Nuclear Energy and Government Intervention

The Nuclear energy industry took a massive blow to its progress last year, when after an earthquake and tsunami, a plant in Japan took severe damage and made the surrounding area incredibly dangerous to inhabit. While this may have weakened the nuclear movement, it is not stopping it. Many countries are beginning to establish their own nuclear programs, and several countries with existing nuclear energy programs are looking to expand. 

Nuclear energy provides over 1 tenth of the world’s energy, and this number is only going to increase in the next twenty years. China and India, with their massive populations, are at the forefront of increasing nuclear energy, as it will allow them to bring electricity to the hundreds of millions in their nations that do not have it. 

One of the major problems that nuclear energy faces in its progress, is the heavy costs of producing it. Nuclear power has the capability to cause massive destruction if not monitored correctly. Transaction costs involved in allowing for nuclear energy are quite high. There are many protest groups against the use of nuclear energy, who fear nuclear disaster, and they go through the government to drive up the transaction costs involved in selling nuclear energy to the people. 

Government intervention is what can help save the nuclear industry and cause its expansion. Despite the high transaction costs, which are partially brought on by the government, the government can assist the nuclear industry in producing more efficient and numerous plants. If utilized properly, nuclear power can be a great boon to our society, and it would be in the government’s best interest to intervene so the world’s well-being can improve.

 http://www.bloomberg.com/news/2012-03-25/nuclear-industry-says-back-on-track-after-fukushima-speed-bump-.html?cmpid=yhoo