Korea Hydro & Nuclear Power has thrown down the gauntlet by challenging the construction project of the first nuclear power plant that Kazakhstan, the world’s largest uranium producer, is set to build. Until now, KHNP had been withdrawing from the European nuclear power market, and it is speculated that it has divided the regions with Westinghouse, which has raised objections to the Dukovany nuclear power plant in the Czech Republic.
On the 16th, the Agency of the Republic of Kazakhstan for Atomic Energy, which is under the direct control of the president of Kazakhstan, announced that it has selected four candidates for the reactor supplier for the first nuclear project. They include KHNP from South Korea, state-owned Russian corporation Rosatom, state-owned French electric company EDF, and China National Nuclear Corporation (CNNC). Kazakhstan plans to finalize the supplier by November following interministerial consultations.
The Ministry of Energy of Kazakhstan has confirmed the Ulken region in Almaty Province as the site for the nuclear power plant and is promoting a project to build two nuclear reactors. After selecting a supplier within this year, the first nuclear power plant is expected to start operation in the 2030s. The long-term plan is to introduce a 2 GW nuclear power plant by 2050. There are also plans to foster a nuclear cluster in the region by establishing corporations, research institutions, and administrative agencies.
Kazakhstan is the world's largest producer of uranium, a key fuel for nuclear power, but has not operated any nuclear power plants until now. During the time Kazakhstan was part of the Soviet Union, hundreds of nuclear tests were conducted in the Semipalatinsk region, resulting in suffering for residents—a painful history. Despite strong public sentiment against nuclear power, the chronic energy shortage issue has highlighted an increasing number of citizens in favor of nuclear power plant construction.
The Kazakhstan nuclear power project has garnered interest from major countries due to the potential for uranium resource cooperation. South Korea, which relies entirely on imports for the enriched uranium necessary for nuclear fuel, has been engaged in efforts for several years. After KHNP submitted a proposal for nuclear technology and pricing in 2019, it has maintained continuous contact with the local government. In March of this year, KHNP also promised cooperation in uranium resource development with local research institutions. Like the Dukovany project in the Czech Republic, KHNP plans to form a public-private partnership called 'Team Korea' to enter the market.
Kazakhstan is the first region to confirm its intention to enter after KHNP was selected as the preferred negotiator for the new nuclear construction project in the Czech Republic. KHNP withdrew from all bids for nuclear power plants being constructed in Slovenia, the Netherlands, and other regions since the end of last year, starting with Sweden.
The nuclear power industry believes that the agreement related to intellectual property rights between KHNP and Westinghouse has had an influence on this matter. It is speculated that once the Czech nuclear contract is finalized, Westinghouse will take the lead in contracts in Europe while Korea will be responsible for contracts in other regions. Both parties have not disclosed the contents of the negotiations.
KHNP noted that it is progressing with the project by forming an international consortium and plans to do its best until the final supplier is selected.