The Nuclear Fuel Cycle Royal Commission was established by the South Australian Government on 19 March 2015 to undertake an independent and comprehensive investigation into the potential for increasing South Australia’s participation in the nuclear fuel cycle. 

Rear Admiral the Honourable Kevin Scarce AC CSC RAN (Rtd) was appointed to the role of Royal Commissioner on 9 February 2015. The Commission’s task was to prepare a considered report to government to inform future decision-making.

Summary
South Australia can safely increase its participation in nuclear activities. Such participation brings social, environmental, safety and financial risks. The state is already managing some of these risks, and the remainder are manageable. 

Some new nuclear fuel cycle activities are viable. One in particular, the disposal of international used fuel and intermediate level waste, could provide significant and enduring economic benefits to the South Australian community. 

Viability analysis undertaken for the Commission determined that a waste disposal facility could generate more than $100 billion income in excess of expenditure (including a $32 billion reserve fund for facility closure and ongoing monitoring) over the 120-year life of the project (or $51 billion discounted at 4 per cent). Given the significance of the potential revenue and the extended project timeframes, the Commission has found that were such a project to proceed it must be owned and controlled by the state government, and that the wealth generated should be preserved and equitably shared for current and future generations of South Australians. This presents an opportunity that should be pursued. 

Social consent is fundamental to undertaking any new nuclear project. Social consent requires sufficient public support in South Australia to proceed with legislating, planning and implementing a project. Local community consent is required to host a facility. In the event that this involves regional, remote and Aboriginal communities, consent processes must account for their particular values and concerns. 

Political bipartisanship and stable government policy are also essential. This is particularly important given the long-term operation of facilities and the need for certainty for potential client nations.