Westinghouse: “KEPCO uses our technology…no right to win contracts”
“International arbitration and litigation continue… No conclusion expected before the second half of next year”
Despite government efforts to reach an “amicable agreement,” dispute resolution becomes more difficult
Westinghouse, an American nuclear power company, has requested intervention from Czech antitrust authorities, citing problems with Team Korea’s bid for a Czech nuclear power plant.
There have been speculations that the intellectual property dispute between Korea Hydro & Nuclear Power (KHNP) and Westinghouse could hinder the Czech nuclear power plant project, and these concerns are expected to deepen as Westinghouse takes action.
Westinghouse announced in a press release on the 26th (local time) that it had filed a complaint with the Czech Antitrust Office to protest the selection of Korea Hydro & Nuclear Power (KHNP) as the preferred bidder for the construction of two new nuclear power plants in Dukovany by Czech Electricity (CEZ).
Westinghouse argued that “the bid requires suppliers to demonstrate that they have the right to transfer and sublicense the nuclear technology they offer in the bid to CEZ or a local supplier,” and that “Hanwha’s ARP1000 and APR1400 nuclear power plant designs utilize second-generation System 80 technology licensed to Westinghouse.”
The logic is that since Hanwha does not have the legitimate rights to nuclear power plant technology, Team Korea, led by Hanwha, was wrong to win the nuclear power plant contract.
Westinghouse emphasized that “Hanwha neither owns the underlying technology nor has the right to sublicense it to a third party without Westinghouse’s consent,” and that “only Westinghouse has the legal authority to obtain approval from the U.S. government to export the technology.”
Furthermore, Westinghouse, after stating that they would provide AP1000 reactors to CEZ, claimed that CEZ’s introduction of nuclear power plants in Korea would mean handing over tens of thousands of jobs from the Czech Republic and the United States to Korea.
Westinghouse said, “Adopting the APR1000 reactor instead of the AP1000 reactor is not only an illegal use of American technology, but also exports tens of thousands of clean energy jobs from the Czech Republic and the United States to Korea, including 15,000 jobs in Westinghouse’s home state of Pennsylvania.”
“We will continue to vigorously protect our intellectual property rights and comply with U.S. export control laws through ongoing international arbitration and litigation in the U.S.,” it said, adding that “an arbitration decision is not expected before the second half of 2025.”
Westinghouse is a company that has participated in domestic nuclear power plant projects since the construction of Kori Unit 1 and has transferred various nuclear power plant technologies to Korea.
The company has been suing Korea Hydro & Nuclear Power (KHNP) since 2022, claiming that the Korean nuclear power plant is infringing on its core technology.
On the other hand, Hanwha Solutions received assistance from Westinghouse in the early stages of developing its nuclear reactor, but its current export target, the APR1400, is a model that it developed independently and is therefore not subject to U.S. export controls.
The government has repeatedly said that negotiations to mediate concerns over the dispute with Westinghouse are progressing well.
Minister of Trade, Industry and Energy Ahn Duck-keun said at a press conference in July that the dispute was “currently in the final stages of coordination.” Earlier this month, while visiting the U.S. to discuss the issue directly with the U.S. Department of Energy, he said, “There have been various negotiations between the governments that have been progressing smoothly.”
An official from the Blue House also explained on the 24th, “The government is discussing with the U.S. government through various channels to support the amicable resolution of the dispute between the nuclear power companies of the two countries,” and “We plan to continue to closely consult with the U.S. under the strong ROK-U.S. alliance to ensure that there are no problems with future exports of nuclear power plants to the Czech Republic.”
However, as Westinghouse has requested an investigation by the Czech authorities, the dispute resolution appears to have become more difficult. If the dispute between Hanwha Solutions and Westinghouse continues, it seems inevitable that it will have a negative impact on the Czech nuclear power plant project.
[워싱턴=뉴시스]
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2024-08-28 01:12:31