Nuclear momentum accelerates in MENA

The UAE will be the first Arab country to develop nuclear power if it starts operating its first reactor in May 2017, as planned. Other markets including Saudi Arabia and Jordan also have ambitious new-build plans. Competing renewable energies are also vying for the spotlight. What role will nuclear play in the MENA region's energy mix? 

By Heba Hashem

A handful of European countries have scrapped or delayed their nuclear energy plans, as they reassess their approach to design and safety systems.

Contrarily, Middle Eastern nations are moving full steam ahead: partnerships are being formed with nuclear energy commissions; agreements are being signed with technology firms; innovative designs and training programs are driving the region’s project delivery forward, and international tenders are just months away from being issued.

But how far in reality is the Arab world from securing its nuclear energy future, and what measures have been taken to improve safety standards?

Led by the United Arab Emirates, Saudi Arabia and Jordan, Middle Eastern countries have little time to spare amidst increasing oil prices, finite fuel reserves, high desalination costs and soaring energy consumption.

United Arab Emirates: Abu Dhabi still ahead of nuclear race

Sixteen months in, preliminary work on the first of the UAE’s four plants - Braka I - has started, and the unit is expected to operate from the summer of 2017. “We are on schedule, on budget and right now we are getting the site ready for the construction of the plants. We are hoping to get the clearance from regulators by early next year”, Ken Petrunik, Chief Programme Officer with the Emirates Nuclear Energy Corporation (ENEC), said at the Dubai Global Energy Forum.

Work has simultaneously begun on the Braka II unit, but only one will start operating in the first phase. Each unit will have a capacity of 1400MW, which will add at least 7% to 8% of power to the national grid.

However, the UAE’s $20bn nuclear power programme aims to supply only 25% of the total power needed in the future and therefore a mixture of complementary technologies is also being proposed.

The UAE will be the first Arab country to develop nuclear power if it starts operating its first reactor in May 2017 as planned.

The hunt for nuclear fuel begins

ENEC recently said it will be issuing an international tender to buy the nuclear fuel needed to begin operating its nuclear plants. The tender will grant a selection of contracts for obtaining uranium, converting it and enriching the fuel for use in the plants’ reactors.  Negotiations on the final contracts will be completed by the first quarter of 2012.

Moreover, the UAE expanded its commercial nuclear capacity when it signed a $150m deal to set up a manufacturing unit in India. The MOU between Dubai’s Dodsal Group and Atomenergomash (AEM), a Russian heavy equipment engineering company specializing in nuclear energy, will see both sides pursuing joint commercial activities in India, cooperating in the manufacture and supply of equipment for nuclear and thermal power projects.

Thorough safety reviews and assessments

In the light of renewed safety concerns that arose from the Fukushima disaster, the UAE has been engaged in reviewing its safety approach. Hee Young Lee, Senior Executive at Korea Electric Power Corporation (KEPCO) - who is building the country’s four reactors - states that the APR1400 Gen III nuclear plants have been designed to withstand earthquakes as big as 7.5 on the Richter scale and will comply with the highest international safety standards.

In addition to managing the deployment, ownership and operation of Abu Dhabi’s nuclear power plants, ENEC is responsible for overseeing the work of the eventual Prime Contractor. As the investment arm of the Abu Dhabi Government, ENEC makes strategic investments in the nuclear sector, both domestically and internationally.

In an effort to educate all those involved in the country’s nuclear energy programme, the Municipality of Abu Dhabi held a workshop in July on the monitoring and management of seismic risks, where it recommended the expansion of its seismic risks monitoring programme to incorporate all Emirates of the UAE. The workshop was attended by a panel of earthquake and seismic engineering experts along with representatives from various governmental authorities, municipalities, ministries and universities.

Another workshop was conducted in the same month by the Federal Authority for Nuclear (FANR) on its upcoming regulation on the security of radioactive sources. Experts from FANR informed representatives from the Ministry of Interior, police departments and the Critical Infrastructure Authority (CNIA) about the requirements of the draft regulation, which deals with the physical protection of radioactive sources and works on preventing them from getting lost or stolen.

“We are mandated by the Federal Law to take the lead in the security of radioactive sources, but it is the police who work on crime prevention and investigation. That is why we attach so much importance to interacting with them before we issue any regulation”, explained Salem Al Qubaisi, Director of Nuclear Security Department at FANR.

