UPDATE ON NUCLEAR ENERGY PROGRAMME IN MALAYSIA
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1 UPDATE ON NUCLEAR ENERGY PROGRAMME IN MALAYSIA Interregional Workshop on Advanced Nuclear Reactor Technology for Near-Term Deployment Vienna, Austria 4-8 July 2011 by Mazleha Maskin Nuclear Power Division Malaysian Nuclear Agency (Nuclear Malaysia) Ministry of Science, Technology & Innovation (MOSTI) Malaysia 1
2 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 2
3 3
4 INTRODUCTION TO MALAYSIA MALAYSIA consists of two parts: PENINSULAR MALAYSIA 39.7% of land area (132,090 sq.km.) 80% of national population Consisting of 11 states including Federal Territories of Kuala Lumpur & Putrajaya STATES OF SABAH & SARAWAK 60.3% of land area (198,847 sq.km.) 20% of national population Consisting of 2 states including Federal Territory of Labuan Nuclear Power only relevant for the Peninsula for some time to come, due to small grid size in Sabah & Sarawak Source: Jamal Khaer Ibrahim The Basis & Process for Considering Nuclear Power for Meeting Future Energy Needs in Malaysia; International Project on Innovative Reactors & Nuclear Fuel Cycle (INPRO); Dialogue Forum on Nuclear Energy Innovation; Vienna, Austria; 1-4 February
5 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 5
6 CURRENT NATIONAL ENERGY POLICY 1979 National Energy Policy Supply Objective: To ensure adequate, secure and cost-effective supply of energy; Utilization Objective To promote efficient utilization of energy & discourage wasteful and non-productive patterns of energy consumption; and Environmental Objective To ensure factors pertaining to environmental protection are not neglected in production & utilization of energy Source: Jamal Khaer Ibrahim The Basis & Process for Considering Nuclear Power for Meeting Future Energy Needs in Malaysia; International Project on Innovative Reactors & Nuclear Fuel Cycle (INPRO); Dialogue Forum on Nuclear Energy Innovation; Vienna, Austria; 1-4 February
7 NATIONAL FUEL DIVERSIFICATION POLICIES National energy sources determined by Fuel Diversification Policies 1981 Four-Fuel Diversification Policy: to reduce over-dependence on single fuel source; to focus on four main sources of fuel, i.e.: oil, hydropower, natural gas & coal Five-Fuel Diversification Policy: to incorporate renewable energy as a fifth fuel; to expand fuel sources to comprise oil, hydropower, natural gas, coal & renewable energy Source: Jamal Khaer Ibrahim The Basis & Process for Considering Nuclear Power for Meeting Future Energy Needs in Malaysia; International Project on Innovative Reactors & Nuclear Fuel Cycle (INPRO); Dialogue Forum on Nuclear Energy Innovation; Vienna, Austria; 1-4 February
8 CURRENT STATUS OF THE NUCLEAR POWER OPTION June 26, 2009 Government decision for nuclear energy to be one of the fuel options for electricity generation post-2020; Especially for the Peninsula National Nuclear Power Infrastructure Plan to be prepared by 2012 However, nuclear power project decisions will only be made under the framework of the new National Energy Policy in 10 th Malaysian Plan Source: Jamal Khaer Ibrahim The Basis & Process for Considering Nuclear Power for Meeting Future Energy Needs in Malaysia; International Project on Innovative Reactors & Nuclear Fuel Cycle (INPRO); Dialogue Forum on Nuclear Energy Innovation; Vienna, Austria; 1-4 February
9 10 TH MALAYSIA PLAN ( ) 2015) 1. Internally driven, externally aware. 2. Leveraging on diversity internationally. 3. Transforming to high-income through specialisation. 4. Unleashing productivity-led growth & innovation. 5. Nurturing, attracting & retaining top talent. 6. Ensuring equality of opportunities & safeguarding the vulnerable. 7. Concentrated growth, inclusive development. 8. Supporting effective & smart partnerships. 9. Valuing our environmental endowments. 10. Government as a competitive corporation. NEW NATIONAL ENERGY POLICY incorporated in the 10 th Malaysia Plan 1. Increasing & diversifying generation capacity Development of alternative sources of energy, particularly hydro as well as importation of coal & LNG by 2015 to improve security of supply; To further reduce carbon emissions, super-critical coal technology will be explored; Nuclear energy as a longer term option will be considered in Peninsular Malaysia, with detailed feasibility study, training of human capital & awareness campaigns. 2. Strengthening transmission & distribution networks 3. Restructuring the electricity supply industry. 4. Improving customer service delivery. 9
