Daewoo E&C seeks gov't mediation in dispute over Czech nuclear project
Daewoo Engineering & Construction (E&C) said Monday it has asked the government to mediate a dispute with Korea's state-run nuclear power operator over a major nuclear reactor project in the Czech Republic. The company, which leads a construction consortium for the project, made the request to the Ministry of Trade, Industry and Resources after receiving formal notice Friday that Korea Hydro &…
Daewoo Engineering & Construction (E&C) has sought government mediation in a dispute with Korea's state-run nuclear power operator, Korea Hydro & Nuclear Power (KHNP), over a significant nuclear reactor project in the Czech Republic. The construction consortium leader for the project submitted a formal notice to the Ministry of Trade, Industry and Resources on Friday, after KHNP terminated contract negotiations.
Daewoo E&C requested the ministry's intervention to resume negotiations and expedite the project's revival. The Dukovany project, valued at approximately 25 trillion won ($17.5 billion), involves building two 1,000-megawatt APR1000 nuclear reactors, a Korean-designed model, in the Czech Republic. KHNP ended the negotiations unilaterally after rejecting Daewoo E&C's revised proposal submitted on Thursday, citing the company's failure to accurately account for escalating construction costs.
The construction firm argued that it is unreasonable to hold a contractor accountable for unforeseen cost increases.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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