Draft Nuclear Energy Policy and Strategy for South Africa

1. THE DRAFT NUCLEAR ENERGY POLICY AND STRATEGY FOR THE REPUBLIC OF SOUTH AFRICA PRESENTATION TO THE PARLIAMENTARY PORTFOLIO COMMITTEE ON MINERALS AND ENERGY 22 AUGUST 2007

2. OUTLINE • Introduction • Review of White Paper on Energy Policy • Factors Influencing Proposed Policy Direction • Key Nuclear Energy Policy Objectives • Nuclear Energy Policy Principles • Key Interventions • Proposed Institutional Arrangements • Cross-cutting Issues • Challenges and Implications • Conclusion

3. Introduction • Commitment in the State of the Nation Address • Nuclear Energy Policy and Strategy development forms part of preparatory work • Nuclear power generation must be underpinned by a clear and unambiguous framework

4. Review of White Paper on Energy Policy • White Paper on Energy Policy of 1998 – Already made provision for Nuclear Energy • There was a need of a Bold “Statement of Intent” on nuclear energy from Government • This Nuclear Energy Policy and Strategy is aimed at fulfilling that requirement

5. Factors Influencing the Proposed Policy Direction • Security of Energy supply and global climate change • Global resurgence of nuclear energy e.g. Russia and China, ROK and India constructing. Utilities in US and UK planning. Baseload operating expertise and supply chain will be increasingly biased towards this technology • Local concern about greenhouse gas emissions & potential impact on RSA products in future • Abundance of uranium in RSA and Africa (Niger, the DRC, Namibia, CAR etc.) – Africa must benefit from this resource • RSA is reinvesting in Electricity Generation Capacity – An opportunity to diversify primary energy sources exists

6. Key Nuclear Energy Policy Objectives • To promote nuclear energy as a important electricity supply option; • To create a framework for safe and secure utilisation of nuclear energy; • To guide in the actions to develop, promote, support, enhance, sustain, and monitor the nuclear energy sector in South Africa; • To facilitate attainment of global leadership and self-sufficiency in the nuclear energy sector in the long term; • To contribute to improvement of the quality of human life through the advancement of science and technology;

7. Nuclear Energy Policy Principles • Diversification of Energy Sources • Contribution to Economic Growth • Contribution to Climate Change mitigation • Use for Peaceful purposes • Mitigation of Impact on Environment

8. Nuclear Energy Policy Principles • Legal & Regulatory Framework - Best Practice • Commitment to Nuclear & Radiation Safety • Use of Uranium in a Sustainable manner • Appropriate institutional arrangements • Safeguards and Security Measures • Safeguarding of IP and Innovation

9. Key Interventions • Investment in New Nuclear Power Generation Capacity • Investment in Nuclear R&D • Intervention in uranium market • Proposal for Uranium Beneficiation including enrichment • Ring-fencing of nuclear activities – Dedicated focus

10. Proposed Institutional Arrangements • Coordination at Executive level • Nuclear Research, Development and Innovation • Nuclear Power Generation Organisation • Integrated Nuclear Safety Regulator • Nuclear Security Agency • Nuclear Architectural Capability • Radioactive Waste Management Agency

11. Cross-cutting Issues • Security of Uranium and Fuel Supply • Awareness Creation • Human Resource Development • Environmental Protection • Employment Creation • Funding – Institutional, Technological, Industrial

12. Challenges and Implications • Competition for scarce skills globally • Supply chain constraints globally –Opportunity for RSA • Nuclear Power – Long-term Commitment • There may be some opposition on beneficiation • Communication of the Initiative

13. Conclusion • Era of investment in new energy infrastructure is upon us • Nuclear Energy will form an integral part of South Africa’s future diversified electricity generation mix • The beneficiation of uranium has been identified as having huge potential • RSA must take advantage of growing nuclear energy market • There is room for private sector participation in the nuclear sector • Nuclear Energy Policy creates a platform on which to launch an industry around uranium beneficiation.

14. Thank You .