Veitnam's Civilian Nuclear Industy Contracts sees a Scramble between Great Powers

Vietnam has seen promising economic growth in the recent years resulting in energy demand outstripping the supply.The country is seeing a big shortfall in electricity supply prompting the government to look for nuclear energy as a panacea to its electricity problems.The government has set a target of building 16 GW of nuclear power in the next two decades attracting nuclear equipment suppliers from around the world like moths to a flame.Multi billion contracts of building nuclear energy facilities can only be performed by a few selected firms all over the world.All of these firms without exception have their home bases in one of the Great Powers.Japan,USA,China,France and Russia are all trying to get a piece of the Nuclear Pie on offer by the Vietnamese.

USA in process to ink a 123 Agreement with Vietnam

US government policy requires a 123 agreement with a country before nuclear equipment and fuel can be exported.Other countries are not hampered by such rules and have already signed agreements and contract to supply reactors.Russian company Rosatom has taken the lead in being selected for the first nuclear plant while China’s Guangdong Nuclear Power Group has also signed a cooperation agreement.Hitachi-GE,Toshiba-Westinghouse and Areva the Big Three of the Nuclear Equipment Industry have been quick to follow.Note Nuclear Energy is seeing a Renaissance after being in cold storage for the last 2 decades.China and India have been in the lead signing contracts to build several Tens of Gigawatts of Nuclear Power.Enrichment of Nuclear Fuel which is a crucial component of making Nuclear Weapons will not be done in Vietnam.Many countries are forgoing this right to access Nuclear Technology.

U.S., Vietnam in Nuclear Talks Amid Power Competition – Bloomberg

The U.S. and Vietnam are holding negotiations on sharing nuclear fuel and civilian nuclear technology, an agreement that will enable American companies to invest in the Southeast Asian country’s atomic industry.The talks build on a March agreement between the countries to expand cooperation on peaceful nuclear energy that may aid U.S. companies such as General Electric Co. Vietnam said in June it plans to build as many as 13 nuclear power plants with a capacity of 16,000 megawatts over the next two decades.

The “gold standard” of nuclear technology deals is an agreement the U.S. negotiated with the United Arab Emirates last year, Crowley said. As part of that arrangement, the Persian Gulf state decided “that it would forgo the right of enrichment that every country in the world has,” he said.