Daily Course Evaluation
Overall and Administration Evaluation

Interregional Training: Advanced Course in Financing Nuclear Power Plant (NPP) Projects

Date: 6 – 10 November 2017
Location: Argonne National Laboratory, Argonne, IL, USA Argonne National Lab, USA
Language: English

Deadline for Nominations:
31 August 2017

Purpose

The objective of this course is to support decision makers and those responsible for developing and implementing a nuclear programme in Member States considering the introduction of nuclear power (including States in Phases I, 2 and 3), to improve knowledge, and to develop the skills and abilities needed for success in the introduction of nuclear power, with an emphasis on issues relating to financing nuclear power plants.

Expected Outputs

Expected outputs of the course include:

  • Improved ability to address the challenges and issues relating to building a national position and financing nuclear power plants
  • Better knowledge of NPP financing and funding options as well as procurement structures
  • Better understanding of contracting mechanisms, including Engineering, Procurement and Construction (EPC) contracting
  • Improved knowledge of financial risk, the economics of nuclear power, and market regulations
  • Better understanding of alternative financing mechanisms
  • Enhanced networking opportunities among participants

Course Summary

Course activities will revolve around three major interrelated objectives:

  1. Providing knowledge of key issues a State has to consider when establishing a nuclear power programme, specifically financing options and strategies
  2. Presenting case studies of countries that have recently conmpleted or are now in the process of making financial arrangements
  3. Further strengthening networking among emerging nuclear power countries, and sharing international and field experiences

The course will cover financial issues, including alternative contracting and ownership approaches for nuclear power programmes. It will include a brief refresher on key quantitative financial metrics, the outlining of a general framework within which the importance of optimal financial risk allocation can be understood, and presentations on the role of financial modelling.

Modules

This course, planned for 5 working days, will be divided into the following modules:

Module 1Key concepts & metrics for financing decision-making
Module 2Financing and risk allocation in nuclear power projects
Module 3Risk allocation in commercial contracts (PPAs & EPCs)
Module 4Sources and structures of financing (debt v.s equity)
Module 5Satisfying lenders & investors (due diligence, reputational risk etc.)
Module 6Case studies
Module 7Financial modelling
Module 8Funding "back end" liabilities

Background Information

Developing a nuclear power programme is a major undertaking that involves many complex and interrelated activities with a long duration — usually about 10 to 15 years — leading up to start of operation of the first nuclear power plant. The increased interest in nuclear power in a significant number of countries prompted the IAEA to organize courses on the leadership and management of nuclear power plant projects at Argonne since 2009.

The related courses that were held in 2009, 2010, 2011, 2012, 2013, 2014 and 2015 were attended by representatives of more than 20 Member States from Africa, Asia, Europe and Latin America. These courses, in addition to other course events, were very useful in supporting newcomer countries to develop skills and relationships in connection with the development of their nuclear power programmes.

Among other recommendations made during these course events, participants requested that the IAEA give special emphasis on key threshold issues for the introduction of nuclear power, specifically approaches for financing a nation's first nuclear power plant.