{"id":2197013,"date":"2022-06-21T19:29:56","date_gmt":"2022-06-21T10:29:56","guid":{"rendered":"https:\/\/www.nknews.org\/pro\/?p=2197013"},"modified":"2023-04-05T16:12:15","modified_gmt":"2023-04-05T07:12:15","slug":"abandoning-phaseout-south-korea-moves-to-get-nuclear-exports-back-on-track","status":"publish","type":"post","link":"https:\/\/koreapro.org\/2022\/06\/abandoning-phaseout-south-korea-moves-to-get-nuclear-exports-back-on-track\/","title":{"rendered":"Abandoning phaseout, South Korea moves to get nuclear exports back on track"},"content":{"rendered":"

Entering office, one of South Korean President Yoon Suk-yeol\u2019s most ambitious goals was to restore the country\u2019s nuclear industry to its past glory. Not only did he promise to end his predecessor\u2019s nuclear phaseout and <\/span>restart<\/span><\/a> the canceled construction of two new reactors in South Korea, he also <\/span>pledged<\/span><\/a> to export 10 nuclear power plants by 2030.\u00a0<\/span><\/p>\n

But South Korea\u2019s nuclear future will not solely be about competing for multi-billion-dollar commercial nuclear power plants abroad. A host of South Korean companies are getting involved at the other end of the scale, signing partnerships in multiple countries aimed at solidifying their position in the burgeoning market of small modular reactors (SMRs). If that technology proves successful, Korean companies will be in line for a significant slice of a market that could reach hundreds of billions of dollars every year.<\/span><\/p>\n

The upshot of SMR technology also goes beyond the potential financial windfall. While not yet an explicit goal, South Korea is also acquiring the technology and know-how to join the ranks of countries fielding ships with nuclear propulsion.<\/span><\/p>\n

REACTORS ABROAD<\/b><\/p>\n

Yoon\u2019s promise to export 10 nuclear power plants by 2030 faces an uphill battle.\u00a0<\/span><\/p>\n

The simple logistics of the task are daunting. Reaching that goal would mean bidding, negotiating and winning 10 contracts in just eight years, though Yoon\u2019s term is itself only five years.. Even softening that goal to mean signing contracts that include 10 nuclear reactors<\/span> \u2014 most nuclear power plants contain multiple reactors \u2014 seems overly ambitious considering South Korea has only won one contract to date.<\/span><\/p>\n

More importantly, Yoon will have to take steps to burnish South Korea\u2019s credibility after major scandals embroiled the domestic nuclear industry in the early 2010s.\u00a0\u00a0<\/span><\/p>\n

It was under former President Lee Myung-bak that South Korea arrived as a potential major player in the export of nuclear power plant technology. <\/span>In 2009<\/span><\/a>, South Korea\u2019s KEPCO was selected over a French company for a $20 billion deal to build four reactors in the United Arab Emirates.\u00a0<\/span><\/p>\n

But then in 2013, South Korea charged <\/span>more than 100 people<\/span><\/a> in connection with a series of <\/span>scandals<\/span><\/a> dating back <\/span>more than a decade<\/span><\/a>, ranging from <\/span>collusion in the bidding process to forged safety certificates<\/span><\/a> for parts used in nuclear reactors. In the end, <\/span>68 were sentenced<\/span><\/a> to more than 250 years of combined jail time.<\/span><\/p>\n

Moreover, the reactors in the UAE faced significant delays. The first reactor was slated to come online in 2017 but did not start operation until 2019. There are now <\/span>two reactors<\/span><\/a> in operation with all four scheduled to be online in the near future.\u00a0<\/span><\/p>\n

\"\"

South Korean President Yoon Suk-yeol has set the ambitious target of having export 10 nuclear reactors by the end of this decade | Image: People Power Party (Oct. 29, 2021)<\/p><\/div>\n

Another challenge for Yoon will be revamping the domestic nuclear industry following Moon\u2019s nuclear phaseout. This five-year policy likely <\/span>eroded<\/span><\/a> the in-house expertise of Korean nuclear companies, thus undermining the near-term competitiveness of Korean bids on nuclear power plants abroad.<\/span><\/p>\n

But the Moon administration did not fully turn away from nuclear exports. Instead, the administration <\/span>shifted gears in 2019<\/span><\/a>, focusing less on building commercial nuclear reactors abroad and more on small- and medium-sized enterprises that can do business in areas ranging from operating nuclear plants to decommissioning them. Yoon can build on this approach to increase Korea\u2019s competitiveness, positioning South Korea to better serve the complete life-cycle of a nuclear power plant.<\/span><\/p>\n

For Yoon, the chance to hit the ground running comes in Nigeria. The West African country previously signed a training and cooperation agreement with South Korea, and in March, it <\/span>opened bidding<\/span><\/a> for a 4,000-megawatt nuclear plant. Assuming the use of South Korea\u2019s <\/span>APR-1400 reactor<\/span><\/a>, winning the contract could mean building four reactors in Nigeria alone.<\/span><\/p>\n

