research organization and accomplishments of the various facilities. They noted that Goldstar markets the following products in the U.S.: color televisions (assembled in Huntsville, Alabama) microwave ovens, computers and Goldstar refrigerators. Goldstar has been marketing products in the United States for three years. The executives stressed the importance of coordinated, basic research which is then used in product development. After a brief overview of the corporate research structure of Lucky Goldstar, members of the Delegation were given an opportunity to tour an historical exhibit, with both sample products and processes on display. Members noted with interest the long list of "firsts" brought to the Korean market by the company since 1951: the first toothpaste in 1954, the first electric fan in 1960, the first refrigerator in 1965, the first synthetic detergent in 1966, the first washing machine in 1969, the first private research institute in 1975, the first color television sets in 1977, the first electric memory typewriter in 1980, and the development of the first nuclear resonance computerized tomograph in 1983. Slide Presentation The delegation was given the opportunity to view a short audio-visual presentation detailing the history, organization, technology, and products of the company. In 1985, the aforementioned seven sister companies located their research facilities in the R&D complex in order to maximize their facilities and resources. Today, the R&D complex occupies an area of 66,000 square meters, with the three main buildings occupying a total of 32,000 square meters. A total of $96 million was spent to develop the facility with $35 million in construction costs and $61 million in equipment. Currently, approximately 1100 employees conduct research at the complex, with the following breakdown: By 1990 this facility is expected to house 2,500 R&D personnel. In 1985, the company spent $150 million for research and development, which was 4.5% of total sales. The Lucky Gold-Star company conducts research in the following fields: The delegation was then given an opportunity to inspect a pilot facility in the complex designed to pioneer research on very small integrated circuits. The delegation toured one clean room area and viewed equipment designed to use ions to etch fine lines on semiconductor wafers. Critical Issues In Technology Korean officials noted with concern the "brain drain" problem: most scientists and engineers are trained in the United States and many tend to remain there where the levels of income and opportunity are significantly higher. Officials further added that there was a need for professors and teachers throughout the country to further develop and refine the nation's technology base. Hon. (Dr.) Lee Bong Suh, Vice Minister Dr. Lee Byoung White, Department of Nuclear Engineering Summary: Congresswoman Lloyd asked the Korean energy officials how the U.S. can improve nuclear cooperation with the Republic of Korea. She urged the ROK energy officials to look at what the U.S. has to offer in a comprehensive manned (i.e., to recognize technology transfer possibilities thorough bilateral agreements as well as the quality of nuclear plant bids and the cost of uranium enrichment). She emphasized her interest in seeing that the Combustion Engineering Corporation bid for Korean reactors 11 and 12 is given serious consideration and she was assured by the Vice Minister and others that this would be the case. She pursued the issue of what are the Korean goals in nuclear "diversification", and was assured that with nuclear reactors from suppliers in three different countries, they believed they had already accomplished diversification in terms of obtaining Nuclear Steam Supply Systems (NSSSs). She reaffirmed her interest in seeing that the U.S. remains a reliable supplier of uranium enrichment at competitive world prices, and underlined the fact that this requires an early deployment date, i.e., roughly 1995, for AVLIS technology. Mrs. Lloyd closed by expressing her interest in follow-up meetings in Washington with Korean energy officials as well as interested members from the National Republic of Korea Assembly to discuss bilateral nuclear issues. Background: The Republic of Korea (ROK) has an ambitious electrical power development program driven by the requirements of a rapidly growing economy. The economic growth linkage with electrical demand is discussed in the following section: Annual Growth Rates of Economy and Electricity in the World Korea has been one of the fastest growing nations in the world in terms of its economy and electric power generation. Per capita GNP has increased 25 times over the 30-year period from 1953 to 1982. Export has sky-rocketed more than 545 times in the same time span, from $39.6 million to $21.6 billion. On the other hand, electric energy consumption has increased