Areva in the context of Olkiluoto Nuclear Power Plant


Areva in the context of Olkiluoto Nuclear Power Plant

⭐ Core Definition: Areva

Areva S.A. was a French multinational group specializing in nuclear power, active between 2001 and 2018. It was headquartered in Courbevoie, France. Before its 2016 corporate restructuring, Areva was majority-owned by the French state through the French Alternative Energies and Atomic Energy Commission (54.37%), Banque publique d'investissement (3.32%), and Agence des participations de l'État (28.83%). Électricité de France, in which the French government has a majority ownership stake, owned 2.24%; the Kuwait Investment Authority owned 4.82% as the second largest shareholder after the French state.

As a part of the restructuring program following its insolvency, Areva sold or discontinued its renewable energy businesses and sold its reactors subsidiary Areva NP (which has reverted to its original name, Framatome) to EDF. Its nuclear propulsion and research reactors subsidiary Areva TA (now TechnicAtome) was sold to the Agence des participations de l'État and its nuclear cycle business was reorganized into a separate company New Areva (becoming Orano). A new holding, Areva S.A., was also created to act as a hive-off vehicle for Areva's ongoing “at-risk” activities, including the completion and delivery of the Olkiluoto 3 in Finland, execution of Areva's remaining renewable energy projects, and finalization of the sale of Areva NP to EDF.

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Areva in the context of Électricité de France

Électricité de France SA (French pronunciation: [elɛktʁisite fʁɑ̃s]; lit.'Electricity of France'), commonly known as EDF, is a French multinational electric utility company owned by the government of France. Headquartered in Paris, with €139.7 billion in sales in 2023, EDF operates a diverse portfolio of at least 120 gigawatts of generation capacity in Europe, South America, North America, Asia, the Middle East, and Africa. In 2009, EDF was the world's largest producer of electricity. Its 56 active nuclear reactors in France are spread out over 18 sites (18 nuclear power plants). They comprise 32 reactors of 900 MWe, 20 reactors of 1,300 MWe, and 4 reactors of 1,450 MWe, all PWRs.

EDF was created on 8 April 1946 by the 1945 parliament, from the merging of various divided actors. EDF led France's post-war energy growth, with a unique focus on civil nuclear energy, through reconstruction and further industrialization within the Trente Glorieuses, being a flagship of France's new industrial landscape. In 2004, following integration into the European Common Market, EDF was privatized, although the government of France retained 84% equity. In 2017 EDF took over the majority of the reactor business Areva, in a French government-sponsored restructuring. That same year, following a wish to divest from nuclear energy, the possible closure of 17 of EDF's French nuclear power reactors by 2025 was announced. By 2022, this decision had been reversed, with the administration of president Emmanuel Macron announcing plans for a "nuclear renaissance", beginning with the projected construction of 6 EPR model 2 reactors with an option for 8 further reactors. Meanwhile, construction is ongoing on EPR model 1 reactors in France and Britain.

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Areva in the context of EPR (nuclear reactor)

The EPR is a Generation III+ pressurised water reactor design. It has been designed and developed mainly by Framatome (part of Areva between 2001 and 2017) and Électricité de France (EDF) in France, and by Siemens in Germany. In Europe, this reactor design was called European Pressurised Reactor, and the internationalised name was Evolutionary Power Reactor, but it has been simplified to EPR.

The first operational EPR unit was China's Taishan 1, which started commercial operation in December 2018. Taishan 2 started commercial operation in September 2019. European units have been so far plagued with prolonged construction delays and substantial cost overruns. The first EPR unit to start construction, at Olkiluoto in Finland, originally intended to be commissioned in 2009, started commercial operation in 2023, a delay of fourteen years. The second EPR unit to start construction, at Flamanville in France, also suffered a more than decade-long delay in its commissioning (from 2012 to 2024). Two units at Hinkley Point in the United Kingdom received final approval in September 2016; the first unit was expected to begin operating in 2027, but was subsequently delayed to around 2030.

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Areva in the context of Flamanville Nuclear Power Plant

The Flamanville Nuclear Power Plant is located at Flamanville, Manche, France on the Cotentin Peninsula. The power plant houses three pressurized water reactors (PWRs). Unit 1 and 2, rated 1.3 GWe each, and based on Westinghouse design, were ordered following the Messmer Plan and deliver full power since 1987. Unit 3 is an EPR unit with a nameplate capacity of 1.65 GWe connected to the grid in December 2024 and reached full power in December 2025. The power plant produced 18.9 TWh in 2005, which amounted to 4% of the electricity production in France. In 2006 there were 671 workers regularly working at the plant. In 2023, 11,7 TWh were produced with 1400 regular workers.

Construction of unit 3 began in 2007 with its commercial introduction scheduled for 2012. In charge Areva proved unable to manage this project (just like Olkiluoto 3), leading to the ultimate demise of the company. Various safety problems have been raised, including weakness in the steel used in the reactor. In July 2019, further delays were announced, pushing back the commercial introduction date to the end of 2022. As of 2020 the project was more than five times over budget. In January 2022, more delays were announced, with fuel loading continuing until mid-2023, and again in December 2022, delaying fuel loading to early 2024. Fuel loading was completed in May 2024. The reactor eventually started up in early September 2024. and was connected to the grid at 11:48 AM on 21 December 2024.

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