Challenge facing the Nuclear

Transcription

1 The Quality and Capability Challenge facing the Nuclear Industry Greg KASER Staff Director Technical Meeting to share experiences and lessons learned from the application of different management system standards International Atomic Energy Agency, Vienna December 2014

2 Outline of Presentation 1. About WNA 2. An International Industry 3. Three Challenges: Design standardization Capability Quality 4. VOCS Task Force Supplier Forum Vision Next steps Greg Kaser 2

3 1. About WNA 174 member companies Utilities Technology Vendors Original equipment manufacturers (OEMs) Professional services Providing Public Information and News Nuclear Fuel Market and Supply Chain Enabling Industry Contacts and Cooperation Representation in Key International Forums Greg Kaser 3

4 WNA Overview Greg Kaser 4

5 WNA Working Groups Sustainable Used Fuel Management Greg Kaser 5

6 2. Trade in Nuclear Goods & Services Trade in components for new Nuclear Power Plants has the potential to reach US$26 billion a year. Trade in radioactive chemical elements (including uranium) is US$13 billion a year. Total Value of Planned Build* US$ 1.2 trillion to 2030 Estimated Value of International Procurement US$ 575 billion Reactors currently under construction in China, India, UAE, USA, etc. have an aggregate project value of approx. US$ 232 billion. WNA Estimates Greg Kaser 6

7 Market Size Under Construction and Projected New reactors & investment by 2030 North America Under construction: 5 Projected: 7 Total Value: $ 90 bn Latin America Under construction: 2 Projected: 1 Total Value: $ 14 bn Europe (EEA) Under construction: 4 Projected: 19 Total Value: $ 179 bn.. West Asia Under construction: 3 Projected: 14 Total Value: $ 75 bn CIS Under construction: 11 Projected: 26 Total Value: $ 163 bn. South Asia Under construction: 7 Projected: 21 Total Value: $ 94 bn... East Asia Under construction: 37 Projected: 103 Total Value: $ 590 bn Total Under construction: 69 Projected: 197 $1,196 bn Africa Under construction: 0 Projected: 2 Total Value: $ 20 bn. Southeast Asia Under construction: 0 Projected: 4 Total Value: $ 22 bn Based on WNA Reference Scenario Greg Kaser 7

8 Market Size Decommissioning (US$ billion) Reactors to be dismantled by 2030 North America Planned Dismantlement: 4 Total Value: $ 5 bn Europe (EEA) # Planned Dismantlement: 56 Total Value: $ 60 bn Former Soviet Union Planned Dismantlement: 3 Total Value: $ 2 bn Latin America Planned Dismantlement: 0 Total Value: $ 0 bn $95 billion Africa Planned Dismantlement: 0 Total Value: $ 0 bn West Asia Planned Dismantlement: 0 Total Value: $ 0 bn South Asia Planned Dismantlement: 0 Total Value: $ 0 bn East Asia* Planned Dismantlement: 16 Total Value: $ 25 bn Southeast Asia Planned Dismantlement: 0 Total Value: $ 0 bn # 45% in Germany * 75% in Japan Greg Kaser 8

9 International Standards for an International Industry WTO and regional free trade areas (e.g. EU, NAFTA) recognize the importance of standardization for: Open markets; Economic integration; Mobility of capital, goods and services; Interoperability. The nuclear industry used to be national, but now it is international! It is necessary to review the application of national technical regulations to ensure that these do not represent technical barriers to trade. At the same time, we cannot permit a perception that safety will be compromised look at the controversy over TTIP! Greg Kaser 9

10 3. Three Industry Challenges How can nuclear power stay competitive? Ensuring that the costs and benefits of nuclear power are competitive with other generating sources means addressing: Capital costs Operating costs WNA is working on three challenges: Design standardisation Quality Capability Design Standardisation Capability Quality Greg Kaser 10

11 Erosion of capability. Background Staff lost to retirement or redundancy. Too few nuclear-related orders to have made it less worthwhile to invest in upgrading their nuclear capability. Suppliers are not at the same level: some new entrants are still learning - even qualified suppliers are not delivering fully. Different total quality management systems. High cost of enhanced Quality Control is a deterrent to market entry. Greg Kaser 11

12 Addressing the Capability Challenge Getting it done Knowledge Transfer Oversight Product Realization Collate good practice Develop guidance Gain buy-in Train to upgrade skills Indoctrinate Qualify Customer focus & compliance Planning (resources, risk, requirements, etc.) Control of processes, design, etc. Review & verification Delivery & post-delivery support Inspectors can provide guidance as well as audit suppliers systems and processes Greg Kaser 12

13 Nuclear Quality Standards: Gap Analysis The nuclear safety and quality management system specifies requirements, standards and guidance on activities or processes. The system is evolving as a result of IAEA, ISO and ASME reviews. G S R Pts 1 & 2 N Q A 1 10 CFR 50 Regulation & Licensing Quality Management Product Realization Measurement, Analysis & Improvement I S O N S Q? 1? 0? 0 Knowledge Management & Supplier Education Greg Kaser 13

14 Potential Solutions to the Quality Challenge Strengthen product realization/ conformity assessment processes along the supply chain: Quality assurance (QA): focus on an organization s quality management system (QMS), e.g. IAEA GSR Part 2 (revision of GS-R-3: 2006) requirements on leadership & management for safety safety culture ASME NQA-1: 2008 (links to US Federal Code 10 CFR 50 Appendix B) ISO 9001: NSQ-100: 2011 (promoted by NQSA) N.B. WNA does not expect ASME NQA-1 standard to be superseded where this is the relevant standard Greg Kaser 14