about 59 folds in 30 years. As a means of supplying such rapidly increasing demand, they could not help but turn to nuclear power which is more cost-attractive and less vulnerable to external interruptions. A special emphasis has, therefore, been placed on the development of nuclear manpower, related technology and other infra-structures to cope with the introduction and utilization of fission power. The demand for power is still increasing despite a hard drive for energy conservation, and will probably continue to do so in the future, although perhaps at a slower rate. The total electricity consumption during the period of fifth and sixth The ROK's power development program is outlined below with a description of its first nine nuclear units consisting of six Westinghouse PWR's, one Canadian CANDU heavy water reactor, and two French Framatome PWR's. Power Development Program In the national development, first priority has been given to supplying stable and cheap power to customers. Korea's power industry has grown at an unprecedented rate when compared with that of other countries. Nuclear power's share will increase to around 33.4% in. 1991 from the current portion of 14.6% while that of oil-fired power plants will decrease to around 17.8% from the current 54.8%. The share of other sources (coal, LNG, hydro) will increase to 48.8% in 1991 from the current 30.6%, and their installed capacity will certainly increase from the current 4,012 MW to 11,148 MW in 1991. A drastic decrease will take place in oil-fired power plants both in terms of their share and installed capacity in the years to come. Korea has actively pursued her nuclear energy development program to diversify energy supply sources and alleviate unduly high oil dependency. By the end of 1989 Korea will have 9 operating nuclear units. Currently three units are in operation, six units are under construction, and two are in the planning stage. Four Nuclear Power Plants at Kori Site Korea Nuclear Units (KNU) No. 1 and 2: The first nuclear unit of 587 MWe, known as Kori Unit No. 1 was put into commercial operation in April 1978, and has been operated satisfactorily since then. Its plant capacity factors were 46% in the first year, 61.3% in the second year, 67.8% in 1980, 56.3% in 1981, and 73.5% in 1982, respectively. The second nuclear unit of 650 MWe, designated as Kori Unit No. 2, is located just next to the first one, and began operation in June 1983. Korea Nuclear Units No. 5 and 6: KNU's No. 5 and 6 are the first non-turnkey project in Korea, applying a component approach with an upscaled unit capacity of 950 MWe, as opposed to the preceding projects which were constructed by turnkey contracts. These units are being built at Kori site and are scheduled for commercial operation in 1985 and 1986, respectively. The owner of the plants takes full responsibility for overall project management and plant performance. The balance-of-plant equipment and components are directly purchased by KEPCO based on the specifications furnished by its architect-engineers. Korea Nuclear Unit (KNU) No. 3 KNU No. 3 has a CANDU-PHWR reactor with a capacity of 678 MWe, and started commercial operation in April 1983. This heavy water reactor type was selected in an attempt to diversify the supply sources. In the wake of the first oil crisis it was particularly important for consideration. The localization aspects of its equipment and components as well as the fuel cycle were also taken into account at the time of the selection of the Korean Nuclear Unit No. 3 in particular. The utilization of natural uranium as fuel and on-power refueling are unique merits of this reactor type. The site, call Wolsung, is located on the east coast and is good for 3 more units. Korea Nuclear Units No. 7 and 8 These units are under construction at a site located on the west coast. The scheduled commercial operation for Unit No. 7 is 1986, while that for Unit No. 8 is 1987. This site can accommodate 4 more units. The project approach is the same as that for KNU's No. 5 and 6. Korea Nuclear Units No. 9 and 10 KNU's No. 9 and 10 are under construction at a site located on the east coast, aiming at commercial operation in 1988 and 1989. This site can also ultimately accommodate 4 more units. The demand for nuclear manpower in Korea, the Korean approach to the nuclear fuel cycle, and their licensing standards and procedures are outlined in Appendix A. The nuclear involvement of the Korean Advanced Engineering Research Institute (KERI) and a brief background on the Koreari Power Corporation (KEPC) is included in Appendix A also. The Koreans have recently received responses of intentions to bid from six nuclear reactor vendors, including Westinghouse and Combustion Engineering. The details of this competition and the Korean effort to become self-reliant in nuclear plant construction, are described in Appendix A. |