nuclear-news

The News That Matters about the Nuclear Industry

Electricite de France (EDF) keen to market nuclear power to Asia

French nuclear giant EDF seeks business in Asia China and India loom large for the world’s largest nuclear power company, Nikkei Asian Review, TALLULAH LUTKIN and TOGO SHIRAISHI, Nikkei staff writers, 19 Oct 17,    PARIS — The world’s largest nuclear power company, Electricite de France, believes nuclear power still has a role to play in the future, despite forecasts suggesting the market is in getting precarious. According to one senior EDF official, there are still plenty of opportunities in nuclear plant construction — especially in Asia — that can complement renewable power sources……

State-owned EDF is determined to play a role in the growth of the nuclear power industry worldwide…..

For future projects, EDF has its sights on China, where most of the world’s new reactors are currently being built…..

In India, EDF’s nuclear ambitions should benefit from a combination of a growing economy still reliant on coal, a lack of access to electricity for millions of people, and an existing nuclear program, Ursat said.

The company also plans to jointly develop a plant in Turkey in cooperation with Japan, using a new reactor design, the ATMEA1, developed by French multinational Areva and Mitsubishi Heavy Industries. EDF’s close partnership with Mitsubishi is an indication of the importance of the Japanese market, Ursat said.

EDF is in the process of acquiring part of Areva, which is being restructured to save it from bankruptcy.  EDF will acquire Areva’s nuclear construction operations, renamed New NP, in December for between 1.25 billion and 1.875 billion euros. Mitsubishi Heavy Industries is taking a 19.5% stake in New NP.

Ursat acknowledges that the nuclear power industry faces hurdles. “One of the challenges facing new projects is cost overruns,” he said. Thus, New NP’s primary objective is to “make new projects profitable, stay on schedule and lower costs.”……..

Projections by the International Atomic Energy Agency do not fully support EDF’s optimism, and vary significantly depending on circumstances. In the upper-end scenario, nuclear electricity generating capacity could increase from 391 gigawatts in 2016 to 874GW in 2050 worldwide. In the lower-end scenario, it would decline until 2040 before rebounding to current levels in 2050. Only three reactor constructions were started in 2016, down from 15 in 2010.

Moreover, some developed countries have decided to partly phase out nuclear power. France has announced its intention to close up to 17 nuclear reactors. South Korea’s new president, Moon Jae-in, has vowed to cancel all plans for new nuclear power plants and “move toward a nuclear-free era,” something Germany is already pursuing. Both South Korea and Germany are looking to renewable sources as a replacement for nuclear power, rather than merely as a supplement.

Meanwhile, renewable energy sources are becoming more competitive. According to the International Energy Agency, auction prices for solar power will drop from over $150 per megawatt-hour in 2013 to $30 in 2020….. https://asia.nikkei.com/Business/Companies/French-nuclear-giant-EDF-seeks-business-in-Asia

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October 20, 2017 Posted by | France, marketing | Leave a comment

Russia enthusiastic at the idea of selling nuclear technology to the Algerian nation

Russia Ready to Offer Nuclear Technologies to AlgeriaRussian Prime Minister Dmitry Medvedev said that Russia is ready to offer Algeria its technologies and technical solutions if a decision is made to establish a national nuclear industry as well as to develop cooperation in other spheres.MOSCOW (Sputnik) — Russia is ready to offer Algeria its technologies and technical solutions if a decision is made to establish a national nuclear industry, Russian Prime Minister Dmitry Medvedev said in an interview with the Algerian news agency APS ahead of his visit to the country.

Russia is already preparing nuclear industry specialists for Algeria, the prime minister noted.

