China approves 3rd phase of Tianwan nuclear plant

BEIJING Aug 20 (Reuters) - China has approved plans to start building the third phase of its Tianwan nuclear complex in October next year, the State-owned Assets Supervision and Administration Commission (SASAC) said in a statement.

Tianwan, in eastern Jiangsu province, now has two 1.06 GW pressurised water reactors using technology from Russia. Jiangsu Nuclear Power Co is close to agreeing terms of a contract with Russia's Atomstroyexport for a second phase, which has already been agreed in principle, the statement said.

The statement did not specify which technology would be used in the third phase, which will add two further 1 GW reactors. A final, fourth phase is expected to bring the total number of reactors to eight, with overall capacity of 8 GW.

Elsewhere in China, nuclear reactors are being built by Westinghouse, a unit of Japan's Toshiba (6104.T), and France's Areva CEPFi.PA. Technology transfer from the foreign firms will help China develop its own technology, expected to be used in the later phases.

China is racing to expand its nuclear power generating capacity as part of a campaign to cut the use of coal, the dirtiest fossil fuel, which accounts for about 80 percent of China's power generation, helping it to become the world's biggest emitter of greenhouse gases.

China previously set a goal of 40 GW of nuclear power capacity by 2020, but some government officials have suggested aiming for 60-70 GW, or 5 percent of total generating capability.

The nuclear push is also partly driven by China's $585 billion stimulus plan, which was put in place late last year to bolster an economy hit by the collapse of its export markets. (Reporting by Tom Miles: Editing by Jacqueline Wong)