
The Capital Cost of Nuclear Power
R. Scott Kemp teaches this session of MIT's 22.04 Social Problems of Nuclear Energy, working through the financial mechanics that determine whether a nuclear plant is affordable to build. He reviews the time value of money and overnight cost as baseline concepts, then shows how interest accrued during construction compounds into the final price tag. The core of the lecture is construction delay: Kemp walks through how schedule slippage, a chronic problem in nuclear projects, multiplies financing costs on top of the direct expense of extra labor and materials. Running 79 minutes, the lecture stays close to arithmetic and case reasoning rather than policy rhetoric, giving students the tools to evaluate why nuclear plants so often run over budget. It is a technical, numbers-driven session aimed at building the financial literacy needed to assess nuclear energy's economic viability later in the course.