Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Although nuclear power’s future may be hampered, significant expansion of nuclear power capacity is expected in non-OECD countries, especially in China, India and Russia, according to the U.S. Energy Information Administration.
The government agency released its International Energy Outlook 2011 last week.
“China, Russia, and India account for the largest increment in world net installed nuclear power from 2008 to 2035: China adds 106 gigawatts of nuclear capacity over the period, Russia 28 gigawatts, and India 24 gigawatts.”
The reports projects that 75 percent of the world expansion in installed nuclear power capacity will occur in non-OECD countries.
The report argues that several factors are weighing on wider adoption of nuclear power, namely the high upfront costs, technological hurdles and poor public opinion of the sector since the disaster at Japan’s Fukushima Daiichi nuclear power plant. Nuclear power capacity has been curtailed in a number of countries.
“. . . Germany, Switzerland, and Italy have already announced plans to phase out or cancel all their existing and future reactors. Those plans, and new policies that other countries may adopt in response to the disaster at the Fukushima Daiichi plant, although not reflected in the IEO2011 projections, indicate that some reduction in the projection for nuclear power should be expected.”
