Tagged: Rosatom

Rosatom targets growth

Rosatom targets growth

Russia should start up three new reactors this year at home, and another in India, said state company Rosatom in an official meeting with prime minister Dmitry Medvedev. The company said its order book for the next ten years is approaching $100 billion.

The official update is an annual event for Rosatom, the state corporation that includes most of the country’s commercial nuclear operations. Medvedev met with Rosatom head Sergei Kiriyenko, himself a former prime minister.

Medvedev and Kiriyenko, June 2014 (460x269)

Medvedev and Kiriyenko yesterday (Image: Kremlin)
Kiriyenko hopes that three new nuclear units could be brought online in Russia this year. First should be Rostov 3, a VVER-1000 pressurized water reactor, where criticality should be achieved in October and first power in December.At the Novovoronezh Phase II unit 1, criticality should come around December, said Kiriyenko. This unit is the first of the new VVER-1200 design, which Russia wants to deploy in large numbers: three more VVER-1200s are under already construction and another 14 planned in the timeframe to 2030.Also this year the long-running project to construct Beloyarsk 4, a BN-800 fast reactor, is due to be complete. Fuel is already being loaded there and it could achieve criticality in December.

This trio of new nuclear units in Russia should complemented by the start-up of Kudankulam 2, which Rosatom has been building at the southern tip of India with Nuclear Power Corporation of India Ltd. The schedule for this, ‘is more defined by the customer,’ said Kiriyenko, ‘but we understand the precise work we must complete.’

These projects (as well as further reactor projects in Bangladesh, Belarus, China, Finland, Hungary, India, Turkey, Kazakhstan and Vietnam) have helped boost Rosatom’s order book to $98 billion for work in the next ten years, said Kiriyenko. This is approaching double the $50 billion reported two years ago. The order book also includes a range of nuclear goods and services Rosatom and its subsidiaries supply internationally, including uranium and nuclear fuel, but these were not discussed with Medvedev.

Medvedev welcomed the progress in public relations and community engagement. Plans to build new reactors at Paks in Hungary represent Rosatom’s first project in the European Union, and in this regard Rosatom was organising seminars and workshops in Brussels as well as engaging in dialogue with the European Commission, said Kiriyenko. In Finland as well, he claimed local engagement had increased support for Fennovoima’s project to build a new nuclear power plant at Hanhikivi.

All this, Medvedev concluded, ‘will create a base’ for Rosatom’s development and in turn ‘address major economic challenges’ for Russia.

Source: World Nuclear News

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Nuclear News Round Up (24th – 28th March 14)

Rosatom signs contract to build Finnish nuclear plant

Rosatom signs contract to build Finnish nuclear plant

Rusatom Overseas, a division of Russian state nuclear corporation Rosatom, signed a contract with Finland’s Fennovoima for the construction of the Hanhikivi 1 nuclear power plant, Rosatom said. Fennovoima, the company that has commissioned the construction of the NPP, and TVEL, Rosatom’s nuclear fuel division, also signed a fuel agreement for the future NPP.

Russian nuclear power plants may be built in UK
However, a contract on Rusatom Overseas acquiring a 34 percent stake in Fennovoima was not signed. Rosatom said that Voimaosakeyhtio SF, which represents more than 60 Fennovoima shareholders from various regions of Finland, and Rusatom Overseas signed an agreement setting out the conditions of responsibilities and stakes in the project.
The document calls for Rusatom Overseas to take a 34 percent equity stake in Fennovoima.

As a result of the contract, Rosatom divisions will build 20 NPP generating units abroad, and the group’s portfolio of contracts to build NPP, supply fuel, enriched uranium products and other services will top $74 billion.

Read the full article here http://rbth.ru/news/2013/12/24/rosatom_signs_contract_to_build_finnish_nuclear_plant_32858.html

Source: Russia Beyond the headlines

Growing nuclear industry becomes a global power

Growing nuclear industry becomes a global power

Critics expected the sector to stagnate after Fukushima but Russia plans to build plants with the latest safety features all over the world.

Rosatom, the Russian state nuclear corporation, has concluded a record number of transactions this year for the construction of nuclear power plants. Rosatom will build the first nuclear power plants in Bangladesh and Jordan, expand its presence in China and India with the help of new power units, and build the Hanhikivi-1 nuclear power plant (NPP) in north-west Finland. The company is also negotiating an agreement on co-operation with South Africa.

Russian nuclear power plants may be built in UK
Rosatom also started new construction work in 2013: the Akkuyu NPP in Turkey, a nuclear power plant in Belarus and a plant for the production of nuclear fuel in Ukraine. The Russian company offers its customers new reactors that are innovative in terms of security. For example, passive safety systems in the VVER-1200 reactor used in the NPP-2006 plant can guarantee that the so-called Fukushima scenario in Japan will never happen again.

Rosatom has 19 orders for the installation of similar reactors abroad and is building eight such reactors in Russia.

