Industry Link - March 2017

IN THIS ISSUE: THE HISTORY OF THE NDA, CONTRACTUAL CHALLENGES IN NUCLEAR NEW BUILD, BUSINESS GROUP CHAIR OPPORTUNITIES, THE GOVERNMENT’S NUCLEAR CYBER SECURITY STRATEGY AND WHAT MAKES A BALANCED ENERGY MIX?

MAGAZINE OF THE UK NUCLEAR INDUSTRY ASSOCIATION SPRING / 2016

Euratom What is it?

NIAUK.ORG 21

NUCLEAR WOMEN 18 WHO CONFERENCE

Remembering Lord Jenkin and Tam Dalyell 7 10 PROGRESS AT HINKLEY POINT C

Innovation Delivered

At the UK’s National Nuclear Laboratory, we deliver the right amount of innovation to meet our customers’ needs.

On one level, we might simply drill a hole to analyse underground waste with our integrated microdrilling technology.

At the other extreme, we are developing state-of-the-art power systems to support deep space exploration.

Find out more about what we can do for you at www.nnl.co.uk or email customers@nnl.co.uk B — SPRING | 2017

Welcome to IndustryLink

Rupert Lewis rupert.lewis@niauk.org

It’s only March, but it has already been a frantic year for the industry. The Government’s announcement that the UK will withdraw from Euratom, when the UK leaves the EU, has created a heightened degree of uncertainty, and at this early stage, even before the negotiation has begun, we spell out what Euratom is in our snapshot feature.

Bird & Bird’s Carol Cloughley looks at the contractual challenges for the new build supply chain, and we give an update on the progress on site at Hinkley Point C and what is planned for the project in 2017.

In our lead feature, NDA’s Deborah Ward looks at the history of the NDA and in an interview with Stephen Henwood, the organisation’s soon to be retired Chairman, he reflects on their achievements and what the future holds.

PowerPolitics is littered with musings about Euratom and what leaving it means as well as a glimpse into the Government’s recently launched Industrial Strategy. Tom Greatrex expands on the Industrial Strategy and gives detail on what it is, and importantly what industry needs to do to make sure the opportunity of a coherent nuclear strategy isn’t lost.

Finally, but by no means least, Keith Parker, the NIA’s former Chief Executive remembers Lord Jenkin and Tom Dayell. Two important political figures that dared to stand up for the nuclear industry when it wasn’t fashionable to do so.

Industry Link is packed with all the information you need to know about the industry and it seems 2017 is already set to be another incredibly busy year for us!

IN THIS ISSUE...

GOVERNMENT PAGE 22 LAUNCHES CYBER SECURITY STRATEGY

IN VIEW

BUILDING PAGE 12 UK-JAPAN PARTNRESHIPS

PAGE 14

PAGE 8

CONTRACTUAL CHALLENGES

NIAUK.ORG Follow us: @NIAUK

Editor - Rupert Lewis Art Editor - Dan Powney Contributors - Tom Greatrex, Sara Crane, Peter Haslam, Rebecca Thorington, Stephanie McKenna, Deborah Ward – NDA, Keith Parker – Parker Energy Consultancy Ltd, Carol Cloughley – Bird & Bird, Stephen Henwood – NDA, with additional thanks to World Nuclear News

Nuclear Industry Association is a company limited by guarantee registered in England No. 2804518 Registered Office 5th Floor Tower House 10 Southampton Street London WC2E 7HA TEL +44(0)20 7766 6640 EMAIL info@niauk.org

Press Enquiries Sara.Crane@niauk.org TEL 07803 696 786 Advertisement Enquiries Rupert.Lewis@niauk.org 020 7766 6642

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Membership Enquiries Stephanie.McKenna@niauk.org 020 7766 6651

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Cover image: Courtesy of the Nuclear Decommissioning Authority This magazine is printed on 100% post-consumer recycled paper, using vegetable based inks.

THE NDA STORY BY. DEBORAH WARD / NUCLEAR DECOMMISSIONING AUTHORITY

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In the 1940s, the UK began developing nuclear power as part of the Cold War arms race, a scientific drive that led to nuclear generated electricity.

Among the pioneering experiments were the plutoniumproducing Windscale Piles, built by the Government on an old munitions factory site in Cumbria. The site grew into Sellafield and became the heart of an extensive civil nuclear site that today is one of the UK’s toughest decommissioning challenges.

Sellafield also saw the opening of Calder Hall nuclear power station in 1956, one of the world’s first to generate electricity commercially. More followed and today, the 11 similar – but not identical – Magnox-designed power stations are all closed and some early test reactors dismantled. The Nuclear Decommissioning Authority (NDA) is responsible for clearing these together with other historic sites, including research centres, fuel-related plants and, of course, Sellafield, which houses more than 200 nuclear facilities.

The NDA was set up by the Government in 2005 to decommission these 17 sites and bring national coherence to a process that had until then been piecemeal. Its responsibilities were extended to include developing an underground Geological Disposal Facility (GDF) as a permanent repository for UK higher activity radioactive waste. The diverse and experimental nature of this legacy means the task is hugely complex.

The NDA’s annual budget is currently around £3 billion and the 120-year cost projection for completing the mission – adjusted every year – stands at £117 billion. At this future point, the buildings will be cleared, land appropriately remediated and waste safely stored or disposed of.

Workers have now removed the entire bulk stocks of historic nuclear fuel from the Pile Fuel Storage Pond at Sellafield.

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Winfrith site’s iconic Steam Generating Heavy Water Reactor.

For material at the upper end of the radioactivity spectrum, Government policy is to dispose of it in a highly engineered GDF, at a location yet to be identified, through a national consent-led process; established routes are already used for lower-activity wastes.

As a small organisation of around 200 staff, tasked with strategic national oversight and direction rather than hands-on clean-up, the NDA provides funding to Site Licence Companies (SLCs) which manage day-to-day work and are responsible for detailed programmes spanning many decades. The SLCs, with over 16,000 staff, also award the major supply chain contracts, totalling approx. £1.7 billion a year.

The NDA sets stretching targets and monitors performance.

Priorities are safety, protecting people and the environment, while providing taxpayer value.

Sellafield is the most important challenge. The site contains a diverse, hazardous mixture of weapons-related waste and other accumulated material in ponds and silos built decades ago, often with little thought about future dismantling and sometimes based on unusual engineering concepts: the ageing, Pile Fuel Cladding Silo (PFCS) was modelled on US grain silos, for example.

More modern buildings include the world’s first largescale advanced gas-cooled reactor (now decommissioned), THORP and Magnox fuel reprocessing plants, fuel fabrication plants and waste stores. These will eventually be dismantled.

Unsurprisingly, Sellafield, where the major hazards and uncertainties are concentrated, accounts for more than half the NDA’s budget.

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The four ‘Legacy Ponds and Silos’ are seeing major strides forward as years of preparation begin to pay off. At the First Generation Magnox Storage pond, new equipment is enabling large quantities of sludge to be removed and transferred to a packing plant. Bulk fuel and sludge exports are expected to be complete by 2022, massively reducing risks and hazards.

Last December, sludge was transferred from the Pile Fuel Storage Pond for the very first time and moved to a nearby treatment plant before being put into 500-litre drums. The drums are exported to an encapsulation plant, then to storage before eventual GDF disposal.

At the Magnox Swarf Storage Silo, the first Silo Emptying Plant, SEP2, is fully assembled and ready to undergo inactive commissioning before retrieving swarf – metallic cladding removed from Magnox fuel. SEP2 is one of three machines that will scoop out the highly radioactive contents.

Meanwhile, a ground-breaking study into the behaviour of intermediate level waste (ILW) at the silo has found a 22-step process could be replaced by a simpler, safer approach to accelerate retrievals.

At the Pile Fuel Cladding Silo, the last of six highly engineered stainless steel doors has been installed. Holes will be cut behind them, enabling remote grabs to reach in and lift out the contents.

Retrievals are due to begin in 2020.

By 2020, commercial reprocessing of spent fuel will also end and the site will move to full-scale decommissioning, remediation and waste management.

The old Magnox sites are heading to the passive Care and Maintenance (C&M) phase, where near-term decommissioning

is complete, leaving weather-proofed sealed reactor buildings within the perimeter boundaries, plus a waste store and ponds buildings, where appropriate.

Ongoing repairs and maintenance will be carried out by a small team of specialists based at a single location.

Radioactive decay over decades will eventually render final site clearance more straightforward, less hazardous and less expensive. Eventually, the sites will be available for new uses.

The first NDA site to reach C&M, by 2019, will be Bradwell in Essex. Resources have been concentrated here in a programme to capitalise on learning, support accelerated progress elsewhere and maximise efficiency savings.

