Three big utilities, Tennessee Valley Authority, First Energy Corp. and Oglethorpe Power Corp., on Wednesday signed an agreement with McDermott International Inc.'s Babcock & Wilcox subsidiary, committing to get the new reactor approved for commercial use in the U.S.
Although none have agreed to buy a reactor, the utilities' commitment should help build momentum behind the technology and hasten its adoption across the industry. It's a crucial first step toward getting the reactor design certified by the Nuclear Regulatory Commission. Early support from the three utilities, and four others that are mulling the agreement, increases the odds that customers will come forward in the future.
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"We see significant benefits from the new, modular technology," said Donald Moul, vice president of nuclear support for First Energy, an Ohio-based utility company.
He said First Energy, which operates four reactors at three sites in Ohio and Pennsylvania, has made no decision to build any new reactor and noted there's "a lot of heavy lifting to do to get this reactor certified" by the NRC for U.S. use.
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