The Chinese cabinet has approved a plan to merge state owned China Power Investment (CPIC) with State Nuclear Power Technology to increase exports of nuclear technology from the country.
The new entity will be named as State Nuclear Power Technology (SNPTC) and will have assets of more than RMB700bn ($112.6bn).
SNPTC is expected to generate annual revenues of more than RMB200bn ($32.6bn), reports Chinese news agency Xinhua.
State Nuclear Power Technology will be led by State Nuclear Power chairman Wang Beinghua, while Wang Beinghua chairman Lu Qizhou will retire.
The country aims to increase export of nuclear reactors in future.
At present, China Power operates 10% of the country’s nuclear power market, while the State Nuclear is in charge of nuclear technology, which was derived from US-based Westinghouse Electric.
Though both the companies were rival, they have already worked together to develop the Hualong 1 reactor brand
State Grid Energy Research Institute analyst Li Ying was quoted by Global Times as saying that SNPTC will take on the operations of the AP1000 nuclear reactor units which is likely to be installed in Zhejiang province.
Ying said: "CPIC will help SNPTC get the required licenses to operate nuclear plants while SNPTC provides R&D."
Image: China Power Investment and State Nuclear Power Technology announces merger to increase China’s nuclear energy sector. Photo: courtesy of xedos4 / FreeDigitalPhotos.net.