[Korea`s nuclear technology (2)] Korea`s strategy to become nuclear exporter

This is the second in a series of articles that highlight the challenges and opportunities facing Korea`s nuclear power industry. - Ed. By Choi Kyung-hwan Overcoming obstacles after three decades of hard work Korea`s nuclear industry began in 1978 with the establishment of its first commercial reactor. Since that time, Korea has worked actively to become a leader in the development of nuclear technology and the construction and operation of nuclear power plants. Our nuclear reactors are highly competitive because of an excellent track record for safety, cost effectiveness and prompt construction time. The presence of seasoned nuclear experts and a well-established supply network give Korea an edge in the nuclear industry. None of that happened overnight. For years, lack of experience and international recognition impeded efforts to export Korea`s nuclear technology abroad, but our efforts finally met with success this past December. Despite fierce competition from powerful rivals, a Korean consortium led by the Korea Electric Power Corporation won a bid to establish the first nuclear power plants in the United Arab Emirates. It will be Korea`s largest overseas nuclear project to date. Korea`s deal with the United Arab Emirates Under a $20 billion agreement between the two countries, Korea will supply four locally developed 1,400-megawatt Advanced Power Reactors to the United Arab Emirates. KEPCO will be responsible for the construction and initial testing of the reactors and for the loading of fuel. The Korean consortium, which will operate and maintain the reactors, expects to earn an additional $20 billion over the next 60 years. Nuclear cooperation with the United Arab Emirates will serve as a stepping stone to closer ties in other areas. The scope of the bilateral partnership is now expanding to include renewable energy, information and communications technology, education, shipbuilding and semiconductors. Korea`s plan to advance the nuclear industry Korea`s deal with the United Arab Emirates marks the realization of a long-held dream, but at the same time it is only the beginning. Last month Korea announced a national strategy to promote the nuclear industry as a new export industry. The interim goal is to sell 10 reactors by 2012, while we hope to export 80 nuclear power reactors worth a total of $400 billion by 2030. If these endeavors succeed, Korea will account for 20 percent of the global reactor market and will be one of the world`s top three suppliers of nuclear reactors, surpassed only by France and the United States. Below is an outline of Korea`s six-point strategy to advance the nuclear industry and foster it as a key export industry. 1. Korea`s export strategies will be tailored to meet the needs of individual countries. We will pursue government-level partnerships with countries where nuclear power plant projects can be carried out through turnkey business transactions. Other partners will require assistance in establishing an adequate infrastructure for nuclear power, which may include advanced training programs. We also plan to make inroads into the market for specialists in the operation and maintenance of nuclear reactors. 

2. Korea will advance its nuclear technology and attain full technological self-sufficiency. Since the domestic industry`s inception in 1978 we have localized 95 percent of our nuclear power technology, but we still import core technologies. The government will support a research and development project that focuses on upgrading domestically designed reactors to world-class status. Furthermore, Korea is working to develop its own reactor design code, man-machine interface system and reactor coolant pump. These will form the basis for an indigenous Advanced Power Reactor Plus, which we expect to market in 2012. 3. Korea will nurture experts in the field of nuclear technology through an internship program. Nuclear power providers will select university seniors in science and engineering programs, as well as recent graduates, to work in research and development or train as export specialists. Upon completion of the program, interns will be given priority in hiring. Moreover, Korea plans to open the world`s first graduate school offering advanced degrees in nuclear energy. 4. Korea will work to secure a stable supply of nuclear fuel by investing in overseas uranium mines and enrichment facilities and establishing more nuclear fuel fabrication plants. 5. Korea will encourage suppliers of nuclear equipment to expand in preparation for the projected demand. We will also encourage partnerships between buyers and suppliers. 6. Korea will put an effective export system in place for the nuclear industry. As a first step, we will encourage nuclear power companies to establish specialized sales divisions. In the long term, we will establish a separate company specializing in nuclear reactor exports. This new company will team up with companies that specialize in different procedural aspects of establishing nuclear power reactors. The above steps are expected to create 1.57 million new jobs and bring in 27 trillion won for small and midsize companies. Nuclear power will join shipbuilding, semiconductors and automobiles as one of Korea`s flagship industries. And by not only encouraging greater use of nuclear power domestically but also making its mark in the international nuclear industry, Korea will facilitate the global transition to a low-carbon economy.