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S.N. NUCLEARELECTRICA S.A.
ANNUAL REPORT
2021
COMPANY MANAGED IN A ONE-TIER MANAGEMENT SYSTEM
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1 CONTENTS
1. BASIS OF THE REPORT ................................................................................................................................................ 4
2. IDENTIFICATION DATA .............................................................................................................................................. 4
3. MESSAGE OF THE BOARD OF DIRECTORS .......................................................................................................... 5
4. STATEMENT OF THE CHIEF EXECUTIVE OFFICER .......................................................................................... 8
5. ACTIVITY ANALYSIS .................................................................................................................................................. 14
5.1. COMPANY PRESENTATION ......................................................................................................................................... 14
5.1.1. BASIC ACTIVITY .......................................................................................................................................................... 14
5.1.2. MISSION, VISION, VALUES, OBJECTIVES ............................................................................................................ 16
5.1.3. INCORPORATION DATE ............................................................................................................................................ 17
5.1.4. SHAREHOLDING STRUCTURE ................................................................................................................................. 17
5.1.5. SIGNIFICANT MERGERS OR REORGANIZATIONS ............................................................................................ 17
5.1.6. PURCHASES AND TRADE OF ASSETS .................................................................................................................... 17
5.2. ELEMENTS OF GENERAL ASSESMENT .................................................................................................................... 19
5.3. PRODUCTION AND SALE ACTIVITY ......................................................................................................................... 24
5.3.1. PRODUCTION OF ELECTRIC AND THERMAL POWER .................................................................................... 24
5.3.2. THE MAIN MARKETS FOR EACH PRODUCT AND THE DISTRIBUTION METHOD .................................. 29
5.3.3. THE EVOLUTION OF SALES ON THE INTERNAL AND/OR EXTERNAL MARKET AND LONG AND
MEDIUM – TERM PERSPECTIVES ..................................................................................................................................... 32
5.3.4. COMPETITION SITUATION, MARKET WEIGHT OF PRODUCTS AND MAIN COMPETITORS .............. 33
5.3.5. DEPENDENCIES ON A SINGLE CLIENT OR GROUP OF CLIENTS ................................................................. 34
5.4. THE TECHNICAL – MATERIAL SUPPLY ACTIVITY ............................................................................................. 35
5.5. HUMAN RESOURCES ACTIVITY ................................................................................................................................ 40
5.5.1. NUMBER, LEVEL OF TRAINING AND THE DEGREE OF UNIONIZATION OF THE LABOR FORCE ..... 40
5.5.2. RELATIONS BETWEEN MANAGERS AND EMPLOYEES ................................................................................... 41
5.6. ENVIRONMENTAL PROTECTION ACTIVITY ......................................................................................................... 43
5.7. RADIOPROTECTION PROGRAM ................................................................................................................................ 45
5.8. RESEARCH AND DEVELOPMENT ACTIVITY ......................................................................................................... 47
5.9. OPERATING AUTHORIZATIONS AND LICENSES .................................................................................................. 47
5.10. NUCLEAR SECURITY ................................................................................................................................................... 51
5.11. INTEGRATED MANAGEMENT SYSTEM ................................................................................................................. 53
5.12. CORPORATE SOCIAL RESPONSIBILITY ................................................................................................................ 54
5.13. INTERNATIONAL RELATIONS .................................................................................................................................. 57
5.14. LEGAL ACTIVITY/DISPUTES ..................................................................................................................................... 60
5.15. PERSPECTIVE ELEMENTS ......................................................................................................................................... 60
5.15.1. FACTORS THAT MAY INFLUENCE LIQUIDITY ................................................................................................ 61
5.15.2. CURRENT AND ANTICIPATED CAPITAL EXPENDITURE .............................................................................. 61
5.15.3. EVENTS, TRANSACTIONS AND ECONOMIC CHANGES INFLUENCING REVENUES ............................. 63
6. TANGIBLE ASSETS ...................................................................................................................................................... 63
6.1. LOCATION AND CHARACTERISTICS OF MAIN PRODUCTION CAPACITIES ..................................... 63
6.2. THE DEPRECIATION DEGREE OF THE ASSETS .................................................................................................... 64
