The following institutional arrangements are considered necessary for the implementation of this policy:

However, with the implementation of this policy, and as the industry develops, it may be appropriate to adjust these institutional arrangements accordingly.

The multi-faceted nature of nuclear fuel cycle activities necessitates the formation of a coordination committee at Executive (Cabinet) level, which will

ensure coordination of actions and alignment of all actions with national policies and legislation.

A National Nuclear Energy Executive Coordination Committee, which shall ensure implementation and exercise oversight over all aspects of this nuclear energy policy implementation shall be formed, appropriately structured and funded.

Government shall maintain one national organisation for the coordination of nuclear energy research, development and innovation in South Africa and perform these functions within the provisions of the Nuclear Energy Act, 1999 (Act 46 of 1999). One of the functions of the national organisation will be to stimulate nuclear related research at universities and within the private sector.

NECSA shall serve as the anchor for nuclear energy research, development and innovation in South Africa.

It is necessary to create certainty in the nuclear energy sector so that there is no doubt as to who is mandated to fulfil certain roles in particular ownership, operation and maintenance of nuclear power plants.

Eskom shall be the main owner and operator of nuclear power plants in South Africa. Ownership of nuclear power plants may also take the form of Public Private Partnerships with Eskom retaining the controlling shareholding as the Public sector player.

The National Nuclear Regulator shall remain responsible for the protection of persons, property and the environment through the establishment of safety standards and regulatory practices, regulatory control over the siting, design, construction, operation, manufacture of component parts, decommissioning & decontamination and security of nuclear installations and regulatory control over other actions to which the NNR Act applies.

South Africa lacks a national nuclear architectural capability and do not have a coordinated national approach for integrating Government and Private Sector initiatives.

To fulfil Government's intent of developing a national capacity to supply nuclear equipment and nuclear reactors, a national nuclear architectural engineering, component manufacturing and construction capability will be established. This will include the ability to design, manufacture, market, commercialise, sell and export nuclear energy systems & services. Private sector participation will be encouraged.

In terms of the Radioactive Waste Management Policy and Strategy, the NRWMA shall be responsible for the Management of radioactive waste disposal on a national basis.

In order to implement a sustainable nuclear programme and obtain all the potential economic benefits South Africa shall endeavour to implement, or obtain interests in, the complete nuclear fuel cycle as follows:

Although South Africa is 5th in terms of uranium resources in the world, the country ranked 11th in terms of production in 2005. This is mainly due to existing infrastructure for concentration of ores as well as a lag between response to the increased uranium price and renewed investment in uranium exploration and mining. There has been an upsurge in uranium exploration and there is now a need to increase capacity of uranium ore processing (calcining).

Government shall ensure that the exploitation of our mineral resources and the securing of a long term supply of these resources is balanced in a sustainable fashion, bearing in mind the country's own needs and the creation of a viable market for local investors. In addition, government shall actively promote investment in uranium exploration and mining, and in very specific instances shall make investments in these industries, as a way of ensuring security of nuclear fuel supply for South Africa.

The South African Nuclear Energy Corporation (NECSA) shall be encouraged to participate in the uranium value chain, beneficiation thereof and will be responsible for storing of uranium supplies acquired by the State.

In order to achieve the vision of this policy, South Africa will need to invest in world class conversion facilities.

Government, through NECSA, shall undertake and lead the development of uranium conversion capabilities as part of the beneficiation of uranium. Private sector participation in the conversion process will be promoted.

South Africa had an enrichment plant but this was shut down in the 1990's and subsequently dismantled. Although there is presently no uranium enrichment infrastructure or economically proven technological capabilities in South Africa, Government's intention is to investigate the re-establishment of a uranium enrichment capacity as part of uranium beneficiation for peaceful purposes.

Government, through NECSA, shall investigate the viability of developing its own uranium enrichment capabilities and will simultaneously actively seek to obtain access to established uranium enrichment programmes to ensure security of supply.

The South African facility for nuclear fuel fabrication for light water reactors was shutdown in the 1990s and dismantled. PBMR is in the process of establishing a pebble fuel manufacturing facility at Pelindaba. It is recognized there is currently sufficient capacity and diversity of nuclear fuel supply globally for conventional nuclear reactors. However, as part of uranium beneficiation and the strategic intent of building a globally competitive nuclear fuel cycle industry and securing the supply chain, South Africa will have to develop a plan for the development of a fuel fabrication capacity.

Government, through NECSA shall design a strategy to develop nuclear fuel fabrication capabilities. Government will in the intervening period actively seek to obtain access to established fuel fabrication programmes to ensure security of supply.

In 2005 Government approved the Radioactive Waste Management Policy and Strategy for South Africa. The strategy talks to management of radioactive waste on a national scale. Legislation giving effect to the policy is being developed.

Radioactive Waste including used nuclear fuel shall be managed in terms of the radioactive waste management policy and strategy.

In order to fully implement the principles of the radioactive waste management policy and meet the objective of sustainability, the reprocessing of used nuclear fuel and recycling of fissile materials for re-use will have to be considered.

Government. through NECSA, shall investigate the viability of building an indigenous reprocessing facility. In the short-term South Africa shall make use of existing commercial reprocessing facilities in other countries.

