BEIJING, Dec. 1 (Xinhua) -- China will decide this month which foreign company will supply key technology for two 3rd-generation nuclear power projects. The French company Areva is going head-to-head with U.S. titan Westinghouse in competing for the contract.

    U.S.-based Westinghouse, which made the early running in the bidding, has easy-to-operate technology and a competitive price in its favor, this week's Chinese Caijing magazine quoted an insider as saying. "But the final decision will be made by the State Council, China's cabinet, at the end of the month."

    Even if its technology seems somewhat complicated, French company Areva has not given up, according to Caijing. Areva Group Chairperson Lauvergeon said in Beijing recently Areva would offer an all-round technology transfer if they won the contracts. Over 8,000 Areva engineers and technicians would be involved in the transfer process.

    China is selecting technology for four nuclear power units in Sanmen, in east China's Zhejiang Province and Yangjiang, in north China's Guangdong Province.

    The so-called "3rd-generation" technology is expected to be safer and more economic than existing technology and will be incorporated in other nuclear power plants built between now and 2020.

    The Chinese government wants to raise the proportion of nuclear power in the country's total from the current 1.6 percent to four percent by 2020 -- this translates into 30 million kilowatts of nuclear power capacity in the next 15 years.

    The AP1000 technology provided by Westinghouse has an advanced design and an automatic system to deal with emergencies, making it easier for Chinese engineers to operate and understand. But the fact that AP1000 is not yet in commercial operation is a factor of uncertainty and installment risks.

    Areva's EPR technology is both more mature and more complicated. Areva is currently the only provider of third generation nuclear power technology which has a firm order. Its first EPR unit will go into operation in Finland in June 2009.

    China National Nuclear Corporation, the nation's largest nuclear power conglomerate, is in favor of the French EPR technology as it is similar to their own technology, Caijing magazine quoted a company official as saying.

    If we bring in Westinghouse's AP1000, much of our nuclear power knowledge will become redundant and we will have to start again from scratch, the official said.

    Both technologies could meet Chinese requirements, the magazine quoted an insider as saying. The decision-makers will also consider economic and other related factors.