Package solutions

“In my opinion, the most important quality of Russian companies is the package proposal they come with to a potential customer,” said the independent nuclear expert Alexander Uvarov. This can be demonstrated by the example of South Africa, where a conference of nuclear suppliers, Atomex-Africa, was held last month. According to Mr Uvarov, the Russians have not only invited South African companies into the supply chain for new nuclear projects, but also offered the new partner a huge range of options for development of the entire spectrum of the nuclear fuel cycle.

These range from the establishment of research and education centres and the development of medical isotopes to a reactor and an enterprise for nuclear fuel production. In addition, Russian companies can provide up to 85% financing for nuclear power plant projects through export credits.

British energy

Rosatom’s achievements in 2013 suggest that its confidence for continued success in the future is not misplaced. It is too early to talk about specific technologies, but it is highly likely that Russian nuclear power plants generating electricity will appear in Britain in the coming years.

Read more here http://rbth.co.uk/science_and_tech/2013/12/17/growing_nuclear_industry_becomes_a_global_power_32661.html

Source: Russia: Beyond the Headlines

BOO: exploring the model for emerging markets

BOO: exploring the model for emerging markets

By Elisabeth Jeffries

Russian nuclear energy company Rosatom’s creation of a new subsidiary, Rusatom Overseas, officially announced by the Russian government in October 2013, marks a milestone in nuclear management.

The company will use a ‘build own operate’ (BOO) model to build Turkey’s first NPP, based at Akkuyu in southern Turkey.  Construction is to start in 2015.

The company will use a ‘build own operate’ (BOO) model to build Turkey’s first NPP, based at Akkuyu in southern Turkey.  Construction is to start in 2015.

The BOO model preferred for Turkey’s first plant is unusual because the Russian power company will both build it, act as major operator and benefit from at least a 51% share in the long term.  This is a much greater share than most vendors. As Fiona Reilly, partner and head of nuclear Services at law firm Norton Rose Fulbright remarks, BOO models may present several advantages for newcomer nations.

“It all comes down to: what do you want from a first nuclear plant? If it is mainly electricity, the BOO model that Russia is providing to Turkey is a good option. However, if a country wants to start developing its own nuclear industry from day one out of it, a model that allows the host country to develop its own plant while teaching the host country about nuclear and ultimately allowing it to develop its own nuclear industry may be better,” she says.

On the other hand, “certain countries, such as the US, have laws which restrict ownership of strategic assets including nuclear power plant and therefore the Russian model being offered in Turkey would not be possible,” she adds. Speed is also a factor.  “There’s an element in the project of: we need electricity and we need it quickly so how do we do it – build, own, operate and finance the plant,” says Fiona Reilly.

Financial benefits

Even more significant, perhaps, is the financial benefit. A guaranteed price compensates Rosatom for 15 years. Meanwhile, the Russian company is due to provide a majority portion of the capital investment required. “It could otherwise be a slower process for Turkey for its first plant, putting together a deal with a consortium that would potentially bring in financing from various sources,” says Fiona Reilly.

As Greg Kaser, senior project manager at the World Nuclear Association (WNA) points out, local hydrocarbon assets affect a national decision on nuclear funding. “The BOO model provides potential access to investment from the supplier’s side which is attractive. BOO models may be a big selling point for developing countries like Jordan, Bangladesh or Turkey, especially if they have little or no oil. It does however depend on the suppliers being able to raise the finance, and government support to the supplier seems to be necessary, from export credit finance, for instance,” he states.

Russian reactors are also at present cheaper than some competitors. Kaser also points out: “there is a cost as well as a financing advantage to the country buying the nuclear power plant on a BOO basis as the investor-operator must have a secure long-term power purchase agreement in place.”

Liabilities

Plant ownership and operation also has an impact on liability for damage. One of the main decisions to make in the early phase of nuclear new build planningis the overall structure of the project and how ownership and operational interests may be separated. The allocation of nuclear liability in most cases will fall on the operator.  In some cases, there may be a strong argument against integration into a BOO plant structure.

“One reason for the separation of ownership and operation is the possibility of distancing investors who may have no experience or expertise in nuclear projects from nuclear operational issues and regulatory requirements that fall on the operator of a nuclear plant,” explains Fiona Reilly. In the general case of BOO plants, then, the investor may also have nuclear liability.

“Although the reasoning behind splitting ownership and operational interests is generally to ring fence nuclear liability with an operator entity, thus distancing investors, this only works in relation to third party nuclear liability which is, in any event, generally covered by nuclear insurance,” she adds. Investment structures can be reshaped to determine how liability is allocated.

Learning on the job

A major role is planned for nuclear power in Turkey, reducing dependence on gas from Russia and Iran. A second plant, due to start running in 2023, will be located at Sinop. This also has heavy involvement from overseas, especially Japan. The plant is a product of a joint venture between Areva and Mitsubishi Heavy Industries with Itochu and Gdf Suez as other project consortium members.

