Nuclear Power Generation

Brief Excerpt from Industry Overview Chapter:

Companies in this industry operate nuclear power generation plants that provide electricity to transmission and distribution systems. Major companies include US utilities Entergy, Exelon, and STP Nuclear, as well as Électricité de France and Orano (both based in France).

COMPETITIVE LANDSCAPE

Demand is driven by commercial, government, and residential needs for electricity, which are influenced by economic conditions and population growth. The profitability of individual companies depends on managing costs related to regulations and fuel. Large companies have economies of scale in purchasing and administration. Smaller companies can compete effectively by serving areas with high demand. The US industry is highly concentrated: the 50 largest companies account for almost all the revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Construction of nuclear power plants is expensive, but facilities are relatively cheap to operate once running. Waste disposal and decommissioning activities must be accounted for in operational costs.