Sierra Club Opposes Nuclear Subsidies: Testifies at Hearing

The New Jersey Sierra Club has always been opposed to subsidizing nuclear plants and that is why we are opposing these efforts at the Senate Environment and Energy Committee and the Assembly Telecommunications and Utilities Committee Joint Hearing today. Jeff Tittel, Director of the New Jersey Sierra Club, released the following statement:

“This is a shameful display for the Legislature: you do not deal with long-term energy policy during the lame duck. They’re doing it now to push through a dirty deal that will hurt the environment and hurt ratepayers. There is zero justification for any nuclear subsidies. We believe that not only are the subsidies unneeded, but that they undercut our important efforts to transition New Jersey to renewable energy. This will have big impacts on climate policy and hurt renewable energy, all to enrich PSEG.

“If we subsidize nuclear energy while continuing to have cheap natural gas, renewable energy will become the biggest loser. PSEG’s argument for these subsidies is that we will get more gas if the plants close. However, not only is there nothing written to prevent this, but they are currently building two more gas plants. They claim to want to be a green company but the only thing green about PSEG is the green they want to take from ratepayer’s wallets.

“PSEG wanted deregulation and now that they have it, they want subsidies. Under energy deregulation these plants received billions in subsidies as Stranded Assests, despite the plants being profitable. They received hundreds of millions more from the ratepayers via Nuclear Plant Closure funds. Currently the three major nuclear power plants in NJ have made the auction and are financially profitable. The fourth, Oyster Creek, usually makes auction but is scheduled to close in 2020. Two of the plants looking for subsidies, Salem 1 and 2, operate without cooling towers to mitigate for fish kills. We have given them billions already that they’ve used to kill billions of fish a year.

“Until PSEG opens their books, we shouldn’t even be having this hearing. Their plants have made auction and are making money. Who’s to say that all this money isn’t going to go directly to their shareholders and bondholders? We could end up just subsidizing their dividends or corporate bonuses. There are three different plans for federal nuclear subsidies already: FERC, PJM and the Department of Energy. Why would we need to have this discussion if that’s currently going on? This is triple-dipping at the expense of the ratepayers.

“The New Jersey Sierra Club strongly opposes any subsidies for nuclear power plants. Our main goal is to make New Jersey 100% renewable by 2050. We should be looking at how to block fossil fuels and make our state 100% zero emission carbon by 2035 and 100% renewable by 2050. These subsidies will prevent Phil Murphy’s agenda and goals for renewable energy and hurt our environment and communities. We want to make sure we’re not subsidizing nuclear plants, but more importantly that when the plants close, they need to be replaced by renewable energy. We believe that we should be working to transition 100% renewable energy, while blocking dirty energy infrastructure. This is a hearing, but will they listen to the people? The people overwhelming want clean energy, not more money for nuclear.”