Memorandum submitted to the Committee
by UKAEA (United Kingdom Atomic Energy Authority)
Over the past 50 years, UKAEA at
Dounreay has provided a major source of direct and indirect employment
in the Caithness and North Sutherland region. Dounreay is estimated
to support nearly 5,000 jobs across the UK, with some 2,050 of
those jobs located in Caithness.
In April 2005, The Nuclear Decommissioning
Authority (NDA) will become responsible for the decommissioning
of UKAEA and BNFL sites and UKAEA will become a contractor to
the NDA. UKAEA has responded to the challenge of competition by
recently announcing the acceleration of the decommissioning programme
from 2063 to 2036.
The acceleration of the decommissioning
programme has implications for the Dounreay workforce and in recognition
of this issue, UKAEA is working closely with the local development
agencies.
The main thrust of the work with
the development agencies is to ensure that the local business
community maximise the benefits of significant spending from the
decommissioning programme in the short term and to use this opportunity
to lay the foundation of a sustainable economic base in the longer
term when the Dounreay decommissioning project is complete.
The current training opportunities
provided by UKAEA in the North of Scotland can instil qualities
of enterprise, innovation and learning from the decommissioning
programme. It is these qualities, gained from cleaning up the
nuclear legacy, that are establishing the Northern Highlands of
Scotland as a world class base for expertise in nuclear decommissioning
and environmental restoration and will ensure that the ultimate
legacy of Scotland's first "atomic factory" is one everyone
can be proud of.
UKAEA does not have a view on what
the long term solution for managing the UK's radioactive waste
should be, as these issues are the responsibility of the Committee
of Radioactive Waste Management (CoRWM).
UKAEA is leading the UK Government's
involvement in the fast track development of fusion power, which
offers a safe and environmentally benign alternative to fossil
fuels. This work is being carried out by UKAEA at Culham in England.
UKAEAWHO WE
ARE
The United Kingdom Atomic Energy Authority (UKAEA)
was incorporated as a statutory corporation in 1954 and pioneered
the development of nuclear energy in the UK. Today we are responsible
for managing the decommissioning of the nuclear reactors and other
radioactive facilities used for the UK's nuclear research and
development programme in a safe and environmentally sensitive
manner. Our objective is to essentially restore the sites for
conventional use.
BACKGROUND
The UKAEA Dounreay Nuclear Test Research Establishment
was established 50 years ago in 1955 for the development and demonstration
of nuclear fast reactor technology for the production of electricity.
The role, by necessity evolved to provide all the functions to
serve that goal with the addition of fuel fabrication, reprocessing
and waste management activities all integrated on one site.
Three reactors were constructed and operated,
the Dounreay Materials Test Reactor (DMTR), the Dounreay Fast
Reactor (DFR) and the Prototype Fast Reactor (PFR), to advance
the science and technology behind nuclear fast reactors. All programmes
were successful in meeting the goal of developing fast reactor
technology as a viable proposition for commercial power generation.
The choice of Dounreay for this project had
a major impact on the area. The nearest town of Thurso trebled
in size from 3,000 to 9,000, UKAEA built 1,000 new houses, and
new schools and a college were constructed. New businesses developed
to take advantage of contract opportunities at the site.
In 1988, the Government announced that the fast
reactor programme would be terminated in 1994. The then Highlands
and Islands Development Board commissioned consultants PIEDA to
examine the socio-economic consequences of this, and additional
funding was made available to the economic development agency
to offset the impact on Caithness and Sutherland of the rundown
of the programme.
The cessation of the programme in 1994 led to
a substantial reduction in manpower at Dounreay. UKAEA sought
to offset the loss of government funding at Dounreay through diversification
as a nuclear fuels business. In 1998, however, UKAEA concluded
this business was no longer feasible, leaving it to focus entirely
on decommissioning of the fast reactor liabilities.
A major recruitment drive took place to staff
the decommissioning programme, and employment levels increased
substantially.
In 2000, UKAEA Dounreay published the Dounreay
Site Restoration Plan (DSRP), which at that time was probably
the most comprehensive blueprint for the restoration of a major
nuclear site in the world. This envisaged a 60-year programme,
costing in the region of £4 billion, with employment levels
remaining high during the major construction period associated
with the first 20 years. In 2001, the Scottish Executive announced
the formation of a decommissioning task force under the auspices
of the Highlands and Islands Enterprise network to address the
opportunities and threats arising from closure of the site.
RECENT DEVELOPMENTS
In April 2005, the Nuclear Decommissioning Authority
will become responsible for the decommissioning of UKAEA and BNFL
sites. UKAEA will become a contractor to NDA, and it is expected
these contracts will be opened to competition at a later date.
