TVA and Partners Support Initial Planning and Evaluation for First SMR

Unlike previous nuclear construction projects in the United States, contractors will work with GEH and TVA as a highly integrated project team to plan, design and potentially procure, construct and commission Clinch River Unit 1. Using an integrated project delivery (IPD) approach to contracting is significantly different from traditional project delivery methods that is intended to align all parties in a unified plan.

“The integrated project delivery model is the preferred method that will make our project a true team effort,” said Bob Deacy, TVA Clinch River Project, Senior Vice President. “We will actively work together toward a target budget and schedule – creating a significant advantage to drive nuclear innovation, share risks and reduce costs. This collaboration will provide our region affordable, reliable and increasingly clean power and improve America’s energy security.”

This model is a best practice from the construction industry. TVA’s technology collaboration partner Ontario Power Generation (OPG) has also utilized the IPD model successfully for generation projects and is using the IPD model for its SMR at Darlington in Ontario, Canada. 

Bechtel and TVA have worked together on other nuclear projects over the years, most recently in completing construction of Watts Bar Unit 2 in 2016. Through the IPD, Bechtel will provide valuable insights from its breadth of experience in constructing nuclear facilities. 

“Bechtel is honored to be selected by TVA for this important work and is proud to be at the forefront of new nuclear power generation,” said Dena Volovar, President of Bechtel’s Nuclear, Security and Environmental global business unit. “We are committed to leveraging our extensive experience and expertise, utilizing new tools and innovations, to construct this project. We look forward to continuing our partnership with TVA to deliver new, clean energy.”

TVA is already working closely with GE Hitachi, OPG and Synthos Green Energy through a technology collaboration agreement that will develop the standard design for the BWRX-300. As TVA continues to prepare for a potential SMR at the Clinch River site, Sargent & Lundy will lead the detailed design for the site-specific implementation of the BWRX-300 at the Clinch River Nuclear site.

“This partnership marks a major step forward for the future of clean, carbon-free nuclear energy in the United States,” said Sargent & Lundy Chairman, President and CEO Victor Suchodolski. “We’re eager to bring our decades of nuclear expertise to the team, continuing our 40-year relationship with TVA.” 

The IPD team approach is ideal for developing the potential for multiple innovative SMRs. TVA may consider constructing one or more SMR units. The IPD team scope will also provide preliminary plans with estimated cost reduction forecast as it relates to constructing multiple SMRs to identify innovations and to provide a progression of cost reduction for additional reactors.

“TVA is building a highly skilled and experienced project team to lead the way for the deployment of the BWRX-300 at Clinch River,” said Sean Sexstone, Executive Vice President, Advanced Nuclear, GE Hitachi Nuclear Energy. “Together, we bring decades of expertise in the nuclear industry and major projects, and we are excited to collaborate in supporting TVA’s mission to meet the increasing demand for reliable and secure energy.”

Next Steps

The team is beginning the validation phase. During this phase TVA will collaborate with Bechtel, Sargent & Lundy and GE-Hitachi to jointly develop the potential Clinch River SMR’s cost estimate and schedule. A future multi-party agreement is contemplated under which incentives and arrangements will be negotiated to help ensure those estimates are achieved. The validation phase is anticipated to be completed within 1-2 years. TVA’s Board has not voted to approve an SMR at the nuclear site. This approach aligns closely with TVA’s structured planning process that carefully advances the Clinch River Project in phases at which the TVA Board will evaluate and consider approving any next steps.