Recent achievements include demolition of the turbine hall, installation of weather-proof cladding on the reactor buildings, construction of an Interim Storage Facility for ILW, decontamination of the ponds complex and emptying 18 underground waste vaults. More than 40 tonnes of Fuel Element Debris have been dissolved via a nitric acid process, while nearly 100 tonnes were classified for disposal as LLW.

Other Magnox sites are following a similar programme, modified to address their own distinctive features. Each power station incorporated more advanced technologies than its predecessor, bringing greater efficiency but creating such engineering diversity that a single decommissioning blueprint is impossible.

Winfrith, also part of Magnox Ltd, is located on Dorset heathland and was one the UK’s first research sites, building nine experimental reactors. Only two remain and much associated plant is also demolished, while decommissioning continues at Dragon and the Steam Generating Heavy Water Reactor.

When decommissioning is complete and the site reaches its Interim End State in 2023, the heathland will be re-opened to the public, however some controls may remain on accessible areas.

Dounreay is making excellent progress towards closure in the early 2030s, when remaining nuclear fuel will have been removed, redundant buildings cleaned out and the radioactive waste made safe for long-term storage or disposal.

The site houses two experimental fast reactors, the only ones built in the UK:

the Dounreay Fast Reactor (DFR) and Prototype Fast Reactor (PFR).

The DFR team recently completed destruction of the liquid metal sodium and potassium alloy NaK, used to cool the reactor. Around 69 tonnes of highly radioactive NaK was removed over 10 years, before conversion to hydrogen gas and salt water.

It was one of the highest radiological hazards in the NDA estate. Focus now turns to removing 1,000 breeder elements before the reactor is cleaned, dismantled and demolished. Remaining breeder material will be transported to Sellafield for long-term storage or processing.

A GDF is being developed by NDA’s subsidiary, Radioactive Waste Management. Its 100-plus scientists, engineers and other experts are focused on the technical research and international collaboration needed to construct the UK’s facility. RWM is also engaging with communities, regulators, local and national government to build understanding and support the search for a site, to be identified through a voluntary process.

Dounreay encapsulation plant

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Westinghouse assures Summer plant owners Westinghouse Electric Company and Toshiba Corp are committed to completing two AP1000 units under construction in South Carolina. South Carolina Electric & Gas Company (SCE&G) have received this “reaffirmation”.

Toshiba announced it would reduce its exposure to reactor construction projects outside Japan as it might have to write off “several billion” dollars, because of the purchase in 2015 of a US construction firm. SCE&G will monitor Westinghouse and Toshiba’s financial condition and its “effect on their ability to complete the project”.

NuGeneration, Toshiba’s UK joint venture with France’s Engie, said Toshiba was committed to its project to build a nuclear power plant at Moorside, using AP1000 nuclear reactor technology.

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Amano: Positive future for nuclear Nuclear power will play an important role in meeting the world’s future energy needs, International Atomic Energy Agency director general Yukiya Amano told the World Government Summit.

The event is a global platform dedicated to shaping the future of government worldwide, with a focus on how they can

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harness innovation and technology to solve challenges facing humanity.

In a session on the future of nuclear power Amano said “The use of nuclear power looks set to continue to grow in the coming decades,” going on to say 30 countries were considering nuclear to address development and energy security, and help mitigate climate change and they need support in order to use it safely, securely and sustainably.

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Conditional approval for Garoña restart Spain’s nuclear safety regulator (Consejo de Seguridad Nuclear, CSN) granted conditional approval for the restart and continued operation of the Garoña plant, which has been offline for the past four years. Operator Nuclenor would be required to make a number of safety upgrades.

CSN approval came after reviewing documentation submitted by Nuclenor, a joint venture of Endesa and Iberdrola, concluding that “the proposals are acceptable from the point of view of radiation safety and protection, although it is necessary for the licensee to carry out additional actions.”

Nuclenor would be required to make a number of safety modifications, in line with requirements introduced for all Spanish plants following Fukushima.

In addition, the operator is required to undertake a number of administrative procedures regarding documentation and safety plans for Garoña.

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Russia ready to fund entire Paks II project Russia is prepared to provide all of the funding for Hungary’s Paks nuclear power plant expansion project, President Vladimir Putin told journalists in Budapest, following talks with Hungarian Prime Minister Viktor Orban.

An inter-governmental agreement signed in 2014 would see Russian enterprises and their sub-contractors supply two new units at Paks as well as a state loan of up to €10 billion to finance 80% of the project, but Russia is now prepared to finance 100%.

Putin said the project will create 10,000 jobs, improve Hungary’s energy security and help its economy grow.

He also stated Russia places “great importance” on the construction project, being managed by state nuclear corporation Rosatom. Paks currently comprises four Russian-supplied PWRs. The existing plant produces close to 40% of Hungary’s electricity and the launch of the two new units could double this.

The European Commission cleared Hungary’s award of a contract to Rosatom to build the two new units in November 2016, but is still investigating whether the funding amounts to state aid. Orban stated “We are convinced that our agreements are fully in compliance with EU requirements and we very much hope that this year we will be able to begin preparations and go ahead with construction in 2018.”

For more details on these and other stories please visit www.world-nuclear-news.org

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Remembering Lord Jenkin of Roding and Tam Dalyell BY. KEITH PARKER

hile Patrick and Tam were W on opposite sides politically, they shared a strong belief and commitment to the value and importance of science

S

adly, two of the nuclear industry’s longest-standing and most distinguished supporters and advocates in Parliament died within weeks of each other at the turn of the year.

Lord Jenkin of Roding, Patrick Jenkin, died on 20 December 2016, aged 90, and Tam Dalyell died on 26 January 2017, aged 84. Both had long parliamentary careers, Tam Dalyell having been elected to Parliament in 1962 and Patrick Jenkin in 1964.

Tam was Father of the House (the longest serving MP) from 2001-2005 when he left Parliament, while Patrick served as an MP until 1987 before moving to the House of Lords. He retired from the Lords in January 2015.

Patrick Jenkin served in Edward Heath’s government when he was briefly Energy Minister in 1974, and held several Cabinet positions under Margaret Thatcher.

Tam Dalyell never achieved ministerial office, but he was appointed by Michael Foot as Labour’s Spokesman on Science in 1980. He was, however, secretary of the Labour Party Standing Conference on the Sciences from 1962 to 1964, which was the cradle for Harold Wilson’s “white-hot technological revolution” that included the development of the AGR programme, and a member of the first Select Committee on Science and Technology.

Tam was also a Member of the European Parliament from 1975-1979.

While Patrick and Tam were on opposite sides politically, they shared a strong belief and commitment to the value and importance of science, and the need for science to be clearly communicated.

Patrick was the son and grandson of distinguished engineers, and despite claiming never to have had a science lesson in his life, played a prominent role as member of the House of Lords Science and Technology Committee, which published several detailed and influential reports on Radioactive Waste Management policy in the late 1990s and early 2000s, and as President of the Foundation for Science and Technology where nuclear topics were regularly discussed.

Tam was also a strong communicator on scientific topics, and astonishingly contributed a weekly column to the New Scientist from 1967 until his retirement from Parliament in 2005. Both contributed positively and supportively to debates in Parliament on nuclear topics, even when it was unpopular to do so.

Patrick and Tam were strong supporters of the Nuclear Industry Association (NIA), and frequently attended NIA events.

They both participated in overseas trips organised by NIA with the All Party Parliamentary Group on Nuclear Energy, including one memorable, highly informative, and enjoyable trip to Finland to study their achievements both in new nuclear build and in pursuing a successful policy of developing a disposal facility for radioactive waste.

They took the visit very seriously, but also enjoyed the social side swapping highly entertaining stories with their parliamentary colleagues. I was privileged to get to know Patrick and Tam well during my time at NIA, and am grateful for their friendship, and for the wise, sometimes critical, but always productive advice they gave me and colleagues in the NIA and wider industry.

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MEDIA WATCH NEWS

2017 began with speculation about the future of NuGen’s new build project at Moorisde in Cumbria. Toshiba, the main shareholder in NuGen announced in a presentation it is predicting billions of pounds of losses, largely down to its new nuclear business in America. However, it the same breath the company announced it will continue to financially support NuGen and “as planned from the beginning” will seek to sell shares in the project.

Following the positive announcement, NuGen CEO, Tom Samson said, “The project has made significant progress since Toshiba took over as a major shareholder in 2014. The site has already been proven as suitable for three Westinghouse AP1000® reactors, [and] two phases of consultation have found the public overwhelmingly supportive.”

Contractual challenges in nuclear new build

It goes without saying participants in the nuclear supply chain need to go through a number of hoops to ensure they have the requisite technical capability and professional qualification to operate in the nuclear environment.

