Beshear vetoes GOP bill to promote nuclear energy in Kentucky

Gov. Andy Beshear on Thursday vetoed legislation promoting nuclear energy in coal-producing Kentucky, but stressed his objections dealt with an advisory board and not with the use of nuclear power.

Beshear said he supports an “all-of-the-above” energy policy that includes nuclear energy. Supporters of adding nuclear energy to that mix had touted the bill’s passage as a pivotal moment for Kentucky’s energy future.

The governor’s criticism focused on the method to select voting members on the Kentucky Nuclear Energy Development Authority, which would nurture the development of nuclear power. Many of the members would be designated by private sector groups, bypassing the appointment authority of the governor or other state constitutional officers, Beshear said.

“The legislature can’t just say ’you in this position in the private sector and you in that position on a private sector association are automatically on a board’ and then given governing authority,” the governor said at a news conference. “That’s not the way the executive branch works, not the way that the power can be delegated to carry out the law.”

The Republican supermajority legislature reconvenes in mid-April for the final two days of this year’s session, when lawmakers can vote to override vetoes. 

Senate bill 198's sponsor, Danny Carroll, noted that it drew bipartisan support from lawmakers and said he will urge them to override the veto. In a statement, Carroll defended the process for selecting board members and said it doesn’t encroach on the governor’s executive powers.

Carroll has spent years striving to secure an eventual foothold for nuclear power as an energy supplier in a state where coal has long been king. It also reflects the growing worldwide spotlight on nuclear energy. More than 30 nations, including the United States, recently committed “to work to fully unlock the potential of nuclear energy.”

The authority would be a nonregulatory agency on issues related to nuclear energy and its development in Kentucky. It would support development of a “nuclear energy ecosystem” meant to enhance the economy, protect the environment, support community voices and prepare the future workforce.

In his veto message, Beshear said the state would be deprived of “meaningful oversight” due to the method of selecting the board members coming from the private sector.

“The governance and structure of the authority is not only bad policy, but it is also unconstitutional by giving the governor or other constitutional officers no authority to appoint or remove voting members,” the governor wrote.

The debate about attracting nuclear energy projects comes as Kentucky’s coal industry produces only about a quarter of the coal it mined 20 years ago.

But the Bluegrass State still generates about 68% of its electricity from coal. The power-generating industry has closed coal plants amid cheaper natural gas prices and tougher federal environmental regulations.

Despite its decline, the coal industry still receives considerable deference from the legislature. As the nuclear bill advanced, supporters were careful to stress that the intent is to have nuclear energy complement — not supplant — coal as an energy source.