“At the same time, we are willing to discuss clean energy projects, namely wind and solar farms,” Medvedev added….. https://sputniknews.com/africa/201710091058060153-russia-offer-nuclear-algeria/

October 11, 2017 Posted by | marketing, Russia | 1 Comment

America’s National Rifle Association briefly suspends advertisements for guns

NRA pulls attack ads, hopes everyone forgets about mass slaughter in 8 days https://shareblue.com/nra-pulls-attack-ads-hopes-everyone-forgets-about-mass-slaughter-in-8-days/

After the mass shooting in Las Vegas, the NRA is pulling ads supporting Republican candidates in Virginia, but not for long. The NRA is cynically pulling campaign ads in the wake of the mass shooting in Las Vegas — but only temporarily.

The gun extremists appear to believe that the country only needs eight days to forget about the worst mass shooting in modern American history, allowing them to exploit the gun issue to assist an ally.

According to Medium Buying, a firm that tracks ad spending, the NRA’s Political Victory Fund has postponed running ads that it planned to run in Virginia. Instead, the NRA will begin running its advertising on Oct. 10.

The group has endorsed Republican Ed Gillespie for Governor, along with his running mate Jill Vogel. The NRA is also backing John D. Adams, the Republican candidate for Attorney General.

The NRA praised Gillespie in an endorsement release in August, hailing him as “a leader in the growing national movement to expand our Second Amendment freedoms.”

Ralph Northam, the Democrat in the governor’s race, is an Army veteran and a hunter who has described himself as “a staunch advocate for commonsense gun safety laws.”

The NRA has often gone silent after mass shootings, as it has this time, with the hopes that it can wait out grief after the tragedy. Then, when the conditions are more favorable for its violent messages, the NRA promotes advertising that calls on gun owners to confront protesters with a “clenched fist.”

As the NRA cowers and tries to wait out the situation, groups like Moms Demand Action for Gun Sense In America are stepping up. Founder Shannon Watts released a statement on the shooting.

“I am sickened and heartbroken that, once again, American families will be torn apart by gun violence,” she said. “My thoughts are with the victims and their loved ones, whose lives will never be the same.”

She added, “While details are still unfolding, one thing is for sure: It doesn’t have to be this way. Americans should be able to go to concerts, to night clubs, to elementary schools and movie theaters without worrying about the threat of gun violence. While we grieve for the 50 people shot and killed and the more than 400 who are hospitalized, we must also act in their honor. Gun violence is preventable.”

The NRA doesn’t want anything done about gun violence in America because their ideal world is one in which the country is awash in firearms, no matter the risk to children and families. They go silent while still intending to back candidates who will enact their agenda unquestioningly.

But millions of Americans want something to be done, to stop attacks like the ones in Las Vegas, Charleston, Newtown, and so many other American cities and towns. And they will not be silenced.

October 4, 2017 Posted by | marketing, USA, weapons and war | Leave a comment

Russai marketing nuclear power to Latin America

Russian Nuclear Company Sees Success in Latin America, 1 October 2017New branches of the company will be constructed in El Alto, Bolivia and should be in operation by 2020.

Two years since its move to Latin America, Rosatom, Russia’s main nuclear power company, has seen great success, the company’s Latin American representative, Ivan Dybov, said.

“Rosatom has several projects in Latin America, but the main one is in Bolivia. Last September 19 we signed the contract for the construction of the Center for Research and Development in Nuclear Technology,” Dybov said.

The new branches will be constructed in El Alto and should be in operation by 2020…..https://www.telesurtv.net/english/news/Russian-Nuclear-Company-Sees-Success-in-Latin-America-20171001-0005.html

October 2, 2017 Posted by | marketing, Russia, SOUTH AMERICA | Leave a comment

South Korea’s nuclear phaseout might put a damper on its nuclear export plans

Nuclear phase-out puts burden on S. Korea’s export drive By Kim Eun-jung  SEOUL, Sept. 23 (Yonhap) –– South Korea’s nuclear phase-out policy may create a boom for the renewable energy initiative and allay public safety concerns, but it may also send an unwanted signal to the outside world that could hurt the country’s push to expand into the global atomic power generation market.

