China has a new nuclear power company. The State Power Investment Corporation was founded today (Wednesday) in Beijing on the back of a merger between China Power Investment Corporation and State Nuclear Power Technology Corporation.

The new company joins China National Nuclear Corporation and China General Nuclear Corporation as the three pillars of the country's nuclear power industry.

The State Power Investment Corporation has combined the strengths of its parents. China Power Investment Corporation was the country's fifth largest power producer with a capacity of over 90 giga watts.

SNPTC focused on cutting-edge nuclear power technology as well as the development of the CAP1400 nuclear power plant. That's a Chinese version of the Westinghouse AP1000 nuclear plant.

The newly formed State Power Investment Corporation is expected to be a major provider of clean energy in global markets.

"State Power Investment Corp. has a complete industrial chain. At the same time, it has 38 percent of the clean energy. It has the highest weight of hydro power, wind power, and solar power among all five of China's main power producers," said Wang Binhua, board chairman, State Power Investment Corp.

Wang says the merger will create healthy competition in a sector that has ample room for expansion.

"China relies nearly 70 percent on fossil energy, which mostly is thermal power plants. This leaves large space for nuclear power. The State Power Investment Corporation, China National Nuclear Corp. and China General Nuclear Corporation will have strategic cooperation, and have orderly competition. I think it's very healthy and sustainable," he said.

The two other key players in the Chinese nuclear sector -- China General Nuclear Corporation and China National Nuclear Corporation -- also reportedly have been considering a merger.

Go to Forum >>0 Comment(s)