Once this hurdle has been cleared, there are then commercial and legal challenges to overcome. Understanding what is specific to the nuclear environment, what is normal in the sector and where you sit in the market – sole provider or one of many – will inf luence the extent to which you can make headway in your negotiations with the giant corporate machines that are EDF Energy, Horizon and Nugen.

With those factors in mind, there are some key questions you should address and keep under review during your negotiations: →→To

The NIA’s Head of Policy, Peter Haslam appeared on BBC Radio Cumbria to discuss Toshiba’s public commitment to Moorside and the NIA’s comment on the issue appeared in The Financial Times, The Sun, The Daily Telegraph, BBC and in regional and trade press.

what extent can I accept risk? What risks can be managed or mitigated by my insurance and/or by good project management?

→→Do

my company’s processes and procedures need to be adapted to ensure contractual and regulatory compliance?

→→ What are the key commercial blocking points that cannot

Government announced they intend to withdrawal the UK from Euratom when the UK leaves the EU - read about Euratom on page 21.

Following the announcement Tom Greatrex explained, “It is vital the Government agrees transitional arrangements, to give the UK time to negotiate and complete new agreements with EU member states and third countries including the US, Japan and Canada who have Nuclear Cooperation Agreements within the Euratom framework. The UK should remain a member of Euratom until these arrangements are put in place.”

Jade Leonard, a welding engineer working at the Sellafield site appeared on the BBC News website responding to the Institution of Engineering and Technology’s warning that parents should avoid gender-stereotyped Christmas presents.

Talking to the BBC she explained, “Growing up I adored my Barbies, my dolls, dressing up, make up and all things girly.

None of this influenced my decision to get a maths degree or my BEng. “Love, encouragement and reassurance of what I was good at from my parents, sister and school teachers did. This gave me the confidence to go for what I wanted to do, whether I liked the colour pink or not!”

Staying in Cumbria, Bloomberg TV travelled to Sellafield to look at some of the robots that are helping the challenging decommissioning mission on site. In conversation with Rebecca Weston, Sellafield’s Technical Director, explains the site was never “designed for decommissioning” and the challenge is how “we get material out of places where it was never designed to be removed from.”

The reporter focuses on the robots at the National Nuclear Laboratory, Createc and Forth Engineering.

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be agreed? →→ What are the “show stoppers” that would make me walk away?

Your negotiation strategy should identify what is purely commercial, what is regulatory or technical, and what is essential for the operation of the project, the former having most scope for negotiation.

In such a heavily regulated environment, there are some contractual aspects which will be non-negotiable. Site licence holders (employers) will need to show their “intelligent customer” capability, demonstrating their ability to control activities relating to the project, on and off site, for work it commissions externally. They will try and do this through: →→Supply

chain visibility: sub-contractors of all tiers will be subject to approval, inspection and audit.

→→Supply

chain access: the employer will want key subcontractor collateral warranties with step-in rights to ensure continuation of safety-critical activities post termination of your contract.

→→Intellectual

property: IP licences will need to cover all design documentation for the lifetime of the plant to facilitate design, construction, operation and decommissioning. These licences will need to be irrevocable.

→→Nuclear

Site Licence and security compliance: you will be required to unequivocally adhere to all site health and safety and security requirements laid down by the employer.

→→Document

approval process: no action = no approval. An employer must demonstrate control and cannot be deemed to have accepted or approved documents through the lapse of time.

Rather than trying to avoid obligations, your focus should be on supply chain management (with its associated cost), along with ensuring you have appropriate remedies to recover costs and receive extensions of time.

There are areas where the employer will have some f lexibility – albeit this may not be initially apparent! →→Payment

profiles and the extent to which the employer may withhold payment

→→Scope

of the IP licence (is it limited to the specific project/site/unit?) and the extent of liability for infringement

→→Interface

responsibility and the extent to which the employer can pass through the consequences of interface failures, e.g. can other contractor’s claims be passed to the defaulting contractor

→→Your

obligation to work at risk, e.g. to carry out variations prior to agreement on cost

→→Compensation

on termination

→→ Limitation of liability, caps and exclusions

A significant amount of negotiating time is taken up on liability limitations.

It is common ground that indirect loss or damage, including loss of profit, revenue, opportunity or contract is excluded. The level of cap and exclusions are subject to negotiation and it is in this area where those in the fortunate position of being a sole or technically/commercially preferred bidder will find there is room for movement.

And lastly, there are some elements which are neither regulatory nor purely commercial and which, on projects the size and complexity of nuclear new build,

will require uniformity across the tens, if not hundreds, of contracts involved in the project. There is little point in arguing about processes such as document management, early warning and dispute resolution. Factor the administrative cost of these into your price because for projects of this type, there really does need to be a one size fits all approach.

In summary, be realistic, prioritise your issues and pick your battles – good luck!

CAROL CLOUGHLEY Legal Director, Bird & Bird carol.cloughley@ twobirds.com

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Progress at Hinkley Point C BY. SARA CRANE

“ THE PROJECT IS MAKING GOOD PROGRESS AND IS ALREADY DELIVERING SIGNIFICANT BENEFITS TO THE NATIONAL AND REGIONAL ECONOMY, CREATING JOBS AND BOOSTING SKILLS AND INDUSTRIAL CAPACITY.”

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IN 2016, AT PEAK THERE WERE 1,314 WORKERS ON SITE, 133,138 MEALS WERE SERVED, 14,420 PEOPLE VISITED THE SITE AND 20,875 DELIVERIES WERE COLLECTED ON SITE. Back in May 2016, the archaeological excavations were completed, in April the second batching plant was commissioned, meaning concrete could now be produced on site and in July the remediation works were completed.

In October 2016, dewatering began on site to enable deep dig excavation works, and in November the WaveWalker 1 arrived along with the Furgo 1200 barge to enable work to begin on the temporary jetty In the same month, the spray batching plant, which will produce a finer quality of concrete to be sprayed on to slopes, entered commissioning phase. And work on the decoupling wall is progressing well and on schedule, which means the deep dig excavations and the construction of the sea wall can take place at the same time.

This brief synopsis really only covers a fraction of the work completed on site and keep up to date on the Hinkley Point C website - www.edfenergy.com/ hinkley-point-c.

Looking to 2017, there are more than 1,200 people on site every day and the project is now in full swing. A series of goals for the next 12 months have been set out, including the start of HPC site

accommodation campus, first Safety Related Concrete in Gallery, completion of East Welfare building and commence the installation of CRF seawater cooling pipes.

All of this news came weeks after EDF Energy announced their financial results for 2016. Within the results, the company announced the output of the UK’s nuclear fleet in 2016 was 65.1TWh, an increase of 4.5TWh on the previous year and the highest achieved since 2003.

Back to Hinkley and new nuclear, EDF Energy also explained it had invested £860 million in its new nuclear business in 2016 alone.

Commenting, EDF Energy CEO Vincent de Rivaz said, “Our new nuclear power station at Hinkley Point C will play a vital role as the UK continues to make the transition away from fossil fuels. The project is making good progress and is already delivering significant benefits to the national and regional economy, creating jobs and boosting skills and industrial capacity.”

All images courtesy of EDF Energy — www.edfenergy.com/energy

The main construction at Hinkley Point C (HPC) was granted its official lift off by EDF’s Board and later by the British Government last October, but preparation work has been underway on site long before the project’s final investment decision was confirmed.

The 25,000 estimated jobs and 7% of electricity Hinkley will create and provide are no doubt imprinted on many of our reader’s brains, they certainly are on mine.

But, the statistics of progress on this 10 year project are equally staggering.

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Building UK—Japan partnerships and R&D we will all benefit from the opportunities created.”

NuGeneration and Horizon Nuclear Power also welcomed the forum and the opportunity it gave for UK and Japanese companies to meet and explore business opportunities.

“Both countries are at the leading edge of the nuclear industry, have a wealth of experience and have a great deal to offer each other in helping progress projects such as Moorside,” said NuGen CEO, Tom Samson.

“Increasing collaboration between Japanese, Welsh and UK suppliers will bring huge opportunities across the industries in all three countries”, said Shunsuke Utena, Managing Director of Hitachi Nuclear Energy Europe, Ltd. and Executive Management Board member, Menter Newydd.

He added, “Companies can pool their expertise to complement one another, strengthening their offering to Wylfa Newydd, to their benefit and to

ours. There are already positive signs of flourishing partnerships and we’re working with suppliers to encourage further progress.”

The event was jointly organised by the Nuclear Industry Association, the Japan Atomic Industry Forum, the Department for International Trade and the British Embassy. Dr Keith Franklin MBE, First Secretary (Nuclear), currently on secondment from the UK’s National Nuclear Laboratory to the Department for International Trade at the British Embassy in Tokyo said: “This forum is an example of how Government agreements, and strong support from the Department for Business, Energy and Industrial Strategy and the Department for International Trade can lead to real business benefits for the UK.” “The past five years has seen the UK and Japan grow ever closer in the field of civil nuclear energy, and we are very pleased to be able to support this event.”