10 NUCLEAR POWER ROAD-MAP IN MALAYSIA Nuclear power considered as a possible option by Cabinet decision MILESTONE 0 Ready to make a knowledgeable commitment to a nuclear programme MILESTONE 1 Ready to invite bids for the first NPP MILESTONE 2 Ready to invite bids for the first NPP MILESTONE 3 Ready to commission and operate first NPP PHASE 0 PHASE 1 PHASE 2 PHASE 3 development amme Infrastructure progra Preparing for assuming Readiness commitments to include & nuclear obligations power as a national energy option Considerations before decision to launch nuclear Preparing for power programme assuming is taken commitments & obligations Preparatory work for construction of a first NPP after a policy decision has been taken Preparing for assuming commitments & obligations Activities to implement first NPP Preparing for assuming commitments & obligations Maintenance and continuous infrastructure development Pre-policy Pre-project Project initiation Construction Operation Policy decision Investment Feasibility study Procurement Process Commissioning July 2010 Govt. adopted national nuclear policy 10
11 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 11
12 NATIONAL POWER CONSUMPTION BY GEOGRAPHICAL REGION & POWER GENERATION MIX Peninsular Malaysia, 91% 4,442 GWh Gas 60% Peninsular Malaysia Sarawak, 5% Sabah, 4% Sabah FY2009 Hydro 8% MFO 19% Diesel & Others 13% 99,411 GWh Coal 37% Gas 58% Hydro 5% FY2010 F Sarawak 5,407 GWh 2008 Coal 26% Gas 58% Hydro 10% Diesel 6% Despite the existence of Five-Fuel Diversification Policy, i.e. oil, gas, coal, hydropower & renewable energy, there are only three major energy sources used for power generation, with coal mostly imported, indigeneous gas supply uncertain beyond 2019, and hydropower resources located mostly in Sarawak & adequate to only around Source: Ir Dr Mohamad Puad Haji Abu - Establishment of Project Organization Malaysia; 2 nd Technical Working Group Meeting on Nuclear Power Infrastructure; Vienna, Austria; May
13 NATIONAL POWER GENERATION MIX FORECAST ,000 GWh ,000 GWh ,000 GWh ,000 GWh Source: Ir Dr Mohamad Puad Haji Abu - Establishment of Project Organization Malaysia; 2 nd Technical Working Group Meeting on Nuclear Power Infrastructure; Vienna, Austria; May
14 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 14
15 KEY CHALLENGES IN NUCLEAR POWER DEVELOPMENT Public Acceptance International Governance Regulatory Development Plant Site Acquisition Construction Timeline Project Financing Challenge Promote public acceptance Sign/ratify relevant international treaties & conventions Put in place detailed regulations Acquire approval for plant sites Obtain public support in locality Require best-in-class timeline from vendors Obtain low-cost financing Potential Resolution Public opinion survey to identify priority segments & concerns. Awareness projects. Transparency in project implementation. Fast-track process. & make Government priority. Align on international best practices. Top-down mandate to accelerate process. Engage foreign experts to assess site & construction permit applications. Public information programme. Option for localities to bid to host plants as in Japan & the Republic of Korea. Negotiate with vendors based on timeline. Combine low-cost & market financing (e.g. sovereign-guaranteed foreign export credits, foreign equity, commercial loans, including Islamic financing). 15
