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Campaign for Nuclear Phaseout

Media Release
For release February 17, 1997

NUCLEAR SUBSIDIES INCREASING, STUDY SHOWS

Ottawa - The Campaign for Nuclear Phaseout today released a new study entitled Nuclear Budget Watch 1997. The study gives a new total of direct subsidies from the federal government to Atomic Energy of Canada Limited (AECL). The report also identifies massive governmental financial support for the Canadian nuclear industry over the past year. Here are some highlights of Nuclear Budget Watch 1997:

* Total subsidies to AECL from 1952 to March 31, 1997 have been $15.2 billion. Unlike most other government agencies, AECL had no cutback in 1996-97, and received a direct subsidy of over $174 million.

* The "opportunity cost" of the $15.2 billion subsidy is $161.2 billion. Opportunity cost is what the subsidies would have been worth if the government had instead invested them in more cost-competitive ventures.

* Direct AECL funding from the federal government will be reduced by $42 million in 1997-1998, but the disguised subsidies and loans for the nuclear industry revealed in the past year add up to a staggering $2.8 billion.

"After 45 years of subsidies the nuclear industry still depends on government hand-outs. It's time to pull the plug." said Dave Martin, of Nuclear Awareness Project, co-author of the study.

"Not only does nuclear power have safety and environmental risks, it is not cost-effective. Given the record of the past year, nuclear support in the 1997-98 federal budget deserves close scrutiny" stated Kristen Ostling of the Campaign for Nuclear Phaseout.

"The government insists on backing a loser. The nuclear industry received over $15 billion in subsidies, and financial support is increasing. The government needs to re-examine its social priorities. Canadians need hospitals and a pension plan more than nuclear power plants in China"said Marc Chénier of the Canadian Coalition for Nuclear Responsibility.

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For more information:

Campaign for Nuclear Phaseout, 613-789-3634
Canadian Coalition for Nuclear Responsibility 514-489-5118.

Copies of the Executive Summary of Nuclear Budget Watch 1997 are available from CNP.