Page 45 - bne Magazine August 2022

bne August 2022 Special Report I 45
Czech energy company CEZ switches away from Russian nuclear fuel
bne IntelliNews
Czech state-controlled energy company CEZ has signed a contract with US nuclear power technology company Westinghouse and French Framatome for the supply of
fuel assemblies for the Temelin Nuclear Power Plant, the company announced in a press release. The value of the contract is in the order of billions of crowns.
The contract is part of a shift by nuclear power station operators away from reliance on Russian nuclear
fuel supplies, though many states in Central Europe – notably Hungary – remain dependent on Russian inputs.
Both suppliers were selected in a tender in April. "Of course, we selected the best offers with regard to both safety and price. At the same time, however, our goal was to diversify the number
of suppliers in order to minimise the
risk of possible supply failures for any reason," said Ladislav Stepanek, Director of the Fuel Cycle Department at CEZ.
"We welcome the decision of CEZ group to diversify its nuclear fuel supply and to select Westinghouse as
a supplier of nuclear fuel for Temelin Nuclear Power Plant. Westinghouse has developed and supplied for many years our own VVER fuel designs for both the VVER 1000 and the VVER 440 types of reactors. We are extremely happy that our successful experience in supplying VVER fuel is going to benefit CEZ," said Tarik Choho, President of EMEA Operating Plant Services.
"Framatome is pleased to have
been chosen by CEZ as a supplier to contribute to Temelin plant’s fuel security of supply,“ commented Lionel Gaiffe, Senior Executive Vice President, Fuel Business Unit at Framatome.
“This is the result of a long term partnership between CEZ and
Framatome and demonstrates the confidence of CEZ in the reliability of our fuel solution regarding their need and requirement to produce low-carbon energy in Czech Republic," he added.
According to CEZ, this should
be an important step towards strengthening the energy security
of Czechia. Deliveries of assemblies
to the Temelin plant will begin in 2024. Currently, in Temelin the company has fuel assemblies for approximately two years of operation; at the Dukovany plant even more.
"We decided to increase the stockpile volume at both nuclear power plants in 2016. Thanks to this, we have enough assemblies at Dukovany for approximately three years of operation of all the units. Of course, we continue to think about the diversification of suppliers," declared Bohdan Zronek,
a member of the board of directors and Director of the Nuclear Power Division.
Westinghouse focuses its activities on carbon-free energy by providing innovative nuclear technologies
AP1000 nuclear power plant projects across Central and Eastern Europe.
Framatome is an international
leader in nuclear energy, designing, servicing and installing components, producing nuclear fuel and supplying instrumentation and control
systems for nuclear power plants.
CEZ Group is one of the key state companies, operating in Western, Central and South-Eastern Europe.
The company focuses its activities on generation, distribution, trade and sale of electricity and heat, the trade and sales of natural gas, the provision of complex energy services and coal mining.
In March, after years of delays, CEZ finally launched a tender for the largest investment in the modern history of Czechia, for the construction of a new nuclear unit at Dukovany. The unit should be built by 2036.
Three potential bidders will likely enter the official tender – EdF of France, KHNP of South Korea and Westinghouse, while China General
“We welcome the decision of CEZ group to diversify its nuclear fuel supply and to select Westinghouse as a supplier of nuclear fuel for Temelin Nuclear Power Plant”
to utilities globally. In May, the company signed a memorandum of understanding with the state-owned Bulgarian Energy Holding on building a long-duration energy storage facility in Bulgaria. In April, it signed memoranda of understanding with three Slovenian companies that will cover co-operation on the potential
Nuclear and Rosatom of Russia are prevented from taking part in the tender.
Czech Prime Minister Petr Fiala announced last week that CEZ could be restructured within two years,
in order for the Czech state to have a decisive influence with regard to critical energy infrastructure.
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