CERA sees a dozen reactors under way by 2015 in US

HOUSTON, Feb 15 (Reuters) - Challenges facing a nuclear revival in the United States seem only to increase, but industry experts at the CERA conference expect to see a dozen new reactors under construction in the next decade, they said Friday.

"It's execution time," said Jone-Lin Wang, a senior director of Cambridge Energy Research Associates, host of the annual conference in Houston.

"There's a strong possibility we will see a dozen reactors under construction by 2015," said Christopher Hansen, CERA associate director of global power.

Because of escalating costs of steel, concrete and other basic commodities used in nuclear plants, CERA's cost estimate for nuclear reactors has risen from $2,000 per kilowatt three years ago to $3,500 per kw, Hansen said.

Even with soaring capital costs, CERA estimated that nuclear power can sell for $70 per megawatt-hour, making it competitive with with coal-fired and gas-fired generation at current fuel prices -- if a $30 per ton carbon price is factored in.

"Even with high capital costs, it looks competitive," Hansen said. (Reporting by Eileen O'Grady)