SMR Development Faces Fallout from Series of Worker Fatalities at POSCO E&C

Participation in Government SMR Project Including Ministry of Trade, Industry and Energy
Scientific Community: "Crisis at Major Construction Firm Raises Concerns About Project Continuity"
Ministry of Science and ICT: "Reviewing Overall Impact on the Project"

Conceptual diagram of SMR. Photo by Innovation Small Modular Reactor Technology Development Project Group

POSCO E&C, which has been experiencing a series of worker fatalities, is currently participating in a national science and technology project, raising concerns about the continuity of the project among relevant government ministries and the scientific community. The Ministry of Science and ICT has stated that it will review whether there is any impact on the Small Modular Reactor (SMR) project, in which POSCO E&C is involved in the design sector.

According to the scientific community on August 6, POSCO E&C is participating in the "Innovation-type Small Modular Reactor (i-SMR)" development project, which is jointly promoted by the Ministry of Science and ICT and the Ministry of Trade, Industry and Energy.

This project aims to develop a small-scale nuclear power plant with a capacity of 300 megawatts (MW), which is about one-third the size of existing large-scale nuclear power plants. It is being highlighted as a next-generation energy source to meet the power demands of data centers in the era of artificial intelligence. The i-SMR project passed a preliminary feasibility study in 2022 and aims to develop a reactor model with an output of 170 MW by 2028, with a total investment of 399.2 billion won.

POSCO E&C has expanded its cooperation with the Korea Atomic Energy Research Institute through its participation in this project. The company has also announced plans to strengthen its new energy businesses, including nuclear power, in its sustainability report.

POSCO E&C has participated in several major national science and technology projects, such as serving as the main contractor for the construction of the RAON heavy ion accelerator led by the Institute for Basic Science (IBS). However, due to a series of recent fatal accidents at worksites, concerns are being raised throughout the relevant government ministries and the scientific community about the overall progress of these projects.

An official from the scientific community stated, "As fatal industrial accidents continue to occur at companies participating in large-scale national science projects, concerns are growing about the sustainability and reliability of these projects."

A senior official from the Ministry of Science and ICT said, "Currently, POSCO E&C is participating in SMR design, and we need to review the potential impact on the overall project going forward." Another key official also commented, "We will continue to monitor the situation closely."

Meanwhile, there have been a total of five worker fatalities at POSCO E&C worksites this year. On August 4, another accident occurred just after President Lee Jaemyung directly addressed the issue last month and strongly reprimanded the relevant ministries, leading to the resignation of CEO Jung Heemin.