The government decided to raise, for the first time in 13 years, the spent nuclear fuel management levy used as funding to build and operate high-level radioactive waste management facilities. The move aims to reflect the post-decommissioning expense of nuclear power and support the sustainability of nuclear generation and public safety.
The Ministry of Climate, Energy and Environment said on the 20th that a partial amendment to the Enforcement Decree of the Radioactive Waste Management Act containing these measures was approved at a Cabinet meeting. The amendment takes effect on the 27th.
In nuclear power plant operations, both low- and intermediate-level radioactive waste, such as gloves and tools used by workers, and high-level radioactive waste, such as spent nuclear fuel, must be managed for decades at the shortest and tens of thousands of years at the longest. Even after a plant stops operating, considerable expense arises for facility dismantlement and radioactive waste disposal.
Because of this, securing stable funding is essential, but as policy on managing a high-level disposal site remained undecided, increases in processing expense were delayed. As a result, the gap widened between future project costs and accumulated funds.
Accordingly, the government decided to raise the radioactive waste management expense, the spent nuclear fuel management levy, and the nuclear decommissioning provision.
First, the management expense for low- and intermediate-level radioactive waste will rise 8.5% from 2021.
Frozen since 2013, the spent nuclear fuel management levy will increase 92.5% for pressurized water reactors and 9.2% for heavy water reactors. With this increase, Korea Hydro & Nuclear Power Co. (KHNP) is expected to bear an additional 300 billion won annually, and the nuclear generation cost is expected to rise by about 2 to 3 won per kWh.
The nuclear decommissioning provision, used for project costs required for decommissioning and for waste disposal costs, will also be raised to reflect the characteristics of each reactor type. It will be adjusted upward from 972.6 billion won maintained since 2021 to between 930 billion won and 1.207 trillion won.
The government expects that this overhaul will allow stable, long-term funding to be secured for facilities to manage high-level radioactive waste and other needs.
An Se-jin, director general for nuclear industry policy at the Ministry of Climate, Energy and Environment, said, "We reflected the latest policies, technologies, and economic variables objectively to align post-decommissioning expense with reality," adding, "We plan to reexamine the levy level every two years going forward."