Since taking office in May, President Moon Jae-in has scrapped plans for new nuclear power plants and vowed not to extend the life cycles of 24 existing reactors, in a bid to end decades of reliance on the controversial energy source.

The latest move was aimed at addressing safety concerns after the 2011 Fukushima disaster and is in line with actions taken by other advanced economies that are turning to renewable energy sources, including the U.S., France and Germany.

This drastic turn from past administrations’ pro-nuclear policies, however, raises questions over South Korea’s status in the global nuclear market, which has seen spike in competition with the rise of state-backed Russian and Chinese companies in recent years.

Seoul policymakers have pledged continued support for overseas projects separate from its domestic energy policy, but industry insiders worry that less enthusiasm for nuclear power could shrink investment in advanced nuclear technologies and give South Korea less bargaining power on the global stage…….http://english.yonhapnews.co.kr/business/2017/09/22/0503000000AEN20170922008800320.html

September 25, 2017 Posted by | marketing, South Korea | Leave a comment

China considers rescuing problematic UK Moorside nuclear station project

China mulls Moorside nuclear rescue deal to deepen roots in UK plants http://www.telegraph.co.uk/business/2017/09/19/china-mulls-moorside-nuclear-rescue-deal-deepen-roots-uk-plants/  China’s state-backed nuclear company is hoping to take an equity stake in the troubled £10bn Moorside new nuclear project being developed by debt-hit Toshiba.

The Japanese conglomerate is on the hunt for a project partner to safeguard Europe’s largest planned new nuclear plant after France’s Engie abandoned its support of the venture in the wake of Toshiba’s spiralling financial woes.

China General Nuclear (CGN) confirmed that it is in the running to shore up the 3.8GW project in exchange for an equity share, in a move which would also deepen its stake in the UK’s nuclear ambitions. “We are willing to utilise our experience in nuclear design, construction and operation for more than 30 years to support the development of Britain’s nuclear industry,” CGN confirmed in a statement to Reuters.

CGN joins South Korea’s Kepco which voiced an interest in the project earlier this summer.

The South Korean state-backed utility has harboured an interest in Moorside since 2013, but said it would want to use its own nuclear design rather than one made by Toshiba’s Westinghouse nuclear business.

Westinghouse plunged into Chapter 11 bankruptcy in the US earlier this year after amassing losses of $9bn (£6.6bn) for Toshiba due to a string of struggling US projects.The deal would hand CGN access to a fourth nuclear project in the UK. It has already teamed up with EDF Energy to finance a third of the Hinkley Point C project and a fifth of its Sizewell B nuclear plans.

 In the future CGN also plans to lead the plans to build the Bradwell C nuclear plant in Essex with a 66pc stake in the venture.

At Moorside CGN is also likely to want to use its own reactor design, in order to prove its mettle to other prospective new markets. However, it will take at least four years before CGN’s reactor design could be approved by the nuclear authority for use in the UK.

A lengthy approval process would also be required of a Kepco reactor design which could derail the 2025 start date by at least two years in a further blow to the UK’s new nuclear ambitions.

EDF admitted earlier this year that the start-up date for Hinkley Point C is likely to be two years later than first thought at 2027 and pile a further €1bn (£870m) to €3bn euros on to the construction costs of the £18bn project.

The delays to new nuclear projects raises questions over the UK’s energy supplies in the middle of the next decade. More than two thirds of the country’s power generation capacity will have retired between 2010 and 2030.

September 22, 2017 Posted by | China, marketing, UK | Leave a comment

Global nuclear marketers salivating at prospect of selling nukes to South Africa

SA could start nuclear procurement process again as soon as next month
The chairperson of the Necsa, speaking at the World Nuclear Association conference in London, says the politicians just have ‘to press the re-start button
’ Business Live 15 SEPTEMBER 2017  ALEXANDER WINNING LONDON —SA could re-start a procurement process for its nuclear expansion project as soon as next month, but the government still has to determine the exact timing, the chairperson of the South African Nuclear Energy Corporation (Necsa) said on Friday.

