The New York Times on how the Japanese nuclear disaster is casting doubt on U.S. plans to turn weapons-grade Plutonium into a usable fuel for nuclear reactors:

On a tract of government land along the Savannah River in South Carolina, an army of workers is building one of the nation’s most ambitious nuclear enterprises in decades: a plant that aims to safeguard at least 43 tons of weapons-grade plutonium by mixing it into fuel for commercial power reactors.
The project grew out of talks with the Russians to shrink nuclear arsenals after the cold war. The plant at the Savannah River Site, once devoted to making plutonium for weapons, would now turn America’s lethal surplus to peaceful ends. Blended with uranium, the usual reactor fuel, the plutonium would be transformed into a new fuel called mixed oxide, or mox.
“We are literally turning swords into plowshares,” one of the project’s biggest boosters, Senator Lindsey Graham of South Carolina, said at a hearing on Capitol Hill last week.
But 11 years after the government awarded a construction contract, the cost of the project has soared to nearly $5 billion. The vast concrete and steel structure is a half-finished hulk, and the government has yet to find a single customer, despite offers of lucrative subsidies.
Now, the nuclear crisis in Japan has intensified a long-running conflict over the project’s rationale.
One of the stricken Japanese reactors at the Fukushima Daiichi plant uses the mox fuel. And while there has been no evidence of dangerous radiation from plutonium in Japan, the situation there is volatile, and nuclear experts worry that a widespread release of radioactive material could increase cancer deaths.
Against that backdrop, the South Carolina project has been thrown on the defensive, with would-be buyers distancing themselves and critics questioning its health risks and its ability to keep the plutonium out of terrorists’ hands.
The most likely customer, the Tennessee Valley Authority, has been in discussions with the federal Department of Energy about using mox to replace a third of the regular uranium fuel in several reactors — a far greater concentration than at the stricken Japanese reactor, Fukushima Daiichi’s Unit No. 3, where 6 percent of the core is made out of mox. But the T.V.A. now says it will delay any decision until officials can see how the mox performed at Fukushima Daiichi, including how hot the fuel became and how badly it was damaged.
“We are studying the ongoing events in Japan very closely,” said Ray Golden, a spokesman for the utility.

The rest here.