The Nuclear Industry Just Took Its Second Devastating Blow This year

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[credit provider=”British Nuclear Group” url=””]

The crisis at Fukushima has been a huge blow to the nuclear industry, as it has caused a big global re-think and slowdown to new developments.And now the second big blow: Angela Merkel’s ruling party has endorsed a total phase-out of nuclear energy in Germany by 2022.

Germany is the 5th biggest country for nuclear production (behind the US, Japan, Russia, and France), but it’s always been a very hot political subject there.

Obviously the Fukushima crisis helped to force Merkel’s hand on this subject, although the Greek crisis has likely also been a factor, since doing a 180 on nuclear is a way to fight her waning popularity on the bailout front.

As for market impact: In what was otherwise a quiet day for European markets, big renewable energy players like Vestas and Gamesa were big winners.