Nuclear energy falls from France’s pride and joy, to its expensive source of woe

Tale of woe in French nuclear sector, Ft.com, October 13, 2015,  Michael Stothard    Broken government promises, multibillion-euro delays and a key national champion rescued from the brink of failure: it has been a torrid year for the proud French nuclear industry.

Problems came to a head in August when Areva, the designer and builder of nuclear reactors around the world, was forced to strike a multibillion-euro rescue package deal with rival group EDF and the French government. It had been hit by foreign competition, the downturn in global nuclear demand following the 2011 Fukushima disaster and cost overruns. It had not sold a new reactor since 2007. It urgently needed to be put back on a “sound footing” to keep nuclear a “strength for our country,” said Manuel Valls, French prime minister, before the deal to sell much of the company to EDF………

The country is also a torchbearer for nuclear power as part of the European energy mix when many countries have retrenched following Fukushima. “There’s no doubt the global nuclear industry, including in France, is challenged and it is asking itself some profound questions since Fukushima,” says Jean-Marc Ollagnier, chief executive of Accenture’s resources operating group.

But for French nuclear the past five years have been a tale of technical problems and cost overruns that brought Areva to its knees and called into question the country’s ability to deliver on next generation technology.

October 14, 2015 - Posted by Christina Macpherson | France, politics