THE RACE FOR SMALLER REACTORS<\/b><\/p>\n

The International Atomic Energy Agency calls <\/span>small modular reactors SMRs<\/span><\/a> \u201camong the most promising emerging technologies in nuclear power,\u201d and their small footprint, lower price and \u201c<\/span>inherent safety characteristics<\/span><\/a>\u201d make them potentially lucrative. While no land-based SMRs have been built to date, the World Economic Forum <\/span>predicts<\/span><\/a> the SMR market will be worth $300 billion a year by 2040.<\/span><\/p>\n

Though Yoon is poised to focus on multibillion dollar bids for commercial power plants, South Korea companies have engaged in a flurry of activity in recent months to ensure an early foothold in the SMR business.<\/span><\/p>\n

In May 2022, SK Inc. <\/span>entered into an agreement<\/span><\/a> with TerraPower \u2014 a firm founded by Bill Gates \u2014 to develop SMRs and its associated technologies. TerraPower is now in the early phases of developing a site in Wyoming, with construction on its demonstration project <\/span>expected to begin<\/span><\/a> in early 2024.\u00a0<\/span><\/p>\n

Samsung C&T, Doosan Enerbility and GS Energy have also <\/span>partnered with<\/span><\/a> NuScale to help manufacture its SMRs. NuScale\u2019s design was the <\/span>first to be approved<\/span><\/a> by the U.S. Nuclear Regulatory Commission, and its first plant is <\/span>expected to be operational<\/span><\/a> by the mid-2020s.\u00a0\u00a0<\/span><\/p>\n

Meanwhile, Samsung Heavy Industries has <\/span>recently signed<\/span><\/a> a memorandum of understanding with the Danish company Seaborg to develop floating nuclear power plants (FNPPs) for the international market. This would likely see Samsung developing the ship that would house Seaborg\u2019s molten salt reactor.<\/span><\/p>\n

Hyundai is also getting in on the action, with Hyundai Engineering <\/span>signing<\/span><\/a> an agreement to partner with the U.S.-based Ultra Safe Nuclear Corporation to develop its own SMR technology.\u00a0<\/span><\/p>\n

This list is only partial and does not cover the full activities of Korean companies getting involved in SMR research. And as the agreements were all announced since April 2022, details about the partnerships and the amount of money invested in not yet fully public.<\/span><\/p>\n

But it\u2019s clear that Korean companies see opportunity in SMRs and are moving quickly to seize upon it.<\/span><\/p>\n

\"\"

The U.S. nuclear-powered submarine USS Michigan | Image: NARA & DVIDS Public Domain Archive<\/a><\/p><\/div>\n

FROM NUCLEAR EXPORTS TO PROPULSION?<\/b><\/p>\n

It\u2019s clear that through these projects in emerging technologies and fields, South Korean companies are rapidly building know-how and acquiring technical expertise to produce a domestically designed nuclear submarine.\u00a0<\/span><\/p>\n

The Yoon administration has further opened this door <\/span>by joining<\/span><\/a> the Foundational Infrastructure for Responsible Use of Small Modular Reactor Technology (FIRST) program, which will allow cooperation with the U.S. on sensitive nuclear technologies.\u00a0<\/span><\/p>\n

Perhaps most importantly, the pursuit of a nuclear submarine is unlikely to face opposition from the Democratic Party in the National Assembly. Former President <\/span>Moon Jae-in<\/span><\/a> called for the acquisition of nuclear submarines, as did <\/span>Lee Jae-myung<\/span><\/a> when he was the Democratic Party presidential nominee.<\/span><\/p>\n

Hurdles still remain, especially how South Korea would potentially secure <\/span>enriched uranium<\/span><\/a> for the fuel supply. But should the Yoon administration decide the time is right to pursue nuclear submarines, it will be knocking on an open door.<\/span><\/p>\n

Edited by Bryan Betts<\/span><\/i><\/p>\n

Business & Economy<\/span><\/a>Defense & Security<\/span><\/a>Inter-Korean & Foreign Relations<\/span><\/a><\/div>","protected":false},"excerpt":{"rendered":"

Entering office, one of South Korean President Yoon Suk-yeol\u2019s most ambitious goals was to restore the country\u2019s nuclear industry to its past glory. Not only did he promise to end his predecessor\u2019s nuclear phaseout and restart the canceled construction of two new reactors in South Korea, he also pledged to export 10 nuclear power plants […]<\/p>\n","protected":false},"author":3665,"featured_media":2197015,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[24,26,28],"class_list":["post-2197013","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-business-economy","tag-defense-security","tag-inter-korean-foreign-relations"],"yoast_head":"\nAbandoning phaseout, South Korea moves to get nuclear exports back on track - KOREA PRO<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/koreapro.org\/2022\/06\/abandoning-phaseout-south-korea-moves-to-get-nuclear-exports-back-on-track\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Abandoning phaseout, South Korea moves to get nuclear exports back on track - KOREA PRO\" \/>\n<meta property=\"og:description\" content=\"Entering office, one of South Korean President Yoon Suk-yeol\u2019s most ambitious goals was to restore the country\u2019s nuclear industry to its past glory. 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