6.3. OPERATIONAL PERFORMANCE INDICATORS ...................................................................................................... 65
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7. MARKET OF SECURITIES ISSUED BY THE COMPANY .................................................................................... 70
7.1. THE ROMANIAN MARKETS AND THE MARKETS OF OTHER COUNTRIES WHERE THE SECURITIES
ISSUED BY THE COMPANY ARE TRADED ...................................................................................................................... 70
7.2. DIVIDEND POLICY .......................................................................................................................................................... 72
7.3. ACTIVITY OF SNN AT BSE ............................................................................................................................................ 75
7.4. PRESENCE IN THE INDEXES ....................................................................................................................................... 76
7.5. COMMUNICATION WITH THE SHAREHOLDERS AND INVESTORS ................................................................ 77
7.6. FURTHER INFORMATION ............................................................................................................................................ 78
8. INDIVIDUAL FINANCIAL - ACCOUNTING STATEMENTS AS OF DECEMBER 31, 2021 ........................... 87
9. CONSOLIDATED FINANCIAL - ACCOUNTING STATEMENTS AS OF DECEMBER 31, 2021 ................... 88
10. CORPORATE GOVERNANCE STATEMENT ......................................................................................................... 89
10.1. IMPLEMENTATION OF THE CORPORATE GOVERNANCE PRINCIPLES ..................................................... 89
10.2. THE GENERAL MEETING OF THE SHAREHOLDERS ......................................................................................... 92
10.3. THE MANAGEMENT OF THE COMPANY ............................................................................................................... 99
10.3.1. THE BOARD OF DIRECTORS .................................................................................................................................. 99
10.3.2. THE EXECUTIVE MANAGEMENT ....................................................................................................................... 112
10.4. CONSULTATIVE COMMITTEES ............................................................................................................................. 116
10.5. SHAREHOLDERS’ RIGHTS ....................................................................................................................................... 120
10.6. TRANSPARENCY, FINANCIAL REPORTING, INTERNAL CONTROL AND RISK MANAGEMENT ....... 122
10.7. CONFLICT OF INTEREST AND TRANSACTIONS WITH RELATED PARTIES ............................................ 145
10.8. AUDIT AND RISK MANAGEMENT DIVISION ...................................................................................................... 146
10.9. COMPLIANCE FUNCTION ........................................................................................................................................ 149
11. PRESENTATION OF THE GROUP .......................................................................................................................... 150
12. SUBSEQUENT EVENTS ............................................................................................................................................. 154
13. STATEMENTS AND SIGNATURES ......................................................................................................................... 157
14. ANNEX 1 - ARTICLES OF INCORPORATION AMENDED IN 2021 ................................................................. 158
15. ANNEX 2 - APPOINTMENT/REVOCATION DOCUMENTS IN 2021 ................................................................ 166
16. ANNEX 3 – LIST OF THE ESTABLISHMENTS ..................................................................................................... 167
17. ANNEX 4 – LIST OF THE BRANCHES ................................................................................................................... 168
18. ANNEX 5 – LIST OF THE SUBSIDIARIES ............................................................................................................. 169
19. ANNEX 6 - LIST OF MAJOR DISPUTES IN PROGRESS AS OF DECEMBER 31, 2021 (OVER RON 500
THOUSAND), INCLUDING THOSE THAT WERE NOT MONETARILY ASSESSED .............................................. 170
20. ANNEX 7 - STAGE OF THE IMPLEMENTATION OF THE CORPORATE GOVERNANCE CODE OF
BUCHAREST STOCK EXCHANGE ................................................................................................................................... 184
21. ANNEX 8 - REPORT OF THE NOMINATION AND REMUNERATION COMMITTEE FOR 2021 .............. 200
22. ANNEX 9 – SUSTAINABILITY REPORT ................................................................................................................ 214
23. ANNEX 10 - INDIVIDUAL FINANCIAL STATEMENTS AUDITED ON THE DATE AND FOR THE
FINANCIAL YEAR ENDED ON DECEMBER 31, 2021 ................................................................................................... 364
24. ANNEX 11 - CONSOLIDATED FINANCIAL STATEMENTS AUDITED ON THE DATE AND FOR THE
FINANCIAL YEAR ENDED ON DECEMBER 31, 2021 ................................................................................................... 446
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1. BASIS OF THE REPORT
The Annual Report of the Board of Directors of S.N. Nuclearelectrica S.A. for the financial year ended on December 31, 2021 was drafted according to:
Chapter III of the Public Finance Minister’s Order No. 2844/2016 on the approval of the accounting regulations compliant with the International Financial Reporting Standards, as further amended and supplemented.
Art. 65 of Law No. 24/2017, republished on August 10, 2021, on the issuers of financial instruments and market operations.