British Embassy in Tokyo © UK in Japan- FCO (CC BY 2.0) — https://www.gov.uk/government/world/organisations/british-embassy-tokyo

More than 100 nuclear companies, government officials, trade associations, and wider stakeholders joined forces at a UK-Japan Industry Forum in Tokyo designed to help build partnerships between the two countries.

Building on the Memorandum of Co-operation signed by the UK’s Energy Secretary, Greg Clark and Japan’s Minister of Economy, Trade and Industry, Hiroshige Seko in December 2016, the event focused on developing relationships, sharing knowledge and best practice, all to help deliver nuclear projects in the UK and Japan.

Tom Greatrex, NIA Chief Executive, spoke at the event and commenting on the forum he said, “At a time when there is greater interest and focus on demonstrating the strengths of British industry and taking that to the wider world, as signified by the recent Memorandum of Cooperation signed by both countries, our aim is that through building increased partnerships across new build, decommissioning

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China – the global nuclear powerhouse

CNC

Civil Nuclear Course

BY. REBECCA THORINGTON

A 5-day course covering the principles and technology associated with: Advanced Boiling Water Reactor (ABWR) Pressurised Water Reactor (PWR) Advanced Gas-cooled Reactor (AGR) Gen IV and Fusion EPR and AGR Simulators are used to consolidate knowledge throughout the course.

The CNC is delivered by STS Nuclear in partnership with EDF Energy at their Cannington Court Campus near Bridgwater, Somerset.

For more information: call 02392 424 320 or email enquiries.nuclear@sts-nuclear.com

C

hina has one of the world’s fastest growing economies, is home to 1.4 billion people and by 2035 is expected to account for 25% of global energy consumption.

However, the problem in meeting the inevitable increase in demand for energy is that currently 73% of the country’s electricity is generated by polluting fossil fuel plants and the rate of required change is not environmentally sustainable.

As a result, Chinese policy towards tackling carbon emissions, energy efficiency and innovation has changed dramatically.

Take its nuclear advancement. China is relatively new to the sector; it first commissioned reactors in the 1980s and the recent nuclear drive only began in 2005 but it is now in full swing. Last year alone, China increased its nuclear capacity by almost 30%, and this trend is due to continue. BP’s Energy Outlook report has predicted nuclear capacity in China will rise by 827% by 2035.

There are currently 61 reactors planned or under construction and the focus is on pressurised water reactors, primarily the Chinese CPR-1000 and American AP1000 designs. A further 170 reactors are being planned for, along the coast and inland.

To achieve this huge growth in nuclear generation, China plans to construct eight reactors every year for the next five years. Astonishingly, the Chinese industry has confirmed it could manufacture in-house all these planned constructions.

Originally China’s reactor technology was drawn from France, Canada and Russia. Yet less than 40 years since its first nuclear reactor construction, China plans to become the largest global exporter of nuclear technology and capabilities with plans across South America, Asia and Europe – including at Bradwell in the UK.

A key aspect of China’s nuclear policy is to develop innovative energy technologies. One of the most exciting technologies is a f loating nuclear power plant. This relatively small modular reactor with a 200 MW capacity has the potential to sail to specific sites and anchor offshore to produce power.

It could supply electricity, be used for heat and desalination and move between islands and coastal areas. A floating reactor could support a variety of applications including emergency power and support for offshore oil and gas exploration.

Surprisingly, the Chinese industry isn’t all about new build. The decommissioning sector will be heavily developed in the near future and China is planning to develop a closed fuel cycle. Nuclear fuel will be reprocessed and then used as a future fuel source, giving greater fuel supply security.

One of the most significant plans is the construction of a reprocessing plant for used fuel. China is currently selecting a site for the facility and expects it to be completed in 2030.

Future nuclear generation in China looks to use the existing infrastructure of coal power. China announced plans to turn existing coal plant infrastructure into operating nuclear facilities. The pebble-bed technology, which uses nuclear fuel in the form of micro-fuel pellets, could offer a retrofit of coal power sites whilst generating low carbon energy. The initial concern of cost of fuel is outweighed by the number of existing coal power plants available in China, which could reduce costs.

China’s nuclear programme is fast becoming a force to be reckoned with. It has extensive in-house expertise and capability across new build and plans to develop reprocessing and decommissioning sectors. It looks like China has no plans to slow down its growth in nuclear power.

2017 | SPRING — 13

IN VIEW

Outokumpu’s steel is Fit for Nuclear Outokumpu is Europe’s largest manufacturer of stainless steels, producing over two million tonnes per year of slab, plate, sheet, bar and rod in a wide range of sizes and grades.

Outokumpu’s steels are used worldwide in the nuclear supply chain from new build to waste management and storage, and the steelmaking facility in Sheffield depicted here has a long history of stainless steel manufacture. The plant holds an ASME III (nuclear) accreditation for materials and the company’s existing RCC-M experience was recently reinforced by a successful Bureau Veritas capability assessment of this plant.

On the same site, the Outokumpu Distribution service centre processes plate, coils and sheet to bespoke shapes & sizes using slitting, cut-to-length, plasma, laser and waterjet cutting facilities. This unit has recently been through the Fit For Nuclear programme, gaining Fit For Nuclear status in 2016.

14 — SPRING | 2017

2017 | SPRING — 15

Production of semi-finished stainless steel at SMACC in Sheffield © Outokumpu — www.outokumpu.com

S

tephen Henwood is preparing to step down as the Nuclear Decommissioning Authority’s (NDA) Chairman after nine years and three full terms of office.

He first became involved with the NDA in 2008, when it was a relatively new organisation, setting out to address the challenge of dismantling 17 sites and dealing with large quantities of radioactive waste.

In conversation with Industry Link, Stephen explained, “The challenge was huge and it was important to break down the numerous tasks, understand them separately, then begin to build an overall plan. We set a planning framework and put together a corporate plan and operating plan, in addition to the statutory requirement for a strategy and annual business plan.

These were all extremely valuable in providing a solid structure and targets.”

During his first year, he visited every site, building a picture of the wide range of complexities. Setting a baseline for subsequent visits, and understanding the reality of progress achieved.

“Plants were being kept safe and secure but Sellafield, for instance, was more of an operational facility while Magnox was effectively a fleet of independent stations. There were few common techniques or shared tools. We have made tremendous strides since then.”

The development of a single coherent strategy on decommissioning nuclear facilities was new for the UK, where the old stateowned sites had historically operated as separate entities.

Another significant achievement was defining how the diverse range of sites should be managed, and awarding a series of fixedterm ownership contracts to enhance the role of the private sector.

The aim is to accelerate progress while prioritising safety and cost-effectiveness through competitive markets, which have introduced global expertise and innovation. Each major contract was shaped differently, modified according to circumstances and experience.

The Low Level Waste Repository was opened to a bid process and, eventually, handed the task of defining a low level waste strategy for the whole UK. “This worked extremely well and has produced a high level of waste diversion away from the repository, saved many millions of pounds and extended the life of the facility significantly.”

The Springfields and Capenhurst fuel plants were transferred to the private sector on long-term leases while Sellafield, Dounreay, the Magnox sites as well as the Harwell and Winfrith research sites were subject to a competitive

process. The Sellafield contract was subsequently replaced and the Site Licence Company became a wholly owned subsidiary of the NDA. “The Sellafield model change was an important milestone.

We were fortunate to have good Non-Executive Directors who worked well together and with the executive team – it was a good outcome. However, the model change is the start of a journey to improved performance and greater efficiencies.”

Emerging relatively intact from several government spending rounds was also an achievement, a tribute to many months of hard collaborative work between the NDA, the SLCs and regulators.

“Our response to the requirement for savings was positive: we embraced the process and examined our options. We worked with Government, our SLCs and the regulators - and the Treasury appreciated that we were willing to address the challenges.”

Stephen has clearly taken personal satisfaction from onthe-ground progress across the estate but particularly at the most hazardous Sellafield plants, where bulk waste retrievals are now under way. The disposal of surplus assets, including large tracts land adjoining NDA sites, via an electronic auction was another highlight, securing hundreds of millions of pounds and freeing up land for new build developers.

He is also proud that the NDA recognises its responsibility to communities, especially where its sites have been the dominant employer, and is supporting regeneration initiatives.

In 2013, Stephen was made a Commander of the Order of the British Empire (CBE) in the New Year Honours list, in recognition of his services to the nuclear industry and charity.

Looking to the future, Tom Smith will take over from Stephen in March. He’s a former diplomat and Member of the Institute of Directors and has been an NDA Non-Executive Director since 2013.

Commenting on the new role, Tom has said, “It is a privilege to be taking up this post with the NDA, which through a highly skilled workforce, cutting-edge innovation and strong utilisation of the UK supply chain, is making good progress on delivering its exceptionally challenging mission.”

