Summary of key messages from BEE study (Google translation)

[For more information and a link to the German original see Researchers calculate horrendous liability costs for nuclear power.]

Study Summary

Objective: To identify the costs of adequate insurance of the core energy for the global assessment of alternative energy sources

Title

Calculating a risk-adjusted insurance premium for cover the liability risks from the operation of nuclear power plants result

Publication 05/2011

Client

Federal Association for Renewable Energies (BEE)

Editor

Versicherungsforen Leipzig GmbH

Key points
  • Approximately € 6.09 trillion insurance (Coverage) for a nuclear disaster
  • € 19.5 billion annual insurance premium for each nuclear power plant (100 year premium accumulation period)
  • Increasing the energy cost of nuclear electricity (net) 0.14 € / kWh up to € 2.36 / kWh (100 year premium accumulation period)
Scenario 1a

(All 17 nuclear power plants for separate insurance companies,
Save for the full amount of coverage for each
NPP, total 103.53 billion €)

€ 19.5 billion x 17 = NPP 331 500 000 000 €
331 500 000 000 140 500 000 000 kWh = € = 2.36 € / kWh

Scenario 1b

(Only 9 nuclear power plant running on separate
Insurance companies)

€ 19.5 billion NPP x 9 = 175 500 000 000 €
175 500 000 000 140 500 000 000 kWh = € = 1.25 € / kWh

Scenario 2

(4 pools of 4 performing energy company, number of
NPP in the pool is irrelevant, since the premium payable per pool)

€ 19.5 billion x 4 = energy companies 78 billion €
€ 78 billion = 140.5 billion kWh = 0.56 € / kWh

Scenario 3

(All nuclear power plant in a pool, exact number of nuclear power in the pool
irrelevant)

€ 19.5 billion = 140.5 billion kWh = 0.14 € / kWh
  • Availability period of 10 years: € 3.96 / kWh up to € 67.3 € / kWh
  • Dangers of nuclear power plant operation: unconscious triggers (technical and human failure, natural disasters) and deliberate release (Sabotage, terrorist acts)
  • The assumed expected damage than expected value of the results for all 17 nuclear power plants is 5.76 billion €
  • Situation today: Protection of the € 2.91 billion of financial security: Nuclear insurance pool (up to € 255.65 million), solidarity contract of the parent companies (2.36 billion €) and funds from the Brussels Supplementary Convention (up to 300 million €)
  • "The summary of costs per kWh for each scenarios it is clear that in view of the situation in Germany there is no way to fully cover the risk that the operation of NPP results, to ensure "
  • "The results of the calculations show that both the required amount of coverage in the amount of € 6.09 billion, from an estimate of the expected average maximum damage and spread its results, and the resulting required insurance premium for different accepted payment periods are substantially higher, than the previous law required financial resources of the NPP-holder "
  • "The risk of nuclear disaster is if a development risk, ie it changes over time. Advancing knowledge of science and technology or observation of the background to actually events occurring (11 September 2001 in New York or earthquakes and tsunamis in Japan) and the associated re-evaluation of the risk situation are main factors to be considered. These factors should be taken to the occasion, regular political and social debates about the handling of the lead to changed risk situation "
Conclusion
  • "The rates in this study recognized claim amounts or cost of liability insurance beyond the so far by the holders of the NPP kept available financial medium by several orders of magnitude. Following a If nuclear disaster would be external effects by destruction of the surrounding systems occur, which ultimately General public because of the levy to pay costs would have. Then would the electricity generated by nuclear energy, otherwise than in the past often been asserted that not more than inexpensive compared to other energy sources view "
  • "At various points in the study was to in the Lack of insurability and financial reality noted. This raises the use of nuclear energy and the associated risks than less economic Question because as a matter of willingness of society and the economy is in the context of the study quantified risks to bear. This can only by a public debate will be answered "
Reference

BEE (as of 05/05/2011)