of Atomic Energy to support the development of
nuclear energy in 2004–05 reached $963 million,
of which $540 million was awarded to atomic
energy projects and $424 million to nuclear
power projects.
(3) Sustained, stable and large-scale
To create a nuclear power industry, major nuclear
power countries adjusted their industrial systems,
gradually forming an industry suitable for their
national conditions. Adjustment is characterised
by government steering, relatively centralised
control of the nuclear power industry, marketisation, and capacity building of the main suppliers,
plant owners and advanced engineering firms.
In the USA, a market-oriented industry,
dominated by large businesses and involving
many project owners, was shaped in the industry’s early years. In the middle of the last century, Westinghouse and GE were the first to
master civil nuclear power technologies and
become suppliers of nuclear power equipment,
after taking part in the development of military
nuclear power technologies. In the initial stages
of nuclear power development, key suppliers
provided turnkey services or advanced engineering to the project owners. During later
stages, the market players became stronger and
more diversified. When nuclear power grew in
the 1970s, powerful and professional project
management companies entered the field to provide project services to plant owners. They soon
became major players in nuclear power plant
construction. Some nuclear power plant owners
chose to construct and manage projects themselves, combining project ownership with
advanced engineering. Such a hybrid system is
possible because of the USA’s size, maturity and
large number of small and medium-sized power
utilities.
France formed a system with a single project
owner, and with advanced engineering separated
from the main suppliers. Having introduced
technologies and management methods from the
USA, France reformed its original nuclear
industry to the system it has today: the Atomic
Energy Commission oversees research and
development of military nuclear technologies and
infrastructure, while nuclear fuel recycling is
operated by professional companies. The Atomic
Energy Commission and Électricité de France
(EDF) formed Framatome, which later became
the nuclear power business of Areva, before
changing its name back to Framatome in 2018.
Framatome, which is 75% owned by EDF,
designs, manufactures and installs components,
fuel, and instrumentation and control systems for
nuclear power plants. EDF manages all nuclear
power plants in France.
Japan’s solid industrial base accelerated the
formation of an approach using multiple project
owners, suppliers and advanced engineering
companies. After starting with technologies from
Westinghouse and GE, Japan switched to its own
local suppliers—Mitsubishi, Toshiba and Hitachi
—to provide turnkey nuclear power plants to
project owners. Japan’s power transmission system is divided into 10 zones, each operated by an
electric utility. After accumulating experience in
how to build and operate nuclear power plants,
the 10 utilities started to develop and invest in
nuclear power plants independently, with the
support of the main suppliers.
In South Korea, the government gradually
deregulated the nuclear power industry. As the
only nuclear power project owner, Korea Electric
Power Corporation plays multiple roles as an
investor, constructor, owner and operator. It held
41% of the shares of Korea Heavy Industries,
through the assistance of the government, which
enabled it to develop into a key nuclear island
equipment supplier. Once this was achieved,
Korea Electric Power Corporation divested its
holding in Korea Heavy Industries, enabling the
company to operate independently. Korea Heavy
Industries was acquired by Doosan in 2001.
(4) Re-innovating older technologies is a pathway to success for late-mover countries
Some late-mover nuclear power countries—
Japan and South Korea in particular—gained
much valuable experience as they progressed
370
S. Zifeng and N. Dickens
nuclear energy in 2004–05 reached $963 million,
of which $540 million was awarded to atomic
energy projects and $424 million to nuclear
power projects.
(3) Sustained, stable and large-scale
To create a nuclear power industry, major nuclear
power countries adjusted their industrial systems,
gradually forming an industry suitable for their
national conditions. Adjustment is characterised
by government steering, relatively centralised
control of the nuclear power industry, marketisation, and capacity building of the main suppliers,
plant owners and advanced engineering firms.
In the USA, a market-oriented industry,
dominated by large businesses and involving
many project owners, was shaped in the industry’s early years. In the middle of the last century, Westinghouse and GE were the first to
master civil nuclear power technologies and
become suppliers of nuclear power equipment,
after taking part in the development of military
nuclear power technologies. In the initial stages
of nuclear power development, key suppliers
provided turnkey services or advanced engineering to the project owners. During later
stages, the market players became stronger and
more diversified. When nuclear power grew in
the 1970s, powerful and professional project
management companies entered the field to provide project services to plant owners. They soon
became major players in nuclear power plant
construction. Some nuclear power plant owners
chose to construct and manage projects themselves, combining project ownership with
advanced engineering. Such a hybrid system is
possible because of the USA’s size, maturity and
large number of small and medium-sized power
utilities.
France formed a system with a single project
owner, and with advanced engineering separated
from the main suppliers. Having introduced
technologies and management methods from the
USA, France reformed its original nuclear
industry to the system it has today: the Atomic
Energy Commission oversees research and
development of military nuclear technologies and
infrastructure, while nuclear fuel recycling is
operated by professional companies. The Atomic
Energy Commission and Électricité de France
(EDF) formed Framatome, which later became
the nuclear power business of Areva, before
changing its name back to Framatome in 2018.
Framatome, which is 75% owned by EDF,
designs, manufactures and installs components,
fuel, and instrumentation and control systems for
nuclear power plants. EDF manages all nuclear
power plants in France.
Japan’s solid industrial base accelerated the
formation of an approach using multiple project
owners, suppliers and advanced engineering
companies. After starting with technologies from
Westinghouse and GE, Japan switched to its own
local suppliers—Mitsubishi, Toshiba and Hitachi
—to provide turnkey nuclear power plants to
project owners. Japan’s power transmission system is divided into 10 zones, each operated by an
electric utility. After accumulating experience in
how to build and operate nuclear power plants,
the 10 utilities started to develop and invest in
nuclear power plants independently, with the
support of the main suppliers.
In South Korea, the government gradually
deregulated the nuclear power industry. As the
only nuclear power project owner, Korea Electric
Power Corporation plays multiple roles as an
investor, constructor, owner and operator. It held
41% of the shares of Korea Heavy Industries,
through the assistance of the government, which
enabled it to develop into a key nuclear island
equipment supplier. Once this was achieved,
Korea Electric Power Corporation divested its
holding in Korea Heavy Industries, enabling the
company to operate independently. Korea Heavy
Industries was acquired by Doosan in 2001.
(4) Re-innovating older technologies is a pathway to success for late-mover countries
Some late-mover nuclear power countries—
Japan and South Korea in particular—gained
much valuable experience as they progressed
370
S. Zifeng and N. Dickens