16 BIGGEST CHALLENGE OF PUBLIC ACCEPTANCE AT NATIONAL & LOCAL LEVELS PUBLIC INFORMATION & ACCEPTANCE TARGETS: 70% public acceptance by end 2012 NATIONAL PUBLIC OPINION Why nuclear? Why not solar? Is it safe? What about the waste? Isn t it too expensive? Where to get the fuel? Nuclear accidents? Public radiation exposure? Environmental impacts? Yes, but not in my backyard! STATE GOVERNMENTS Why build in this State? Won t we lose the next election? Is it safe? What benefit to the State? MUNICIPAL AUTHORITIES Why build in this district? Is it safe for the people? LOCAL POPULATION NIMBY, BANANA!* GENERAL CIVIL SOCIETY & PUBLIC STAKEHOLDERS civic society, mass media, non-governmental organisations (NGO s), religious, women & other civic organisations, teacher training colleges, university & school students, general public. STATE & LOCAL STAKEHOLDERS AROUND NUCLEAR PLANT SITES local Government, community leaders, village heads, local associations, such as farmers & fishermen associations, schools, etc. Why build here? Is it safe for us? Accident effect? Won t our food, fish, vegetable supply be contaminated? Our children? Our river, our beach? *NIMBY *BANANA = Not in My Backyard = Build Absolutely Nothing Anywhere Near Anything 16
17 PUBLIC INFORMATION ON NUCLEAR ENERGY (PINE) PROGRAMME: APPROACH INFORMATION BASE COMMUNICATION SKILLS TARGET & ISSUE IDENTIFICATION PROGRAMME IMPLEMENTATION PERFORMANCE MONITORING Information gathering & compilation. Accurate, timely & objective information. One-stop Inter-agency resource & referral centre at Nuclear Malaysia. Consistent message & coordinated response. Communicator training for relevant agencies including media skills, situational training, public psychology, etc. Specialized communicators for different target groups, especially with difficult targets. Associate communicators, Such as ghost writers & proxy communicators. Objective assessment of public opinion by segment of population, by ethnic group, State of domicile, urban/rural, income & education, political affiliation, occupation, etc. Identification of key concerns on nuclear power for each segment for more targeted public information communication strategies. Intensified dissemination of information. Public lectures, forum & dialogues, visits, exhibitions, publications, & media publicity & engagements. Foreign visits to nuclear communities by local media & opinion leaders. Twinning between local & foreign communities living near nuclear power plants. Performance target-based monitoring of effectiveness of public information activities. Periodic public opinion surveys benchmarked to initial survey as baseline data & review of communications strategies & activities. 17
18 IMPLICATION OF THE FUKUSHIMA EVENTS - BEFORE Public Acceptance BEFORE Fukushima... Source :PINE 2009 Source: Ir Dr Mohamad Puad Haji Abu - The Malaysia Nuclear Energy Option; A Post Fukushima Perspective; 2 nd Technical Working Group Meeting on Nuclear Power Infrastructure; Vienna, Austria; May
19 IMPLICATION OF THE FUKUSHIMA EVENTS - AFTER NEGATIVE Public more concern on their safety.. Some state governments said: Not in My Backyard! MPs are worried POSITIVE Growing awareness about radiation issues among public. Numbers of discussions, dialogues and debates held allowing public to know more on nuclear technologies and safety related issues Nuclear Energy Option In Malaysia: Post Malaysia: No change in Energy Policy, Nuclear Energy as one of the option, first NPP by 2021 Source: Ir Dr Mohamad Puad Haji Abu - The Malaysia Nuclear Energy Option; A Post Fukushima Perspective; 2 nd Technical Working Group Meeting on Nuclear Power Infrastructure; Vienna, Austria; May
20 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 20
21 ELECTRIC POWER UTILITIES Source: Mohd Yusof Rakob - Planning for Smart Grid in TNB System, PECon2010, 2010 IEEE Conference on Power and Energy, Sunway Resort Hotel & Spa, Malaysia 21