SA is planning to build several new nuclear reactors with a combined capacity of 9,600MW, which could be one of the world’s biggest nuclear deals in decades. The plans aim to help resolve the country’s chronic power shortages.

The plans were disrupted this year when SA’s High Court ruled that a nuclear co-operation pact with Russia was unlawful, after which the government started to draw up new pacts with countries with nuclear expertise. South African officials have made progress on the nuclear project since the court ruling, selecting potential sites for the new power stations, Necsa chairperson, Kelvin Kemm told Reuters.

Speaking on the sidelines of the World Nuclear Association conference in London, he said Eskom and Necsa were ready to proceed. “All that needs to happen is for the politicians to press the re-start button.”…….

Nuclear reactor makers, including Russia’s Rosatom, South Korea’s Kepco, France’s EDF and Areva, Toshiba-owned Westinghouse and China’s CGN are eyeing the South African project, which could be worth tens of billions of dollars.

A senior executive from Russian state firm Rosatom told Reuters on Thursday his firm was keen to win the contract and was ready to use a business model suitable to SA…….

Zuma’s opponents have said the project could be used as a conduit for corruption, a charge the president and officials deny. Some investors say the project is too big and expensive for a developing economy, such as SA.

Kemm said all top nuclear reactor makers were still in the running for the project and that he hoped a firm contract with a foreign partner would be signed next year. SA aimed to achieve 50% local input to the project to lift the economy, he said, adding that ordering several plants at once should help bring down costs. https://www.businesslive.co.za/bd/national/2017-09-15-sa-could-start-nuclear-procurement-process-again-as-soon-as-next-month/

September 16, 2017 Posted by | marketing, South Africa | Leave a comment

Japan will fully insure bank loans for costly UK nuclear projects!

Hitachi UK reactors to get full Japanese loan insurance https://asia.nikkei.com/Politics-Economy/Policy-Politics/Hitachi-UK-reactors-to-get-full-Japanese-loan-insurance, Lenders seek guarantees as nuclear projects face post-Fukushima cost overruns, 2 Sept 17,  TOKYO — Japan intends to fully insure bank loans for one of Hitachi‘s British nuclear plant projects in order to encourage domestic lenders to finance a particularly risky type of infrastructure export that Prime Minister Shinzo Abe’s government seeks to promote.

 When Abe met with U.K. counterpart Theresa May here Thursday, the two leaders reaffirmed bilateral cooperation on nuclear plant construction. Japan’s support will include coverage for two reactors at the proposed Wylfa Newydd nuclear station in Wales — a rare example of loan insurance for a project in an advanced economy.

State-owned Nippon Export and Investment Insurance will write the loan insurance for reactors, which Hitachi will build through British arm Horizon Nuclear Power. The Japanese conglomerate, together with Tokyo and London, will conduct working-level talks to hash out a funding support framework, with the aim of breaking ground in 2019.

The project is estimated to cost over 2 trillion yen ($18.1 billion). Hitachi, the U.K. government and two state-backed entities — Japan Bank for International Cooperation and the Development Bank of Japan — are expected to pick up part of the tab. But private-sector financing will also be needed to close the funding gap.

NEXI, which normally indemnifies private lenders for 90-95% of financing, will enter into talks with Japanese banks toward fully guaranteeing loans for the Wylfa project.

Nuclear project costs have tended to balloon since since Japan’s 2011 Fukushima disaster owing to increased safety precautions. Seeing a higher risk of debt default, Japanese megabanks Bank of Tokyo-Mitsubishi UFJ and Mizuho Bank have sought full coverage by NEXI for any loans for nuclear plant development. Such insurance typically covers financing for projects in developing countries. NEXI is expected to impose conditions, such as a loan period of several decades, in return for an exception.

An accident or other troubles at the plant could expose BTMU and Mizuho to lawsuits from third parties because the banks would bear responsibility for financing the project. The two banks will decide on Wylfa financing based partly on discussions between Tokyo and London concerning damage compensation.

