In his speech about France’s strategy for achieving carbon-free power by 2050 in Belfort on 10 February 2022, the President of the Republic expressed his wish to see the launch of a programme to build new nuclear reactor series. The programme aims to build three pairs of EPR2 reactors and feasabiity studies for the construction of eight additional EPR2 reactors. He also stated that the objective should be to commission the first reactor by 2035, and specified that EDF will build and operate these new EPR2 reactors.
No decision has been taken in this respect to date. Appropriate financing and, where applicable, regulatory plans are currently being drafted with a view to implementation of the programme. A revised completion cost for the project is planned for summer 2023.
Pending a ruling on EPR 2, on 16 December 2020, the Board of Directors authorised EDF to continue the project until the end of 2022 with budgeted costs of around €1 billion. On 31 March 2022, the Board of Directors then authorised EDF to continue its development activities through to 31 December 2023 and commit the additional sum of approximately €0.6 billion.
Pursuant to the recommendations made by J-M Folz in 2019 (1) and those of the French Court of Audit (Cour des comptes) in its summer 2020 report on the EPR sector, EDF has decided to strengthen the design & build governance for EPR2 reactors. In particular, EDF has set up a new organisation separating the Customer (maîtrise d’ouvrage, MOA), in this case the New Nuclear (France) Engineering Programme Department, from Project Management (maîtrise d’œuvre, MOE), in this case the EPR2 Project Department, within the New Nuclear Engineering and Projects Department (Direction Ingénierie et Projets Nouveau nucléaire, DIPNN).
The New Nuclear Engineering (France) Programme Department ensures the establisment of appropriate legal, economic, and financial frameworks and suitable conditions for the project to be realised. It defines cost, lead time, and performance targets for EPR2 projects and ensures they are kept to by Project Management. The Programme Department thus acts as the project’s internal customer.
The EPR2 Project Department is responsible for the design of EPR2 reactors; if a final investment decision is made, it will then oversee their completion in line with the quality, cost, lead time, and safety targets set by the Programme Department.
The two departments have been working closely together ever since the implementation of this new organisation.
At the end of 2021, the general design studies carried out since 2018 were finalised. This stage was preceded by the end of the ASN’s examination of the safety options dossier in 2021 (letters dated April and September 2021) and the submission to the ASN of the Preliminary Safety Report in February 2021.
Since January 2022, a new sequence has begun, focusing on 3 priorities:
In the field of low-power reactors (SMRs), development of the NUWARDTM product, a third generation 340MW pressurised water power plant composed of two 170MW modules, continued in 2022. These are designed to be manufactured in series and to be marketed abroad. The main target is the replacement of fossil fuel power plants in the coming decades. This marketing will be backed by a flagship power plant in France, whose construction is scheduled to begin by 2030.
The design of the NUWARD™ SMR is currently the subject of pre-evaluation carried out by the ASN in conjunction with the Czech and Finnish technical safety authorities (respectively, SUJB and STUK). The approach is designed to speed up the process of granting international licences for SMR reactors whilst also helping to provide fresh impetus for regulatory harmonisation.
In December 2022, EDF and Fortum signed a Memorandum of Understanding for the joint exploration of development opportunities for SMRs and large nuclear reactors in Finland and Sweden.
In late 2022, the Group set up a dedicated subsidiary to manage the next phase of the NUWARDTM project, known as the “basic design” phase: this will start in early 2023 and is due to be completed by the end of 2026. NUWARD is a wholly-owned subsidiary of the Group. It will continue to benefit from the support of engineering from EDF, CEA, TechnicAtome, Naval Group as well as Framatome, and Tractebel.
In December 2022, a €50 million subsidy was granted as part of the France 2030 plan by the French government, after being notified and authorised by the European Commission. EDF received this subsidy in the amount of €45 million over the year. In his speech on 10 February 2022 in Belfort, the President of the French Republic announced an additional intervention of the State up to €500 million for the NUWARDTM.
In the United Kingdom, EDF Energy is involved in the construction project of two nuclear reactors at Hinkley Point, together with China General Nuclear Power Corporation (CGN). Nuclear New Build (NNB) is the project owner. EDF’s New Nuclear Engineering and Projects Department (DIPNN) together with Edvance (3) are responsible for the design studies. Framatome supplies the components and the control system.
EDF is involved in the development of the Sizewell C project for the construction of 2 EPR reactors in partnership with the British government (see section 1.4.5.1.2.5).
EDF also owns a 33.5% stake in Bradwell B in partnership with CGN (see section 1.4.5.1.2.5).
In China, EDF owns a 30% stake in TNPJVC (Taishan Nuclear Power Joint Venture Company Limited). This company operates two reactors using EPR technology in Taishan in the Chinese province of Guangdong (see section 1.4.5.3.6.1 “Activities in China”).
In March 2018, EDF signed a non-binding industrial cooperation agreement with the Indian national electricity company Nuclear Power Corp of India Ltd. (NPCIL) for the construction of 6 EPR reactors in India at the Jaitapur site. This agreement sets out the industrial plan, the roles and responsibilities of partners, and the next steps in the project. In this regard, the EDF group and its partners will be supplying all the studies and equipment for the nuclear island, the conventional island, the auxiliary systems, and the heat sinks and galleries. EDF will not be investing in this project and the NPCIL customer will be the general project manager and integrator in the execution phase.
In accordance with the schedule determined by the IWFA (4), EDF and its partners submitted a comprehensive conditional non-binding bid to NPCIL at the end of 2018, then in April 2021 a binding technical and commercial offer. Since then, EDF has been continuing discussions with NPCIL to achieve convergence on technical and commercial issues with the aim of entering into a binding agreement during 2023.
EDF is participating in the call for tenders initiated in Saudi Arabia by K.A.CARE (5) and successfully responded for the first phases of the consultation process. This process is aimed at submitting a bid for the supply of engineering studies, equipment, and the construction of two EPR reactors.
(1) Report submitted to the French Minister for the Economy and Finance and the Chairman and CEO of EDF in October 2019.
(2) Commission nationale du débat public, i.e. French national public debate committee.
(3) In 2017, EDF and Framatome created Edvance, a joint engineering subsidiary for the construction of new nuclear power plants in France and in the world.
(4) Industrial Way Forward Agreement.
(5) King Abdullah City for Atomic and Renewable Energy.
