Press Release
Nuclearelectrica and ROMATOM, together with SNC-Lavalin, ANSALDO Nucleare and GE Steam Power organized “Cernavoda Unit 1-Refurbishment Suppliers’ Day”
Bucharest, 28 September 2022
As part of Phase II of the Unit 1 Refurbishment Project, Nuclearelectrica and ROMATOM, together with Candu Energy Inc., a member of the SNC-Lavalin Group, ANSALDO Nucleare and GE (General Electric) Steam Power, organized on 20-21 September 2022 the event “Cernavoda Unit 1-Refurbishment Suppliers’ Day” in order to bring together an important part of the national industry leading edge of equipment production and service delivery companies, dedicated to nuclear power plants refurbishments. The event highlighted the possibility of creating partnerships and develop future collaboration to successfully complete the Refurbishment Project of Unit 1 – Cernavoda NPP.
“The refurbishment of Unit 1 of the Cernavoda NPP is one of the main investment projects implemented by Nuclearelectrica. Romania needs new nuclear capacities for producing clean, stable and affordable energy, as a solution for achieving the energy safety and protection of consumers. We have a long-term mission of generating clean energy at excellence standards, and the Refurbishment of Unit 1 will provide Romania with another 30 years of baseload clean energy. Cernavoda NPP has more than 25 years of expertise in nuclear operation at the highest safety standards. We are commited to build strong and reliable partnerships for the refurbishment of Unit 1 of the Cernavoda NPP and to involve the Romanian industry in such a complex project, similar to the construction of new nuclear units.”-Cosmin Ghiță, CEO of SNN.
“The recent inclusion of nuclear energy in the Taxonomy for Sustainable Financing represents a positive signal for the further development of national nuclear projects and a clear recognition of the role of this technology in the framework of European decarbonisation efforts and the reduction of dependence on energy imports. Events like Suppliers Day represent an opportunity to strengthen the capabilities of the local industry, to identify new partnerships and capitalize on skills, for the benefit of national nuclear projects” – Dr. Teodor Chirica, President Emeritus, ROMATOM.
“Countries around the world are contending with how to shift electricity generation to sources that are Net Zero while also working to ensure continuity of energy supply,” said Bill Fox, Executive Vice-President, Nuclear, Canada, SNC‑Lavalin. “Cernavoda’s Unit 1 CANDU® reactor has provided Romania with energy security from domestically produced power, and has contributed to the reduction of its greenhouse gas emissions by over 5 million tonnes a year. The reactor’s refurbishment will ensure it can serve future generations as dependably as it has served past generations. As the steward and original equipment manufacturer of CANDU technology, SNC-Lavalin looks forward to partnering with Romanian suppliers as we conduct engineering and early procurement pre-project work as part of the Refurbishment of Unit 1.”
“Ansaldo Nucleare is very proud to have co-organized this important event together with Nuclearelectrica, Romatom and his hystorical partners in Cernavoda project. We are confident that there will be the same close and very good collaboration with the Romanian industry which was the key to the successes obtained for the construction and connection of the Units 1 and 2 to the national grid. We look forward to working all together in this refurbishment complex project and being able to deliver the new challenge which will allow the unit to keep producing clean and safe energy for another 30 years”, Claudio Nucci, CEO Ansaldo Nucleare.
“Cernavoda nuclear power plant plays a critical role in delivering 1,400 MW of CO2-free power for Romania, about 20% of the country’s overall electricity. GE Steam Power’s local expert team, together with our global expert resources, has been supporting the Cernavoda nuclear plant for more than 25 years, including performing all maintenance services on steam turbines and generators since 2004. As a long-term partner to Romania’s energy industry, GE Steam Power is looking forward to working with SNN, ROMATOM and Cernavoda’s original equipment manufacturers to refurbish Unit 1. The Suppliers’ Day has been a great opportunity for the refurbishment partners to meet and lay the fundament for successful collaboration on this complex project.” Paul Wise, Managing Director, GE Steam Power EMENAT.
