UAE nuclear law said to be close

The Government is reportedly days away from enacting a nuclear power law to complete preparations for its atomic energy programme.

The Government is reportedly days away from enacting a nuclear power law that will complete 18 months of intensive preparations for its Dh150 billion (US$40.83bn) atomic energy programme, due to be launched this month. The momentous occasion will ensure the UAE's status as the first Gulf state, and probably the first nation in the Arab world, to develop civilian nuclear power, giving the country much more flexibility to provide for the energy needs of its expanding population and industries.
Sheikh Khalifa bin Zayed, the President of the UAE, may sign the decree within days, according to a senior government source. And although the final decision is in the President's hands, authorisation for the programme is nearly certain. The proposed new law will establish an independent safety regulator for nuclear power in the Emirates with the ability to license operators. It will also stipulate severe penalties for the misuse of nuclear materials, including unauthorised possession of, or trade in, such materials.
This is a critical step for the UAE to eliminate any lingering doubts about its compliance with international nuclear conventions before any commercial activity related to atomic power plants can get under way. The UAE's nuclear programme is vital for a country that urgently needs to develop new sources of electricity to reduce its reliance on inadequate gas supplies. As shown by chronic power shortages in the Northern Emirates and the recent severe power cuts in Sharjah, the UAE is falling short of a key development goal: providing a reliable power supply for all.
The country has achieved a breakthrough for the entire Middle East by persuading the rest of the world, and especially the US, that "each country in the region has the right to produce power from every source, including nuclear", according to one industry consultant. Since April last year, when the UAE first announced its intention to develop nuclear energy, the Government has worked closely with the International Atomic Energy Agency (IAEA) to establish model standards for safety and security.
It pledged not to enrich uranium, as that process can be harnessed for nuclear weapons, and agreed to import enriched uranium fuel from, and export nuclear waste to, countries the agency deemed responsible. It also signed a protocol enshrining the IAEA's right to inspect power plants and ensure they are properly protected. The Government fulfilled a pledge to the agency to assemble a high-level international advisory board to guide and direct its nuclear programme.
It did that by establishing the Emirates Nuclear Energy Commission (ENEC) and recruiting top international nuclear experts to fill key positions, including Jeffrey Benjamin, an American nuclear engineer, as ENEC's project manager. "I don't know anyone else who has rolled out a nuclear programme of this magnitude this fast," Mr Benjamin has said of the Government's determination to turn the UAE's nuclear dream into reality.
On August 1, the UAE's permanent representative to the IAEA, Hamad al Kaabi, gave the agency notice of accession, meaning the Government would accept the agency's safety and security standards for nuclear power plants. The next task on the Government's nuclear agenda is to award a master contract to build and operate the UAE's first three nuclear plants, of which one should be ready by 2017. ENEC is expected make a choice this quarter between the three teams of companies it invited to bid.
The consortia are understood to consist of a US-Japanese alliance including General Electric and Hitachi; a French team of Areva, GF Suez, Total and Electricite de France (EDF); and a South Korean group including Korea Electric Power, Hyundai and Samsung. ENEC was expected to narrow the field to two at the end of last month, but instead made a last-minute request for EDF to join the French team. The contest may be close. The French group offers a new reactor design and wide international experience, but has had many problems executing a prototype power project in Finland.
The Korean team may have the edge on costs, and South Korea is well-known for its ability to handle complex construction projects efficiently. But it has never exported nuclear technology. The US-Japanese bid features a reliable 20-year-old reactor design that is already operating at several sites in Japan, but which could be nearing obsolescence by the time the first UAE plants begin operating. [e-mail]