UKAEA is preparing for the challenge of competition, and in October
2004 announced an acceleration of the Dounreay decommissioning
programme from 2063 to 2036, and a reduction in estimated cost
to £2.7 billion.
UKAEA'S CURRENT
ROLE WITHIN
THE CAITHNESS
AND NORTH
SUTHERLAND ECONOMY
It is difficult to overstate the importance
of UKAEA to the economy of the Dounreay local area, given that
the company and site has been a major source of direct and indirect
employment in the region for the past 50 years. While the focus
of work carried out at Dounreay has now changed from the development
of the fast reactor and its fuel cycle to the decommissioning
and environmental restoration of the area, the scale of the work
to be undertaken will ensure the site remains a major employer
in the area.
Consultants assess the current impact of Dounreay
on the local economy as follows:
the activities of the site support
some 2050 local jobs in the area, accounting for nearly 20% of
the total employment across Caithness and North Sutherland;
decommissioning Dounreay is worth
approximately £80 million a year to the economy of the Highlands
in general and Caithness and North Sutherland in particular through
net salaries, pensions, contracts and sub-contracts;
across Scotland as a whole, the total
employment impact of the activities of UKAEA Dounreay is estimated
to be nearly 3,000 jobs, with only around 870 local outside the
local Caithness and Sutherland area; and
a further 1,740 jobs are supported
across England and Wales. As such, in total the activities of
UKAEA Dounreay are estimated to support nearly 5,000 jobs across
the UK as a whole.
A number of key employers based in
the local area act as contractors to UKAEA, while other local
service providers benefit from the spending power generated by
UKAEA's activities.
While not the only major employer
located in the area, the presence of UKAEA contributes to the
unusual employment structure in Caithness and North Sutherland.
Rather than appearing typical of a remote rural area (high concentration
of employment in tourism, traditional manufacturing, low share
of full time jobs), the employment structure of the region is
more akin to a small urban region (high concentration of employment
in advanced manufacturing and business services, high share of
full time jobs).
THE FUTURE
As previously stated, UKAEA is embedded within
the day to day economic activities within the Dounreay area. Its
association with the local community over the last 50 years has
been positive and very healthy in regards to the economic, social
and cultural activity. As such UKAEA has a strong sense of responsibility
to the local community and wishes to ensure that its activities
can provide a positive economic influence over the area for many
years to come.
With the advent of the NDA and the expected
introduction of competition for the management of the Dounreay
site within the next five years, UKAEA must fulfil its governmental
obligations alongside those of corporate social responsibility
to its employees and the community. UKAEA intends to fulfil its
obligations to government by accelerating the decommissioning
of the legacy of the fast reactor technology developed at the
Dounreay site.
IMPLICATIONS OF
THE ACCELERATED
DECOMMISSIONING PROGRAMME
FOR DOUNREAY
EMPLOYEES
The nature of nuclear decommissioning at a site
is that the more successful the project, the fewer staff and resources
are needed to complete the job. The figure below presents the
anticipated run down of UKAEA personnel required to decommission
the site, as our new accelerated programme progresses. It is anticipated
that this trend will be mirrored in the local contracting community.

UKAEA anticipates that the required decrease
in staff numbers for the first five years will be able to be met
through natural wastage and retirements. UKAEA are also making
efforts to re-direct UKAEA staff into project delivery roles by
supplementing existing skill sets with new training to provide
them with the tools to meet the new opportunities within decommissioning.
UKAEA have also made a commitment to ensure that the existing
apprentice, scientific trainee and graduate recruitment will still
be undertaken at current rates of eight apprentices, four scientific
trainees and six graduates per year.
UKAEA appreciates that it needs to retain core
skills within its staff and recognises the need to address the
shortfall in nuclear skills. To this end UKAEA has made a number
of investments to ensure that local community can provide a highly
skilled and experienced workforce to help both with the Dounreay
decommissioning project and make the area attractive for other
companies to invest in. Some of these initiatives are:
UKAEA's Major Project and Engineering
Director is the chair of the advisory council of the UHI Millennium
Institute Decommissioning and Environmental Remediation Centre
(DERC) at Janetstown, near Thurso.
UKAEA launched Britain's first modern
apprenticeship in nuclear decommissioning, in partnership with
Caithness and Sutherland Enterprise (CASE) and North Highland
College UHI in 2003.
UKAEA has invested £300,000
in a Learning, Education and Development Centre at Dounreay in
2004, which delivers training to personnel all over the UK.
UKAEA has collaborated with the North
Highland College UHI, CASE and French counterparts CEA and Grenoble
university to establish a European masters degree in decommissioning,
creating a qualification recognised throughout Europe.
