Earlier quoted context omitted.
Until the nuclear energy liability cap gets pushed into at LEAST the hundreds of billions range rather than the paltry $375 million per plant it is now, I'm not gonna believe all of the claims that it's completely safe either. If the risk of disaster/need for cleanup truly is infinitesimal as the industry and its cheerleaders keep saying, why is the taxpayer still shouldering basically all of the insurance costs?
I think it's because insurance models stop working once the probability of an accident gets extremely small and the possible damages of any accident get extremely large. An insurance claim of hundereds of billions would wipe out any and all insurance companies instantly. Insurance companies have to make statistics based rational decisions, but society as a whole is always forced to make decisions that cannot be stati…
On the whole I would find the advocates of nuclear energy safety a lot more convincing if they put their entire fortunes on the line. I would like to see guaranteed financial ruin for any of the executives involved in a potential Fukushima and shareholders totally wiped out.
That still wouldn't put much of a dent in cleanup costs, but it would prevent moral hazard somewhat.
This subsidy also never shows up on any models comparing solar, coal and nuclear. Similarly neither does global warming induced environmental catastrophe.
BECAUSE you simply can't put a $ price on the likelihood of these events occurring or their cost they (the OP modelers) just ignore the tail risk.
Anybody who remembers the events of the financial crisis should find that pattern disturbingly familiar.
But, doing so is useful if you're shilling for natural gas/nuclear energy - just as assuming away financial tail risk was useful for executives at AIG.