South Korea is setting up a temporary emergency management system for its Dukovany nuclear power project in the Czech Republic after construction-contract negotiations ended on 29 October. The measures, announced on 2 November, put the project’s progress and outstanding issues under weekly ministerial-level review while preparations continue for selecting a new construction contractor.
The ended talks involved Korea Hydro & Nuclear Power, known as KHNP, and a consortium comprising Daewoo Engineering & Construction and Doosan Enerbility. The parties did not reach agreement on key construction-contract terms. This is a setback in the contracting process, not cancellation of the overall Czech project. The government’s immediate response is directed at continuing the work and maintaining the planned milestones.
Alternating weekly reviews
Industry Minister Kim Jung-kwan and the vice minister will lead the emergency arrangements. Meetings will alternate each week between a minister-chaired review of the wider Team Korea project and a vice-minister-chaired review of KHNP’s implementation plans. Team Korea brings together the South Korean companies participating in the nuclear project, with different responsibilities across its delivery.
The wider meetings will cover progress and major outstanding issues across the participating companies. The KHNP reviews will focus on the operator’s plans. Together, the arrangements are intended to bring the government and the businesses into closer contact so that they can develop solutions and take necessary action. The system is temporary, with senior ministers retaining direct oversight for the time being.
The first review was scheduled for 10am on 2 November under Vice Minister Park Dong-il. Its agenda covered how to carry out the main tasks following the end of the previous negotiations, the procedure and time needed to choose a new contractor, and the measures required to meet key milestones. Contract-related follow-up actions were also included.
Construction remains a future milestone
The timetable now being protected includes an application for a construction permit in April 2027, site-preparation work beginning in January 2029 and construction starting in November 2029. These are planned stages, not completed milestones or guarantees. The permit application and the start of construction are separate events, with different dates in the programme.
The new-contractor selection process sits alongside those preparations. Its procedure and duration are among the issues for the emergency reviews, rather than an already completed solution to the contracting setback. Selecting a construction partner and settling the contractual arrangements remain important steps before that part of the project can move forward.
KHNP’s wider project covers two South Korean-designed APR1000 reactors at Dukovany, each in the 1,000-megawatt class. Its role as the main contractor extends across design, procurement, construction, commissioning and nuclear fuel supply. The construction-contract negotiations therefore concern a particular part of a broader delivery programme, rather than the entirety of the agreement to supply the new reactors.
The oversight measures are intended both to establish a practical route for keeping the project on course and to reduce the risk of similar contracting problems recurring. Weekly reviews provide a way to monitor those tasks, but they do not themselves settle commercial terms or ensure that future deadlines will be met. The project remains dependent on the contractor-selection process, the necessary permissions and the subsequent construction preparations.