As Stephen departs, the clean-up challenge remains substantial, stretching well into the next century, but he is confident the pieces are now in place to drive forward major progress. Hazards are being reduced almost every day and every pound spent is aimed at providing the taxpayer with value.

Looking back with Stephen Henwood 16 — SPRING | 2017

NUSCALE POWER: AN SMR OPPORTUNITY FOR THE UK |

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Technology overview

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We also see our technology being manufactured, deployed and generating electricity in the UK within a similar timeframe.

2017 | SPRING — 17

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With the backing of our major investor, Fluor Corporation we expect to be generating for our first U.S. customer by the mid-2020s.

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Up to 12 of our 50 MWe NuScale Power Modules can be installed in a single facility, generating up to 600 MWe of reliable, cost-competitive, low carbon energy.

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NuScale Power is one of the world’s most advanced developers of small modular reactor (SMR) technology, bringing scalability, flexibility and factory fabrication to nuclear energy.

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Nuclear women who conference

February saw Women in Nuclear UK hold its third annual conference in London.

More than 200 people from across the industry joined together to discuss this important issue during the morning plenary session, which was followed by practical workshops in the afternoon.

The key theme of the event was around The Big Questions. The first session looked at whether diversity led to better business decisions which result in better business performance?

In his opening statement, NuGen’s CEO, Tom Samson said: “This is going to be the shortest presentation ever, yes!” adding, “leveraging experience and information from diverse sources leads to more opportunity.”

However, Kathryn Nawrockyi, Director of Gender Equality at Business in the Community cautioned that industry’s diversity plans may not be so diverse: “The focus tends to be on white middle class women and we need to amplify the voices of other demographics,” as otherwise we will miss the wider group.

“There’s an important parallel which can be drawn with safety culture,” said Leon Flexman, Head of Corporate Affairs at Horizon during the Question Time session, expanding he said having a vision statement, the buy in of all of the organisations leadership team, practical steps can be introduced, measured and action taken when they go off track.

The WiN UK Executive Board also presented two awards for the first time at the event.

Baroness Verma, previously Parliamentary Under-Secretary of State at DECC was awarded Champion of the Year for her help and assistance in helping the organisation in its earliest days, and Olivia Thompson, Business Manager at the National Nuclear Laboratory was awarded the Mission Possible award for her contribution to the WiN UK Executive Board.

18 — SPRING | 2017

“The WiN UK Executive Committee voted unanimously for Olivia to be recognised with the Mission Possible Award. She showed great determination in getting the word out to schools and colleges about the fantastic careers available in the nuclear sector and made sure all the young people she spoke to understand the nuclear industry isn’t just for boys.”

All images courtesy of Marick Communications Ltd — www.marickpartners.co.uk

Jack Gritt President of Women in Nuclear UK

2017 | SPRING — 19

Shaping the UK’s nuclear future

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iven some of our perceived past experience, putting the words industrial and strategy together has made Governments nervous. Fear about “picking winners” has often meant timidity about seeking to maximise UK content in infrastructure projects, or growing strategically important industries.

While the referendum result may have driven greater government interest in returning to a more active industrial policy, the current Green Paper, now being consulted on, has been welcomed by many business voices, and with so much to do in replacing retiring generation capacity in a relatively short period of time, then the energy sector generally - and nuclear particularly - has much it can do to contribute to that desire to see jobs, growth and economic activity spread more broadly across the country.

When the global economic downturn in 2007-8 precipitated a more interventionist approach to industrial policy, a real success was the remarkable growth of the UK’s automotive industry. The key to that progress was how industry and Government worked together to draw up a long term approach to grow the sector, and to agree where the industry could collaborate and government policy could support.

Adopting a similar approach in electricity generation makes a lot of sense. Ultimately because the new build market is driven by public policy, and new nuclear is a specific area where a long term approach is required, then that type of partnership is crucially important.

However, the strategy isn’t just about helping to deliver new build. The Green Paper also focuses on investing in science, research and innovation, it highlights “shortages in particular specialisms – such as those faced by the nuclear industry”, and pinpoints the UK nuclear decommissioning expertise as a leading industry Government can support, to help it “win a substantial share of global markets.”

The Government has already highlighted a number of areas to drive the industrial strategy which is based around 10 pillars, and the nuclear industry must now demonstrate what it can bring to the party rather than just a publish list of demands and expect a blank cheque. And looking at the pillars, the nuclear industry fits perfectly into the wider strategy.

Nuclear R&D is already helping to build the UK’s science base; industry is working to develop its skills; new build developers are upgrading energy infrastructure; the

20 — SPRING | 2017

decommissioning sector is exporting its skills and experience all over the world; the sector is already generating clean energy and the industry drives growth across the country helping to negate the UK’s regional economic imbalance.

We are currently drafting our own response to the strategy, focusing on these key priorities but our members and the rest of the nuclear cast must engage in this process to ensure it comes to fruition and is effective.

As part of the Industrial Strategy, the Government has also launched a ‘sector deal’ initiative and nuclear is one sector which has been earmarked for such a deal. The NIA’s Chairman, Lord Hutton will lead on this work and he will be directed by the Nuclear Industry Council which met on 22 February.

More information about Lord Hutton’s work will be publicised in due course and members of the NIA team will be out and about looking for comments at regional events to feedback on his work and help support the NIA’s own detailed consultation response.

The consultation submission is being drafted now and will be sent out to members for comment in March ahead of the 17 April deadline. To help support our submission please use the 10 pillars on the following page as headings for your own information and send it through to our Head of Policy – peter.haslam@niauk.org.

While the catalyst for this latest Government interest in an industrial strategy was probably the referendum result and the Government’s need to establish a positive outlook for the UK outside the EU, it is welcome none the less.

For industry, we need to make the most of this opportunity to inform, shape and drive our long term future, and help give confidence to the re-emerging view that a strong industrial strategy can be a force for good.

TOM GREATREX Chief Executive, Nuclear Industry Association tom.greatrex@niauk.org

Ten Key Pillars:

1. Investing in science, research and innovation – we must become a more innovative economy and do more to commercialise our world leading science base to drive growth across the UK.

2. D eveloping skills – we must help people and businesses to thrive by: ensuring everyone has the basic skills needed in a modern economy; building a new system of technical education to benefit people who do not go to university; boosting STEM (science, technology, engineering and maths) skills, digital skills and numeracy; and by raising skill levels in lagging areas.

3. U pgrading infrastructure – we must upgrade our standards of performance on digital, energy, transport, water and f lood defence infrastructure, and better align central government infrastructure investment with local growth priorities.

4. S upporting businesses to start and grow – we must ensure that businesses across the UK can access the finance and management skills they need to grow; and we must create the right conditions for companies to invest for the long term.

5. I mproving procurement – we must use strategic Government procurement to drive innovation and enable the development of UK supply chains.

6. E ncouraging trade and inward investment – Government policy can help boost productivity and growth across our economy, including by increasing competition and helping to bring new ways of doing things to the UK.

7. D elivering affordable energy and clean growth – we need to keep costs down for businesses, and secure the economic benefits of a low-carbon economy.

8. C ultivating world-leading sectors – we must build on our areas of competitive advantage, and help new sectors to f lourish, in many cases challenging existing institutions and incumbents.

9. D riving growth across the whole country – we will create a framework to build on the particular strengths of different places and address factors that hold places back – whether it is investing in key infrastructure projects to encourage growth, increasing skill levels, or backing local innovation strengths.

10. C reating the right institutions to bring together sectors and places – we will consider the best structures to support people, industries and places. There may be missing institutions we could create, or existing ones we could strengthen, be they local civic or educational institutions, trade associations or financial networks.

SNAPSHOT

Euratom – What is it?

BY. RUPERT LEWIS

The referendum on 23 June 2016 answered one question and the UK will leave the European Union, the question now is how?

May’s speech at Lancaster House and the Government’s White Paper spelt out some information, but in truth there isn’t much detail. There also appeared to be even less information in the 133 word EU Withdrawal Bill that gives the Prime Minister permission to trigger Article 50.

But, in the explanatory notes it was referenced that the Bill also gives the Government power to withdraw from the European Atomic Energy Community (Euratom). For the nuclear industry this decision raises a number of issues.

Founded by the Treaties of Rome 1957, Euratom was set up to create a European market for nuclear power. It established a common market in nuclear goods, services, capital and people within the EU.

Importantly, over time it has established Nuclear Co-operation Agreements that enable trade with eight nuclear nations outside of the EU, including Australia, Canada, Japan and the US. Euratom also facilitates and funds nuclear R&D projects on behalf of the UK and other member states, notably the ITER and JET fusion programmes.