WORKING WITH
THE COMMUNITY
FOR AN
ECONOMIC SOLUTION
UKAEA has always strived to ensure that it has
good local links with the community. Since the publication of
the Dounreay Site Restoration Plan in 2000, UKAEA has been working
with CASE in support of their Dounreay Decommissioning Task Force.
UKAEA is also providing support to the Caithness
Marketing Initiative being spearheaded by Lord Maclennan (and
supported by the Prince's Trust) by seconding a senior manager
for three years to assist with the establishment of the initiative.
UKAEA is also is facilitating the involvement of a regeneration
"guru" Professor John Fyfe as an expert advisor to the
local community agencies. In addition UKAEA is undertaking a local
opinion survey on issues affecting Dounreay, including socio-economic
development in the coming months.
As a NDPB charged with the responsibility of
the environmental restoration of its own sites, UKAEA does not
have the responsibility or remit to undertake regional development.
Economic development in Scotland is devolved and at the local
level sits with CASE, part of the Highlands and Islands Enterprise
Network. UKAEA is working very closely with the development agencies
to support their programmes and efforts to ensure a viable economic
future for Caithness and North Sutherland
UKAEA CORPORATE SOCIAL
RESPONSIBILITY
The UKAEA has publicly stated goals and a mission
statement that build on its core values of safety, environmental
responsibility, value for money, public acceptability, personal
accountability, and continuous improvement. These values are also
at the heart of its policy on Corporate Social Responsibility
(CSR). UKAEA is committed to making social and environmental responsibility
integral to the way it does business, based on policies and practices
that include:
Safeguarding the health and safety
of the general public, employees and contractors working on UKAEA
sites.
Protecting the environment.
Providing value for money to shareholder,
customers, and UK taxpayers.
Supporting the prosperity and well
being of the communities around UKAEA sites.
Maintaining good employment practices.
Dealing fairly with contractors and
suppliers.
Being open and honest in communications.
Consulting and engaging proactively
with stakeholders.
UKAEA has undertaken a number of CSR initiatives
in the past year including investing £500k in the refurbishment
of Thurso Town Hall, as a community owned civic amenity centre
and major gateway for tourism in Caithness incorporating the important
story of Dounreay. UKAEA has also donated a £50,000 grant
to the award winning community regeneration project in a depressed
area of Wick (the highest unemployment rate in the Highlands and
Islands) for sustainable development activity.
THE UKAEA DOUNREAY
SOCIO-ECONOMIC
PLAN
As required by its forthcoming contract with
the NDA in April, UKAEA is currently working on the development
of a Dounreay socio-economic plan to assess the effect of its
newly accelerated decommissioning strategy. The socio-economic
plan will develop and continue the significant socio-economic
development work that UKAEA has carried out over the last 50 years
and will highlight some of the more significant activities and
their consequences.
UKAEA has been active in recent years in supporting
the efforts of CASE in the development of Caithness as a centre
of excellence in nuclear decommissioning. UKAEA has undertaken
and supported the following series of initiatives to facilitate
economic development within the region in a number of key areas,
including:
An international Fast Reactor decommissioning
Alliance set up by UKAEA, including local firm JGC Engineering
and Technical Service, is now using its liquid metal skills gained
from this project to bid for work internationally.
UKAEA became the anchor tenant at
Forss Science and Technology Park, which unlocked a £6 million
investment by private sector.
UKAEA has structured its tender process
in order to maximise the potential for local businesses to participate
in decommissioning projects.
UKAEA has been heavily involved in
the success of test and trials facility at Janetstown which was
a catalyst for £7 million investment by CASE and the European
Regional Development Fund in new facilities, including the UHI
Millennium Institute's Decommissioning and Environmental Remediation
Centre.
UKAEA is actively promoting nuclear
decommissioning opportunities at Dounreay to business throughout
Scotland through close working with HIE and Scottish Enterprise,
and DTI initiative to exploit the synergy of skills in the nuclear,
oil and gas and renewables industry sectors.
UKAEA'S COMMITMENT
TO THE
FUTURE ECONOMIC
DEVELOPMENT OF
THE DOUNREAY
AREA
In summary, UKAEA Dounreay last year recruited
its 1,000th engineering apprentice since 1955. This year UKAEA
expects to recruit its 1,000th scientific and secretarial trainee.
The success of these training programmes in providing an opportunity
for young people in the Highlands and Islands, over the last 50
years, is arguably the greatest benefit Dounreay has brought to
the area. UKAEA is committed to helping the local community diversify
and utilise the opportunity provided by the significant spending
profile, brought by decommissioning Dounreay over the next 10
to 15 years, to help encourage the development of the local community
away from its historical heavy dependence on Dounreay's activities
in the area.
