Westinghouse appeals to Czech Republic over Korea's selection for $18B nuclear project

The U.S. nuclear energy firm appealed against Prague's decision to select the KHNP-led consortium for the Dukovany nuclear plant project, citing intellectual property theft.

Four of the cooling towers of the Dukovany nuclear power plant rise high above the natural surroundings of Dukovany, Czech Republic, Sept. 27, 2011. [AP/YONHAP]

A U.S. nuclear energy firm has filed an appeal with the Czech Republic for picking a Korean company as the preferred bidder for a 24 trillion won ($18.1 billion) nuclear power project in the country, citing theft of technology and concerns about job loss in the United States.

Westinghouse Electric said Monday it filed an appeal with the Czech Anti-Monopoly Office over the European country's decision to select a consortium led by Korea Hydro & Nuclear Power (KHNP) to build two nuclear reactors at the Dukovany power plant.

"KHNP's APR1000 and APR1400 plant designs utilize Westinghouse licensed Generation II System 80 technology," it said in a release posted on its website.

"KHNP neither owns the underlying technology nor has the right to sublicense it to a third party without Westinghouse consent. Further, only Westinghouse has the legal right to obtain the required approval from the U.S. government to export its technology."

The U.S. firm's claim derives from its collaboration with KHNP during the construction of the Gori 1 nuclear reactor in Korea, where it transferred related technologies to Korean companies. The U.S. nuclear reactor company later filed a suit against KHNP in the United States in 2022 seeking to ban the potential export of Korean reactors, citing the technology-sharing issue.

KHNP, however, reiterated that the APR1400, which will be exported to the Czech Republic, has been independently developed with its own proprietary technology and should not be subjected to export controls.

The Pennsylvania-based company also expressed concern over the elimination of U.S. jobs by giving the nuclear project to Korea, a remark seen to be mindful of the upcoming U.S. presidential election in November. Pennsylvania is a key swing state and its current and future job market is considered a central factor in winning the state.

"Deploying the APR1000 over the AP1000 reactor would also export the creation of tens of thousands of Czech and U.S. clean energy jobs to Korea, including 15,000 jobs from Westinghouse's home state of Pennsylvania," it said.

Korea is in full-fledged defensive mode against Westinghouse's claims.

"We are in discussions with the U.S. government through various channels to help resolve the conflict between the two nuclear reactor companies smoothly," an official of Korea's presidential office said of the matter on Saturday.

President Yoon Suk Yeol is scheduled to make a state visit to the Czech Republic in September, accompanied by major Korean business leaders including SK Group Chairman Chey Tae-won and Doosan Group Chairman Park Jeong-won.

Doosan Enerbility has been included in the consortium for the nuclear reactor project led by KHNP.

BY JIN EUN-SOO, KANG TAE-HWA [jin.eunsoo@joongang.co.kr]