French firm dismisses fears over China nuke co-op

PARIS - French Electricite de France (EDF) on Thursday said it considered that the fears of technology transfer to Chinese partners expected to develop a new type of nuclear reactor "unfounded."

In an interview with the daily Le Parisien, Herve Machenaud, director of EDF stressed that "the conditions of cooperation between France and China are transparent," referring to the development of an 1,000-MW reactor.

"(The accord) will be subject of additional agreements on intellectual property between Areva and CGNPC ... The French nuclear has an interest that engineers from around the world come to our plants," he added.

EDF has received a government approval to sign a nuclear partnership with Chinese utility, China Guangdong Nuclear Power Company (CGNPC) and Areva at the end of 2012, according to EDF official.

On Wednesday, the satirical weekly Le Canard Enchaine reported that French finance-ministry inspectors had begun an inquiry into the terms of the China agreement suggesting that the French utility would deliver French nuclear secrets to the Chinese to further cement partnership with the world's only utility that continues to build reactors.

"Pointing our Chinese partners does not create a favorable psychological environment," Machenaud noted.