These power plants pose not only an environmental threat but a security risk as well
Recent reports on China’s floating nuclear reactor project have resurfaced, fuelling concerns regarding further militarisation of the already tenuous South China Sea waters. The project first came to light in 2016, with news of Beijing’s first floating nuclear power station known as the ACPR50S being developed by China's state-owned energy giant, China General Nuclear (CGN). It was to be anchored on ships for offshore oil exploration, providing power for these operations in the Bohai Sea. Soon after, there was speculation and scattered reports of China’s plans of building a fleet of floating nuclear power plants (FNPPs) for the South China Sea. In the years since then, however, information on the development and eventual deployment of these floating FNPPs has been few and far between with reports in 2023 suggesting that the plan may have been suspended.
The FNPPs can support China's oil and gas exploration activities and offer energy to islands and regions that lack access to traditional power grids.
Nonetheless, the deployment of FNPPs in the South China Sea is probably just a matter of time and, in all likelihood, remains a priority. China's floating nuclear power plant programme serves two purposes—first, it is aimed at diversifying its energy sources and extending its energy infrastructure to remote regions and offshore operations; and second, it bolsters China's control over the artificial islands and rock formations in these contested waters on which Beijing has already constructed dual-use facilities. The FNPPs can support China's oil and gas exploration activities and offer energy to islands and regions that lack access to traditional power grids. These include island territories with growing energy needs, offshore oil drilling platforms, and military bases. Reliable energy will also facilitate advanced surveillance and rapid-response capabilities. The floating nuclear reactors could also supply energy for China's underwater mining operations and deep-sea logistical naval bases.
FNPPs reduce reliance on traditional power sources and imports. These floating platforms are mobile and can be towed to different locations mounted on barges or ships, providing energy flexibility. These "baby" reactors can operate for years or even decades without needing refuelling and have the dual capability to produce significant amounts of electricity and desalinate large volumes of seawater for freshwater supplies. Land-based nuclear power plants (NPPs) have inherent limitations requiring extensive land, complex infrastructure for grid connectivity, and a continuous supply of cooling water. Floating NPPs are seen as a practical alternative for power, heating, and water desalination in remote coastal towns and small islands.
The ACPR50S reactor has an annual power capacity of 200 MW, far less than the latest commercial nuclear reactors but sufficient for offshore oil and gas production, island development, and seawater desalination.
The team responsible for developing floating reactors invested over a decade in research, believing that these offshore reactors would be more publicly acceptable, given their reduced land impact. They were expected to offer reliable power for both military and civilian activities on remote islands in the South China Sea. The ACPR50S, for instance, is designed with multiple safety features for marine environments, and its development was approved by China's National Development and Reform Commission for inclusion in the nation's 13th Five-Year Plan, marking a significant technological milestone for CGN in advancing small offshore reactors. The ACPR50S reactor has an annual power capacity of 200 MW, far less than the latest commercial nuclear reactors but sufficient for offshore oil and gas production, island development, and seawater desalination. Another larger floating plant was also reportedly under construction in Yantai, Shandong, by China National Nuclear Cooperation, a weapons contractor. With two reactors and a 250-megawatt output, it will be the world's most powerful floating nuclear station, expected to supply energy to an industrial park and operate in international waters.
However, China's deployment of FNPPs in the South China Sea is expected to have significant environmental and safety concerns. The Chinese Communist Party (CCP) is criticised for discharges from its land-based nuclear plants and has faced scrutiny for exceeding expected levels of radioactive isotope tritium. China has a dubious safety record and has been criticised for environmental degradation in the region through the militarisation of reefs and expansive territorial claims, which were dismissed by an international tribunal in 2016. Experts emphasise that FNPPs pose significant environmental risks, especially in fragile marine environments where severe weather, sabotage, or accidents could lead to a catastrophe with serious implications for marine life and regional stability. The potential risks of accidents, especially at sea, necessitate robust safety measures to prevent environmental contamination.
Experts emphasise that FNPPs pose significant environmental risks, especially in fragile marine environments where severe weather, sabotage, or accidents could lead to a catastrophe with serious implications for marine life and regional stability.
Safety management is another key concern, especially inadequate training leading to negligence. Engineers working on China's FNPPs have emphasised the need for comprehensive security systems to protect against underwater divers, vessels, and airborne threats. These systems would include detection, monitoring, and disposal subsystems, and the plants would be divided into security zones. However, no existing security solutions are specifically designed for floating nuclear plants, leaving them vulnerable to potential threats in open waters. To address these concerns a dock-based floating nuclear plant, ACP100S, which would be anchored near the mainland to better utilise defence resources and reduce vulnerabilities was proposed for the Bohai Sea, where China has more oversight. Once operational, China could develop more powerful models for the South China Sea. However, it remains unclear if regulators are considering these revised plans. Notwithstanding the flexibility of FNPPs, there are further ongoing debates about whether they can compete with renewable energy sources like solar and wind. Nuclear power isn't competitive without government subsidies, and poses unresolved challenges in waste management and security; modern nuclear plants, including SMRs, have strong passive safety features and longer operational lifespans, making them competitive.
Another challenge is that China’s FNPPs will not be covered by the Vienna or Paris Conventions, which govern civil liability for land-based nuclear installations. The only relevant international agreement, the 1962 Brussels Convention on the Liability of Operators of Nuclear Ships, is not yet in force. Even if the Vienna or Paris Conventions applied, issues would remain unresolved since China hasn't signed any international conventions on nuclear accident liability or established comprehensive domestic legislation, particularly for cross-border nuclear accidents. While the International Atomic Energy Agency (IAEA) aims to establish safety standards for floating nuclear reactors, China has reportedly delayed this process, allegedly seeking to influence the IAEA toward sless stringent regulations.
The region's fragile ecological balance, unresolved territorial disputes, and the lack of clear international regulations for floating reactors amplify concerns over environmental safety, national security, and regional stability.
Several Southeast Asian nations, also claimants in the South China Sea, view China's planned deployment of FNPPs as a direct challenge to their sovereignty, including Vietnam and the Philippines, who argue that China's operation of FNPPs near disputed offshore features would violate their territorial rights, and would require permission and supervision from their authorities. Vietnam's 2008 Law on Atomic Energy mandates the Prime Minister's authorisation and inspection of nuclear-powered vessels in Vietnamese waters. While the Philippines lacks such explicit regulations, its government may still assert its right to monitor Chinese NPPs under maritime laws. The region's fragile ecological balance, unresolved territorial disputes, and the lack of clear international regulations for floating reactors amplify concerns over environmental safety, national security, and regional stability. The FNPPs would undoubtedly increase regional security risks and further exacerbate already tense regional security dynamics. Given Beijing’s propensity for expanding its foothold across the South China Sea in contravention of international maritime law, the planned sea-based nuclear plants would potentially reinforce China's control over the artificial islands it has built and militarised in the area, intensifying regional security risks and further exacerbating already tense regional security dynamics.
Pratnashree Basu is an Associate Fellow with ORF’s Strategic Studies Programme.
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Pratnashree Basu is an Associate Fellow, Indo-Pacific at Observer Research Foundation, Kolkata, with the Strategic Studies Programme and the Centre for New Economic Diplomacy. She ...
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