Industrial Way Forward Agreement signed between the EDF Group and the Indian energy company NPCIL for the implementation of 6 EPRs in Jaitapur
On Saturday 10 March 2018, Jean-Bernard Lévy, EDF Chairman and CEO, and Satish Kumar Sharma, Chairman and MD of Nuclear Power Corporation of India Limited (NPCIL), the government-owned Indian energy company, signed an Industrial Way Forward Agreement for the implementation of six EPR reactors at the Jaitapur site in India. Jaitapur is set to be the biggest nuclear project in the world, with a total power capacity of around 10 GW.
The agreement defines the project’s industrial framework, the roles and responsibilities of the partners, as well as a planned timetable for the next steps.
Under the terms of the agreement, EDF will act as supplier of the EPR technology. EDF will undertake all engineering studies and all component procurement activities for the first two reactors. For the other four units, the responsibility for some purchasing activities and studies may be assigned to local companies. EDF will also provide NPCIL with its valuable experience from the construction of EPR reactors.
In its capacity as owner and future operator of the Jaitapur Nuclear Power Plant, NPCIL shall be responsible for obtaining all authorisations and certifications required in India, and for constructing all six reactors and site infrastructures. EDF and its industrial partners will assist NPCIL during the construction phase.
This industrial framework has already been approved in India and will be bolstered by the complementary skills and experience of the partners involved. In this manner, the knowledge and expertise required to operate the plant can be readily shared. It will also pave the way for the industrial involvement of Indian companies in the project, opening up possibilities for partnerships within the French nuclear power sector. In this way, the project will be developed in line with Indian policies “Make in India” and “Skill India”, with the ever-increasing participation of local companies, reaching a potential 60% for last two of the six reactors.
The framework agreement has provisions for a preliminary tender by EDF to be submitted in the weeks following its signature, with the objective of producing a binding EDF tender towards the end of 2018.
Jean-Bernard Lévy, the EDF Chairman and CEO stated: The industrial agreement just signed with NPCIL marks a decisive step in the development of the Jaitapur nuclear project, meaning we can now envisage with confidence the rest of this essential project for India and for EDF. We are proud to support the Indian government in its objective of achieving an energy mix that is 40% carbon-free in 2030. Our presence in India, already tangible in the areas of renewable energies and smart city, is a perfect illustration of our CAP 2030 strategy, which aims to develop a lowcarbon mix and innovative energy services for urban and rural areas”..
Cooperation agreements signed with industrial players in France and India
In addition to the framework agreement with NPCIL, EDF has also signed two cooperation agreements with French and Indian industrial players, setting out the operational foundations for the Jaitapur project:
- The first such agreement, signed with Assystem, Egis, Reliance and Bouygues, covers the installation of an engineering platform for studies that fall within the scope of the Jaitapur project. Over the coming months,under the terms of the agreement, the five companies will define the rules for collaborative work with a view to creating a joint-venture. EDF will hold 51% of the joint-venture and will be responsible for engineering integration. The collaborative work aims to reinforce the project’s competitivity and ensure increasing participation from local companies.
- The second agreement, signed with Larsen&Toubro, AFCEN* and Bureau Veritas, covers the creation of a training centre compliant with standards for the design and construction of equipment for the nuclear industry (RCC codes). The objective is to train local companies on the technical standards applicable to the manufacture of equipment for the Jaitapur project.
About the Jaitapur project
The EDF Group has been committed to civil nuclear cooperation between France and India since 2010, within the framework of bilateral agreements signed between France and India. Jaitapur is the flagship project of this collaboration. It is directly based on the energy transition objectives of the Indian government, set out during the Paris Conference in 2015, which aim to drive forward the increased share of renewable and nuclear energies in the country.
Acting as head of the French nuclear power sector, EDF entered into exclusive negotiations with NPCIL in 2016 and in the same year it issued its first technical-commercial proposal for the development and construction of six EPRs. Jaitapur is in Maharashtra state and will be the largest nuclear power site in the world. EPR reactors - with a generating capacity of 1600 MW per unit - are particularly suitable for a country undergoing rapid growth and equipped with a mature electricity system such as in India.
* French association for rules pertaining to the design, construction and in-service Monitoring of equipment for monitoring of equipment used for nuclear steam supply systems to generate electricity
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