An aerial view of the Dukovany Nuclear Power Plant in the Czech Republic (KHNP)
Ongoing Negotiations with KHNP Unhindered by Martial Law, Czech Officials State
Despite the increased political uncertainty following President Yoon Suk Yeol’s declaration of martial law on Dec. 3, the Czech government has assured that the political situation in Korea will not affect the construction of new nuclear power plants. Local Czech media reported on Dec. 4 that there would be no issues with the signing of the main contract for the Czech nuclear power plant project.
The Czech nuclear negotiation team visited Korea from Dec. 9 for a 5-day schedule, conducting on-site inspections at Korea Electric Power Corporation Engineering & Construction (KEPCO E&C) and Doosan Enerbility. This visit was part of the ongoing negotiations for the construction of two new nuclear power plants in Dukovany, a project worth 400 billion koruna (approximately $18 billion), for which Korea Hydro & Nuclear Power (KHNP) is the preferred bidder.
The Czech government has maintained a calm stance on the construction of the Dukovany Nuclear Power Plant. Vaclav Smolka, a spokesperson for the Czech government, stated, “Negotiations on the supply of nuclear power plants with KHNP are managed by clear rules and will continue to be so.” Ladislav Kriz, another official, emphasized the importance of the project, saying, “This is the largest contract in Czech history, and the final contract is expected to be signed in March next year. We do not expect the situation in Korea to have a long-term impact on the project.”
Before the declaration of martial law, Doosan Enerbility’s stock price was in the 21,000 won range. However, following the declaration, the stock price fell by nearly 20%, recording the 17,100 won range as of the market close on Dec. 10. This decline reflects concerns that the increased political uncertainty in Korea could negatively impact the Czech nuclear power plant project.
An official from the Ministry of Trade, Industry, and Energy in Korea stated, “We are making every effort to secure the Czech nuclear power plant orders regardless of the political situation. We are thoroughly preparing to ensure there are no issues with the final contract signing.” A KHNP official also reassured that “Regardless of the political situation, the export of nuclear power plants will proceed without any disruptions according to the procedures and schedule agreed upon with the ordering company.”
The Czech Republic has been investing in nuclear power as a key component of its energy strategy. The Dukovany Nuclear Power Plant is one of the country’s primary nuclear facilities, and there are plans to expand its capacity to ensure energy security and reduce reliance on fossil fuels. The successful completion of this project is crucial for the Czech Republic’s energy policy and economic development.
The local negotiation team had previously visited Korea in September to inspect Korea’s nuclear power technology, and their visit this month further underscores the ongoing commitment to the project. Despite the political turmoil in South Korea, the Czech government remains confident that the project will proceed as planned, highlighting the resilience and stability of the bilateral cooperation between the two countries.
Source: Business Korea
