Hungary, Russia sign 3 Paks implementation accords

Budapest, December 9 (MTI) – Hungary and Russia have signed agreements for two new 1200 megawatt nuclear reactors to be constructed at the Paks power plant.

In a statement, the cabinet office said on Tuesday that the three agreements “formalise the design, procurement and construction parameters for the new units, conditions related to their operation and maintenance support, and details regarding fuel supply and the handling and storage of spent nuclear fuel.”

The three pacts were signed on Tuesday between MVM Paks II Nuclear Power Plant Development Closed Joint-Stock Company and the Russian Joint-Stock Company Nizhny Novgorod Engineering Company Atomenergoproekt.

“The Hungarian state has entered into a favourable agreement keeping within the financing resources available for the project,” the statement said.

The government commissioner in charge of the nuclear plant said that they had signed on Tuesday “contracts of exceptional importance”. Attila Aszodi said the plant would remain in Hungarian ownership. He said 10 billion euros of 12.5 billion euro investment would be extended by Russia in a loan and the remaining 2.5 billion would be financed by Hungary.

In line with the agreement, Hungary could start implementing the Russian plans from January and construction could start in 2018. The first reactor is scheduled to come online in 2025.

The two blocks will contain third-generation pressurised water reactors, he said, adding that the blocks’ first fuel consignment is included in the overall investment cost. Supplier companies will be invited to the project in the 40 percent of worth of the total investment.