In investigating the feasibility of expanding South Africa's nuclear energy programme and in implementing any phases of the nuclear fuel cycle, government will consider and clarify the responsibilities of all role players and identify the challenges involved.

Timeframes will be allocated to the completion of all activities/phases and be monitored by the Executive Coordination Committee.

South Africa has a declared intention to pursue a Pressurised Water Reactor (PWR) Programme and a nationally developed Pebble Bed Modular Reactor Programme subject to the success of the first demonstration unit. Government, through Eskom, is taking the lead in respect of the extensive PWR programme to substantially diversify the generation base and reduce overall carbon emissions. Government, through the PBMR Company, is focused on the electricity and process heat applications of Pebble Bed technology.

Government's intention is to use the opportunity created by these programmes to establish a modern nuclear technology industry including manufacturing and construction capabilities as well as services. In particular, where viable, the conventional nuclear build programme must be associated with technology transfer, an investment programme and the building of institutional capacity to establish a national industrial capability for the design, manufacture and construction of nuclear energy systems.

Implementation Guideline towards Achieving National Objectives

In order to systematically proceed towards meeting the national objectives on nuclear energy, a phased approach will have to be adopted. These phases could proceed as outlined below:

Phase 1 2008 – 2010

Phase 2 2011 - 2015

Phase 3 2016- 2025

The growing demand for energy in South Africa may necessitate that the export of unprocessed uranium ore be restricted. A minimum level of uranium ore concentrates shall always be safely secured in order to ensure that local utilities have adequate and reliable supplies for the nuclear power stations.

Due to the expected level of local demand for uranium, the granting of uranium mining rights will have to be made conditional to production being availed for domestic use as and when the need arises, at the prevailing market prices. Government shall ensure that the granting of uranium mining rights provide sufficient guarantees of enough resources remaining in reserve for future allocation, to cater for local demand.

The operation of a nuclear power plant requires fuel which is currently and for the foreseeable future mainly being provided by uranium, and to a lesser extent mixed oxide fuel from reprocessed & recycled irradiated uranium fuel. South Africa therefore has to ensure reliable and sustainable supply of uranium. The country has uranium resources and as such can provide for the needs of its nuclear programme.

A nuclear fuel supply strategy will have to be developed in order to maximize the use of South African nuclear fuel mineral resources.

The vision of Government for the nuclear sector can contribute significantly to the country's social and economic development through amongst others the creation and maintenance of jobs. Uranium mining alone is conservatively expected to create and sustain at least 10000 additional jobs in the next decade.

Activities in the sector shall therefore be undertaken in a manner that seeks to maximise job creation while maintaining the necessary efficiency and safety.

The use of nuclear energy is generally misunderstood by the public due in

part to the lack of appropriate information. For this reason it is important to

inform the public about the risks, benefits and safety of nuclear energy.

To this end Government shall initiate and sustain public awareness

campaigns, education programmes and information dissemination by

conducting public seminars and consultative meetings amongst others as and

when appropriate.

Competent personnel are critical to the success of this programme. Only

suitably qualified, skilled persons should be utilised in activities covered in this

policy. Consistent with achieving technical excellence, there shall be

commitment to workforce diversity in order to increase the representation of

women, previously disadvantaged communities and where appropriate people

with disabilities.

Government is committed to developing and maintaining a technically

competent workforce to accomplish the objectives of this policy. To this end a

strategy and implementation plan for development and recruitment of suitable

persons will be developed.

In implementing the country's nuclear energy policy existing environmental

protection legislation and regulations need to be applied and updated as

necessary.

A number of the initiatives forming part of the strategic framework will require

substantial level of funding. The initiatives can be categorised in the following

manner:

Institutional: The establishment of the various Entities identified in the

policy as well as amalgamation of some existing ones. Examples are the

consolidation of the Nuclear and Radiation Safety Regulation as well as

the establishment of the National Nuclear Architectural engineering,

component manufacturing and construction capability.

Technological: This includes funding for research, development and

innovation as well as conversion, enrichment, fuel fabrication, and waste

management (including reprocessing/recycling and disposal)

Industrial: The scale to which conversion, enrichment, nuclear fuel

fabrication, reprocessing or recycling and nuclear power plant is actually

rolled out, will influence the requirement for a sectoral industrial strategy,

and hence the level of funding required.

Government shall investigate appropriate funding mechanisms, including price support mechanisms.

The site of the Koeberg Nuclear Power Station can accommodate several additional nuclear power reactors. However to sustain a nuclear energy programme in the long run it will be important to establish a strategic reserve of nuclear sites and associated servitudes for transmission lines. Land suitable for siting nuclear power plant is a scarce resource and it is therefore essential that suitable sites be identified, reserved and that their future viability be protected and secured before development pressures make them unsuitable or creates major safety and emergency planning difficulties. The NNR Act provides for such a mechanism whereby Eskom can apply to the National Nuclear Regulator for a Nuclear Installation Licence for siting and after which development surrounding the licensed site can be controlled in terms of the NNR Act.

Government through Eskom shall identify, acquire and licence under the NNR Act potential nuclear sites to ensure a strategic reserve of nuclear sites.