A default on the Wylfa loans would entail a taxpayer-funded repairs to the balance sheets of NEXI and JBIC. The loan insurance proposal is likely to spark a debate on whether promoting infrastructure exports in this way is worth the risk. The Abe government, for its part, will try to use the NEXI assurances to elicit more funding, public and private, from the British side.

With little prospect of constructing new reactors in Japan following the meltdowns at the Fukushima Daiichi nuclear power plant, domestic builders have focused their business offshore. Chinese state-owned enterprises are undertaking more global infrastructure projects, emboldening those who argue that Japan will be left behind in the race for overseas orders unless the country takes risks. In 2015, the U.K. became the first developed nation to approve a Chinese-made reactor.

September 4, 2017 Posted by | Japan, marketing, politics, UK | Leave a comment

Russia marketing nuclear power to Bangladesh – will take back the wastes

Don’t you think that there’s something surreal about the idea of nuclear reactors in Bangladesh? the whole place is likely to be under water before too long – nuclear reactors and all!

 

Russia officially agrees to take back nuke plant wastes, Dhaka Tribune, Aminur Rahman Rasel August 30, 2017 Russia will take back the spent fuel from Bangladesh territory for reprocessing, recycling and management

Bangladesh has signed an agreement with Russia to return the spent nuclear fuel from Rooppur nuclear power plant, which is being built with Russian assistance.

Science and Technology Minister Yeafesh Osman and Alexey Likhachev, director general of Rosatom, Russia’s State Atomic Energy Corporation, signed the agreement in Moscow on Wednesday.

Earlier on March 15, the two countries had approved a draft of the agreement on spent fuel management of the project after a bilateral meeting in Dhaka.

According to the agreement, Russia will take back the spent fuel from Bangladesh territory for reprocessing, recycling and management, confirmed Science and Technology Ministry’s Information Officer Md Kamrul Islam Bhuiyan.

From the outset of the project, Bangladesh has been keen to return nuclear waste to Russia, he added…..http://www.dhakatribune.com/bangladesh/power-energy/2017/08/30/russia-officially-agrees-take-back-nuke-plant-wastes/

September 1, 2017 Posted by | ASIA, marketing, Russia | Leave a comment

China marketing nuclear power to Saudi Arabia

Saudi Arabia signs cooperation deals with China on nuclear energy, Gulf News, 24 Aug 17 

Kingdom launched a renewable energy programme this year, and winning bid for first utility-scale solar project is due in November

Khobar, Saudi Arabia: Saudi Arabia and China are to cooperate on nuclear energy projects following discussions between the two countries this week on ways to support the kingdom’s nuclear energy programme, state news agency SPA reported.

Saudi Arabia has been for years trying to diversify its energy mix so that it can export more of its oil, rather than burning it at power and water desalination plants.

It launched a renewable energy programme this year with the announcement of the winning bid for its first utility-scale solar project due in November.

In addition to that programme, Riyadh is in the early stages of feasibility and design studies for its first two commercial nuclear reactors, which will total 2.8 gigawatts.

China’s leading state nuclear project developer China National Nuclear Corp (CNNC) has now signed a memorandum of understanding with the Saudi Geological Survey (SGS) to promote further existing cooperation between the two sides to explore and assess uranium and thorium resources, SPA said…….

Saudi Arabia has also set up a joint investment fund with China and on Thursday signed 11 deals worth $20 billion (Dh73.4 billion) with China as part of an official visit of Chinese Vice Premier Zhang Gaoli to Saudi Arabia. http://gulfnews.com/business/sectors/energy/saudi-arabia-signs-cooperation-deals-with-china-on-nuclear-energy-1.2079896

August 26, 2017 Posted by | China, marketing, Saudi Arabia | Leave a comment

Jordan soon to be plunged into nuclear debt by Russia?

