My name is Marvin Fertel. I am Senior Vice President for Business Operations at the Nuclear Energy Institute (NEI). NEI coordinates policy for the U.S. nuclear energy industry, including 275 member organizations with a broad spectrum of interests, including every U.S. utility that operates a nuclear power plant. NEI also counts among its members nuclear fuel cycle companies, suppliers, engineering and consulting firms, national research laboratories, manufacturers of radiopharmaceuticals, universities, labor unions and law firms.

On behalf of the nuclear industry, I would like to commend Chairman Murkowski, Ranking Member Bingaman and the members of this committee for focusing your attention on the potential taxpayer liability related to the Department of Energy's (DOE) failure to meet its obligation to take used nuclear fuel from nuclear power plants. This hearing is particularly important because of recent federal court decisions in favor of the industry and the looming financial burden on American taxpayers as a result of DOE's failure to accept used nuclear fuel.

Due to this continuing failure, DOE has broken its contract with consumers of electricity from nuclear power plants, who have committed more than $17 billion to fund the federal used nuclear fuel management program. As a result, consumers are paying twice to manage used nuclear fuel—once into the Nuclear Waste Fund for the federal program and again for their electric utility company to build temporary storage facilities at plant sites. Given recent U.S. Court of Claims decisions, taxpayer liability for DOE's inaction could be $5 billion for 12 companies who have sued DOE for non-performance.