The momentum behind K-nuclear exports is expected to strengthen through "one-team" cooperation between Korea Electric Power Corp. (KEPCO) and Korea Hydro & Nuclear Power (KHNP). On the 14th, the Ministry of Trade, Industry and Energy (MOTIE) announced a plan to improve nuclear export efficiency, abolishing the national role-sharing system between KEPCO and KHNP that had long been a source of friction, thereby eliminating "export silos." The two companies will jointly develop overseas nuclear projects and sign prime contracts, while KEPCO will lead external negotiations. Under the new structure, KHNP handles construction and operation, and KEPCO takes charge of equity investment. The government plans to enact a "Nuclear Export Promotion Act" within the year and establish a public-private "Nuclear Export Planning Committee."
The government's move to integrate nuclear export management is a step in the right direction. With nuclear demand surging amid the advent of the artificial intelligence (AI) era and the war in Iran, dismantling the inefficient dual structure and building a one-team system carries significant weight. Above all, it is encouraging that the government, which has leaned toward energy security centered on renewables such as solar and wind, is creating a committee with corporate participation and pushing for legislation on an export promotion act.
Korea's nuclear technology is recognized globally for its high level of expertise. However, due to the denuclearization policy of the Moon Jae-in administration, domestic infrastructure collapsed and exports were brought to a halt. Though somewhat belated, it is welcome that the government is now drawing lessons from the previous administration's missteps and undertaking a full-scale overhaul of the system to expand nuclear exports. Through this, cooperation talks are expected to accelerate significantly with countries such as Vietnam, where new nuclear exports are in progress, following the Barakah nuclear project in the United Arab Emirates (UAE) and the Dukovany nuclear project in the Czech Republic.
On this occasion, the government also needs to further accelerate the extension of operating lifespans for existing domestic reactors as well as new construction and expansion. With 10 of Korea's 26 nuclear reactors currently offline for maintenance and other reasons, the utilization rate, which once exceeded 90%, has fallen to the 60% range. With domestic operating rates declining, "export sales" to foreign countries cannot be expected to succeed. A multi-dimensional nuclear promotion policy must be prepared together, including shorter review periods for life extensions, broader operational extensions, and new construction and expansion. What must be especially kept in mind is ensuring that this MOTIE policy—which can swing open the door to a "K-nuclear export renaissance"—does not lose its driving force due to pushback from ministries fixated on renewable energy.
