With plans to spend nearly $50 billion on nuclear energy by 2020, China is on the verge of jump-starting a beleaguered nuclear industry, according to USA Today. David J. Lynch reports on China's nuclear energy plans.
Within weeks, the Chinese government is expected to announce an $8 billion nuclear-reactor order that is just the beginning of a commercial bonanza the beleaguered nuclear industry has long craved.
Straining to keep pace with soaring electricity demand, China plans to spend a staggering 400 billion yuan — nearly $50 billion — on nuclear energy by 2020, according to Kang Rixin, president of China National Nuclear Corp. That would add roughly 30 new power plants to the 11 reactors China already operates or is building.
The frontrunners for the initial contract, widely expected to lead to lucrative follow-on orders, are Westinghouse, a British-owned company whose nuclear operations are based in Monroeville, Pa., and Areva of France. The Russian firm AtomStroyExport is regarded a distant third.
In the United States, industry executives hope the Chinese reactor surge will help spawn a nuclear renaissance here at home. Nuclear power provides 20% of U.S. electricity, up from 11% at the time of the 1979 Three Mile Island accident in Pennsylvania. But amid persistent concerns over cost, safety and radioactive waste disposal, no new reactors have been ordered in 27 years.
"Currently, Asia is the only game in town," says Daniel Lipman, Westinghouse senior vice president for nuclear power plants. "... A success in China clearly translates to the U.S. ... Our customers are watching closely."
Earlier this month, President Bush signed energy legislation that encourages new reactor development with tax credits, federal risk insurance and loan guarantees. Yet even as the industry contemplates a potential windfall at home and abroad, some critics say trading state-of-the-art nuclear technology to the Chinese could end up costing the U.S. financially and fueling the spread of nuclear weapons.
"You don't build new nuclear power plants for a country that's building up its military and threatening to use nuclear weapons against the United States," says Rep. Dana Rohrabacher, R-Calif., referring to a Chinese general's recent statement that China would employ nuclear weapons against the U.S. in any conflict over Taiwan.
In China, nuclear power is regarded as a key component of the government's efforts to dramatically boost electricity production. With an economy growing at breakneck speed, major cities already suffer periodic power outages. And electric consumption is expected to reach 4.5 trillion kilowatt-hours in 2020 vs. 1.9 trillion kWh today. (The U.S. consumed 3.6 trillion kWh in 2003.)
Within weeks, the Chinese government is expected to announce an $8 billion nuclear-reactor order that is just the beginning of a commercial bonanza the beleaguered nuclear industry has long craved.
Straining to keep pace with soaring electricity demand, China plans to spend a staggering 400 billion yuan — nearly $50 billion — on nuclear energy by 2020, according to Kang Rixin, president of China National Nuclear Corp. That would add roughly 30 new power plants to the 11 reactors China already operates or is building.
The frontrunners for the initial contract, widely expected to lead to lucrative follow-on orders, are Westinghouse, a British-owned company whose nuclear operations are based in Monroeville, Pa., and Areva of France. The Russian firm AtomStroyExport is regarded a distant third.
In the United States, industry executives hope the Chinese reactor surge will help spawn a nuclear renaissance here at home. Nuclear power provides 20% of U.S. electricity, up from 11% at the time of the 1979 Three Mile Island accident in Pennsylvania. But amid persistent concerns over cost, safety and radioactive waste disposal, no new reactors have been ordered in 27 years.
"Currently, Asia is the only game in town," says Daniel Lipman, Westinghouse senior vice president for nuclear power plants. "... A success in China clearly translates to the U.S. ... Our customers are watching closely."
Earlier this month, President Bush signed energy legislation that encourages new reactor development with tax credits, federal risk insurance and loan guarantees. Yet even as the industry contemplates a potential windfall at home and abroad, some critics say trading state-of-the-art nuclear technology to the Chinese could end up costing the U.S. financially and fueling the spread of nuclear weapons.
"You don't build new nuclear power plants for a country that's building up its military and threatening to use nuclear weapons against the United States," says Rep. Dana Rohrabacher, R-Calif., referring to a Chinese general's recent statement that China would employ nuclear weapons against the U.S. in any conflict over Taiwan.
In China, nuclear power is regarded as a key component of the government's efforts to dramatically boost electricity production. With an economy growing at breakneck speed, major cities already suffer periodic power outages. And electric consumption is expected to reach 4.5 trillion kilowatt-hours in 2020 vs. 1.9 trillion kWh today. (The U.S. consumed 3.6 trillion kWh in 2003.)