22 GENERAL PROFILE OF POWER UTILITIES TNB (P.Malaysia) SEB (Sarawak) SESB (Sabah) Logo Installed Capacity (MW) 21,051 (2010) 1,230 (2009) (2010) Customer 7,593, , ,983 Max Demand (MW) 15,072 1, Gen Mix: 2010 Gen Mix: 2009 Gen Mix: 2009 Gas: 54% Gas: 53% Oil: 57% Coal: 40% Coal: 34% Coal: 31% Hydro: 5.2% Hydro: 8% Hydro: 9% Distillate: 0.2% Diesel: 5% Biomass: 3% NOTE: Electricity supply industry in Malaysia is a fully regulated. TNB, SEB and SESB are vertically integrated and operate along with Independent Power Producers (IPPs) Source: Mohd Yusof Rakob - Planning for Smart Grid in TNB System, PECon2010, 2010 IEEE Conference on Power and Energy, Sunway Resort Hotel & Spa, Malaysia 22
23 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 23
24 SITE REQUIREMENT AND SELECTION Malaysia is well positioned as a possible location for nuclear plants. Site Selection Weighting Factor Low Earthquake Risk Zone Public Safety & Health (50%) Radiation exposure, Population, Extreme natural events, Hazardous installations Environment (20%) Ecology, Water quality Socio-economic (15%) Coastal resources, Land Use, Archaeology Engineering Costs (15%) Foundation, Accessibility, Proximity to grid, Cooling water 24
25 OUTLINE OF PRESENTATION Introduction to Malaysia Current National Energy Planning and Policy National Energy Mix Issues and Challenges National Electricity Grid Site Requirements and Selection Legislative Framework 25
26 NUCLEAR ENERGY PROGRAMME IMPLEMENTING ORGANISATION (NEPIO) Cabinet Committee on Energy Nuclear Power Development Steering Committee (JPPKN) Ministry of Energy, Green Technology & Water (KeTTHA) Nuclear Power Programme Development Working Committee Malaysian Nuclear Agency (Nuclear Malaysia) Nuclear Power Project Development Working Committee Tenaga Nasional Berhad (TNB) Nuclear Power Legislative Development Coordination Working Committee Atomic Energy Licensing Board (AELB) & Energy Commission (ST) Member Agencies: Ministry of Finance (MOF); Ministry of Foreign Affairs (MOFA); Ministry of Science, Technology & Innovation (MOSTI); Ministry of Natural Resources & the Environment (MNRE); Economic Planning Unit (EPU) of the Prime Minister s Department; (JPM); Nuclear Malaysia, AELB, ST & TNB. MOF, Ministry of Education; MOFA, MOSTI, MNRE, KeTTHA; Ministry of Health (MOH); Ministry of International Trade & Industry (MITI); Ministry of Home Affairs (KDN); Ministry of Higher Education (MOHE); Ministry of Housing & Local Government; (KPKT); Ministry of Information, Culture & Communications (MICC); Ministry of Rural & Regional Development (MRRD); Ministry of Human Resources (MHR); EPU; National Security Council (MKN); Attorney General s Chambers (AGC); Public Services Dept. (JPA); Information Dept; ST; AELB; Dept. of Environment (JAS); Dept. of Occupational Health & Safety (DOSH); Public Works Dept. (JKR); Drainage & Irrigation Dept. (DID); Mineral & Geoscience Dept. (JMG); Meteorology Dept (MMD); Urban & Country Planning Dept. (JPBD); Khazanah Nasional Berhad (KNB); TNB; Small & Medium Enterprises (SME) Corporation; Malaysia Energy Centre (PTM); Federation of Malaysian Manufacturers (FMM); Association of Consulting Engineers Malaysia (ACEM); Master Builders Association of Malaysia (MBAM) KeTTHA, EPU, Nuclear Malaysia, DOE, DOSH, AELB, ST, PTM, SIRIM Berhad, Marine Dept. MOSTI, KeTTHA, KDN, MOFA, KPKT, MKN, AGC, ST, JAS, DOSH, Nuclear Malaysia & TNB. 26
27 A. NUCLEAR POWER PROGRAMME DEVELOPMENT ACTIVITIES [14] B. NUCLEAR POWER PROJECT DEVELOPMENT ACTIVITIES [29] C. NUCLEAR POWER LEGISLATIVE DEVELOPMENT ACTIVITIES No. Activity: National Lead Agency National Counterpart Agencies: C.1 Development of legal & organisational framework AGC/AELB MOFA, MOSTI, KDN, AELB, ST, JAS, DOSH, Nuclear Malaysia, TNB & others. C.2 Nuclear licensing & regulation AELB ST, JAS, DOSH, Nuclear Malaysia, TNB, MOFA, KPKT & others C.3 Emergency planning AELB Nuclear Malaysia, MKN, KDN, MOSTI, TNB, AELB, ST, JAS, DOSH & others. C.4 Safeguards & physical protection AELB Nuclear Malaysia, KDN, MOFA, MOSTI, KeTTHA, AGC, ST, MKN, AELB, TNB, & others. 27
28 THANK YOU Mazleha Maskin Nuclear Power Division Malaysian Nuclear Agency (Nuclear Malaysia) Bangi, Kajang, Selangor, Malaysia Telephone: Facsimile:
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