Westinghouse to Pursue Construction of 10 Reactors Amid U.S. 'Nuclear Renaissance'

Westinghouse: "In Discussions with the Government...
We Are in the Best Position"

The Financial Times (FT) reported on June 8 (local time) that U.S. nuclear power company Westinghouse is in discussions with the government and industry to build 10 large reactors in the United States.

A nuclear power plant in Illinois, USA, operating a Westinghouse reactor. Photo by Bloomberg

FT assessed Westinghouse's move as an effort to realize the "U.S. nuclear renaissance" being promoted under an executive order by President Donald Trump. On May 23, President Trump issued an executive order setting a goal to quadruple the U.S. nuclear power capacity by 2050 and to begin construction of 10 large reactors by 2030.

FT explained that Westinghouse is one of the few companies capable of designing and constructing 1,000-megawatt (MW) class reactors. Dan Sumner, Westinghouse's interim CEO, stated, "Our company has approved reactor designs and a viable supply chain in place. Furthermore, we have recent experience constructing two reactors in Georgia, which puts us in an optimal position to realize the president's agenda."

He added, "We are actively consulting with government departments related to the loan program. We believe we can build all 10 reactors. We are also discussing how to proceed with our clients, including major IT companies and component suppliers."

FT pointed out that Westinghouse holds an advantageous position in this round of bidding. Its competitors, Russia's Rosatom and China National Nuclear Corporation (CGN), have little chance of securing construction contracts in the U.S. due to geopolitical factors. Although Korea Electric Power Corporation (KEPCO) of South Korea possesses a reactor design approved in the U.S., FT noted that KEPCO has never actually constructed a large reactor in the United States.

Investment bank TD Cowen and the U.S. Department of Energy estimated that building 10 large reactors would cost $75 billion, assuming no construction delays or additional costs. In this regard, Adam Stein, a nuclear power expert at the think tank Breakthrough, commented, "Building 10 large reactors in the U.S. is a highly challenging plan. The current market environment is not favorable for new reactor construction, because the structure of the electricity market does not guarantee that construction costs can be reliably recovered."

Westinghouse is jointly owned by private equity firm Brookfield and uranium mining company Cameco, and is achieving results with its pressurized water reactor "AP1000," which is operating in the U.S., China, and other countries. Currently, at least 12 additional reactors are either under construction or under contract in Poland, China, Ukraine, Bulgaria, and other countries.