(II) THE
LONG TERM
STRATEGY FOR
THE MANAGEMENT
OF RADIOACTIVE
WASTE, IN
PARTICULAR ILW
Dismantling and cleaning up a complex former
research and development site like Dounreay produces significant
quantities of different types of waste. Some of this waste is
radioactive because it has come into contact with radioactive
material or been irradiated, and may require special handling
to protect workers, the public and the environment. Other wastes,
such as demolition rubble and metal, can be dealt with as normal
industrial waste and recycled. Correctly categorising and segregating
these wastes is integral to a safe and efficient decommissioning
programme.
At Dounreay, there are three main types of solid
waste:
Exemptwaste produced
in areas where radioactive materials have been handled and which
may have traces of radioactivity up to a maximum level similar
to that found in jars of coffee. This waste is exempt from the
disposal requirements of the Radioactive Substances Act and can
be disposed of alongside other industrial waste.
Low Levelwaste which
is too radioactive to be disposed of to ordinary industrial landfill
but is below the level at which special precautions such as thick
shielding are required. There are two licensed disposal sites
for LLW in the UKa series of shallow pits at Dounreay,
which are now full, and the national facility at Drigg in Cumbria
used by all other producers in the UK.
Intermediate-levelmostly
long-lived waste which requires special precautions, such as thick
shielding, to protect workers and the public. Many years ago at
Dounreay, such waste was disposed in a shaft at the site. Today,
it is held above ground safely in engineered stores pending a
national policy for its long-term management.
UKAEA are convinced that the long-term strategy
for the management of radioactive waste is an urgent requirement
for the success of the nuclear decommissioning strategy for the
whole of the UK.
LOW LEVEL
WASTE
Unlike most other nuclear sites, which dispose
of their LLW at the UK national LLW disposal facility at Drigg,
in Cumbria, Dounreay has always operated its own authorised LLW
disposal facility. This facility consisting of six shallow trenches,
has been used over the past 40 years to dispose of around 33,000m3
of Dounreay's LLW.
As Dounreay's facility is now full, some of
Dounreay's current arisings of LLW can now be disposed of at Drigg
and an application for Drigg was made to SEPA on 18 April 2002.
This application is currently under consideration by SEPA.
In addition there are two categories of LLW
that are not normally disposed of at Drigg and these will have
to be stored on an interim basis at Dounreay. The first category
does not meet the conditions for acceptance by Drigg and will
be stored until it can be disposed of in either a new future suitable
UK national repository or under special arrangements with BNFL
at Drigg.
The second category is called Low Active/High
volume and is mainly made up of very low level activity but high
volume of contaminated soil. The Dounreay site does have the ability
for storing this waste for a short amount of time but due to the
decommissioning operations it is anticipated that this waste will
generated in large amounts in the near future. Therefore UKAEA
will have to either construct a new low level waste operations
facility or convert an existing building in 2005 for interim storage.
Dounreay conducted a Best Practicable Environmental
Options (BPEO) study for the long term management of both the
low active/high volume waste and LLW. This study was subject to
a public consultation exercise and UKAEA anticipate that the outcome
of this study will be announced in February.
ILW
UKAEA's approach to dealing with ILW is to ensure
that all ILW is packaged in a passively safe form in accordance
with Nirex requirements, or where there is adequate justification,
packaged in an intermediate form suitable for interim storage
such that is does not compromise future disposal requirements.
All ILW is stored in controlled conditions, which prevents deterioration
of the containers and ensures that packages remain in a transportable
state for a period consistent with approved NDA planning assumptions.
This storage is on an interim basis until a national UK radioactive
waste disposal facility becomes available.
UKAEA does not have a view on what the long
term solution for managing the UK's radioactive waste should be.
These issues are the responsibility of the Committee of Radioactive
Waste Management (CoRWM). UKAEA does recognise the urgent national
need for a solution and is happy to support CoRWM in its efforts
to reach a publicly acceptable solution.
(III)
HOW CAN
THE SHORTFALL
IN ENERGY
OUTPUT BE
MET ONCE
NUCLEAR POWER
NO LONGER
PROVIDES SCOTLAND'S
ENERGY NEEDS?
UKAEA's remit today is to decommission and clean-up
sites formerly used to research and develop nuclear fission, and
to host UK's contribution to the international research and development
of nuclear fusion. Fusing atoms to reproduce the energy that powers
the sun and stars offers a safe and environmentally benign alternative
to fossil fuels. Recognising the need for new long-term sources
of electricity, the UK Government supports the fast track development
of fusion, which could lead to full-scale power generation within
30 years. This work is carried out by UKAEA at Culham in England.
18 January 2005
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