South Korea aims for nuclear dominance with $17.3b Czech deal
South Korea can become a leader in building nuclear reactors in Europe. A Korean company was recently chosen to build reactors in the Czech Republic. This could pave the way for other companies from this country to expand on the European continent.
State-owned company Korea Hydro & Nuclear Power Co. was selected to build two reactors in the Czech Republic, beating other rivals. The value of the signed contract is $17.3 billion. Upon its finalization, the project could secure a leading position for Korea in building nuclear reactors in Europe.
Ahn Duk-Geun, Korean Minister of Trade, Industry, and Energy, commented on this decision, saying that for his country, this creates a foothold enabling the export of nuclear power plants to Europe, reports Bloomberg.
South Korea has an ambitious plan
The company is supported by the authorities in Seoul and is preparing a feasibility study for a nuclear power plant in the Netherlands. The Swedish company Vattenfall AB is also considering its technology. Additionally, it is in talks regarding the supply of its reactors to the United Kingdom, Poland, and Slovenia.
The realization of ambitious plans has taken decades
Formulating the current strategy for exporting nuclear technology has taken South Korea's authorities decades. In 1987, the state-owned enterprise agreed on a technology transfer with the American company Combustion Engineering and then developed a project to create its own domestically produced reactor.
Since then, 28 reactors have been built in Korea, and four more are planned for launch until 2040.
The first export of reactors to the United Arab Emirates was announced in 2009. Initially, the project faced delays and exceeded its budget by 25%, but this did not stop Korea from continuing its expansion.
The realization of ambitious plans will not be without competition
South Korea is betting on nuclear energy because it aims to achieve ambitious goals in reducing pollution and plans to become independent from expensive fossil fuels.
However, the realization of these plans will not be without competition. Recently, American company Westinghouse Electric Co. filed a lawsuit, alleging that Korea is using its intellectual property and should be prohibited from sharing it. The Americans also warned that they might file a complaint regarding the recent agreement signed by Korea with the Czech Republic.
