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Global Nuclear Expansion

Kenneth R. BalkeyVice President, ASME Nuclear Codes and Standards

Consulting Engineer, Westinghouse Electric Company

Workshop on the Global Relevance of the

ASME Boiler & Pressure Vessel CodeSheraton Atlanta Hotel

January 28, 2007

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Global Energy Situation and Need For New Reactors

The author acknowledges with appreciation the contributions to this portion of the presentation by Mr. John Goossen, Director, Science & Technology Department, Westinghouse Electric Company

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Electricity Lights the World

World Electricity Demand Growth (bkWh)

16,00018,875

21,40023,677

26,018

0

5,000

10,000

15,000

20,000

25,000

30,000

2005 2010 2015 2020 2025

Source: EIA International Energy Outlook - Updated 07/05

63% Increase Needed in Next 20 Years

5

Forecast Electricity Demand by RegionSource: EIA Annual Energy Outlook 2004Source: EIA Annual Energy Outlook 2004

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

1990 1995 2000 2010 2015 2020 2025

(Billion KWh)

Asia

Europe

U.S

Rest of World

An extensive expansion of installed generating capacity will be required.

5,648

3,900

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2005 2030

Growth in Electricity Demand

Bil

lio

n k

Wh

U.S. Needs 45 Percent More Electricity by 2030

Source: Energy Information Administration

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Energy Source

% of U.S. Electricity

Supply

% of U.S. Energy Supply

% Imported

Oil 3 39 51Natural Gas 15 23 16Coal 51 22 0Nuclear 20 8 0Hydroelectric 8 4 0Biomass 1 3 0Other Renewables 1 1 0

Nuclear Power Provides an Option for Energy Independence

Source: Energy Information Administration

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Nuclear Power Plays A Major role in Global Electricity Generation

7877

58

53

4644

42393939

3635343131

29

23232020

1513

1187

444431

0

10

20

30

40

50

60

70

80

90

Lithuan

ia

France

Belgiu

m

Slova

k RP

Ukrai

ne

Swed

en

Bulgar

ia

Korea

RP

Hungar

y

Slove

nia

Switz

erla

nd

Armen

ia

Japan

Finla

nd

Ger

man

y

Spain

United

Kingdom

Taiw

an

United

State

s

Czech

RP

Russia

Canad

a

Romani

a

Argen

tina

South A

frica

Brazi

l

Nether

lands

India

Mex

io

Pakis

tan

China

Source: International Atomic Energy Agency & World Nuclear Association Database

Percentage

New Construction in Progress

441 Operating Commercial Nuclear Power Plants Worldwide

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What is Driving A Nuclear Renaissance?• Continuing excellent performance

of existing reactors

• Need for base load electricity capacity

• Nuclear’s contribution to clean air recognized and credited

• Importance of energy security and/or diversity included in capacity planning

• Competitive economics of new nuclear plants compared to alternatives

• Government support and/or incentives for initial projects

• Strong tie between nuclear and hydrogen economy

Natural Gas Price

11Source: “ www.nuclear.gov” generation IV initiative

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Global Developments and ASME Board on Nuclear Codes &

Standards (BNCS) Efforts

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Canada 2

USA 32

Mexico 2

Argentina 1

Brazil 1

Japan 12

North Korea 1

South Korea 7

China 63

India 23

Vietnam 2

Indonesia 1

Egypt 1

South Africa 25

Israel 1

Iran 5

Pakistan 4

France 2

Lithuania 1

Czech Rep. 2

Slovakia 2

Slovenia 1

Romania 3

Bulgaria 1

Turkey 2

Armenia 1

Russia 42

Ukraine 2

Kazakhstan 1

Nations Turning to Nuclear Energy

Nations have planned or proposed building more than 220 power reactors

Source: World Nuclear Association (as of Dec. 8, 2006) in Nuclear Energy Insight, January 2007

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New Reactor Technology

BNCS Task Group on New Reactors Mission: Ensure, on a worldwide basis, that ASME

Nuclear Codes and Standards protect public health and safety and meet the needs of users. These Codes and Standards are developed with an approved consensus process.

Goal: To determine need and provide ASME Nuclear Codes and Standards for the benefit of users.

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Globalization

BNCS Task Group on Globalization Mission: To ensure that ASME nuclear codes and

standards are useful to stakeholders world-wide. Goals:

To solicit feedback from stakeholders in Asia, Europe, Africa and the Americas regarding the user friendliness of the ASME code documents.

To encourage more world-wide stakeholders to participate in the ASME codes and standards development technical consensus process.

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Key Developments New Reactor Workshops and Visits

U.S., South Africa, Canada, Europe, China, South Korea JSME / ASME Workshop planned April 2007 in Nagoya, JAPAN

following ICONE-15 1st overseas ASME BNCS Meeting and Workshop held in

Prague, Czech Republic in June 2006 Hosted by Czech Nuclear Research Institute in Rez, CR Industry, regulatory, standards development organization

representatives from 18 countries participated including Western / Eastern Europe, Russia, South Africa, Japan, Canada, U.S.

Several new international representatives and delegates have become members and actively engaged in ASME Nuclear Codes & Standards, including nuclear accreditation

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Some Current Initiatives in ASMENuclear Codes and Standards – New Reactors

General DOE Gen IV New Reactor Materials Program NRC proposal for new 10 CFR Part 53 for licensing new reactors Participate in Multi-national Design Evaluation Program (MDEP)

Section III Obtaining NRC endorsement of piping seismic design rules Reaching consensus on treatment of environmental fatigue Develop probabilistic design requirements for new high temperature gas-

cooled reactors (HTGRs), particularly for use of graphite for reactor internals Section XI

Develop risk-informed ISI requirements for HTGRs Committee on Nuclear Risk Management

Development of Level 1, 2 and 3 PRA Standard for new reactors Nuclear Quality Assurance / Qualification of Mechanical Equipment

Obtain NRC endorsement of latest editions of NQA-1 and QME standards for use in combined construction and operating license (COL) applications

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Globalization -A Personal Perspective

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Globalization –A Personal Perspective

Global RecognitionAnd Presence

Global Collaboration

FullGlobal

Integration

Examples• International Conference on Nuclear Engineering

• ASME SC III SG on Graphite for Core Components

• Gen IV New Reactor Project

• ASME Codes & Standards / ASME as a whole

Source: Adapted from Keynote Presentation by Daniel Burrows, a renowned futurist, at the Carnegie Science Center Awards, Pittsburgh, PA, May 3, 2006

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Summary Growing global energy needs are resulting in many nations

looking to significantly expand the use of nuclear power

ASME Board on Nuclear Codes & Standards and its committees have several key initiatives underway to begin to address the changing global nuclear industry

The world is changing at an ever increasing rate that requires everyone to understand these developments and to act in an appropriate manner for ASME Codes & Standards to achieve its vision and mission –

“To be the world leader in mechanical and multidisciplinary engineering codes, standards, and conformity assessment programs…for the benefit of humanity, and involve the best and brightest people from around the world…”

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Questions