FANR, which regulates ENEC, is an independent safety regulatory body that manages the nuclear energy sector within the emirate and enforces nuclear safety and radiological protection standards. It is also responsible for the licensing of operators in the nuclear sector.

FANR has requested from ENEC an overall assessment of lessons acquired from Japan’s accident, which would determine the robustness of ENEC’s proposed facilities in coping with extreme natural events, and identify any modifications needed to strengthen safety. The detailed assessment shall be submitted by 31 December 2011.

New draft regulations

Two new draft regulations have been issued by FANR to invite the public to review and comment on them. The Regulation for the System of Accounting for and Control of Nuclear Material and Application of Additional Protocol (http://fanr.gov.ae/ar/media/get/20110607_fanr-reg-10-public-review.pdf) establishes a system by which FANR can verify the amounts and whereabouts of nuclear material and activities in the UAE.

On the other hand, the Regulation for the Certification of Operating Personnel at Nuclear Facilities (http://fanr.gov.ae/ar/media/get/20110607_fanr-reg-17-public-review.pdf) establishes the training, qualifications and certification requirements for the operating personnel at any nuclear facility in the country.

Investing in workforce and launching funds

To ensure timely nuclear deployment, the UAE is taking measures in strengthening its workforce to fill recruitment gaps within the supply chain. As part of the Nuclear Energy Sudo Summer Program, 25 students from the Institute of Applied Technology (IAT) successfully completed a two-week internship in Korea this month. ENEC will require a large and diverse team to deliver its program; at least 2,000 individuals by 2020.

As for financing options, a new initiative was launched by Abu Dhabi to support SMEs, in partnership with 20 government and semi-government entities. The “Khalifa Fund” was designed to boost the role of the national public sector and corporations in supporting SMEs that are sponsored by the fund and provide them with a package of facilities and exemptions. The fund has already signed three MoUs, including one with ENEC.

Saudi Arabia: Nuclear progress speeds up

Meanwhile, Saudi Arabia is planning to build 16 nuclear reactors over the next 20 years, and is currently arranging to offer the project for international bidding. In attempt to meet 20% of its electricity needs, the world’s largest oil exporter will be investing a total of $300bn in the 16 reactors, each costing around $7bn.

“I think it’s a great step [that] they have put out that announcement”, Joseph Anis, CEO of US energy conglomerate General Electric, told Arabian Business. “The first step is that governments start talking to each other and put their policies in place. Once that happens, nuclear manufacturers will come in and start supporting those programmes and participating in tender”.

The kingdom already signed its first-ever nuclear treaty with France in February, and is in talks now with Chinese officials in order to reach a nuclear cooperation agreement with China. An agreement was also made with nuclear desalination specialist Argentina, whose Atomic Energy Commission designed a simplified pressurized water reactor along with technology firm INVAP.

The model was made for small-scale electricity generation and water desalination projects, both urgent requirements for the kingdom, where electricity and water demand is growing by up to 8% annually.

Jordan: Advancing towards nuclear goals

Jordan’s nuclear energy plans took a leap in July when the government announced it was ready to receive financial bids from three shortlisted firms: the Canadian AECL, Russian Atomstroyexport, and a joint venture of French firm AREVA and Japanese Mitsubishi Heavy Industries.

A decision is expected at the end of 2011, with the awardee to be responsible for constructing the 1,000MW Generation III reactor in Balaama, northwest of the capital Amman. The kingdom’s first plant is expected to be operational by 2019, and work on a second reactor will start in 2022.

France backs Jordanian ambitions

With nearly $1bn in direct investments across Jordan’s various sectors, France is the kingdom’s leading non-Arab investor.

“We invest in Jordan because we believe in the potential in the country. [Having] the best educated population in the whole region, Jordan has no natural resources, but has human resources”, French Ambassador in Amman Corine Breuze told Jordan Times.

France’s Areva, who was granted exclusive rights to mine for Jordan’s uranium, will issue the results of its two-year exploration period at the end of 2011. Upon completion, Areva will have a fair evaluation of the level of uranium concentration and whether it could be profitable.

Nuclear plays compelling part in MENA energy mix

Compelled by the volatility in oil prices and the limited resources of fuel, governments across the Middle East are picking up pace by developing their regulatory frameworks in order to launch tenders and commence the construction of their respective nuclear power stations.