'Nuclear' Could Return to State Energy Vocabulary

January 25, 2009

AP - OKLAHOMA CITY (The
Nuclear facilities have a checkered past in Oklahoma, from Karen
Silkwood's mysterious death to environmental issues at a closed plant
near Gore to a proposed power plant project near Inola that eventually
was abandoned.
Oklahoma, long a producer of fossil fuels, traditionally has
relied mostly on natural gas and coal - and in recent years wind - to
produce power. But more than a quarter-century after the failed Black
Fox project near Inola, state legislators including House Speaker
Chris Benge are openly discussing the potential use of nuclear power
in Oklahoma.

This time, nuclear-energy proponents think their ideas will gain
some traction as Oklahomans recall last summer's soaring energy
prices, which has led to more of a focus on alternative energy
sources.

"It's the year to have an energy discussion," said Benge, R-
Tulsa, and among the dozens of energy-related bills filed before the
upcoming session were at least four directly related to nuclear
energy.

The time to begin discussing nuclear energy "was right three or
four years ago," said state Rep. Mike Reynolds, R-Oklahoma City. "But
when the price of oil last year gave our country a wakeup call, the
time became more right."

Reynolds filed a bill that would establish a procedure for
companies wanting to apply to build nuclear power plants. Sen. Brian
Bingman, R-Sapulpa, has introduced a similar measure in that
legislative chamber.
Benge and Rep. Scott Martin, R-Norman, have introduced so-called
"shell"
bills regarding nuclear energy that Benge said will allow lawmakers to
decide "what direction we do want to go if we do pursue legislation."

Oklahoma is one of 19 states that does not have a nuclear power
plant.
Four states that border Oklahoma do have operational nuclear plants -
Kansas, Arkansas, Missouri and Texas. Benge visited the Arkansas plant
earlier this year on a fact-finding mission.

Proponents acknowledge that a nuclear plant could take as long as
a decade to build and could cost anywhere from $5 billion to $8
billion.

"They have very high entry-level costs," Benge said. "But once
you get by the initial capital costs, the operating costs are very low
because they generate a tremendous amount of energy, and have no
emissions, too."

Spokesmen for Oklahoma's two largest utilities, Oklahoma Gas and
Electric Co. and Public Service Company of Oklahoma, agree it's a good
time to examine nuclear's possibilities in the state. The companies
want to participate with lawmakers and state officials in any
discussions about the issue but are officially remaining noncommittal.

"We're not pushing, but we're cooperating," said PSO spokesman
Stan Whiteford, who said the company has "no plans at this time to
propose or build a nuclear plant in Oklahoma."

OG&E spokesman Brian Alford said the construction of a nuclear
plant would have to involve multiple stakeholders.

"This is a project that no one utility in Oklahoma can undertake
on its own," Alford said. "The regulatory and financial hurdles are
well beyond the capabilities of any one utility."

Benge acknowledges that Oklahoma doesn't have a positive history
when it comes to nuclear facilities. Perhaps the most famous incident
came in November 1974, when Silkwood, an employee at Kerr-McGee
Corp.'s plutonium processing plant near Crescent, died in a mysterious
car crash as she was on her way to meet with a New York Times reporter
to discuss what Silkwood said was lax security at the plant.

Silkwood's father, Bill, filed a $71 million lawsuit against the
company in 1976. After years in the courts - including two trips to
the U.S. Supreme Court - Kerr-McGee settled with the Silkwood family for $1.3
million. The case was made famous by a 1983 film starring Meryl
Streep.

In 1973, PSO announced plans to build the Black Fox nuclear power
plant near Inola, but the company abandoned the project after a nine-
year battle with opponents.

A uranium conversion facility near Gore, operated by Sequoyah
Fuels, opened in 1970 but closed in 1993 after numerous environmental
violations, including a 1986 case of air contamination that resulted
in an employee's death. Cleanup efforts on contaminated remains at the
site that sits along the Arkansas River remain ongoing.

That track record doesn't encourage opponents of nuclear energy,
including Bob Rounsavell of Oologah, a spokesman for the Carrie
Barefoot Dickerson Foundation, an organization named for the woman who
led the successful fight against the Black Fox plant.

"We've been waiting for this legislation to start popping up,"
Rounsavell said. "What our mission is going to be is to begin to
educate the public on nuclear, because that's been out of everyone's
purview for a long time. Only people who are political junkies or
environmentalists would be aware of some of this and the serious
implications of it."

Bingman notes that "a lot has changed in that quarter-century"
since the failed Black Fox project, including advances in safety at nuclear
plants. There's also the issue of increased power demand.

If natural gas is used primarily as a vehicle fuel, instead of in
power generation - as some, including billionaire energy magnate T.
Boone Pickens, have suggested - then another source for power generation
must be found, Bingman said. Wind and solar power can provide some of
that, but not on a consistent basis because the wind doesn't always
blow and the sun isn't always visible. Nuclear can provide a
consistent amount of power, he said.

Benge advocates an "all of the above" approach, "something like a
business, trying to deploy all of our assets," including increased
drilling for oil and natural gas for transportation use, looking at
wind, geothermal and solar possibilities and continuing to examine
so-called "clean coal" technologies.

"Within that, nuclear has to be part of the discussion, too, as
to whether it makes sense for Oklahoma or not. ... By having the
discussion, we can hear from Oklahomans as to whether they think
favorably of it or not.
Our responsibility is to get the facts out there. We very urgently
need to develop an energy plan and secure our energy future."

Rounsavell welcomes the debate.

"When they have the public hearings, we'll be there," he said,
"and they will hear from us."

Benge said that while it's too early to determine which bills
will be considered during the legislative session, those that are
energy- related will have a "higher profile."

Reynolds hopes that will prove to be true and thinks it's time
for the legislature to craft a quality bill focusing on promoting
nuclear energy in the state.

"Hopefully we can take the best features of all the bills and
come up with something that's best for the people of Oklahoma,"
Reynolds said.