Nuke industry sets wish list for US climate bill

NEW YORK, Oct 26 (Reuters) - A nuclear energy industry group said on Monday it is lobbying Congress to get more loan guarantees and tax breaks for nuclear power plants in U.S. climate legislation.

"Financing is the single largest challenge we face in trying to build new nuclear power facilities," Alex Flint, a vice president for governmental affairs at the Nuclear Energy Institute, told reporters in a teleconference.

"Reactors are very expensive and the utilities that are trying to build them are relatively small," said Flint.

Republican Senators like John McCain and Lindsey Graham have called for more incentives for nuclear power in the climate legislation. Many environmentalists also want more incentives for nuclear because the energy source is low in greenhouse gas emissions.

But nuclear power plants can cost $6 billion to $7 billion to build and the current loan guarantee program of $18.5 billion is insufficient, Flint said.

U.S. Energy Secretary Steven Chu has said he backs more loan guarantees for nuclear power plants.

Nearly 190 new nuclear reactors would have to be built by 2050 in order to meet tough mid-century emissions reductions outlined in U.S. climate legislation, according to an analysis by the U.S. Environmental Protection Administration.

NEI called for a loan guarantee program of at least $100 billion for clean energy technologies including nuclear. It also called for tax incentives to speed up investments and a streamlined licensing process for new plants that could cut the time it takes for a new plant to come on line from 10 years to six.

The group, which is also lobbying officials in the Obama administration like climate adviser Carol Browner and Chu, also backed more funding for nuclear research and development and incentives for dealing with nuclear waste.

Democratic Senators Barbara Boxer and John Kerry have introduced a climate bill that built on legislation that passed narrowly in the House of Representatives in June. It is uncertain whether the Senate has the 60 votes needed for the bill to pass. (Reporting by Timothy Gardner; Editing by Christian Wiessner)