(Source: MIRS.news, Published 03/22/2023) The Gov. Gretchen Whitmer administration is being asked to spend $300 million to cover the costs of reopening the Palisades nuclear power plant in Van Buren County's Covert Township, MIRS has learned.
To power the electric vehicle-focused economic development projects being launched, Whitmer asked Holtec, the new owners of the recently shuttered plant, to reboot operations last year.
In a Sept. 9 letter to U.S. Energy Secretary Jennifer Granholm, Whitmer called the attempt to keep Palisades open a "top priority for the State of Michigan." The union plant would employ around 600 workers making an average of $118,845 a year.
But, beyond that, the energy produced from the plant would bring non-fossil-fuel-burning power to the new planned Ford plant in Marshall or supplement a statewide grid that may also have a Gotion battery plant outside of Big Rapids.
Also, if the state is going to lead the way with electric vehicle ownership, it's argued Michigan needs the juice to recharge the cars. Wind and solar aren't advanced enough to make up for the natural gas and coal plants that are being shuttered.
Guaranteeing the $300 million is part of a four-part strategy that Holtec officials are looking to get in place by the end of this summer so the physical process of reauthorizing power operations at the site could begin Oct. 1.
The plus and minuses of restarting nuclear power at the site were debated during a hearing in front of the U.S. Nuclear Regulatory Commission, which is another part of the regulatory approval.
Holtec also needs to nail down a $1.2 billion federal loan through the U.S. Department of Energy's Civil Nuclear Credit program and establish a power purchase agreement with a state utility to buy the energy.
"Everyone is at the table. It's just getting to the point where we can all say go," said Nick CULP, Holtec's senior manager of governmental affairs.
Up to this point, Holtec has received support from numerous local entities. County commissions in Van Buren and Allegan counties earlier this year passed a resolution in support of bringing 800 megawatts of "safe, reliable and carbon-free" generation back to Michigan.
The Covert Township board, city of South Haven, South Haven Charter Township and Casco Township passed respective resolutions in support of the project. Several local chambers of commerce, unions and school districts back the project.
The International Brotherhood of Electrical Workers union noted that outside of the 600 full-time jobs, more than 1,000 specialty contract workers are brought in every 18 months for refueling and maintenance work.
"The plant has been a force for economic opportunity and social good in our community and state," Lake Michigan College President Trevor Kubatzke said in a letter to Granholm.
South Haven Chamber of Commerce President Kathy Wagaman also wrote a letter to Granholm:
"The early closure of Palisades has exacerbated our domestic energy challenges . . . This is particularly concerning as Michigan tries to attract new employers.
"We believe the repower of the facility offers a strategic solution that can help our state and nation reduce dependence on fossil fuel generation and transition towards the use of renewable energy sources and cutting-edge energy technology."
But opposition exists.
Beyond Nuclear, a not-for-profit in Takoma Park, Maryland, has worked with a local grassroots organization called Don't Waste Michigan to "shut down aging, dangerous nuclear power plants in the Great Lakes Basin and to stop the construction of other nuclear plants."
They've argued that Holtec has made a "mockery" of the traditional process and that "Holtec's word cannot be trusted . . . based on its horrendous track record" elsewhere in the country.
The groups have brought up individual safety and environmental incidents at other Holtec nuclear locations and questioned whether such conduct would happen in Covert Township.
"The likelihood of a large offsite radiological release that impacts public health and safety after Palisades is permanently shut down and defueled is considerably lower than the likelihood of a release from the plants during power operation," reads a letter from Kevin KAMPS, a radioactive waste specialist from Beyond Nuclear in Maryland.
The Palisades Nuclear Plant was originally licensed for operation in 1971 and was extended in 2007 for 20 years to 2031. However, Entergy, the owners of Palisades at the time, announced it would permanently shut down the facility on May 20, 2022. Holtec bought the property in June 2022 and the plant has gone through the decommissioning process.
On July 5, 2022, Holtec submitted an application to the U.S. Department of Energy for the funding needed to restart the plant.
The recommissioning of a nuclear power plant hasn't been done before, but Whitmer told Granholm in her September letter, "We are not going to let that stop us from fighting for economic opportunity for southwest Michigan."
