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FINANCING PROBLEMS MAY POSTPONE ARMENIAN NUCLEAR PLANT PROJECT
Interfax, Russia
June 13 2013
Financing difficulties may force Armenia to postpone construction
of a new nuclear power block for at least three-four years, Deputy
Energy and Natural Resources Minister Areg Galstyan told Interfax.
The new block was scheduled to enter service in 2019-2020, according
to previous reports.
The postponement would also move back the date for decommissioning
the existing block at the Metsamor Nuclear Power Plant, which is
operating under a 30-year license that expires on September 1, 2016.
"Construction of a new atomic power block is a crucial task for the
nation's energy security and we are trying to conduct negotiations
with investors in a conversational mode. The search for investors is
the most important issue," he said.
Russian state corporation Rosatom, the supplier of the nuclear
equipment and systems (the "nuclear island"), will provide 50% of
the total project cost of roughly $5 billion. Other investors need to
be found for the "turbine island" and other facilities at the plant,
he said.
"Clearly we will not manage to build the new block before the service
life of the existing block expires. Therefore, a decision needs to
be made on extending the life of the block for at least three or four
years. We are synchronizing the dates for adding and withdrawing the
nuclear power station from service," he said.
Russia and Armenia signed the agreement on construction of the new
block, which will be equipped with a 1,060-megawatt VVER reactor,
in August 2010. Armenia and Russia's CJSC Atomstroyexport created a
50-50 joint venture, Metsamorenergoatom, to carry out the project.
The new block will be built adjacent to the existing block. In 2006,
Armenian lawmakers canceled the state's monopoly on ownership of
nuclear power plants in order to help raise financing.
The two existing power blocks are equipped with first-generation
VVER-440 reactors. The first block is closed. The second, which
generates 407.5 MW, accounts for about 40% of Armenia's total
electricity production.
The Metsamor nuclear plant entered service in 1980. It was shut down
in March 1989 in the wake of the Spitak earthquake that hit in December
1988. The second block was restarted in 1995.
jh aa
Interfax, Russia
June 13 2013
Financing difficulties may force Armenia to postpone construction
of a new nuclear power block for at least three-four years, Deputy
Energy and Natural Resources Minister Areg Galstyan told Interfax.
The new block was scheduled to enter service in 2019-2020, according
to previous reports.
The postponement would also move back the date for decommissioning
the existing block at the Metsamor Nuclear Power Plant, which is
operating under a 30-year license that expires on September 1, 2016.
"Construction of a new atomic power block is a crucial task for the
nation's energy security and we are trying to conduct negotiations
with investors in a conversational mode. The search for investors is
the most important issue," he said.
Russian state corporation Rosatom, the supplier of the nuclear
equipment and systems (the "nuclear island"), will provide 50% of
the total project cost of roughly $5 billion. Other investors need to
be found for the "turbine island" and other facilities at the plant,
he said.
"Clearly we will not manage to build the new block before the service
life of the existing block expires. Therefore, a decision needs to
be made on extending the life of the block for at least three or four
years. We are synchronizing the dates for adding and withdrawing the
nuclear power station from service," he said.
Russia and Armenia signed the agreement on construction of the new
block, which will be equipped with a 1,060-megawatt VVER reactor,
in August 2010. Armenia and Russia's CJSC Atomstroyexport created a
50-50 joint venture, Metsamorenergoatom, to carry out the project.
The new block will be built adjacent to the existing block. In 2006,
Armenian lawmakers canceled the state's monopoly on ownership of
nuclear power plants in order to help raise financing.
The two existing power blocks are equipped with first-generation
VVER-440 reactors. The first block is closed. The second, which
generates 407.5 MW, accounts for about 40% of Armenia's total
electricity production.
The Metsamor nuclear plant entered service in 1980. It was shut down
in March 1989 in the wake of the Spitak earthquake that hit in December
1988. The second block was restarted in 1995.
jh aa