At present, the UK’s international nuclear compliance is also dependent on its membership of Euratom. Euratom employees across the UK’s nuclear sites, under the jurisdiction of the IAEA, verify that nuclear material is where it should be and that is being used for its intended purpose.

To be clear this is not about the safety of nuclear reactors or the people on site – all safety inspections at nuclear sites are carried out by the UK’s independent Office for Nuclear Regulation.

All of this illustrates that without a replacement deal for Euratom or flexibility around when the UK leaves the EU, the UK’s nuclear industry faces a number of challenges.

There is certainly no need to panic at this stage. At the time of writing, Article 50 hadn’t been triggered, and the UK has at least two years to negotiate a new deal or a transitional arrangement to allow more time to solve the concerns around the withdrawal from Euratom.

In the Government’s White Paper it is explained that Euratom is “an important priority” during the negotiation and “the nuclear industry remains of key strategic importance”. These words are encouraging but industry will need clarity on the issue as soon as possible to maintain investment and ensure the UK’s burgeoning nuclear renaissance doesn’t falter.

2017 | SPRING — 21

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Government launches nuclear cyber security strategy

R

esponding to fears of a cyber-attack on the UK’s Critical National Infrastructure the Government has launched a strategy to improve the resilience of the nuclear sector against an attack.

The Civil Nuclear Cyber Security Strategy is a five year plan which sets out what cyber risks will be addressed and the responsibility for action. It sets out key commitments and recommendations for all involved in the nuclear industry [see box] to ensure, “the civil nuclear sector is able to defend against, recover from, and is resilient to evolving cyber threats.”

The NIA has been following the issue of cyber security for some time and has run a series of workshops to raise awareness of this important issue among the supply chain.

“We welcome the Government’s strategy which will help to raise awareness of this issue and the threat it can pose to businesses” said Peter Haslam, Head of Policy at the NIA. “This strategy aligns with the NIA’s own work in raising awareness of this important issue with the nuclear supply chain, and we will continue to work alongside the Government and the regulator to reduce this risk”, he added.

The digital economy is vital for businesses – especially those in the supply chain as a way to reach new customers – and with plans progressing for the next generation of new power stations, maintaining public confidence in their cyber resilience will be an important step.

22 — SPRING | 2017

“For this to be achieved the civil nuclear sector needs to work as a partnership between the Government, regulator and industry, with clear roles and responsibilities which are understood and agreed,” the report states.

Cyber threats have been highlighted as one of the most serious national security challenges in the 2015 National Security NATIONAL CYBER SECURITY Strategy and the Strategic STRATEGY 2016-2021 Defence Security Review showing the importance of keeping ahead of evolving threats.

With recent high profile cyber attacks on big business such as TalkTalk showing the scale of damage that a single successful cyberattack can inf lict, taking the issue seriously is of critical importance for isit www.gov.uk/government/ industries and businesses Vpublications/national-cyber-securityof all sizes. strategy-2016-to-2021.

000001101111011001100010000001000111011000010 111011110010010000001010011011001010110001101 Our commitment to the Civil 110110111001110011011010010110010001100101011 Nuclear Cyber Security Strategy 000100000010000110110100001101001011011100110 011100000110000101110100011010010110111101101 To work in partnership to transform the UK civil nuclear 110001101101100011001010110000101110010000010 sector’s approach to cyber security (the ability to deter and 111010000101100001000000100010001101001011100 protect against a cyber attack) and its cyber resilience (the ability to detect, contain, mitigate the effects of, defeat and 100010001001110010000010010000001000101011011 recover from a cyber attack).

110010001000000110111101100110001000000100111 000000100011101110010011011110111010101110000 010101100011011101010111001001101001011101000 The UK civil nuclear duty holders will: 010011001010111001000100000011011110110011000 →→ Establish and sustain robust, effective, agile and assurable 000110100101110100011101010111010001100101001 cyber security governance arrangements 101110010001000000101001101100101011000110111 →→ Undertake appropriate risk management processes that 101100011011101000110111101100010011001010111 pre-emptively reduce the associated risks 101110010001000000110100101110011001000000110 →→ Increase the sector’s capability and capacity to understand and manage cyber security risks where required 101100010011000010110110000100000011011010110 → → Ensure that known cyber security vulnerabilities are 101110010011010010110111001100111001000000110 mitigated, so far as is reasonably practicable 001101100011001010010110000100000011100110110 →→ Ensure that they are resilient to, and defend themselves 011110010010000001101111011001100010000001100 against, evolving cyber threats 111100100100000011001100110111101110010001000 →→ Work with their supply chain to support and encourage them 110110011010010111010001100001011011000010110 to manage and mitigate their cyber vulnerabilities 011010111001001100101011011000110100101100001 The UK civil nuclear supply chain will: 111101110010011101000110010101100100001000000 111011100110110100101101110011001110010000001 →→ Increase its capability and capacity to understand and 000010000001100101011000110110111101101110011 manage cyber security risks where required 101101100011010010111010001101001011000110110 →→ Ensure that they have processes in place to notify duty holders of cyber incidents or vulnerabilities 011010000110010100100000010101010100101111100 →→ Ensure that known cyber security vulnerabilities are 110010000100000011100000111001001101111011001 mitigated, so far as is reasonably practicable 100101011101110010000001101110011101010110001 →→ Undertake appropriate risk management processes that 000000111000001101100011000010110111001110100 pre-emptively reduce the associated risks 001110010000001110111011010010111010001101000 110011110001010000000100110010111001100100000 HM Government will: 010010110111001110100001000000100001100100000 →→ Enable cyber transformation by the UK civil nuclear sector 010010110110001101100001000000110100001100101 →→ Contribute to, and influence international and national policy,

guidance and regulation for the good and benefit of all

→→ Provide an appropriate national and civil nuclear sector

policy and regulatory framework

→→ Provide timely threat and vulnerability intelligence to

stakeholders

→→ Use National Cyber Security Programme funding to support

the overall purpose, aims and responsibilities of this strategy

→→ Lead the management of major cyber security incidents that

are both serious and affect more than one member of the UK civil nuclear sector

The Office for Nuclear Regulation and Information Commissioner will: →→ Enable cyber transformation by the UK civil nuclear sector →→ Develop and implement outcome focussed regulation of

cyber security and cyber resilience

→→ Adopt a proportionate, accountable, consistent, targeted,

and transparent approach to regulation, in accordance with The Regulators Code →→ Hold the civil nuclear sector to account, on behalf of the public, for delivery of a safe, secure civil nuclear sector →→ Contribute to and influence international and national policy guidance and regulation

The Twittersphere BY. RUPERT LEWIS

Back in February, a footballer was accused of applauding the opposition fans after his own team had just been hammered 5-1. Retweeted more than 6,000 times, the accusation was false – he was in fact applauding his own fans. And while the journalist did correct his error, it was too late and his correction fell on deaf ears, only retweeted nine times. This isn’t too bold a prediction, but I’m fairly certain ‘fake news’ will be one of the defining phrases of 2017.

Just watch President Trump’s press conferences (and if you haven’t, you really must; slightly frightening, very entertaining) and see that every time a CNN reporter gets about a third of the way into their question he accuses them of “fake news” and the dismissive phrase is now levelled against any information on social media that the accuser disagrees with.

There has always been the old adage you should never let the truth get in the way of a good story, and with it being so easy for literally anyone to share their ‘blogs, articles and reports’, so called fake news, free of facts and reason is everywhere. For the nuclear industry this presents a particularly difficult issue.

The industry has always been an easy target for fake news, because of the ideological hatred towards it in some quarters and many of those Who to follow? with this mind-set will do Want information on nuclear anything to destabilise the and other relevant topics? nuclear renaissance.

This issue we recommend For instance just recently you follow: some exclaimed the UK’s withdrawal from Euratom (see page 21) would lead to @NuScale_UK the industry becoming “less @abelimray safe” and the UK’s nuclear @CammellLaird accident liability is covered by our EU membership.

Both are rubbish. The UK’s own independent regulator reviews the safety of nuclear workers and the sites. While obviously important, Euratom only covers safeguarding, under international IAEA rulings, and it is about checking nuclear materials are in the right place and being used as intended, as part of non-proliferation agreements.

On the second point, the UK’s nuclear accident liability arrangements are governed by international conventions, not by the EU. While niche, these false accusations levelled at the industry have the potential to evolve into simple headlines about the safety of the industry.

In an era when 140 characters can ruin reputations and wipe millions of the stock market, it is now more important than ever to be armed with the truth.

Twitter Count Followers: 4,456 Tweets: 6,365

@NIAUK

@_PaulHayward: Sums up Arsenal’s dreadful night that Alex OxladeChamberlain is on the pitch on his own clapping the wrong fans.

