China’s role in global energy markets is hard to overstate. The country’s immense appetite for resources – it overtook the US in 2009 to become the world’s largest energy user – has driven demand not just for fossil fuels but also spearheaded the revival of nuclear power around the world.
Beijing has put nuclear at the heart of its future energy plans, expecting to draw 5 per cent of its energy from nuclear power by 2020, up from less than 2 per cent today, as part of a shift away from fossil fuels. Wednesday’s decision to freeze all approvals for new nuclear reactors has raised questions about the speed with which China will be able to achieve its nuclear ambitions.
Nuclear experts said any suspension, however temporary, would inevitably delay the construction of new plants. Any additional safety systems that might need to be installed after reviews would add to costs, both in the construction of new reactors as well as in the operation of active ones.