Taishan nuclear project draws a further 2.9b yuan capital injection from state-owned CGN Power
Additional funding could point to further delays and cost escalation at the controversial nuclear power plant being built 130 kilometres from Hong Kong
CGN Power, the listed unit of state-owned China General Nuclear Power, China’s largest nuclear power projects developer, has announced a 17 per cent capital increase at its Taishan nuclear project, raising concern cost overruns and commissioning delays will continue.
The company will inject 2.94 billion yuan into its 51 per cent-held unit Taishan Nuclear Power Joint Venture, which will see the unit’s total registered capital to 28.6 billion yuan from 24.4 billion yuan, the company said in a filing to Hong Kong’s bourse late on Tuesday.
Provincial government-controlled Guangdong Yudean, the province’s largest power producer, owns 19 per cent stake, and CGN’s French technology partner EDF holds 30 per cent stake.
CGN said the capital injection serves “to enhance its financing ability so as to meet its fund requirements for engineering construction.”
The project, which CGN said on track to become the world’s first third-generation nuclear reactor built on the European pressurised reactors (EPR) design to achieve commercial operation, was originally expected to have its first generating unit come online in December 2013 followed by the second in October 2014.