2017 | SPRING — 23

NEWS IN BRIEF

Hualong reactor enters GDA

In January, the Government asked the UK’s independent regulator to begin the Generic Design Assessment process for the UK HPR1000 reactor. The reactor design which has been earmarked for a new nuclear development headed up by China General Nuclear (CGN) at Bradwell in Essex.

As part of the Hinkley Point C programme, which CGN agreed to take a 33.5% stake in, CGN has the rights to develop at the existing nuclear site at Bradwell.

In a written statement to Parliament, Energy Minister, Jesse Norman MP explained this “underlines the fact that international companies continue to view investment in the UK’s low-carbon energy future positively”.

In a joint statement, EDF Energy and CGN said the request to regulators “marks a first step in the robust and thorough process” to seek permission to build a nuclear power plant at Bradwell. In the statement they also explained the project is at an

Radioactive sludge moved to modern stage for first time

24 — SPRING | 2017

early pre-planning stage which will involve years of investigative works and public consultations before detailed proposals are produced allowing a planning application to be made.

Zhu Minhong, General Manager of CGN UK added, “The robust independence of the UK’s regulators is seen across the world as a key strength for nuclear in Britain. This is a quality which we value and respect. CGN and EDF will bring to this enterprise their joint experience in China, Britain and France over many years.”

Humphrey Cadoux-Hudson, EDF Energy’s Managing Director of nuclear new build, commented, “EDF will bring invaluable experience gained from the approval process for Hinkley Point C’s EPR reactors and from our continuing work with the UK’s independent regulators.

“Both EDF and CGN will also be listening carefully to the community around Bradwell before we draw up detailed proposals for the development of the new power station.”

Radioactive sludge from the world’s oldest nuclear storage pond at Sellafield has been moved and packaged within a modern store, ready for long-term disposal.

Speaking about the removal, Eric Bowe, Head of encapsulation plants at Sellafield Ltd said, “This is a great achievement for us; it is the first drum of historic sludge to be encapsulated and stored ready for long term storage.

“This is one of the first examples of a legacy facility producing a waste ready for a geological disposal facility – it’s a cradle-to-grave solution.”

The ‘cradle-to-grave solution’ will now see the sludge grouted and processed into a safe storage state at its new home ready for final disposal.

Sludge is a mud-like substance which is a by-product formed by the decaying of nuclear fuel, natural growing algae and other debris. The removal of all the sludge from the pond will take several years and then the facility can be safely decommissioned.

The 100-metre long pond was originally used to store the nuclear fuel used to make atomic weapons and was built 65 years ago.

Today, this project to remove the sludge is being delivered 10 years ahead of schedule and for half of the predicted cost of £200 million. A 10-year project to dewater the pond will start in 2019, while sludge is still being removed.

First concrete removed at Dounreay cooling pond The first block of concrete has been removed from one of Dounreay’s redundant cooling ponds, which marks a major first step in a programme of work to demolish the giant chamber.

The pond which is one of two, is a six metre deep, concrete pit which was used to store spent fuel from the Dounreay Fast Reactor. Dounreay Site Restoration Limited explained when in operation they contained “500m³ of water, providing shielding for workers from radiation.”

With 180 more blocks of concrete, each weighing around one tonne, to be removed from each of the two ponds the work has really only just begun.

Commenting on the milestone, Suzanne Griffiths, Project Manager, said: “Decommissioning of the ponds is technically challenging. While each block is only around 1m², it is extremely heavy and the process of cutting it is complex.

“The team has worked exceptionally well together and applied lateral thinking, deploying new techniques to allow the concrete liner to be removed in preparation for final demolition.”

Horizon continues to build its team to deliver Wylfa Newydd

Horizon Nuclear Power has announced a partnership with Exelon Genratiion as the company progress towards becoming a world class nuclear operator.

A team of four specialists from Exelon, will work alongside Horizon’s own team, providing expertise in engineering, maintenance, operations and training.

Commenting, Horizon’s Chief Executive, Duncan Hawthorne said, “With its proven expertise and decades of experience, Exelon will be a vital part of our success. Alongside our own expert people, they will form a team that will ready us to successfully run Wylfa Newydd even as we continue to progress towards its construction.”

Exelon Generation operates the largest fleet of carbon-free nuclear plants in the US, with a combined capacity of 19.5GW from 22 reactors at 13 facilities across five states.

Horizon has also announced two appointments to the Board of Horizon Nuclear Power Wylfa Ltd. William Doig, Power & Energy Consultant, Grove Consulting and Dr Ken Petrunik, former Advisor to the CEO of Nuclear Power, Emirates Nuclear Energy Corporation, joined the Board as independent non-executive directors effective on 1 March.

The Board, as the ultimate decision-making authority in the company, is responsible for overall governance; ensuring statutory and regulatory requirements are met; setting the strategic aims; and managing risks and operational performance against company objectives.

Toshiba back NuGen’s Moorside project

Toshiba has announced it remains committed to developing NuGen’s Moorside project. This follows a Toshiba presentation released which set out a provisional forecast of a £2.7 billion loss for the year to March 2017. The company also announced it would delay releasing its earnings report for the quarter ended December 2016.

On Moorside, the company announced it will continue to support NuGen and “as planned from the beginning” will seek to sell shares in the project.

Following the statement from Toshiba, NuGen’s CEO Tom Samson said, “The project has made significant progress since Toshiba took over as major shareholder in 2014. The site has already been proven as suitable for three Westinghouse AP1000® reactors, two phases of consultation have found the public overwhelmingly supportive of the need for new nuclear and have helped shape the plans for Moorside.

“The UK Government is supportive of NuGen, as a maturing and highly skilled nuclear organisation, and has remained firmly committed to new nuclear – stating that nuclear has a crucial role to play in securing our future energy needs, especially as we look to move to a low carbon society.”

The AP1000 reactor design set to be built at Moorside, is in the final stages of the Generic Design Assessment and this news confirms business carries on as normal for the project which will create up to 20,000 jobs and generate 3.8GW of low carbon electricity when up and running.

2017 | SPRING — 25

What makes a balanced energy mix?

BY. REBECCA THORINGTON

This phrase is broadly is used to rather neatly describe how the UK will decarbonise energy generation. But what are the other technologies that feature in our ‘balanced energy mix’?

Firstly the energy mix is the different technologies that supply the total electricity, heat and transport energy demands of a country.

The power mix is different. It focusses solely on the different types of technologies that provide the country’s total electricity consumption.

The statistics of two can be confusing; earlier this year the European Union announced the UK is ranked 24th out of 28 European countries for its renewable energy capacity. Yet the UK boasted last year that renewables for the first time produced more electricity than coal. How can this be?

Energy and electricity are easily interchangeable but in this case they mean very different things. In the UK the proportion of electricity generated by renewables and nuclear is increasing. But the total proportion of energy, including transport and heat, produced by renewables and nuclear is only 8.2%, way off the European Union’s target of 20% by 2020.

Moving onto the facts about the UK power mix. Fossil fuels supply just over 50% of our electricity, followed by renewable sources (25%) and nuclear power (21%), the remaining amount via imports. The shift towards nuclear and renewable sources of electricity is a result of Government policies to create low-carbon sustainable energy and reduce greenhouse gas emissions.

Renewable electricity generation in the UK is incredibly varied: wind, solar and bioenergy to name a few.

Wind power alone provides 10% to the UK’s power needs.

Already the world’s sixth largest producer of wind power, the UK continues to heavily invest in both on and off-shore wind

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farms. Bioenergy, which is the generation of electricity using compressed wood pellets, currently supplies 7% of the UK’s energy needs.

Hydroelectric currently accounts for 1.5% of the UK’s total electricity production, it also contributes to balancing the grid.

Hydroelectric plants can effectively use up surplus output and release energy when required. Harnessing the power of the sea to generate electricity has recently been in the media.

The recent Hendry Review of the potential of tidal lagoons in the UK recommended that a small trail lagoon in Swansea Bay could open the way to at least five other full-scale projects around the UK. With lifetimes of up to 100 years, the technology has the potential to provide consistent long-term electricity for generations, although the economics remain unclear.

And of course, let’s not forget nuclear power generation. As a single technology it provides a constant base-load of energy, generating 21% of the UK electricity demand. Nuclear power is clearly an important part of the mix along with renewables to keep our lights on.

The balanced power mix is working: the UK’s annual carbon dioxide emissions have fallen by 4% and total emissions from electricity generation have halved since 1990 despite an increase in power consumption.

The UK is on track to achieve the European Union’s target of 30% of electricity to be generated by renewables by 2020. But the UK is less than half way to meeting the heat and transport targets of 12% and 10% respectively.

The UK has made great progress in using renewables and nuclear to supply electricity. However there are significant challenges and opportunities if the UK wants to have a truly ‘balanced energy mix’.

