The United States is one of the least expensive places to build a ...

[shofmannx20]

The United States is one of the least expensive places to build a power facility.
 
  What will be an ideal response?

Question 2

How does allowing the utilities to charge higher rates help increase the capacity factor of nuclear plants? Explain.
 
  What will be an ideal response?

[gabrielle_lawrence]

Answer to Question 1

At one time, utilities thought that nuclear power stations would be relatively
inexpensive everywhere, but new U.S. regulations tightened and made capital costs very
high. Addition of antipollution controls to coal-fired power plants made them much more
expensive in capital. Overall, the U.S. is one of the most expensive places to build
generating facilities.

Answer to Question 2

Higher rates provide an incentive to management to keep the plant in operation as
much as possible. Because nuclear energy is base load, and becomes cheaper the greater the
number of hours operated (given the low price of uranium fuel), the economic pressures are
considerable.

[shofmannx20]

TY

[gabrielle_lawrence]

You're welcome