On December 2, 2019, Shanghai Nuclear Engineering Research & Design Institute (SNERDI), along with Candu Energy Inc - a subsidiary of Canada's SNC-Lavalin, was awarded a contract by China National Nuclear Power Co Ltd (CNNP) for pre-project work for a proposed two-unit Advanced Heavy Water Reactor (AHWR) plant. The work relates to planning and licensing in preparation for the project, construction of which is expected to start in or around 2021.

The AHWR is described as a 700 MWe reactor that builds on the Canadian Candu pressurized heavy water reactor (PHWR) design. A number of evolutionary adaptations ensure its compliance with the latest international safety standards and Generation III requirements. This includes new and enhanced active and passive safety systems and standardized design for reduced maintenance and capital costs.

Under the contract, Shanghai Nuclear Engineering Research & Design Institute serves as general design institute of the project, as well as technical manager for this contract to review and accept SNC-Lavalin's deliverables on behalf of CNNP. China Nuclear Energy Industry Corporation has been designated by CNNP as its foreign trade agent for this contract. SNC-Lavalin will provide the top-level licensing basis documents to outline the licensing process along with the regulatory and safety requirements applicable to the design, analysis, construction, commissioning and operation of the AHWR.