Expert Reveals Why European Nuclear Projects Face Major Delays and Budget Blowouts

A nuclear reactor is being build at the Hinkley Point C nuclear power station in south-west England, on April 27, 2023. Daniel Leal/AFP via Getty Images

Delays in nuclear power plant construction in Europe are being attributed to incomplete designs and weak project management, an Australian parliamentary committee has been told.

The Select Committee on Nuclear Energy is currently investigating the prospect of a nuclear industry in Australia, amid the Opposition’s push to include nuclear power in the country’s energy mix.

As the committee continues to hear evidence from various groups, its members have expressed concerns about the timeframe of building a nuclear power plant if the government adopts a nuclear strategy.

Many nuclear experts are confident that Australia could generate the first nuclear electricity within 10-12 years, or even less time, if the government is serious about getting things done.

However, some witnesses suggest it could stretch to 15 years or more before the first nuclear power station is built.

Another concern of the committee’s members is the significant delays and cost overruns experienced by nuclear projects in Europe and other countries.

Case Study: UK Nuclear Power Plant

A typical example is the Hinkley Point C plant in the UK, a two-reactor power station financed by the British energy company EDF Energy and China General Nuclear Power Group.

Construction began in 2018 and was expected to be completed by the end of 2025. However, a recent review of the project pushed back the completion date to 2029-31.

Hinkley Point C also suffered huge cost blowouts, with estimated cost soaring from £18 billion (A$35.6 billion) to £31-£34 billion in 2015 prices.

The main causes of the costs and delays have stemmed from substantial changes in design, the impacts of Brexit, and the COVID-19 pandemic.

Nuclear Expert Explains Why European Nuclear Projects Suffer Delays

At a recent inquiry, Ian Grant, an energy consultant who played a leading role in establishing the United Arab Emirates (UAE) nuclear regulatory framework, shared his insights into why European nuclear projects face setbacks.

Grant was the director of nuclear safety and later the deputy director general for operations at the UAE’s Federal Authority for Nuclear Regulation between 2009 and 2018, and had first-hand experience with how the country built a nuclear power plant from scratch in over a decade.

While he acknowledged that delays and cost escalations often occurred in large-scale infrastructure projects, he said the problems incurred by European nuclear projects were preventable.

“I think that some of the well-publicised delays that are taking place in plants in Europe have been due to the fact that they’ve started with incomplete designs, temporary construction organisations that [are] put together with no prior experience, and rather weak project management,” he said.

Right Builder Is the Key

Using the UAE’s Barakah Nuclear Power Plant as an example, the nuclear expert said one of the keys to the rapid progress of the station was the selection of a supplier with experience and a mature supply chain.

“I’ve spoken to Korean engineers at the site who arrived with wet concrete on their boots and with binders of photographs illustrating what the plants would look like in six months’ time,” he said.

“They were there to do something they knew how to do. They weren’t out on a quest.”

Other contributing factors were clear government policy leadership and effective program management, according to Grant.

In 2009, the UAE launched a program to build the Arab world’s first nuclear power plant and chose a consortium led by the Korea Electric Power Corporation to construct it.

Construction commenced in 2012, with the first reactor operational by 2020.

In Sept. 2024, the UAE announced the completion of the project with all four APR-1400 reactors fully entering commercial operation.

The total cost of the project is estimated to be around US$25 billion (A$39 billion), and the nuclear power station currently supplies 25 percent of the UAE’s electricity needs.

Grant also advised Australia to learn from the examples of Europe and the UAE to carry out a successful nuclear program.

“If Australia decides to pursue the nuclear program, it’s very important that you line up those success factors and take draw from the lessons that are out there,” he said.