As Anne Starz, head of the Integrated Nuclear Infrastructure Group at the IAEA points out, another advantage to the BOO model is learning and training. “Turkey has used a BOO model for the first time. There will be a very experienced operator involved from Russia, which operates NPPs already. The project is coming with financing and also a lot of experience. It’s one way of transferring experience from one country to another,” she says.

Source: Nuclear Energy Insider

Turkey Has Made Important Progress In Nuclear Power Programme, Says IAEA

Turkey Has Made Important Progress In Nuclear Power Programme, Says IAEA

Turkey has made important progress in the development of its nuclear energy infrastructure, but needs to strengthen its nuclear regulatory body and develop a national plan for human resource development, the International Atomic Energy Agency (IAEA) has said.

INIR

An IAEA team that conducted an Integrated Nuclear Infrastructure Review (INIR) mission in Turkey from 4 to 14 November, said Turkey’s nuclear programme “enjoys strong government support” and “effective coordination among government organisations”.

“The government of Turkey has established effective coordination mechanisms and has involved a large number of institutions that have a role in the establishment of the infrastructure needed to support the nuclear power programme,” Jong Kyun Park, director of the IAEA division of nuclear power and team leader of the INIR mission said.

The recommendations included completing a national policy on nuclear energy, strengthening the nuclear regulatory body and developing a national plan for human resource development.

In total, 25 organisations are involved in the development of Turkey’s national nuclear infrastructure.

“Turkey is implementing the build-own-operate (BOO) approach. It is the first time in history of nuclear power that this approach has been used,” Mr Park said.

The BOO approach means a company is granted the right to develop, finance, design, build, own, operate, and maintain a nuclear power plant, as well as to retain a part of the operating revenue and have a share in the risk.

“This method is very interesting because it solves two of the biggest challenges that newcomers face: financing and experienced operators,” Mr Park said.

Turkey is aiming to produce at least 10 percent of its electricity from nuclear power by 2023.

Turkey has two nuclear plants in development – the Akkuyu nuclear plant in cooperation with Russia’s Rosatom, and the Sinop nuclear plant together with an Areva-Mitsubishi Heavy Industries joint venture. The government has also expressed interest in launching a third nuclear plant project.

Source: Nuc Net

Companies join forces to bring VVER to UK

Companies join forces to bring VVER to UK

Rosatom, Fortum and Rolls-Royce have agreed to work together to investigate building Russian-designed VVER pressurized water reactors in the UK. A memorandum of understanding signed by the UK and Russia will underpin the work.

 Fallon and Kiriyenko (Rosatom)_280
(Michael Fallon and Sergei Kiriyenko sign the memorandum (Image: Rosatom))According to Fortum, the trio of companies are to begin preparatory work towards a Generic Design Assessment (GDA) of a VVER-type power plant and site licensing. First commercial contracts have been signed by the parties.The agreement is supported by a memorandum of understanding on cooperation in the nuclear power industry signed in Moscow by UK energy minister Michael Fallon and Rosatom head Sergei Kiriyenko. At the same time, Rolls-Royce signed a contract with Rosatom which will see the UK company undertake engineering and safety assessment work on Rosatom’s VVER technology ahead of its potential entry in the GDA process.

The GDA forms part of the approval process for new reactor projects in the UK, and allows regulators to assess the safety, security and environmental implications of new reactor designs, separately from applications to build them at specific sites. The UK’s first GDA process began in 2007, when four designs were submitted for initial consideration by UK regulators. Areva’s EPR became the first reactor design to complete the GDA process and receive a Design Acceptance Confirmation and Statement of Design Acceptability in December 2012. Earlier this year, a GDA was begun for Hitachi-GE’s Advanced Boiling Water Reactor (ABWR).

The companies bring together various experiences and expertise. Rosatom’s VVER reactors currently operate in 11 countries. Finnish nuclear utility Fortum brings to the table its experience of construction, operation and maintenance of VVERs at the Loviisa plant, which has operated for over 30 years, while Rolls-Royce contributes expertise as a provider of technology and services to the nuclear industry as well as knowledge of the UK licensing regime and its network of suppliers as a leading engineering company. Rosatom has been working closely with Rolls-Royce since the two companies signed a memorandum of understanding in 2011.

Rosatom has long expressed an interest in the potential new build market offered by the UK, where eight sites have been approved as suitable for new build. EDF has already earmarked two of them – Hinkley Point C and Sizewell C – as potential sites for EPRs, while ABWRs are proposed for Horizon’s sites at Oldbury and Wylfa.

Fortum executive vice president Matti Ruotsala said that the UK provided a “really interesting opportunity.” although the company emphasised that it has not yet made any investment decisions related to UK new build.

Fallon said that he welcomed the agreements signed by the three companies, adding that all reactor technologies adopted in the UK must meet the “stringent and independent” regulatory standards required in the UK and the EU.

Source: World Nuclear News