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GE-Hitachi won't bid for Ontario nuclear reactor

10 April 2008 -- GE-Hitachi Nuclear Energy Inc. has informed the Ontario government that it will not be bidding on construction of a new nuclear power plant in the province, according to a report in the Toronto Star newspaper.

The decision shortens the list of qualified bidders to three: federally owned Atomic Energy of Canada Ltd., France's Areva NP and U.S.-based Westinghouse Electric. Co.

Infrastructure Ontario, the agency overseeing the bidding process, reportedly said in a statement that
GE-Hitachi decided to focus on existing customers and work toward certifying its boiling-water reactor design with the U.S. Nuclear Regulatory Commission. Its Canadian operation is part of "Team Candu," the consortium of five power-industry companies including AECL that support construction of next-generation Candu reactors in Ontario.

AECL made a similar decision last week when it decided to withdraw from a U.K. race it felt it couldn't win. Having made it to a short list of four, the federal Crown corporation cut its losses and decided to focus on business in Canada.

Infrastructure Ontario said it continues to hold confidential meetings with AECL, Areva and Westinghouse until April 25. They are all expected to submit a formal proposal by May 9 as part of the first phase of bidding. The government plans to pick a winning technology by the end of the year.

It also will decide by that time where the plant will be located and whether the plant's operator will be Ontario Power Generation or Bruce Power.




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