NUCLEAR SAFETY PROJECT ROMANIA

Promoter – Financial Intermediary

SOCIETATEA NATIONALA NUCLEARELECTRICA SA

Location

• Romania

Description

The project concerns the design and construction of a tritium removal facility to improve radiation safety at the nuclear power plant.

Additionality and Impact

The Promoter is the second largest electricity producer in Romania. Its revenues are solely based on the production and sale of nuclear-based electricity. Its two main assets are two 700 MW units located in Cernavoda, South-East Romania.

Although it is a profitable company, it's a very ambitious investment program that needs to be implemented, it requires to secure long-term financing under the best conditions. The EIB involvement would be a catalyzer for other lenders. Apart from the financial impact with regard to crowding-in those lenders, the EIB involvement would also have two positive impacts, namely:

?        It would enhance both personnel and environmental protection, as the project to be financed refers to the extraction of tritium from the moderator and cooling agent. The tritium in turn may be sold to the ITER Project, based in France with the EU as a key member; and

?        It would enable Nuclearelectrica to implement other investments.

Objectives

The aim is to remove radioactive tritium from reactor coolant and moderator and consequently to reduce radiation exposure of personnel, the radioactivity level of controlled releases and the amount of radioactive waste. After removal of tritium the reactor coolant and moderator can be safely reused. Therefore, the project will improve radiation safety, operational efficiency and environmental sustainability of the power plant, as well as occupational and public health and safety. It will allow simplified and more efficient planning and execution of regular maintenance works, the planned refurbishments and the final decommissioning of the nuclear units. Shortening the outage periods would result in incremental electricity production. In addition, the removed tritium as a rare radioactive isotope has significant strategic value as a critical material needed in the development process of another promising low-carbon power generation technology, nuclear fusion. Tritium is also required for some emerging technologies to produce nuclear medicine isotopes.

Sector(s)

• Energy - Electricity, gas, steam and air conditioning supply
• Water, sewerage - Water supply; sewerage, waste management and remediation activities

Proposed EIB finance (Approximate amount)

EUR 145 million

Total cost (Approximate amount)

EUR 316 million

Environmental aspects

The project has been subject to an Environmental impact assessment (EIA) process including public consultations and the transboundary context. The potential impacts associated with the project include construction health and safety, hazardous materials and waste, workers exposure to harmful impacts, community impacts and stakeholder engagement. However, with mitigation measures implemented, including good construction practice measures, monitoring and remedial actions the effects on environment are not considered significant. The environmental benefits of the project include reduction of radioactivity level of controlled releases, amount of radioactive waste, and radiation exposure of personnel. The decision of the competent authority was issued in January 2023.

Procurement

The promoter is a state-owned company operating in utilities sector (electricity). The Bank required the promoter to ensure procurement of the contracts for implementation of the project in accordance with the applicable EU public procurement legislation with publication of tender notices in the EU Official Journal, as and where required.

Status

Signed - 22/12/2023