Jordan in talks with Russia on financing solutions for nuclear reactor 2017-08-17 AMMAN,   (Xinhua) — Jordan on Wednesday said talks were still ongoing with Russia to secure the best financing solutions to build the country’s first nuclear power plant.

The Jordan Atomic Energy Commission said in a statement that the two countries were still committed to the project to build a nuclear power plant in Jordan with two reactors each having a capacity of 1,000 megawatts.

Russia’s Rosatom, the state atomic energy corporation, has been keen on implementing the project since its inception and is involved in the project with all its technical and financial aspects, the commission said, quoted by the Jordan Times.

The commission’s statement came following some local reports claiming that the Russian company was looking into withdrawing from the project and it has already submitted a request to Jordan in this regard…….

Jordan will secure 1.5 billion U.S. dollars and Russia will do the same for building the plant, which is estimated to cost 10 billion dollars. The rest will be financed by banks and funds.

In March 2015, Jordan signed an inter-governmental agreement with Russia to build and operate the nuclear power plant. Russia’s Rosatom will own 49 percent of the project. http://news.xinhuanet.com/english/2017-08/17/c_136531761.htm

August 18, 2017 Posted by | Jordan, marketing, Russia | Leave a comment

Radioactive tourism in Ukraine

HOW RADIOACTIVE UKRAINE IS BRINGING IN THE TOURISTS, FINANCIAL REVIEW  AUG 4 2017 A
by Cheryl L. Reed

The button that could have started a nuclear holocaust is grey – not red.

I learned this after climbing into a nuclear rocket command silo, 12 floors below ground, and sitting in the same green chair at the same yellow metal console at which former Soviet officers once presided.

Here, they practised entering secret codes into their grey keyboards, pushing the launch button and turning a key – all within seven seconds – to fire up to 10 ballistic missiles. The officers never knew what day their practice codes might become real, nor did they know their targets.

This base in Pervomaysk, Ukraine – about a four-hour drive from Kiev – once had 86 intercontinental ballistic missiles capable of destroying cities in Europe and the United States. Though the nuclear warheads have been removed, the command silo with much of its equipment, giant trucks that carried the rockets to the base and an empty silo were preserved so that people could see what had been secretly going on at nuclear missile bases in the former Soviet Union.

Tourists go to Paris to marvel at the majesty of the Eiffel Tower, to Rome to stroll the cobbled streets of the Vatican, to Moscow to behold the magnificent domes of Red Square. And while Ukraine has its own plethora of domed cathedrals, including monasteries with underground caves, thousands of tourists are trekking to this country for a uniquely Soviet experience.

Here, they stand outside an exploded nuclear reactor at Chernobyl and rifle through the remains of a nearby abandoned city – Geiger counter in hand. In Chernobyl’s shadow, they marvel at the giant “Moscow Eye”, an anti-ballistic-missile detector that rises 50 storeys high and looks like a giant roller coaster.

Every day, a handful of travel companies ferry mostly foreigners to Chernobyl’s 30-kilometre “exclusion zone”. In 2016, Solo East Travel hauled 7500 people there, up from only one trip in 2000………

The museum tour guides are all former Soviet officers who once worked at the missile base. Ours, Gennadiy Fil’, once manned the nuclear controls. When American tourists dallied, snapping photos of the rockets above ground, he barked, “Ledz go!”

Then he darted through a heavy door of a squat building, down a series of winding stairs and through an underground tunnel, navigating by memory through the narrow, 150-metre-long passageway to the control centre in a silo. The narrow cylinder is suspended from the ground – theoretically, to withstand the shock of a counter-attack…….

No moral objections

Fil’, 55, said he never knew when he would be ordered to input real codes. It was his job, he said, shrugging. He said he had no moral objections to pushing the button. Launching nuclear missiles was a “political decision”, something that people on top of the ground decided, not him……..