Annex No. 15 in Regulation No. 5/2018 on the issuers of financial instruments and market operations, as further amended and supplemented, issued by the Financial Supervision Authority.
Art. 56 of the Government Emergency Ordinance No. 109/2011 on the corporate governance of public institutions, as further amended and supplemented.
Art. 5.3 par. 5.3.1, let. f) from the Mandate Contracts, valid as at December 31, 2021, concluded between the directors and S.N. Nuclearelectrica S.A.
Art. 20 par. (3) let. d) in the Articles of Incorporation of S.N. Nuclearelectrica S.A.
2. IDENTIFICATION DATA
Report date:
March 28, 2022
Name of the issuer:
S.N. Nuclearelectrica S.A. (“SNN”)
Registered office:
Bucharest, District 1, 65, Polona Street
Telephone/fax number:
+40 21 203 8200; +40 21 316 9400
Web:
Email:
www.nuclearelectrica.ro
office@nuclearelectrica.ro
Sole Registration Number
10874881
Running number with the Trade Register:
J40/7403/1998
Subscribed and paid-up share capital:
RON 3,016,438,940
Regulated market on which the issued securities are traded:
Bucharest Stock Exchange (
www.BSE.ro
)
Premium Category
Main features of the issued securities:
301,643,894 shares, nominal value of RON 10/share, dematerialized, registered, ordinary, indivisible, with equal voting rights, freely tradable on Bucharest Stock Exchange under the SNN symbol starting with November 4, 2013
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3. MESSAGE OF THE BOARD OF DIRECTORS
The Board of Directors of the National Company Nuclearelectrica S.A. expresses its satisfaction with the financial and production results that the company concluded the year 2021 with, the result of an ingenious and efficient management across all company levels, which aimed at maintaining the electricity production activity at a high level of performance, the use with professional skill of the energy market mechanisms and some mart financial policies, prioritizing nuclear security in all decision-making. Nuclearelectrica, with two nuclear reactors in operation, provides about 18 % of the production of electricity nationally and 35 % of the electricity produced without greenhouse gas emissions. Achieving a cumulative capacity factor, Unit 1 plus Unit 2, of 91.61 % in 2021, under the difficult conditions imposed by the Covid pandemic, compared to the average global capacity factor of 80.3 % achieved in 2020, is a particular factor of satisfaction.
Romania, with the two CANDU units in operation, has avoided so far the release of about 170 million tons of CO2, while providing 33 % of the clean energy produced in Romania.
Currently, Nuclearelectrica has ongoing strategic investment projects worth an estimated Euro 9 billion, including: Refurbishment of Unit 1, Project of Units 3 and 4, development of small modular reactors in cooperation with NuScale, but also support projects for the current operation, such as the Tritium Removal Facility or the production of Cobalt 60 for medical purposes. SNN's investment projects will contribute with clean energy to Romania's energy stability, social and economic development, the development of the nuclear industry and the training of a new generation of specialists.
The achievement of the investment projects of NC Nuclearelectrica SA will lead, after 2031, to ensure approximately 33 % of the necessary consumption and estimated 66% of energy without CO2 emissions at national level, as well as to avoid the release into the atmosphere of approximately 24 million tons of CO2 annually.
Nuclear power continues to be an important component of the Sustainable Recovery Plan of the International Energy Agency, of the International Monetary Fund, both in terms of lifetime extension programs, new constructions, especially in the field of small modular reactors, nuclear energy being irreplaceable in reaching the post-crisis economic growth target of 1.1 % in the coming years, economic support by creating nine million new jobs and reducing the emissions of CO2 by 4.5 billion tons by 2030, compared with their level in 2019.
Globally, at the end of 2020, there were 441 nuclear reactors in operation, with a combined capacity of 392 GWe. Overall, nuclear reactors have generated 2553 TWh of electricity worldwide in 2020, contributing to the avoidance of the emission of two billion tonnes of carbon dioxide equivalent, which would have been produced if that electricity had been generated from coal-fired power plants.
