China has brought three new nuclear reactors online in 2014, with a total capacity of 3.2 Gigawatts
‘As part of the Chinese government’s efforts to decrease air pollution from coal-fired plants, it has shown strong support for nuclear power,’ says GlobalData Analyst
LONDON, UK (GlobalData), 20 August 2014 – This year has seen China make a significant impact on the world’s nuclear power industry, having brought three new reactors online with a total capacity of 3.2 Gigawatts (GW), according to an analyst with research and consulting firm GlobalData.
Sneha Elias, GlobalData’s Analyst covering Power, states that alongside new reactors Yangjiang 1, Hongyanhe 2 and Ningde 2, China has also announced a substantial investment in two new units at the Haiyang facility.
The analyst says: “On 27 February 2014, the Chinese government agreed to invest $5.1 billion in the construction and development of two nuclear power units at the Haiyang nuclear facility in Yantai, Shandong Province.
“The total installed capacity of the two units is 2.2 GW, comprising two AP1000 nuclear reactors designed and supplied by US-based company Westinghouse. The investment per Megawatt will be $2.32 million.”
Additionally, the China National Nuclear Corporation and one of its subsidiaries, China Nuclear Engineering, is listing shares on the Shanghai Stock Exchange, for gross proceeds of $2.64 billion and $0.29 billion, respectively.
Elias says: “China National Nuclear Corporation intends to issue up to 3.651 billion shares, or 25% of its enlarged capital, at a price of CNY4.46 ($0.72) per share, for gross proceeds of up to CNY16.3 billion ($2.64 billion) in an initial public offering.
“The company intends to use these proceeds to finance its four nuclear power projects in Fujian, Zhejiang, Hainan and Jiangsu province and for general working capital purposes.”
China currently has 20 active nuclear reactors, with a further 28 under construction. Another 10 reactors are expected to begin commercial operation between 2017 and 2025, with a total capacity of 9.56 GW.
“As part of the Chinese government’s efforts to decrease air pollution from coal-fired plants, it has shown strong support for nuclear power, which is playing an increasingly important role in the country’s energy mix,” concludes the analyst.
GlobalData is a leading global research and consulting firm offering advanced analytics to help clients make better, more informed decisions every day. Our research and analysis is based on the expert knowledge of over 700 qualified business analysts and 25,000 interviews conducted with industry insiders every year, enabling us to offer the most relevant, reliable and actionable strategic business intelligence available for a wide range of industries.