Based on the ROMATOM study on the capability of the Romanian Nuclear Industry to participate in the development of the Romanian nuclear program, it is estimated that the potential participation of the Romanian Nuclear Industry, with reference to the goods and services identified in this study, can be evaluated at about 1-1,6 billion Euro, which would represent between 25% to 40% of the total value of the Engineering, Procurement, Construction and Commissioning Contract, thus representing a significant contribution with a major impact on the national economy and its re-industrialisation. The study also estimates that local industry can provide a maximum of 19,000 jobs committed to the development of the Romanian nuclear program (11,000 existing jobs plus 8,000 jobs that can be created if orders are received).
CANDU reactors have an initial lifecycle of 30 years, which can be extended by another 30 years, following a refurbishment process, and this is what Nuclearelectrica is currently implementing for Unit 1, which was initially put into commercial operation in 1996. Amoung the benefits of the Unit 1 Refurbishment project we mention: another 30 years of operation as of 2029; around 5.5 million MWh of net clean energy delivered annually in the National Energy System, at the lowest cost among all energy sources; significant contributions to the economy; More than 5 million tons of CO2 avoided on an annual basis. According to the report of the International Energy Agency in collaboration with the Nuclear Energy Agency, concluded in 2020 with regard to the costs of electricity, the refurbishment of nuclear units has the lowest cost of electricity among all sources of energy – on average 32 USD/MWh (as compared to 50 USD/MWh for wind energy; 56 USD/MWh for solar panels; 91 USD/MWh for coal-based plants). The cost of energy generated by new nuclear capacities, of a new size, is 69 USD/MWh, according to the same report.
The Unit 1 Refurbishment Project, initiated in 2017, is implemented in three stages, in accordance with the experience and international practice in the field:
- Phase I-already completed during by February 20222, consisted of the assessment of sensitive reactor components. At the end of the stage, Feasibility Study and the Final Investment Decision were endorsed by the General Meeting of the Shareholders. The resulted estimated cost of the investment is 1.85 billion EUR. In phase I, in 2021, were hired for this project 100 people, who will be part of the organizational structure of the project during the second phase and who will benefit from training as per the nuclear standards. Part of the newly hired will be sent for on the job training to Canadian nuclear power plants which have already experienced refurbishments processes.
- During Phase II (2022-2026) are performed engineering, procurement and contracting activities, and is expected to obtain necessary licenses and authorization, including the European Commission Opinion, by the end of 2026. In July 2022, it was signed the first contract with CANDU Energy/SNC-Lavalin, Design Authority and CANDU Technology original equipment manufacturer (OEM) for engineering services for the development of the technical documentation for the procurement of long-lead reactor components, which will be replaced during Refurbishment of Unit 1, within the project referred to as “reactor retubing” (Replacement of Fuel Channels, Calandria Tubes and Feeders – ICCTCF).
- Phase III-will be carried out in the period 2027-2029, will starts with the shutdown of Unit 1 and consists of the actual performance of the works in the Unit 1 Refurbishment Project within the facilities of the unit, and its recommissioning, in order to be commercially operated for another lifecycle of 30 years, after the year 2029.
About Nuclearelectrica
The National Company “Nuclearelectrica” SA is the national Romanian company which produces electricity, heat and nuclear fuel operating under the authority of the Romanian Ministry of Energy, with the Romanian state holding 82.49% of shares and other shareholders holding 17.50%, after the listing of the company at the stock exchange in 2013.
The NPP (CNE) Cernavoda branch operates two CANDU nuclear units, which are two of the most high-performance units among the more than 400 nuclear plants in the world, a nuclear fuel factory and is in the process of carrying out an integrated fuel cycle through the procurement of a uranium concentrate processing line, in order to support the long-term investment projects of the company.
Nuclearelectrica has a major role at national level, contributing by more than 18% of the nuclear energy in the total energy production and by 33% in the total CO2-free energy production in Romania.
About ROMATOM
ROMATOM was founded on January 10, 2001, having today over than 50 members, providers of services, construction-erection works, equipment and components for the nuclear industry in Romania. The purpose of the Association is to promote the peaceful use of nuclear energy in Romania and to support the national nuclear program, as well as to coordinate all the activities undertaken through the Association’s membership and participation in FORATOM – the European Atomic Forum