Scientifically substantiated studies and analyzes conclude that the role of nuclear power is essential for decarbonization, both through the fleet of high-capacity reactors and complementary to new technologies, Small Modular Reactors (SMR), which bring extra
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flexibility, required to compensate for the significant fluctuations in new renewable technologies. Moreover, the cross-disciplinary study " The Future of Nuclear Energy in a Carbon-Constrained World ", published by the Massachusetts Institute of Technology, United States, in 2018, recommends the need for an innovative approach to the development of new nuclear technologies that will add substantial flexibility, identifying new concepts such as the " Advanced Small Modular Reactor (SMR) project developed by NuScale ", but also other projects, such as " sodium-cooled fast reactors or a high-temperature gas-cooled modular reactor ", which are ready to be marketed by 2030. Concerns in the field of development of new SMR concepts are underway in
France, United Kingdom, Poland, Czech Republic, Russia, Japan, Republic of Korea, Estonia, etc. SMR concepts are based on prototypes developed in the 1970s, subsequently developed for unit power between 600 and 1000 MW, reaching today 1400 - 1600 MW, as a result of increased energy requirements.
The European Green Deal and the new 'Fit for 55' legislative package,
which sets out the EU's goal of reducing emissions by at least 55 % by 2030, require us to pursue a systemic approach, and look for deep decarbonization solutions. It is estimated that, without investment in the nuclear industry, both in extending the lifetime of units approaching this initial operating limit, and in new nuclear capabilities, two-thirds of existing capabilities in developed economies shall be closed by 2040, which would lead to an increase in the cost of the transition to a sustainable economy by USD 1.6 trillion. This aspect is supplemented by the post-Covid economic revival, and the fact that the development of the world's states generates the increase in the requirement for electricity consumption.
An essential step in this direction was taken by adopting the Complementary Delegated Act by the European Commission. This document "recognizes that the fossil gas and nuclear energy generation activities can contribute to the decarbonization of the Union’s economy”, being included in the scope of the UE Taxonomy on Sustainable Financing, thus confirming the significant role of these two sources of energy in ensuring the energy security of the States, and in reaching the decarbonization targets. Thus, by the Delegated Act, the major investment projects in the nuclear field, such as the refurbishment of nuclear units, building new capabilities and developing innovating technologies, are deemed as sustainable in order to contribute to the energy transition of Member States, topic of certain conditions expressly mentioned in this document. It also acknowledges the right of each EU State to choose its own national energy mix, in relation to the existing resources, expertise and capabilities. The EU Taxonomy aims to guide private investment to the sources that are needed to accelerate the energy transition and achieve climate neutrality.
Globally, according to the data published in the McKinsey Analysis, USD 275 trillion, or about USD 9.2 trillion/year, represent funds needed for physical assets during the transition period, by 2050. Without investments in the nuclear industry, the cost of the transition to a sustainable economy increases by USD 1.6 trillion, according to the report of the International Energy Agency (IEA).
According to the report on electricity costs, issued by the International Energy Agency (IAE) in collaboration with the Nuclear Energy Agency (OECD-NEA) in 2020, the refurbishment of nuclear reactors leads us to the lowest electricity cost of all energy sources on average USD
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32/MWh (compared to USD 50/MWh for wind energy; USD 56 /MWh for solar panels; USD 91/MWh for coal-fired power plants). The cost of energy generated by new, large nuclear capabilities is USD 69/MWh, while the cost of energy generated by small modular reactors (SMRs), such as the NuScale concept, is USD 64/MWh, at the cost of labor in the US.
There is no option for the energy mix of the future other than the sources of clean energy: renewable, nuclear, hydro. This energy mix should simultaneously respond to the 3 pillars of sustainability: social, economic and environmental, in order to lead to economic growth by providing safe and clean energy, action against climate change, sustainable cities and communities, well-paid jobs, thus, quality of life and reduced poverty.
At national level, it is important to take into account the resources available, the consumption forecasts, the regional and international context, the human resource and the investment capital available or that may be attracted. Furthermore, we should focus our energy program on the 6 objectives of the Taxonomy for Sustainable Financing: (1) climate change mitigation, (2) climate change adaptation, (3) use and protection of water resources, (4) transition to a circular economy, (5) pollution prevention and control, and (6) protection and restoration of biodiversity, to maximize the chances of attracting capital from the market.
In this context, investments in clean capabilities, focus on innovation, regional and international cooperation have become major coordinates. I conclude by going back to nuclear power: Romania has the expertise, qualified personnel, innovation capacity, reiterating that our country may have a pioneering role in the Central and Eastern Europe area, without exaggeration, in decarbonization and ensuring energy security through nuclear power: CANDU and SMR.
For 2022, the operational priority of SNN remains nuclear security, constant production, stable financial results, the development of the major investment projects of the company and the contribution to a more sustainable, clean and prosperous future.