15 Potential Solutions to the Quality Challenge Quality control (QC): focus on the product or process of production. Industry consensus on critical manufacturing processes (aka special processes ) Oversight (surveillance) of critical manufacturing processes Advanced product quality planning Reducing non-conformances Learning from each other Greg Kaser 15

16 Example from Aerospace: Nadcap Industries where safety and quality are shared goals (PRI) TECHNICAL CHECKLIST CRITERIA Nadcap formerly the National Aerospace & Defence Contractors Accreditation Program SAE AS-9100 standard for aerospace TPG Transportation & Power Generation Accreditation Program (with GE Transportation) PROCESS EVALUATION/ IMPROVEMENT CORRECTIVE ACTIONS AS REQUIRED INDUSTRY EXPERTS MANAGE ALL KEY STEPS PROCESS SURVEILLANCE RESULTS SME QUALIFICATION & SELECTION PROCESS SURVEILLANCE CONDUCTED Greg Kaser 16

17 Aerospace Industry - IAQG Model IAQG is the International Aerospace Quality Group a cooperative global organization with more than 70 member companies (26 Voting member Companies) Formed in December 1998 (founding member companies: Boeing, Rolls-Royce, GE, Aerospatiale, Zodiac) began with company QA reps and evolved to include supply chain management subject matter experts/leaders IAQG s Mission establish prevention oriented practices and processes standardize requirements, providing process guidelines and spreading best practices introduce a culture of quality as early as possible in the value stream thus reducing cost of poor quality establish and maintain dynamic cooperation between international aviation, space and defense companies Greg Kaser 17

18 4. VOCS Task Force Vendor Oversight and Control of Suppliers Terms of Reference: Develop a concept for an industry-wide approach to strengthening the capability of companies and organizations supplying the civil nuclear industry to provide goods and services that meet the quality requirements of the nuclear industry more reliably and predictably. Develop a framework for a common process of supplier approval, oversight and quality control that enhances industry efficiency and effectiveness in meeting regulatory requirements and promotes the public good through continual enhancement of the safety and security of nuclear installations. Greg Kaser 18

19 WNA Supplier Forum: London 9 Sept 2014 Understanding contractual requirements Can we move beyond a transactional approach? Improving the oversight of suppliers Can we learn from each other? Can we learn from other industries? Fostering a nuclear safety culture What does this mean in practice for suppliers? Supplier skill levels and development How do suppliers demonstrate that their personnel are suitably qualified and capable? Successful order fulfillment How can you know what you don t know except by making mistakes? Is there a better (and less expensive) way? Greg Kaser 19

20 Feedback from WNA Supplier Forum Suppliers said that there is a lack of consistency in the approach of Tier 1 Vendors (their customers): Interpretation of codes and standards; Explaining why a component is important for safety Evaluating and overseeing critical manufacturing processes There should be: A strategic, collaborative and integrated approach to procurement; Better integration of procurement and QA functions; More explanation of what safety culture means in practice. Greg Kaser 20

21 WNA Survey of Suppliers: Themes Lack of consistency: From customer to customer From regulator of one country to a regulator of another country For a clear understanding of terminology (seems cultural primarily) Inconsistencies that arise from cultural differences: Some instructions have different priority and the reasons are not fully understood or appreciated Unclear direction from the customer to the supplier: Purchase information is confusing or incomplete Schedule pressures: Many times created by the customer (not responding timely and not getting the supplier involved soon enough in the process) Greg Kaser 21

22 WNA Survey of Suppliers: Themes Customer responsiveness to make changes and corrections Supplier expectations of customer timeliness is different than reality Customer is not able to understand the supplier s request for clarification and may rely on obsolete specifications Inconsistent interpretation of: Technical codes Safety classification and grading Critical manufacturing processes ( special processes ) Customer takes for granted that the supplier understands the specification and requirements There is no confirmation until there is a problem Good practice exists in other industries Aerospace, rail, N.B. Some suppliers work in several regulated industries Greg Kaser 22

23 Addressing the Capability Challenge Getting it done Knowledge Transfer Oversight Product Realization Collate good practice Develop guidance Gain buy-in Train to upgrade skills Indoctrinate Qualify Customer focus & compliance Planning (resources, risk, requirements, etc.) Control of processes, design, etc. Review & verification Delivery & post-delivery support There has to be a mechanism to effect knowledge transfer along the supply chain Greg Kaser 23

24 VOCS Vision A common and clear understanding of the quality requirements leading to fewer non-conformances and reduced re-work A common core of standards and process guidance Reduced supplier certification and oversight costs A global supply chain offering best-in-class quality and performance Better focus on quality control issues and critical processes Option for commercial-grade dedication Improved overall competitiveness Industry-wide continual improvement, lesson-learning and dialogue Greg Kaser 24

25 Where will the value of strengthened vendor oversight arise? Benefits will be generated along the following dimensions: Safety and reliability of structures, systems and components Confidence building among regulators and stakeholders Resilience to risks to disruption along the supply chain Economy in the use of industry resources Efficiency in the quality assurance process Environmental benefits from reduced wastage, pollution and energy usage Benefits are incremental building up bit-by-bit and synergistic by building off each other. Greg Kaser 25

26 Deepen our understanding of the gaps in product realization. Collaboration with the Nuclear Quality Standard Association (NQSA) on developing the NSQ-100 quality management standard. Pilot audits with suppliers to develop a common consistent audit checklist and guidance linked to NSQ-100. Expand the conversation to: Next Steps Licensees (operators); met the Nuclear Procurement Issues Committee in April 2014; Regulators; met OECD-NEA MDEP in November 2014; Follow-up the WNA Supplier Forum of September Scoping out an industry-managed of supplier oversight & quality control. Greg Kaser NUPIC 26

27 World Nuclear Association Thank you: Greg KASER WNA London Greg Kaser 27