Change brings opportunities to Business Groups BY. STEPHANIE MCKENNA

If you’re an NIA member, you will already be well aware of the Business Group structure but for those who do not know about them, here is a brief summary.

The NIA runs four groups (New Build, Decommissioning and Existing Generation, Legal and Financial Affairs, and International) which are open to all NIA members - each meets at least twice a year and they take place in different parts of the country.

It also runs two smaller groups on External Relations and Cyber Security.

These are by invitation only but more information can be found at niauk.org.

The New Build and Decommissioning and Existing Generation groups are the two most popular. Each regularly attract more than 100 NIA members and in addition to the meeting, a drinks reception and dinner is held before for added networking.

The NIA has undergone a lot of change since the beginning of 2016 with a new website, new Chief Executive, new

logo and this theme of change is moving to the business groups. The above still remains true but Chair positions for the New Build and Decommissioning groups are now up for grabs.

After two years, Gareth Davies (Davies Nuclear Associates) is stepping down as Chair and is moving on to direct the change for the NIA’s new International group, a revamp of the old Nuclear Exports group. Gareth has been an excellent and hands on Chair over the years, helping to get venues, speakers and sponsors for the meetings.

Gareth also reformatted the structure of the group, introducing the drinks receptions and dinners which members have benefitted from enormously.

And, after just shy of three years, Brian McConnell (Hydrock) is stepping down as Chair of the New Build group.

Under Brian’s chairmanship, the group has grown meeting by meeting and the last event attracted 120 members.

Building on his direct experience working on the UK’s new build programme, he

has chaired the meetings brilliantly, especially his creative cartoons which brought a good sense of humour to the start of each event.

Last but by no means least, Terry Gilbert (Fluor) is stepping down as ViceChair of the New Build group. After seven years supporting the running of the group, Terry’s departure will be a huge miss and his stature in the industry has always pulled weight in getting the best speakers for the events.

All three have left big shoes to fill but the gaps have left opportunities for the next set of NIA members to take the groups forward.

The exact dynamics of the elections for the positions are being arranged as I write. For any questions regarding the Decommissioning and Existing Generation group contact stephanie. mckenna@niauk.org or call 020 7766 6651. For the New Build group contact rupert.lewis@niauk.org or call 020 7766 6642. We look forward to seeing your nominations for the roles.

Decommissioning and Existing Generation

New Build

Legal and Financial Affairs

External Relations Steering Group

International

Cyber Security

2017 | SPRING — 27

NEW NIA MEMBERS

NOT A MEMBER? To find out about the work of NIA and benefits of membership visit www.niauk.org/about-us/ membership-benefits.

You will find more information on our business group meetings, monthly updates and our exclusive online trade directory.

To discuss membership options available to your company please call +44 (0)20 7766 6651 or email stephanie.mckenna@niauk.org

Parker Energy Consultancy Ltd keith.pec@gmail.com Keith Parker, Director of Parker Energy Consultancy Ltd and former Chief Executive of NIA, provides consultancy and advisory services in the field of civil nuclear energy.

With extensive experience in the UK, Europe and internationally, he offers expertise in energy and industrial policy, communications, supply chain and industry engagement.

SThree sthree.com SThree is a global staffing organisation providing specialist services in the STEM industries (science, technology, engineering and mathematics).

It operate across 10 specialist brands, providing the infrastructure and environment to enable the SThree Group to prosper and deliver a high quality of service to its customers.

AB5 Consulting ab5consulting.gandi.ws AB5 Consulting supports organisations in the development and implementation of cost-effective and sustainable strategies, innovative solutions, regulatory and policy, representation at national and international level, definition of requirements, system evaluation, business development, tenders, communication, project management, marketing and stakeholder management for the nuclear fuel cycle, transport, packaging and storage of radioactive and nuclear materials, space, satellite systems and applications.

Heatric (Division of Meggitt UK Limited) heatric.com Heatric (Division of Meggitt UK Limited) is an established manufacturer in the oil/gas and power generation industries but has limited experience in the nuclear sector. It believes its capabilities, systems and core competencies offer an opportunity to be a supplier to both decommissioning and nuclear new build projects.

Heatric’s membership with the NIA will enable it to learn quickly and offer engagement with key industry stakeholders.

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TPG Engineering tpgroup.uk.com/bu/engineering Rencel Energy & Metal Limited rencel.co.uk Rencel Energy & Metal Limited is committed to delivering safe, clean, efficient nuclear energy to the world.

Forming strategic partnerships with local and international companies and pursuing investment opportunities to support the growth of the nuclear energy industry worldwide. It is open, transparent, factual and accurate in its communications.

Squire Patton Boggs UK LLP squirepattonboggs.com As a full-service global law firm, Squire Patton Boggs provide insight at the point where law, business and government meet.

Its 1,500 lawyers in 46 offices across 21 countries provide unrivalled access to expertise and invaluable connections. Its work in the nuclear industry is at the core of its global energy practice.

A nuclear engineering company that builds large heat exchangers for technically challenging applications including civil and defence nuclear as well as downstream oil and gas, process industrial plants and the existing fleet of UK power stations.

Part of the larger TP Group; a specialist engineering group for critical applications.

Willis Towers Watson willistowerswatson.com Willis Towers Watson is a leading global advisory, broking and solutions company.

It designs and delivers solutions that manage risk, optimise benefits, cultivate talent, and expand the power of capital to protect and strengthen institutions and individuals.

Its unique perspective allows it to see the critical intersections between talent, assets and ideas — the dynamic formula that drives business performance.

OPINION

PowerPolitics “WITH BREXIT IN PROSPECT WE URGENTLY NEED TO MAXIMISE ALL OPPORTUNITIES AVAILABLE TO US”

D

onald Trump’s election has led to speculation that we are on the brink of a New World Order that will overturn the cosy liberal consensus of the past 40 years, particularly if Marine Le Pen wins power in France, Geert Wilders in Holland, and the right gains ground in Germany and Austria.

Personally I can’t see all this happening, although given I called both the EU referendum and Trump wrong I would not bet the house on it.

What is clear though is that the UK is embarking on its own dramatic change in political thought and power.

Last month’s tabling of the EU Withdrawal Bill, which responds to the Supreme Court’s ruling after Christmas, provides Government with the authority to table Article 50 and commence the process of leaving the EU. At the time of writing, MPs have already voted 494/122 in favour, meaning the Bill will almost certainly get royal assent in early March, no matter what their Lordships think.

This will have massive implications for all of us. The Government’s White Paper, published just before the Parliamentary debate, is very short on detail but none-theless makes clear the hard/soft Brexit debate has concluded in favour of our leaving the single market.

Whether this will be liberating or catastrophic for UK industry depends on which paper you read: the Treasury’s rather downbeat long term economic outlook (reported in the Autumn Statement) suggests they at least are Guardian rather than Telegraph readers.

From the nuclear industry perspective the key point was the revelation, buried

in the notes to the Bill, that the UK will also leave the Euratom Treaty.

Because the nuclear industry is international in nature the provisions of the Euratom Treaty, and the associated framework through which a number of international agreements are in place, have been important in enabling us to cooperate on industrial activity, research and development and safeguarding with our international partners.

NIA had been arguing strongly with Government that the UK should maintain its Euratom membership after we left the EU, and thought we had got some traction with officials. However the White Paper clearly states because the two treaties are legally joined, and because Euratom is also governed by the Commission, Council of Ministers, and European Court, the Government decided this is not possible.

Given potential implications leaving Euratom could have for the smooth running of the nuclear industry it is vital we avoid any cliff edge, and we are now lobbying for a transitional arrangement that will allow Government sufficient time to put new arrangements in place.

A possibility would be to continue with specific Euratom arrangements, but the important point is that any gap is avoided.

Brexit apart the other key development is the publication of the Government’s long awaited Industrial Strategy Green Paper. Of course such strategies have come and gone in the past with little impact, but the difference here is the strong commitment from Number 10 to drive it through.

NIA welcomed the strategy, which we believe should be good for industry generally but particularly nuclear. With Brexit in prospect we urgently need to maximise all opportunities available to us, and allowing the nuclear industry to make as great a contribution as possible will help both our industry and the national economy.

John Hutton has been asked to lead work on a nuclear sector deal, and will take this forward through the Nuclear Industry Council that he co-chairs with the Energy Minister, Jesse Norman.

We shall have to wait to see what emerges, but in general we would expect him to put together a shared vision of where we want to be in 10-15 years’ time if we are to develop as a nuclear nation.

Continued commitment to research and development will be an important element, and fortuitously the House of Lords Science and Technology Committee has just launched a further inquiry into nuclear research priorities. Given their track record in drawing attention to this issue we hope Government will follow their deliberations closely and take note, for example, of any recommendations about the need to progress the roadmap for SMR development.

PETER HASLAM Head of Policy, NIA peter.haslam@niauk.org

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