, increase renewable energy and

Before joining NEI, Korsnick served as

maintain a stable and secure electricity supply in the state.

senior vice president of Exelon’s Northeast
operations and acting chief executive officer and chief

Petros Sofronis, James W. Bayne Professor

nuclear officer of Constellation Energy Nuclear Groupin the College of Engineering at UIUC,(CENG).

directs the International Institute for
Carbon-Neutral Energy Research (I 2CNER).
John Kotek, an NPRE alumnus, serves

An international collaboration between

as the Acting Assistant Secretary for theJapan and the U.S., I 2CNER’s mission is to

Office of Nuclear Energy. The Officecontribute to the creation of a sustainable

is responsible for conducting researchand environmentally-friendly society byon current and future nuclear energy

conducting fundamental research for the advancement ofsystems, maintaining the government’s

low carbon emission and cost effective energy systems, andnuclear energy research infrastructure,

the improvement of energy efficiency.

establishing a path forward for thenation’s spent nuclear fuel and high-level
nuclear waste management program, and a host of othernational priorities.

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Nuclear Power: What it means in Illinois

SPEAKERS
Lonnie R. Stephenson is International

Susan F. Tierney is a Senior Advisor for

President of the 750,000-member

Analysis Group, an economic, financial

International Brotherhood of Electricaland strategy consulting firm. An expert on

Workers. He was elected to the position inenergy policy and economics, specializing

May, after having been appointed for a year

in the electric and gas industries, Tierney

to fulfill the role. Initiated into the union

has consulted to companies, governments,

in 1976 in Rock Island, Illinois, Stephenson

nonprofits, and other organizations on

has been extremely active in both his local

energy markets, as well as economic andand in the international organization. He

environmental regulation and strategy.

has served in leadership capacities in both the local andHer services have involved industry restructuring, market

international IBEW, and has spearheaded many efforts toanalyses, utility ratemaking and regulatory policy, clean

help his community and to build membership.

energy regulatory policy, transmission issues, wholesale
and retail market design, and resource planning andJames F. Stubbins, Donald Biggar

procurement.

Willett Professor in the College ofEngineering at the University of Illinois

Illinois State Senator Donne Trotter has

at Urbana-Champaign, has served assponsored Senate Bill 1585 to establish a

Department Head for Nuclear, Plasma,

Low Carbon Portfolio Standard (LCPS) thatand Radiological Engineering since 1999.

would help to reduce carbon emissions,His research interests are advanced

increase renewable energy and maintain aenergy systems and energy policy;

stable and secure electricity supply in the

nuclear materials; nuclear systems designstate. Proponents believe the bill is needed

and analysis; and development, analysis and application of

to bolster Illinois’ clean energy leadership,

materials, primarily for energy-related applications.

support the state’s nuclear energy facilities
and protect jobs, consumers and a reliable electricity supply.
Trotter was elected to the Illinois Senate in 1992 after
spending two terms in the House of Representatives.

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Report from Informational Forum, October 18, 2016

News release distributed to media

State, national policy leaders assert nuclear energy’s benefits during University of Illinois forum
Speaking Tuesday, October 18, 2016, at the University of Illinois-

Kotek’s office is responsible for conducting research on current

sponsored informational forum, “Nuclear Power: What it means inand future nuclear energy systems, maintaining the government’s

Illinois,” and in light of a plan to close two generating plants in the

nuclear energy research infrastructure, establishing a path forward

state, a host of speakers including Congresswoman Cheri Bustos

for the nation’s spent nuclear fuel and high-level nuclear waste

advocated for nuclear energy.

management program, and a host of other national priorities.

Exelon Corporation has filed intent to close reactors at the Quad

Speakers also included Illinois State Sens. Donne Trotter, Chapin

Cities and Clinton nuclear generating stations in western Illinois

Rose and Neil Anderson, who have sponsored Senate Bill 1585 thatand central Illinois, respectively. Warning of job and tax base losses

promotes market-based solutions to keep the plants open. The billsustained from closures, many of the speakers extolled nuclear

would establish a Low Carbon Portfolio Standard (LCPS) that would

energy as a reliable energy source that is environmentally friendly,

help to reduce carbon emissions, increase renewable energy andwith zero carbon emissions.

maintain a stable and secure electricity supply in the state. The

Representing the Illinois 17th Congressional District that includes
the Quad Cities, Bustos pointed out closures of the two plants
would cost 4,300 direct jobs and have a negative financial impact

senators also showed concern for consumers over the impact ofthe plant closures on rising electricity prices. Trotter said talks areproceeding well to move the legislation out of committee.

of $1.2 billion. Bustos pressed upon Illinois Gov. Bruce Rauner andHeld to consider the economic and environmental impact nuclear

leaders of the state House and Senate to pass legislation to protect

power has upon the state, as well as the consequences of limiting

the plants. “We have until about December to make some kind of

the resource as an energy provider, Tuesday’s event was sponsoreddecision,” she said.

by the Department of Nuclear, Plasma, and Radiological Engineering

Lonnie Stephenson, International President of the
750,000-member International Brotherhood of Electrical Workers,
maintained nuclear energy must be part of a sustainable future.

at the University of Illinois at Urbana-Champaign, the American
Federation of Labor and Congress of Industrial Organizations (AFLCIO), and North America’s Building Trades Unions.

“Nuclear power is so vital,” he said. “We can’t as a nation keep our

The event was part of NPRE’s Leadership Speaker Series, intended

energy grid secure and online while reducing our carbon footprint

to provide a forum for global leaders to present policies andwithout nuclear.”platforms that shape the sciences of nuclear, plasma and radiological

The federal government is supportive of nuclear energy’s role,

disciplines.

as well, said John Kotek, Acting Assistant Secretary for the U.S.

“Illinois is the birthplace of nuclear power,” said NPRE Department

Department of Energy Office of Nuclear Energy. “President Obama

Head Jim Stubbins. “The state has been an international leader inand (DOE) Secretary (Ernest) Moniz have made clear that nuclear

the development and uses of nuclear energy. With about half of theenergy is an important part of America’s clean energy strategy,

electricity in Illinois coming from nuclear power plants, we should

helping to provide dependable and affordable energy whilevalue and preserve them all for their major current and long-term

reducing our carbon emissions.”

contributions to energy and a low-carbon environment in Illinois.”

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10Department of Nuclear, Plasma, and Radiological Engineering
216 Talbot Laboratory, MC-234
104 South Wright Street
Urbana, IL 61801

Nuclear Power:
What it means in Illinois
Report from Informational Forum,
October 18, 2016

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