We would like to highlight some of the comments made by the leaders of Idaho in the wake of this important announcement for the Eagle Rock Enrichment Facility which is planned for their communities.

“DOE’s decision is great news for AREVA and Idaho,” said Governor Otter. “The loan guarantee confirms that Idaho continues to lead the nuclear renaissance in America. The decision also paves the way for new careers and economic recovery across the state.”
– 


Idaho Governor C.L. “Butch” Otter (link)



”This loan guarantee from the Department of Energy is a crucial step in meeting the demand for a reliable, U.S.-based source of enriched uranium to fuel our nuclear power plants,” said Risch, a member of the Senate Energy and Natural Resources Committee. “It is also a great benefit to our local communities and the state for the positive economic impact the new construction and permanent operation jobs that will come about from this facility.”
– Idaho Senator Jim Risch (link)

“Developing new U.S.-based sources of uranium enrichment is critical to the country being able to reduce greenhouse gas emissions, achieving energy independence, having a reliable supply for domestic power reactors and protecting our national security,” said Crapo. “If we are going to have a chance at reducing greenhouse gas emissions, a robust expansion of nuclear power is the only way to do it without tanking the economy. The Eagle Rock plant will be one of Idaho’s contributions to this worthy and attainable goal.”
– Idaho Senator Mike Crapo

“I want to congratulate AREVA and the people of Eastern Idaho who have worked so hard to secure this loan guarantee and bring the Eagle Rock facility to our state,” said Simpson, a member of the House Energy and Water Appropriations Subcommittee which funds the Department of Energy and the Loan Guarantee program. “Nuclear energy must play a strong role in our nation’s energy future and the Eagle Rock facility’s contribution to that future will be enormous.”
– Idaho Congressmen Mike Simpson

“This project will have impact far beyond Idaho Falls,” said Minnick. “Alternative energy solutions such as nuclear power and woody biomass are a crucial part of our work toward an economic recovery. This project will help Idaho businesses and universities do just that, and will help meet our shared goal of Idaho becoming a national leader in the new energy future.”

– Idaho Congressmen Walt Minnick

We’d like to bring your attention to this article from KIDK.com (the local Idaho Falls television station), which talks about how Idaho Falls is weathering the current economic storm. The article, which is mostly about businesses in the Idaho Falls region, points out at the very end that AREVA’s planned Eagle Rock Enrichment Facility is bringing new hope to the region:

The biggest change our area will see will be the arrival of Areva and their multi-billion dollar uranium enrichment facility.

Not only will the company hire locals or bring in new jobs that will stimulate our local economy, a very hurting construction industry will be major benefactors of the company. [. . .]

Areva is likely to bring between 800 and 1,000 construction jobs alone. And once the facility is running, more than 300 jobs will be created.

That’s the kind of thing that can really help a local economy… because the money paid to the people who work those 800-1,000 construction jobs, and the 300+ permanent jobs, will keep circulating around the Idaho Falls region as the employees patronize local businesses and services. Idaho Falls is just one community that’s finding new vitality in the green jobs of the nuclear renaissance.

AREVA’s proposed Eagle Rock Enrichment Facility under development near Idaho Falls, Idaho has been chosen as one of Site Selection magazine’s Top Projects of 2008. The company selected the site, about 18 miles west of Idaho Falls in May 2008. In December, AREVA submitted a license application to the Nuclear Regulatory Commission to build the facility valued at over $2 billion. The project is expected to bring approximately 1,000 jobs during the construction phase and some 300 permanent jobs during operations.

Site Selection said the criteria were determined by “level of capital investment, degree of high-value jobs, creativity in negotiations and incentives, regional economic impact, competition for the project and speed to market.”

AREVA put forth its plan to establish this facility in the U.S. in May 2007 before the Nuclear Regulatory Commission, and the race was on. From an initial 200 sites the company’s team, led by Sam Shakir, general manager, strategic enrichment, used its “multi-attribute utility analysis” matrix of 39 technical, environmental, operational, and economic criteria to winnow the number of finalists to 10 sites in six states, including New Mexico, Ohio, Texas, Virginia and Washington.*

Central to the deal were Grow Idaho Falls Inc., the Eastern Idaho Economic Development Partnership, the Regional Development Alliance and the Idaho Dept. of Commerce, as well as the indirect influence of the Idaho National Laboratory. …

“One thing we saw was a complete alignment between state and local government and their federal representatives here in Washington,” Shakir told Site Selection.

*Shakir is now president of AREVA Enrichment Services, the subsidiary devoted to development of the facility.

We’ve seen some questions floating around recently – most notably by Idaho Samizdat – about AREVA Enrichment Services’ recent submission for a revision of its license application to the Nuclear Regulation Commission for the possibility to increase facility capacity. As noted yesterday, AES has requested an increase in the future licensed capacity of the Eagle Rock facility from 3.3 million separative work units (SWU) to 6.6 million SWU per year. We’d like to take this chance to explain why we’re doing this.

Quite frankly, our plans have not changed. We still intend to build a 3.3 million SWU facility. As AREVA indicated before, the plant can be expanded if market conditions favor such expansion. The expansion decision will be made in the future based on the conditions at the time. Having said that, however we have higher level of confidence in new reactor construction in the U.S. and other parts of the world, which will contribute to higher demand for enrichment. To be ready for such possibility, and to reduce time and cost for both the NRC and AREVA we decided to apply for a license for a larger facility so in case AREVA decides to expand, it would be able to so without further licensing.

The decision to leave open the possibility of expansion demonstrates our confidence in the revival of the U.S. nuclear energy sector and our commitment to making this revival a reality. We’re seeing a lot of promise in the nuclear market worldwide and we are taking the prudent steps to prepare for it.

Please don’t hesitate to comment if you’ve got any more questions… we’d be glad to answer them! This kind of dialogue is exactly what this blog is designed for.