MEETING THE CHALLENGES OF THE WORLDWIDE NUCLEAR RENAISSANCE

Sunita KUMAR

Director, Nuclear Energy Affairs

Nuclear renaissance, rationale and scale

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Energy supply : a major challenge

Climate Change

Competitiveness

Energy Security

Gas resources (Gm3) around Europe - Source : CEDIGAZ

Oil spot price

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Worldwide, Prominent Environmentalists Support Nuclear Energy

„Nuclear energy is the only non-greenhouse gas emitting power source that can effectively replace fossil fuels and satisfy global demand.“Patrick Moore, founder of Greenpeace, The Miami Herald, January 30, 2005

„Nuclear power has no CO2 emissions. It is Europe’s biggest source of CO2 free energy.“Andris Piebalgs, European Energy Commissioner, quoted in The Telegraph, January, 2007

„Over the past two years, we have seen a perceptible shift in public opinion about nuclear power… people are much more positive. […] There are various factors for it, namely security of supply, the rising price of (fossil-fuel) energy, and concern about climate change from carbon gases. The public mood is changing a lot, and is overtaking fears about nuclear.“Laurent Furedi, spokesman for the industry’s lobby association, Foratom, in Brussels, quoted by AFP, January 2006

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Worldwide, existing and new build markets will be dynamic…

2006

391 GWe

Inst

alle

d N

ucle

ar G

We

279GWe

ExpectedPlants

Shutdowns

469GWe

2030

Inst

alle

d N

ucle

ar G

We

157GWe

Lifetime Extension and Power

Uprate

NEW BUILD MARKET

200GWe

A standardized product line to meet market requirements

Source : WNA 2005, IAEA2006, DOE-EIA 2006 and AREVA internal calculation 2005

… all industrial strategies must be employed to meet the demand and optimize capital outlay

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Import dependency is rising.

Gas reserves are concentrated in a few countries.

Oil and gas prices are rising. High prices for oil and gas are probably here to stay.

There is an urgent need for investment. In Europe alone, to meet expected energy demand and to replace ageing infrastructure, investments of around one trillion euros will be needed over the next 20 years.

European Commission Energy Green Paper,March 2006

AREVA’s activities on existing NPPs in operation

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Nuclear Fleet Management: Recent Trends

Modernization : Safety upgrade, Instrumentation & control, Major component replacement (SGs and RPV heads) Power uprating License extension Availability improvement Reduction of outage durationMaintenance optimization: know-how-pooling, alliancing, packaging, advanced inspection technologiesIntensified Fuel Utilisation (fuel cycle management, higher burn-ups)

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Energy situation:Power intensive, export oriented industryNuclear power has important share, in 2004: 50 %

Energy politics In 1980 decided: Phase-out by 2010However: lift of concrete phase-out dateNo sustainable concept for replacement of nuclear power Power uprate of:

Ringhals 1, 3 (2005-2007)Ringhals 4 (2008-2011)Oskarshamm 3 (2008)Forsmark 1, 2, 3 (2008-2010)

Lifetime extension of:Ringhals 2 (2006)

Power uprates to meet demand increase: Sweden

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Oskarshamm 3 – Project PULS

General goal of the Project PULS:Power uprating and safety upgrading of NPP OKG3

Thermal output shall increase from 3300 MWth to 3900 MWth

Electrical gross output from 1200 MWe to 1450 MWe

Replacement of certain equipment and re-qualification of existing equipment as necessary based on SKIF 2004-2 (new Swedish safety requirements)

Upgrade with a design life of new equipment of 37 years (i.e. until 2045), no replacement of re-qualified equipment due to new operating conditions

Studied since 1998, main installation 2008

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Ringhals 4 – Project FREJ

Power uprate rationales:

SG replacement and Turbine refurbishment decided anyway

Power uprate significantly improves ROI

Licensing effort not that much higher in case of power uprate Studies &Engineering work rather equivalent

Impact of new regulations anyway

The market is favourable for additional capacityGrowing demand

Stable prices guaranteed in the Nordic Market (Nordpool)

Project dates Dec 2006 - Fall 2011

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Oskarshamm NPP Project PULS – Power Uprateand Lifetime Extension

Basic License

Power Uprate 109 %

Power Uprate 129 % - PULS

Lifetime Extension

Power

Year

2010 2025 20451985

100 %

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Modernization to meet strengthened safety requirements: Bulgaria

Kozloduy 5 & 6 (VVER1000) – Modernization Project

Long term core cooling improvementEmergency power supply and electrical systems improvementContainment integrityInstrumentation and controlRadiation monitoring system Diagnostic and computerised information systems Replacement and modernisation of information systemsInternal and external hazardsSafety analyses and operation documentsMechanical analyses

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Extension of the operating license

with strengthened safety requirements of:

Loviisa

LoviisaHelsinki

Olkiluoto

Design lifespan, license extension: Finland

AREVA’s construction projects of new NPPs

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EPR, AREVA’s GEN3+ reactor to meet new requirements for a systematic defence-in-depth concept

Melt corecooling area

Containment heat dispersion system

Four redundant safety systems

Double containment with ventilation and filtration

Water reserves inside the containment

Melt corecooling area

Containment heat dispersion system

Four redundant safety systems

Double containment with ventilation and filtration

Water reserves inside the containment

Spreading AreaProtection of the Basemat

A logic with four levels of safety systemsMain Safeguard Systems of the EPR

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A COMPETITIVE kWhNuclear Island availability requirements

Unscheduled unavailability rate lower than 5 days/year (3 days/year for NI) : < 1,4% / r.y

Refueling Only Outage (ROO): < 11 days

Normal maintenance and refueling Outage (NRO): < 16 days

Ten-year inspection outage (TIO): < 40 days

EPR Nuclear Island is designed to fulfill above requirements

>>>> Availability better than 92% over lifetime

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A COMPETITIVE kWhReactor building accessible during power operation

: Inaccessible area(during power operation)

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EPR the only Generation III+ under construction:

Worldwide operating experience by 2015

Olkiluoto 3, Finland Flamanville 3, France

AmerenUE, U.S.Calvert Cliffs 3, U.S.

Under Construction

Project Preparation

C A 4-1

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Flamanville 3, France

Preparation of the area scheduled for reactor building

location

General worksite view

Installation of circulating water system pipes in progress (intake)

Courtesy of EDF, August 2007

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Olkiluoto 3, Finland

Courtesy of TVO, September 07

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Emerging projects

C A 5 -1

Contract signed

Short-listed

Selected

Pre-licensing process

South Africa

USA

UK

China

Baltic ProjectUnder preparation

The fleet is well on its way…

EPR, the path of greatest certainty

AREVA is ready to meet the challenges of the Indian ambitious new build program