Nuclear energy economics in a sustainable development perspective

In order to contribute effectively to sustainable development goals, a technology option must meet the test of economic efficiency to justify its use of scarce capital. However, in a sustainable development perspective, this test should be considered in a broad context, taking into account the need to preserve capital assets of all kinds: natural, man-made, human and social. Assessments of competitiveness in this context should be based upon comparisons of full costs to society of a product or a service. At present, many of the costs associated with the supply of goods and services are not reflected in their market prices. Economists are looking for ways of valuing these costs and incorporating them into price, i.e. internalizing the externalities. Within a sustainable development framework, getting the prices right so that market mechanisms can operate efficiently implies taking into account social and environmental costs for present and future generations. On that basis, the comparative assessment of alternative technologies will become an effective policy-making tool. (authors)