In 1994, three years after Ukraine became independent, it joined the Non-Proliferation Treaty and agreed to dismantle its 1900 Soviet missiles. At the time, Ukraine boasted the world’s third-largest stockpile of nuclear warheads after Russia and the United States. Ukraine shipped its nuclear warheads to Russia and dismantled its silos, often blowing them up or filling them with cement. The control silo at Pervomaysk was the only one spared – so it could become a museum. The 46th Rocket Division, part of the 43rd Rocket Army, was disbanded in 2001……..

Nuclear ghost town

The city of Pripyat was once a secret Soviet city, closed to anyone but workers of the Chernobyl nuclear reactor and their families. Now the city, an hour-and-a-half drive from Kiev, is a nuclear ghost town. Forty-nine thousand people were forced to evacuate the day after Chernobyl’s Reactor No.4 exploded on April 26, 1986.

Nearly all the first responders and soldiers died from radiation poisoning while trying to contain the graphite fire and the radioactive particles spewing from the destroyed reactor, explained Bodnarchuk, our tour guide. Officially, only 31 firemen and soldiers were killed. But some believe that the disaster claimed at least 10,000 lives as wind carried radioactive material into Belarus and Northern Europe.

Even though critics have said that the designs of Chernobyl are outmoded and inherently unsafe, Russia reportedly is still using 11 similar nuclear reactors.

Today, visitors can stand across the street from the damaged reactor at Chernobyl, which recently was covered by a huge, $US2.3 billion shield. But the highlight of the tour is, by far, the crumbling city of Pripyat. Though tour operators are warned to stay out of Pripyat’s buildings, tourists routinely stomp through the city, including the hospital where dying first responders were taken……..

driving through the red forest near the Chernobyl reactor – where the radiation burned up all the trees, which were then bulldozed and buried. Our Geiger counters went crazy as we drove through the new-growth forest, registering 26 sieverts per hour.

Our guide tried to calm fears about our exposure to radiation by assuring us that any high levels on our body would be detected by the machines we had to pass through on the way out of Chernobyl’s exclusion zone. Those machines – old Soviet steel contraptions that look like retro airport metal detectors – hardly inspire confidence……..http://www.afr.com/lifestyle/travel/how-radioactive-ukraine-is-bringing-in-the-tourists-20170729-gxlk6k

August 5, 2017 Posted by | business and costs, marketing, Ukraine | Leave a comment

Russia provides $70 billions to countries in its nuclear marketing drive

Russia’s $70 Billion ‘Secret’ Spending Lets Money Do the Talking, Bloomberg By 

Evgenia Pismennaya  and Anna Andrianova, — With assistance by Zoltan Simon, July 26, 2017 As state secrets go, Russia’s program of export finance and loans to other nations might be one of the worst kept.

While discussions about aiding cash-strapped allies frequently spill into the open, the Finance Ministry’s debt chief Konstantin Vyshkovsky says information about individual loans isn’t public and a budget addendum on state financial and export credit is classified as “secret.” But, speaking in an interview at his office a short walk from the Kremlin, Vyshkovsky said Russia has committed about $70 billion in total to such loans, a figure that hasn’t been disclosed before. …..

Russia doesn’t make much effort to keep the spending under wraps, using it to grease political ties and pave the way for projects from China to Hungary for its nuclear energy agency, Rosatom. Some loans also go bad, keeping the subject in the public eye. Most recently, crisis-stricken Venezuela failedto make payments on its debt, opening a 53.9 billion ruble ($900 million) hole in Russia’s expected government revenue this year…….

The vast majority of money made available by the government covers export finance, with the borrower getting Russian products and services and a domestic company receiving the funds. Nuclear projects account for 90 percent of the $70 billion total in state loans, followed by the defense industry and civil aviation, according to Vyshkovsky…….

Unlike most nations that offer guarantees in the form of export insurance for loans made out by commercial banks, what makes Russia’s approach unique is that it provides the funding directly from the budget.

