Nuclear energy is core of green growth

The following is the seventh installment in a series of articles focusing on the Korean government`s plans to develop 22 industries as new growth engines. -- Ed.







A financial crisis is sweeping the world, giving rise to fears of a global economic depression. To overcome this global crisis, close cooperation among the countries is more needed than ever before.

Beyond that, there is another imminent global crisis that requires the collaboration of the international community: climate change. As part of global efforts to reverse global warming, the Korean government announced the green road map, which is intended to cultivate new growth engines by adopting low carbon and green growth as a national agenda.

In this green road map, nuclear energy constitutes the core part. Nuclear energy is a low carbon energy and can greatly contribute to creating many jobs in the key industries. Nuclear energy can create a green energy industry and contribute to the recovery of the domestic economy through the export of plant construction technologies and the creation of related jobs.

Korea`s nuclear technology has advanced to the level of exporting nuclear power plants on a turnkey basis - the construction and transfer of power plants to the client in a ready to use condition. The nuclear industry led by Korea Hydro Nuclear Power Co. is endeavoring to export the APR1400, an advanced power reactor developed by Korea.

The domestic industry is also pushing ahead with the APR+ Technology Development Project with support from the Ministry of Knowledge and Economy. The APR+ project is designed to overcome export constraints by localizing essential design computer codes and technology for potential buyers. If this project is completed successfully, Korea will ultimately be able to export nuclear power plants in a turnkey formula.



Main issues



The strategic goal of the Lee Myung-bak administration is to maintain economic growth momentum by developing low carbon energy sources. The new government published the green road map called National New Growth Engine on Aug. 22, 2008. The road map includes various innovation programs to foster green growth until 2012, thereby further developing the economy and creating more jobs.

The national green growth engine program selected nuclear power as the most workable source of low carbon energy. And by fostering the nuclear industry as a key export driver, the Korean government will be able to contribute to the development of the global economy and job creation across the world.

The APR+ Technology Development Project focuses mainly on exporting homegrown nuclear power plant designs on a turnkey basis. The project aims to further advance existing nuclear technologies such as essential design tools, nuclear plant design and nuclear plant construction/operating know-how to the level of major nuclear vendors. By introducing sophiscated and competitive nuclear technology to the global market, Korea will be able to contribute to the recovery of the global economy.

The Korean government`s nuclear technology development strategy, called Nu-Tech2015, consists of two main components. One concerns the localization of key technologies such as nuclear reactor design computer code, reactor coolant pump and man-machine interface system. The other component is the APR+ Technology Development Project aimed at developing globally marketable nuclear power plant designs by making the original reactor type safer and more economically efficient. The success of the APR+ project is essential for the success of the Nu-Tech2015 strategy. Korea will be able to emerge as the top nuclear-reactor exporting country by 2015 when these technology development projects bear fruit.

The APR+ Technology Development Project was launched on Aug. 1, 2007. APR+ will be developed as a kind of Generation III+ reactor type with improved safety and economic efficiency. The project will be carried out in three phases and completed by 2015. As Figure 1 shows, it will take a long time to cover all nuclear technologies for which Korea still relies on foreign companies.

To attain its new green growth visions, Korea is determined to execute its energy strategies and complete the development of proprietary nuclear technology as soon as possible. By doing so, Korea will have the capability to compete with foreign nuclear vendors in the emerging nuclear reactor markets.

As you can see on Figure 2, this project is being promoted as a pan-national project with the joint participation of most of the nuclear-related organizations under the leadership of Korea Hydro & Nuclear Power Co., Ltd. and under the active support of the government.

As Figure 3 shows, the APR+ project will boost national economy and the export capability of the domestic nuclear industry. To achieve the goal of exporting nuclear power plants, support from the government, industries, universities, and research institutes across the country is essential. Major nuclear vendors, empowered by advanced technology and national support, are striving to secure turnkey reactor export contracts in the emerging nuclear power markets.

It is possible to achieve the national goal of exporting nuclear reactors after 2015, only if each participant in the project - the government, industries, universities and research institutes countrywide - do its best in performing its share of the duties, bearing in mind that we all must be dedicated to exporting our own nuclear reactors.

The strategy of exporting nuclear reactors should be set up at the government level. Formulating an export plan by the Korean government alone is good, but multilateral cooperation based on a shared management philosophy will be much better. It would be more efficient to export reactors in cooperation with foreign nuclear reactor vendors or utilities, considering that each country has its own safety regulation and inspection systems. Therefore, the future export plan will be formulated through collaboration with foreign utility operators who know and understand the business.

The strategy of exporting nuclear reactors and justifications for technology development were described here briefly. It is not easy to export reactors, which is a national infrastructure and huge industry consisting of millions of components. Exporting nuclear power plants requires considerable time and concerted efforts by the government, industries, universities and research institutes. As a new growth engine, the nuclear industry will vitalize the national economy and create many high-end jobs. We hope that readers will understand that exporting nuclear power plants is the first step in dreaming a bigger dream.



By Huh Seong-chul