[2020 National Audit] Comprehensive Debate on Economic Feasibility, Safety, and Acceptability of 'Wolseong Unit 1' Shutdown

October 23 Science and ICT Committee Audit... Joo Han-gyu "Nuclear Phase-out Policy Should Rightly Be Withdrawn"

Chairman Eom Jae-sik of the Nuclear Safety and Security Commission responds to questions during the comprehensive audit of the Science, Technology, Information and Communication Committee held at the National Assembly in Yeouido, Seoul on the 23rd. (Photo by Yonhap News)

[Asia Economy Reporter Moon Chae-seok] On the 23rd, during the National Assembly Science, Technology, Information and Broadcasting and Communications Committee (STIBC) audit, a comprehensive debate unfolded surrounding the economic feasibility, safety, and regional acceptance of the early shutdown decision of Wolseong Unit 1.

At the audit targeting the Nuclear Safety and Security Commission and Korea Hydro & Nuclear Power, questions related to Wolseong Unit 1 continued during the witness questioning session held around 4 p.m.

The witnesses included ▲ Professor Joo Han-kyu of Seoul National University’s Department of Nuclear Engineering ▲ Kim Yong-guk, a monitoring committee member of the Hanbit Nuclear Power Plant Civil Environmental Safety Monitoring Committee ▲ Lee Jung-yoon, CEO of Nuclear Safety and Future.

"Construction of Shin Hanul Units 3 and 4 Must Resume"

A panoramic view of the site for Shin Hanul Units 3 and 4 at the Hanul Nuclear Power Headquarters of Korea Hydro & Nuclear Power in Uljin-gun, Gyeongsangbuk-do. (Photo by Korea Hydro & Nuclear Power)

Park Dae-chul, a member of the People Power Party, asked Professor Joo, "To avoid repeating the mistake of early shutdown of Wolseong Unit 1, shouldn’t the construction of Shin Hanul Units 3 and 4 be resumed?"

Professor Joo replied, "The construction of Shin Hanul Units 3 and 4 is currently suspended based on President Moon Jae-in’s intention without legal grounds. To avoid repeating the mistake like Wolseong Unit 1, I believe Korea Hydro & Nuclear Power should express its intention to build these units when the Ministry of Trade, Industry and Energy drafts the 9th Basic Plan for Electricity Supply and Demand."

Cho Myung-hee, a People Power Party member, asked, "The Fukushima nuclear accident was caused by a tsunami, not by the nuclear plant itself. I think all environmental groups and politicians advocating nuclear phase-out are misjudging nuclear power, which is an important future industry for our country. Don’t you agree?"

Professor Joo answered, "Yes. Even during the Great East Japan Earthquake, the five nuclear plants on the east coast withstood it very safely, and there has never been a case where an earthquake was fatal to nuclear plants in Korea. There is no need to be overly concerned about the connection between the Gyeongju earthquake and nuclear accidents. I feel very ashamed that the early shutdown of Wolseong Unit 1, the ensuing safety controversy, and concerns about the nuclear phase-out policy have been amplified due to the provocative claims of anti-nuclear activists."

Cho asked, "Do you agree that the nuclear phase-out policy should be withdrawn for the sake of the country?" Professor Joo replied, "Yes. I believe the nuclear phase-out policy should rightfully be withdrawn."

"Canada Invested 3 Trillion Won to Continue Operation Under Same Conditions... Wolseong Invested 560 Billion Won"

On the afternoon of the 20th, Wolsong Unit 1, which has been shut down, can be seen at the Wolsong Nuclear Power Plant in Yangnam-myeon, Gyeongju-si. (Image source=Yonhap News)

Cho Seung-rae, the ruling party’s STIBC secretary from the Democratic Party, asked CEO Lee, "The so-called nuclear issue has become a conflict and debate framed as a 'battle between good and evil' over 'pro-nuclear vs. anti-nuclear,' which I think is very undesirable. Please share your opinion regarding the early shutdown of Wolseong Unit 1."

CEO Lee said, "Wolseong Unit 1 is a nuclear plant that technically failed and does not meet international safety standards. The Point Lepreau nuclear plant in Canada, which has the same operating period as Wolseong Unit 1, continued operation with an investment of 3 trillion won, whereas Wolseong Unit 1 received an investment of 560 billion won."

He added, "To put 560 billion won into perspective, we ultimately only replaced parts to improve safety. The 500 billion won is roughly the cost of safety evaluation services required to meet the 3 trillion won investment standard."

