NRG Decides to Give Up Its $331 Million of Investment after Japan’s Catastrophe


By Sumeet Singh Gill
TopNews NZ

NRG, a New Jersey-based independent power producer, in collaboration with Toshiba was planning to build two giant reactors in South Texas as a part of their largest nuclear project in the United States but recently it announced to give up its $331 million of investment in the wake of uncertainties created by catastrophe in Japan.

David Crane, the Chief Executive of NRG is of belief that there were some chances of project going forward if the circumstances changed.

It was more than two years ago when the Energy Department had identified the plan for the South Texas Project 3 and 4 reactors as one of the four candidates for loan guarantees.

Granting a conditional loan guarantee to one project in Georgia and with the possibility of another grant to a project in South Carolina, experts believe that this is the second of the four projects which seems like losing its breath.

Mr. Crane is of opinion that instituting a clean energy standard will surely lead to the need of creating quotas for nuclear power and it does not seem like a sensible step to go for under the given circumstances.

In addition, he said, "Toshiba, which is writing off $150 million for the project, will continue to pay to proceed with a license application with the Nuclear Regulatory Commission for the time being, on the chance that a new investor could be found".

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