Friday November 15, 2024

Romanian nuclear power plant operator Nuclearelectrica said the estimated value of the engineering, procurement and construction management (EPCM) contract, signed at the COP29 climate conference, was around 3.2 billion euros ($3.4 billion).

It will be structured in two phases. The first phase is the limited notice of procedure, which lasts between 24 and 30 months, followed by the final notice of procedure phase which lasts approximately 80 to 84 months. This last phase is subject to the agreement of commercial conditions and a final investment decision “taken in accordance with the support agreement between the Romanian State” and Nuclearelectrica.

_{The contract was signed during COP29, which is taking place in Baku, Azerbaijan (Image: Jonathan Cobb)}

What is the project?

Cernavoda is Romania’s only nuclear power plant and consists of two 650 MWe Candu-6 reactors. Unit 1 entered commercial operation in 1996 and Unit 2 in 2007. The operator Nuclearelectrica plans to extend the operating life of Unit 1 to 60 years. Most of the work on the unfinished Units 3 and 4 was carried out in the 1980s, before the fall of Nicolae Ceausescu’s government in 1989. It was reported in 2021 that Unit 3 was 52% complete and Unit 4 to 30%.

In July this year, the European Union issued a positive opinion on the technical and nuclear safety aspects of the construction of the two units, the operating date of which is planned in 2030 for unit 3 and in 2031 for the Unit 4. In October 2022, Romania declared Both Canada and the United States offered assistance to finance the construction of Cernavoda 3 and 4.

In quotes

Romanian Energy Minister Sebastian Burduja said: “This is the most important project for the Romanian energy sector in recent decades. We have the strongest international partners to deliver it by 2031-2032. The signing of today’s contract required a considerable effort, at all levels: diplomatic, financial, legal. The two new reactors will mean an additional installed capacity of more than 1,400 MW in Cernavoda, an increase in annual energy production in Romania of more than 11 million MWh, for at least 30 years of operation, more than 19,000 well-paid jobs and will avoid a minimum of 10 million tonnes of CO2 emissions each year. Once this investment is made, in 7 to 8 years, Romania will cover more than 30% of national energy needs solely through nuclear energy production. Today’s historic step is also symbolic: Romania is capable of advancing strategic projects imagined 50 years ago and blocked by decades of hesitation, carelessness or lack of decision.

Cosmin Ghita, CEO of Nuclearelectrica, said: “Today marks a major milestone in the advancement and ultimately completion of the strategic project of Units 3 and 4 of the Romanian Cernavoda Nuclear Power Plant. The EPCM contract represents the very basis of the project. We are honored to work on this contract. and project with highly professional and internationally recognized partners. Units 3 and 4, Candu technology, will provide Romania with energy security and clean energy in a safe and sustainable way. network, 66% of Romania’s clean energy will be provided by nuclear energy, demonstrating, once again, the essential role of nuclear energy in deep decarbonization. »

Joe St Julian, President of AtkinsRéalis Nuclear Sector, said: “Candu technology has served Romania well and is the right choice for the next 60 years. The last seven Candu reactors built worldwide, and the ongoing life extension of 10 Candu reactors in Ontario, were completed on time and on budget. We will use our unrivaled know-how in nuclear energy as the manager of this technology, to ensure an equally successful outcome for the construction of these two new units in Romania.

Victor Suchodolski, Chairman and CEO of Sargent & Lundy, said: “We have been working with the governments of the United States and Romania since the start of their 2020 intergovernmental agreement to enable cooperation to advance Cernavoda’s projects. and the civil nuclear energy sector in Romania. We bring our comprehensive expertise in large-scale integrated nuclear power plant design to help provide safe, reliable and sustainable solutions to Romania. »

Daniela Gentile, CEO of Ansaldo Nucleare, said: “This project is an important step that brings Italy closer to key international partners. Given the growing demand for electricity, nuclear energy plays a critical role in energy security and the transition to cleaner energy. This agreement not only highlights the importance of international collaboration and Europe’s commitment to nuclear energy, but also reflects confidence in Ansaldo Nucleare’s 60 years of expertise. »

Pierre Bechelany, President of Fluor’s LNG and Power business, said: “Nuclear power is a safe and clean source of reliable baseload electricity, which is of critical importance to meet the growing demand for electricity. energy on a global scale. Fluor is happy to be part of such an important project. for Romania and Eastern Europe.