Democratic Party member Han Jun-ho probed Professor Joo’s logic, who responded to Cho’s question by saying "Wolseong Unit 1 is necessary to revive the nuclear industry."

Han asked, "Among Wolseong Units 2, 3, and 4, which nuclear plant does not have the R-7 containment safety standard applied?" Professor Joo replied, "It was applied to Wolseong Unit 1 as well. Although some claim it was not, it actually was."

Han asked Nuclear Safety and Security Commission Chairman Eom Jae-sik, "Was R-7 applied to Wolseong Unit 1?" Chairman Eom answered, "R-7 relates to design requirements."

Han said, "Former Korea Hydro & Nuclear Power CEO Jung Jae-hoon, who left the session, said that installing R-7 would cost 2 trillion won."

Professor Joo responded, "Although the floodgate was not installed, sufficient safety verification related to R-7 was conducted."

Han asked the same question again to CEO Lee.

CEO Lee explained, "R-7 is a containment vessel safety standard, not just for the floodgate. The Chernobyl accident happened because there was no containment vessel safety standard."

When Han asked, "What happens if R-7 is not present?" Lee replied, "The lower part of the containment vessel would not meet international safety standards."

Ruling Party: "Is System Blackout or Meltdown Not an Accident?"... Joo Han-kyu: "It’s an Incident, Not an Accident"

Exterior view of Gori Unit 1. (Photo by Korea Hydro & Nuclear Power)

Han asked Professor Joo, "Is there a big difference between the shutdown of Kori Unit 1 and the current shutdown of Wolseong Unit 1?" Professor Joo answered, "Kori Unit 1 was shut down because it reached its 40-year lifespan."

Han said, "No. In 2008, a system blackout (SBO) occurred, and lawmakers from both parties jointly proposed related legislation in 2014, which was passed the following year. How many accidents occurred at Wolseong Unit 1?" Professor Joo replied, "None."

Han pointed out, "An SBO and meltdown are accidents." Professor Joo responded, "Those are incidents, not accidents."

Han asked, "How many times did those incidents occur?" Professor Joo said, "I don’t know the number of incidents." Han explained, "Out of about 100 cases, around 70 occurred at Wolseong Unit 1."

Han asked, "How many of the 24 operating nuclear plants in Korea are planned to be shut down?" Professor Joo answered, "10."

Han asked, "If Japan is operating only 5 out of 35 plants, then is Japan or Korea pursuing nuclear phase-out?" Professor Joo replied, "Japan is not pursuing nuclear phase-out."

Han pointed out, "Japan is currently operating only 5 nuclear plants." Professor Joo responded, "That is due to the Fukushima earthquake and design measures to satisfy safety."

Han asked, "Which is more important: national economic feasibility or safety? Start with residents in Gyeongju and expand to the public." Professor Joo said, "Both are important. If safety is prioritized and electricity and gas prices rise, the public will bear the damage."

Opposition: "If Economic Feasibility Is Reassessed?"... Joo Han-kyu: "It Will Show Economic Feasibility"

On the 20th, staff at the National Assembly's Legislative Affairs Department were organizing the audit report submitted by the Board of Audit and Inspection, which examined the validity of the decision to prematurely shut down Wolseong Unit 1. On that day, the Board of Audit and Inspection announced audit results stating that the economic feasibility, the reason for the early closure of Wolseong Unit 1, was evaluated unreasonably low. However, they stated that it is difficult to make a comprehensive judgment on the validity of the early closure. Photo by Yoon Dong-ju doso7@

Jeong Hee-yong, a People Power Party member, asked Professor Joo, "If the economic feasibility of Wolseong Unit 1 is reassessed, do you think the results will differ?"

Professor Joo cited a 2016 report by the National Assembly Budget Office analyzing public institution project implementation.

Professor Joo said, "It will definitely show economic feasibility. The selling price should include the cost of nuclear power generation plus a reasonable profit, but according to the National Assembly Budget Office, the average cost of electricity produced by Korea Hydro & Nuclear Power is 54 won per kWh, while the economic feasibility evaluation of Wolseong Unit 1 applied a lower price of 51 won."

He added, "This estimate assumes that not only electricity from Wolseong Unit 1 but all electricity produced by Korea Hydro & Nuclear Power is sold below cost, which is completely unreasonable. If the selling price is evaluated at least at cost or above, Wolseong Unit 1 will naturally be economically feasible."