MK sports East China's Zhejiang Province. Photo: Courtesy of CNNC" src="https://www.globaltimes.cn/Portals/0/attachment/2024/2024-09-10/d64a4f66-16e0-4f1b-9635-2d388c7a3c5b.jpeg" />

Picture shows the Qinshan Nuclear Power Base in Haiyan, East China's Zhejiang Province. Photo: Courtesy of CNNC

Private capital has been introduced in all five newly approved nuclear power projects in China, with the share of private enterprises standing at 10 percent for the first time, the China Media Group (CMG) reported on Saturday, citing the National Development and Reform Commission (NDRC), China's top economic planner.

The total investment of these projects exceeds 240 billion yuan ($34.2 billion), with funds from private enterprises, which analysts said demonstrate China's determination to support private enterprises to participate in the construction of major national projects and promote the development of private enterprises.

"The five newly approved nuclear power projects this year are controlled and invested in by central enterprises for construction, with a total of 10 private enterprises participating, having invested 4.5 billion yuan," said Ling Zhongguo, a deputy director for the bureau of the private economy at the NDRC, according to the CMG.

Nuclear power is related to the lifeline of the national economy and energy security, and it's a sector that requires strong professionalism, meaning the investment and operation thresholds are high. Traditionally, nuclear power projects have been funded and operated mainly by central state enterprises, an industry insider surnamed Cao told the Global Times on Saturday.

"Many policies have been introduced to facilitate greater participation of private enterprises in the national economy. The recent nuclear power projects are good examples," Cao said, noting that private enterprises continue to show strong creativity in the new-energy field after being encouraged to participate in major national projects.

After a nuclear power project pays off any loans, its long-term income is stable. In the field of nuclear power, promoting private capital participation will help private enterprises share development opportunities and dividends, an official from the National Energy Administration was quoted as saying by the Xinhua News Agency.

A nuclear power project requires a large investment and has a long life-cycle and stable long-term income. 

The total investment for each million-kilowatt third-generation nuclear power unit is about 20 billion yuan, and the construction period is about five years. 

The investment payback period is 15 to 20 years. The operating life of a nuclear power unit is about 60 to 80 years, according to Xinhua.

In recent years, China has encouraged private capital to participate in nuclear power projects. 

The Zhejiang San'ao nuclear power plant approved in 2020 was the first such project, which received investment from a private company - with Geely taking a 2 percent stake, according to Xinhua.