As the example of Hungary’s “deal of the century” shows, money talks. A member of the European Union, it scrapped bids for the expansion of its nuclear plant in 2014 and handed the contract to Rosatom after Russia offered to pre-finance much of the project in the form of a 30-year, 10 billion-euro ($11.7 billion) loan that covered 80 percent of the total cost. At the time, the government, still paying higher borrowing costs because of its junk sovereign credit status, said it had secured a loan at “below-market” rates.

While Rosatom has had less luck in countries like Bulgaria, it’s also involved in building a nuclear plant in Turkey valued at some $20 billion. When it comes to such costly projects, few rivals can match the financial muscle of Russia, which is additionally drawn to offer government backing because politics come into play.

“These are major, long-term loans,” said Vladimir Salnikov, deputy director of the Center for Macroeconomic Analysis and Short-Term Forecasting in Moscow. “The presence of not just economic but also political considerations naturally translates into the state’s increased role in giving such projects financial support.” https://www.bloomberg.com/news/articles/2017-07-25/russia-s-70-billion-secret-spending-lets-money-do-the-talking

 

July 28, 2017 Posted by | marketing, Russia | Leave a comment

China’s marketing strategy – Poland and Britain as springboards for China’s nuclear marketing

CGN eyes Poland for China’s nuclear exports By Zheng Xin | China Daily : 2017-07-26 China General Nuclear Power Corp is eyeing Poland as a potential destination for nuclear exports, as part of its expansion in Europe apart from the United Kingdom, the Czech Republic and Romania.

Polish authorities have been consulting with CGN, China’s largest nuclear operator, on cooperating and building the country’s first nuclear power station, according to a statement on the CGN website on Monday.

“CGN attaches substantial significance to the Polish nuclear power market and is willing to become a long-term strategic partner of the country,” said Shu Guogang, vice-president of CGN.

The two parties signed a Memorandum Of Understanding on cooperation on civil nuclear energy use earlier this month, which Shu said would bring mutual benefits to both countries.

According to Poland’s Energy Ministry, the visit to China earlier this month was to explore the possibility of cooperation between the Polish and Chinese nuclear sectors……..

The Memorandum Of Understanding is yet more evidence that the drive by Chinese electric power industry to diversify abroad is gradually expanding, said Joseph Jacobelli, a senior analyst of Asian utilities and infrastructure at Bloomberg Intelligence.

“CGN’s experience and financing capability and capacity means the company should be able to lock in one or more overseas deals in the next few quarters, despite the fact that whether the company can nail more deals in Eastern Europe is difficult to say at this stage because of the complex nature,” said Jacobelli.

“Nuclear investments take a long time to complete as they are more complex, while projects may also create local social backlashes and have security considerations.”

According to Jacobelli, CGN’s cooperation with the British government is more of a springboard for the company to reach other destinations in the European continent.

CGN signed an agreement on the Hinkley Point C power plant with French utility EDF and the British government last September, which has been hailed as a gateway to promote Chinese nuclear technology.

“The UK is the perfect base from a logistics perspective. It is a perfect springboard for development,” he said. http://www.chinadaily.com.cn/business/2017-07/26/content_30248171.htm

July 28, 2017 Posted by | China, marketing | Leave a comment

South Korea to move away from nuclear power – but still wants to sell nukes overseas!

Reuters 24th July 2017, South Korea’s new energy minister on Monday said he plans to support the
country’s push to sell nuclear reactors overseas, even as the nation curbs
nuclear power at home. State-run Korea Electric Power Corp (KEPCO) is
building the first of four nuclear plants in the United Arab Emirates in an
$18.6 billion deal, and is scouting for more business in Britain and other
countries.

But that comes as South Korea, Asia’ fourth-largest economy, has
been looking to steer its domestic energy policy away from its current
heavy dependence on coal and nuclear, with large chunks of the public
skeptical about the safety of atomic power.  http://www.reuters.com/article/us-southkorea-nuclear-minister-idUSKBN1A90N6

July 26, 2017 Posted by | marketing, South Korea | Leave a comment