Nuclear Issues

Air Vice Marshall (Ret.) of the Indian Air Force and Fellow at Harvard's Asia Institute, Dr. Arjun Subramaniam spoke at the Future of Diplomacy Project with its Faculty Director, Nicholas Burns about the intricacies of the India-China relationship.

Nuclear energy powerhouse Westinghouse Electric Co. filed for Chapter 11 bankruptcy on 29 March, with its parent company Toshiba writing off more than $6 billion in losses connected to its US businesses. Westinghouse was engaged in negotiations to build six AP1000 nuclear reactors in India as part of the landmark US-India civilian nuclear agreement. The bankruptcy filing raises fresh questions, not just about the fate of the reactors, but also about the future of the nuclear deal.

Characterizing the future performance of energy technologies can improve the development of energy policies that have net benefits under a broad set of future conditions. In particular, decisions about public investments in research, development, and demonstration (RD&D) that promote technological change can benefit from (1) an explicit consideration of the uncertainty inherent in the innovation process and (2) a systematic evaluation of the tradeoffs in investment allocations across different technologies. To shed light on these questions, over the past five years several groups in the United States and Europe have conducted expert elicitations and modeled the resulting societal benefits. In this paper, the authors discuss the lessons learned from the design and implementation of these initiatives.

With a speed few predicted, Iran’s new president, Hassan Rouhani, has signaled his interest in negotiations this autumn on Iran’s controversial nuclear program," writes Nicholas Burns. "This could produce the first extensive contact between Washington and Tehran since diplomatic relations ruptured during the Jimmy Carter administration."

Dramatic growth in nuclear energy would be required for nuclear power to provide a significant part of the carbon-free energy the world is likely to need in the 21st century, or a major part in meeting other energy challenges. This would require increased support from governments, utilities, and publics around the world. Achieving that support is likely to require improved economics and major progress toward resolving issues of nuclear safety, proliferation-resistance, and nuclear waste management. This is likely to require both research, development, and demonstration (RD&D) of improved technologies and new policy approaches.

"The focus of the workshop was on the demonstration stage of the technology innovation cycle. Current policies do not adequately address the private sector’s inability to overcome the demonstration "valley of death" for new energy technologies. Investors and financiers fear that the technology and operational risks at this stage of the cycle remain too high to justify the level of investment to build a commercial-sized facility."

"There is broad political consensus that the current energy system in the United States is unable to meet the nation's future energy needs, from the security, environment, and economic perspectives. New energy technologies are required to increase the availability of domestic energy supplies, to reduce the negative environmental impacts of our energy system, to improve the reliability of current energy infrastructure (e.g., smart grid, energy storage), and to increase energy efficiency throughout the economy."