The Potential Impact of Small Modular Reactor Introduction on Energy Supply
Open Access
Author:
Tatcher, William
Area of Honors:
Economics
Degree:
Bachelor of Science
Document Type:
Thesis
Thesis Supervisors:
Karl Schurter, Thesis Supervisor Nima Haghpanah, Thesis Honors Advisor Bee Yan Roberts, Faculty Reader
Keywords:
small modular reactors energy supply market analysis optimization problem
Abstract:
This paper aims to assess the potential impact of the introduction of small modular reactors on current fuel mixes used to supply energy markets in the near future. This is achieved by analyzing how profit-maximizing energy-providing firms may choose a fuel mix based on cost. This paper examines how much energy capacity SMRs can substitute for in current energy markets in the United States. More specifically this paper will analyze how SMR introduction can change fuel mixtures in the energy supply of the northeastern energy market of the United States that's organized and monitored by the Pennsylvania-New Jersey-Maryland Interconnection. By using a cost minimization function that takes into account current capital stocks of various energy sources in PJM, the amount of capital that will need to be replaced due to depreciation, and their relative costs, this study uses a program to forecast what near-future energy supply composition in the PJM energy market could look like with the introduction of SMRs. Further consideration is also paid to the unique capabilities that SMRs possess that cannot be easily modeled through cost analysis.
