700 Retirements Rush at Hansuwon Alone... "Need to Secure Nuclear Power Experts First" [Nuclear Ecosystem Restoration Strategy①] (Comprehensive)

A view of Shin-Kori Units 3 and 4 at Saeul Nuclear Power Headquarters located in Uljin-gun, Ulsan.
Photo by Asia Economy DB

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[Asia Economy Sejong=Reporters Junhyung Lee and Dongwoo Lee] The Moon Jae-in administration's policy to phase out nuclear power has returned as a bill in the form of a deepening shortage of specialized personnel. Nearly 700 nuclear power experts have disappeared from Korea Hydro & Nuclear Power (KHNP) alone over the past five years. The situation is no different at Doosan Enerbility (formerly Doosan Heavy Industries & Construction), one of the leading domestic nuclear power companies. Although the Presidential Transition Committee has officially declared the abolition of the nuclear phase-out policy, concerns are rising that 'restoration' is a distant prospect if the supply of personnel, which forms the foundation of the nuclear power ecosystem, is not provided in a timely manner. Experts pointed out that to restore the devastated nuclear power industry, the government must strengthen market foundations through vigorous order acquisition activities and sequentially support manpower training projects to reduce the gap between supply and demand of personnel.

According to data submitted by KHNP to Rep. Seokjun Hong of the People Power Party on the 19th, 671 nuclear power dedicated personnel (including retirees) have left KHNP from 2017 to last month. The number of nuclear power sector resignations at KHNP jumped more than threefold from 50 in 2017 to 165 in 2018. The number of resignations surged in tandem with the full-scale implementation of the current administration's nuclear phase-out policy starting in 2018. The number of nuclear power sector resignations at KHNP remained steadily in the 100s, with 172 in 2019, 139 in 2020, and 123 last year. This year, 22 people have already resigned as of last month.

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There have also been cases of overseas talent outflow. Two nuclear power experts who retired from KHNP in 2017 moved to the United Arab Emirates (UAE), where Korean-type nuclear power plants were exported during the Lee Myung-bak administration. They were re-employed at the UAE Nuclear Energy Corporation (ENEC) and Nawah Energy Company, the UAE nuclear power operator, respectively. An industry insider said, "Personnel from KHNP have comprehensive experience in nuclear power construction and operation, making them highly preferred by overseas nuclear power companies," adding, "Many chose to go abroad because they judged there was no hope domestically."

The situation is no different at Doosan Enerbility, a leading domestic nuclear power company. The company's nuclear power-related staff decreased by about 650, from 1,827 in 2017 to 1,179 this year. This means that one-third of the nuclear power dedicated personnel disappeared over the past five years.

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The departure of nuclear power experts from their core jobs is largely due to the rapid contraction of the domestic nuclear power market caused by the Moon administration's nuclear phase-out policy. As the entire market shrank, related companies and research institutions reduced hiring and investment, leading to employment difficulties for nuclear power majors. This created a vicious cycle where even new majors decreased. According to a recent survey on the nuclear industry by the Korea Nuclear Industry Association, the total sales in the domestic nuclear power industry sector in 2020 were 22.2436 trillion won, an 18.9% decrease compared to 27.4513 trillion won in 2016, before the Moon administration took office. During the same period, research and development expenses combined for nuclear power supply companies and research/public institutions were 899.9 billion won, down 11.1% from 1.0123 trillion won in 2016.

The employment difficulties for nuclear power majors have become a reality. The domestic employment rate of nuclear power-related university majors was 36.9% in 2020, down 5.2 percentage points from 42.1% in 2016. From 2017 to last year, 595 students dropped out from nuclear power-related departments at 13 universities including Seoul National University, Kyung Hee University, and Pusan National University. This could hamper the next administration, which has pledged to scrap the nuclear phase-out policy, from implementing policies swiftly. As key technical personnel and students, the core of the nuclear power ecosystem, leave the industry, a mismatch between supply and demand of personnel becomes inevitable. Nuclear power plants require about 2 million parts per unit, involving a complex mix of technologies, thus necessitating a wide range of specialized personnel.

Jung Dong-wook, president of the Korean Nuclear Society and professor of Energy Systems Engineering at Chung-Ang University, said, "It is urgent for the new government to send a clear signal about the future by fully supporting overseas nuclear power exports," adding, "Once the government's nuclear power industry gets back on track, a phased approach is needed to strengthen manpower training."

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