1. Current Status and Challenging Issues of Nuclear Energy in Korea Park, Yong Taek President & CEO Korea Power Engineering Company, Inc. 18th World Energy Congress October 22, 2001, Buenos Aires, Argentina

2. Need for Nuclear Energy (1)  Nuclear Energy in Korea Energy security Resolution of global warming problem

3. Need for Nuclear Energy (2)  The Energy Security The lack of internal energy resources Import almost all energy resources from abroad Diversified energy supply has increased our energy security 1978 2000 Oil Hydro Nuclear Coal 83.9% 5.7% 7.4% 3.0% Oil Hydro Nuclear Coal 8.0% 2.1% 40.9% 36.6% Gas12.4% ( Electric power generation by energy sources )

4. Need for Nuclear Energy (3)  The Global Warming Problem Kyoto agreement on the Climate Change Treaty  requires the reduction of Greenhouse Gas emissions Nuclear Energy is :  a feasible solution to global warming problem  important alternative to fossil fuel

5. Current Status of NPPs in Korea (1) SEOUL SEOUL PWR PHWR PWR Ulchin #1,2,3 & 4 Ulchin #5&6 Wolsong #1,2,3&4 Kori #1,2,3&4 Yonggwang #1,2,3&4 Yonggwang #5&6 CHINA JAPAN RUSSIA r Location of NPPs 16 In Operation 4 under Construction 6 Planned 16 In Operation 4 under Construction 6 Planned

6. Current Status of NPPs in Korea (2) r Trend of Capacity Factor 60% 70% 80% 90% 100% ’90 ’92 ’94 ’96 ’98 ’00 79.3 84.5 87.4 87.5 90.2 90.4 65.7 67.3 70.2 72.9 73.9 76.4 Year Korea World ( Source : Nucleonics Week ) USA Korea Japan World

7. 2.9 2.6 2.0 1.9 1.9 1.3 - Current Status of NPPs in Korea (3) r Trend of Unplanned Outages 1 2 3 4 ’90 ’92 ’94 ’96 ’98 ’99 ’00 2.0 1.7 0.9 0.9 0.4 0.9 0.5 0.4 0.3 0.1 0.2 0.2 0.2 - Year Korea Japan ( Source : IAEA Power Reactor Information System ) ( No / Unit - Year ) USA Korea Japan

8. 2000 200520102015 Year 0 100 200 300 400 500 Power Generation Nuclear Coal Oil Gas X 10 3 GWh Hydro 266,380GWh 329,412GWh 384,713GWh 426,769GWh 108,964 (40.9%) 126,364 (38.4%) 153,156 (39.9%) 190,125 (44.5%) (34.9%) (7.2%) (10.8%) (1.1%) (36.6%) (8.0%) (12.4%) (2.1%) rLong Term Power Development Plan Current Status of NPPs in Korea (4)

9. KSNP + APR 1400 KSNP Series Turnkey Non Turnkey ’ 70 ’ 75 ’ 78 ’ 81 ’ 84 ’ 87 ’ 90 ’ 93 ’ 96 ’ 99 ’ 02 ’ 05 ’ 08 ’ 11 ’ 15 No.of Unit Shin Wolsong 1,2 Shin Kori 3,4 Wolsong 2,3,4 Shin Kori 1,2 Yonggwang 5,6 Ulchin 5,6 Ulchin 3,4 Yonggwang 3,4 Ulchin 1,2 Yonggwang 1,2 Kori 3,4 Kori 2 Wolsong 1 Kori 1 Const. Opr.  Technology Development New Project 28 20 9 3 Plan Technology Development in Korea (1) 24 16

10. r KSNP Development 1,000MWe, Pressurized Water Reactor (PWR) Design life : 40 years Incorporated reinforced safety requirements after Three Mile Island and Chernobyl accidents Accident probability (CDF) : 1.0 x 10 -5 /yr 4 units in operation and 4 units under construction Technology Development in Korea (2)

11. Technology Development in Korea (3) rNew Design Development Program Improved economics, safety, and operability KSNP+  Same type PWR plant as KSNP  Improved safety and economics  4 units to be in operation by 2010 Advanced Power Reactor(APR) 1400  1,400MWe, Pressurized Water Reactor (PWR)  Safety improved (by 50%)  More competitive than coal power  4 units to be in operation by 2014

12. Challenges for Future Development(1)  Safety  Waste management  Public acceptance  Economic competitiveness

13. Challenges for Future Development(2)  Safety Technology development & back fitting experiences Int’l cooperation for information exchanges Adopted PSR(Periodic Safety Review)  To improve the safety of operating plants  PSR for the 9 operating plants to be carried out by 2006.

14. Challenges for Future Development(3)  Waste Management Faced with difficulties due to public opposition Wait and see the future technology innovation Spent nuclear fuels are temporarily stored at the site. Seriously considering the construction of a centralized interim storage facility

15. Challenges for Future Development(4)  Public Acceptance Essential to the role of nuclear energy for sustainable development To obtain public supports :  Transparency should be maintained  Information on the economic & environmental benefit should be communicated

16. Challenges for Future Development(5)  Economic Competitiveness Very important to sustain nuclear energy Nuclear will not succeed, if not competitive Many studies and efforts being made world-wide Need international cooperation for technology exchange

17.  Public acceptance is very important Conclusions Conclusions  No alternative large scale non-carbon power source is available  Nuclear energy will hold a firm position as a main source of electricity generation