Summary:
- South Africa plans to increase nuclear power production, inviting bids from global players, including South Korean firms, which are actively pursuing opportunities in Africa amid a competitive landscape, with the aim of addressing the country’s electricity crisis and meeting growing energy demands.
On Tuesday (12 December), the South African government unveiled plans to boost the nation’s nuclear power production. Bids are being invited from major players like the United States, Russia, France, China, and South Korea. This announcement coincides with South Korean nuclear energy companies actively pursuing opportunities across various African countries amid intense competition from rivals.
South Africa, grappling with a severe electricity crisis and frequent power cuts, currently operates a lone nuclear power plant on the continent, functioning at only half capacity. To address this, the government is engaging in discussions with several potential suppliers to acquire new production units. A senior official from the Ministry of Energy expressed optimism about having conventional reactors or smaller, more cost-effective modular reactors in operation by 2032-2033. As other governments explore nuclear power for their long-term energy needs, South Korean firms aspire to lead in reactor construction on the continent.
One such company is Korean Hydro & Nuclear Power (KHNP), a subsidiary of the state-owned Korea Electric Power Corporation. KHNP has signaled its commitment to the emerging African market by signing a memorandum of understanding with the Ugandan government. According to Bum-Jin Chung, President of the Korea Nuclear Society, this move is a clear indication of the company’s earnest intent to advance its plans in Uganda. Uganda’s project, aiming to construct two 1,000-megawatt (MW) reactors by around 2030, highlights the ongoing global demand for energy partnerships with Korea.
Korea’s successful track record in nuclear energy generation in the region is reinforced by a substantial deal signed with the United Arab Emirates in 2009. The agreement, valued at 20 trillion won, involves the construction of four APR1400 nuclear reactors, with two already in operation and the remaining two set to begin commercial operation soon. While Africa’s nuclear power initiatives have traditionally been influenced and financed by global superpowers like the US, China, and Russia, South Korea, with its tailored strategies and cost-effective capabilities, is increasingly establishing itself as a significant player on the continent.
