NRG Energy To Bounce Back With More Solar Following Nuclear Uncertainty


NRG Energy the largest independent power producer in the United States, had significant quarterly losses following its decision to abandon the development of two nuclear plants in Texas although it vows to bounce back with more utility-scale solar power plants in the coming months.

The company incurred a $481 million impairment charge for writing down its plans for the South Texas Project in April, a move taken in response to regulatory uncertainty following the ongoing Fukushima Daiichi nuclear disaster in Japan.

“The tragic nuclear incident in Japan has introduced multiple uncertainties around new nuclear development in the United States which have had the effect of dramatically reducing the probability that [South Texas Project] 3 and 4 can be successfully developed in a timely fashion,” said David Crane, chief executive NRG.

One of NRG’s partners on the two planned 1,350-megawatt reactors was to be Tokyo Electric Power Company, the Japanese utility that owns the reactor complex crippled by the March 2011 earthquake and tsunami.