Purdue study describes benefits of coal-to-nuclear for Indiana

The Study on SMR Technology and Its Impact for Indiana, published late last year, describes challenges, opportunities, workforce needs, safety considerations, and community engagement issues related to the deployment of SMRs in the state. It also offers recommendations for how Indiana should prepare for integrating these reactors into the state’s energy portfolio.

Background: A summary of the Purdue study notes that “Indiana invests in a diverse energy supply including natural gas, coal, wind, and solar. Currently, no nuclear power plants exist in the state with the benefit of producing zero carbon emissions.” It adds, “The total amount of electricity generated within Indiana has fallen by 26% over the past two decades, while electricity consumption has only decreased by 3% over the same time period.”

C2N: The study refers to a Department of Energy report from 2022, Investigating Benefits and Challenges of Converting Retiring Coal Plants into Nuclear Plants.

The 2022 DOE report listed six key benefits for converting old coal plants into new nuclear facilities:

• It mitigates the economic challenges of closing a coal plant, turning it into an opportunity instead.
• There is a need for carbon-free baseload power throughout the country.
• By using an existing site, environmental impacts are minimized.
• There is an existing workforce with some relevant skill sets.
• There is existing infrastructure: roads, water, grid interconnection equipment, and ancillary site improvements such as office buildings, fencing, and security.
• It could be possible to reuse some plant components, such as the heat sink and the electric plant equipment.

Challenges: The Purdue study also laid out three major challenges related to a coal-to-nuclear (C2N) transition. One is high first-of-a-kind construction costs, but the authors note that “subsequent ‘nth-of-a-kind’ (NOAK) units are expected to be significantly cheaper as experience and efficiencies improve.”

A second challenge is supply chain stability, because “high-cost components like reactor vessels require reliable supply networks.” The third challenge involves navigation of federal and state regulatory frameworks. “Careful planning will be required to meet stringent safety and environmental standards,” the authors conclude.

Opportunities: C2N also provides a number of opportunities. According to the authors, “Early adopters might craft workforce development and supply chain programs to incentivize new, high-value business opportunities to locate in Indiana, including the manufacturing of key components.” They note that many SMR construction materials could be sourced locally, “including materials for structures and labor for sitework and field supervision.”

Consequently, C2N would create high-paying jobs during construction and operation, as well as increase the tax base for the state. There would also be environmental and energy benefits, as SMRs are a “24/7 dispatchable source of carbon free electricity with capacity factor of more than 92%.”

Workforce needs: The study points out that it “is essential to develop a skilled workforce to support nuclear energy as SMR technology demands a broad base of expertise in nuclear engineering, safety protocols, reactor operations and more. In addition, workers trained in various fossil-fuel fields will require reskilling and retraining to adapt to the new employment environment.”

Therefore, the study calls for an evaluation of existing educational programs to “identify relevant opportunities for workforce development. By creating synergy between and within Ivy Tech Community College, Purdue Polytechnic Institute, and Purdue Nuclear Engineering as well as other related disciplines, comprehensive nuclear training can be delivered for Indiana’s workforce across all levels.”

Safety considerations: The study acknowledges that a community survey of Indiana residents revealed that 63 percent of respondents expressed concerns about the risk of accidents with SMRs, and 56 percent were worried about the production of radioactive waste. “SMRs have small emergency planning zones (EPZs) and have advanced safety characteristics including inherent safety features, advanced control systems, modularity, redundancy, and resilience,” the study notes.

Community engagement: Indiana community surveys and focus groups have revealed that “public acceptance of nuclear technology hinges on transparent communication about the benefits and safety measures associated with SMRs,” according to the study. “Education is needed on both real and perceived risks associated with SMRs as many residents are unfamiliar with advanced nuclear technologies.”

Although Indiana residents have concerns, a survey of more than 1,000 residents indicated that 46 percent of respondents favored “the idea of using SMR technology to produce electricity in the U.S.”

Recommendations: The study offers a general recommendation that the Indiana state government and other state energy stakeholders “proceed with feasibility studies, build partnerships for SMR development, and prioritize stakeholder engagement to ensure SMRs are integrated smoothly and beneficially into the state’s energy portfolio.”

The following are specific recommendations:

• Develop educational resources for differing audiences to build on publicly understood benefits of nuclear energy while educating on perceived safety and environmental concerns.
• Review existing state requirements, investigate incentives, and lead in technology standardization with a goal of derisking SMR construction within the state, especially at existing or retired coal plants.
• Take advantage of existing supply chain resources within the state to ensure Indiana’s economy benefits from SMR construction anywhere in the nation.

“SMRs present a viable opportunity for Indiana to transition to a cleaner, resilient, and diversified energy future. Successful deployment of SMR technology requires a careful balance of economic, regulatory and social considerations along with development of the technology.” Those are among the conclusions of a comprehensive study conducted on small modular reactors primarily by researchers at Purdue University and funded by the Indiana Office of Energy Development.