Chairman of the Board of Directors,
Teodor Minodor Chirica
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4. STATEMENT OF THE CHIEF EXECUTIVE OFFICER
The financial and production results with which the company concluded 2021, the level of operational excellency and nuclear security, the fact that it is first in the world in the capacity factor rankings, are the results of a complex management program, of the corporate governance principle, which have considered maintaining the activity of electricity production at a high level of performance, the sales strategy and the implementation of intelligent financial policies, by prioritizing nuclear security in taking all decisions. Nuclearelectrica, with two nuclear reactors in operation, provides approximately 20% of the production of electricity nationally and 33% of the electricity produced without greenhouse gas emissions.
Benefits of nuclear energy after 25 years of operation and in the future
For Nuclearelectrica, 2021 meant 25 years of operation for Unit 1 of Cernavoda NPP. In 25 years, Nuclearelectrica delivered in SEN over 200 million MWh, at a capacity factor of over 90%, avoiding the atmospheric release of 170 million tons of CO2. Unit 1 of Cernavoda NPP has delivered 127 million MWh since it became operational, namely 9% of the national consumption in 25 years. At the same time, since it became operational, Unit 1 has avoided the atmospheric release of 1 million tons of CO2, the equivalent of the emissions released by all the cars in Romania for over 125 years. Currently, nuclear energy ensures 11,000 jobs in Romania, has a cumulated annual turnover of approximately EUR 600 million and a GDP contribution of EUR 5.7 billion. It is a source of clean, resilient and accessible energy. The future of the nuclear industry is built starting from the expertise accumulated in its 25 years of operation, and that is why Nuclearelectrica will use this expertise acquired from the operation of CANDU reactors for future conventional or state-of-the-art nuclear capabilities. In the context of the measures of decarbonization and energy transition, new nuclear capabilities, both large, CANDU, and small modular reactors, will act as an economic recovery engine, will create jobs and will keep in the country the expertise and the advantageous use of the expertise in its 25 years of operation, and will solidify the regional position of Romania.
Nuclearelectrica is committed to continuing to generate safe and clean energy for Romania. In 2030, nuclear energy will ensure, for Romania, approximately 36% of the necessary consumption, by operating 4 CANDU nuclear units, will avoid the release of 20 million tons of CO2 a year, will indirectly create approximately 19,000 jobs in the internal supply chain, will contribute to the development and education and research in the nuclear field and related fields. The investment projects of Nuclearelectrica, the Refurbishment of Unit 1, the Project of Units 3 and 4, the Tritium Removal Facility, in value of approximately 9 billion euros, and the small modular reactor project will turn the company into a pillar of decarbonization and, at the same time, will generate multiple effects of micro- and macro-economic development. Nuclearelectrica implements these projects by training a new generation of nuclear specialists, by keeping and training young people in Romania, by capitalizing their potential.
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Evolution of the strategic projects of SNN
In the scenarios analyzed by International Energy Agency, energy demand will increase by 2.1% a year until 2040, especially in developed countries. The weight of energies without carbon emissions is estimated to grow from 36% today to 52% until 2040. Decarbonization is not possible without nuclear energy, and the investment projects of Nuclearelectrica are designed and implemented for a resilient energy system, based on clean energy sources. Thus, the extension of the life cycle of Unit 1 from Cernavoda NPP, the construction of the Heavy Water Tritium Removal Facility, together with the relaunch of the works for the completion of Units 3 and 4, will make a substantial contribution to achieving the environmental objectives undertaken by Romania, but also to strengthening energy security and well-being at national and regional level. Continued investment in the nuclear sector, through the launch of new nuclear projects, will lead to an increase in jobs to 19,000, with effects in reindustrialization and economic growth in the horizontal industry, retention of highly skilled labor, stimulation of research, education and engineering, providing Romania with a competitive advantage in Europe.
2021 was a year of significant achievements of the company; an important moment for SNN was the fact that the Parliament of Romania passed a draft law for ratifying the Agreement between the Government of Romania and the Government of the United States of America regarding the cooperation in relation to the nuclear projects at Cernavoda, the Refurbishment of Unit 1 and the Project of Units 3 and 4. The ratification of the Agreement between the two governments represented the general framework for continuing and implementing strategic nuclear projects, undertaken by Romania in the energy strategy and in PNIESC, as a pillar of achieving the targets of decarbonization, energy security and efficient transition to clean energy. The goal of Nuclearelectrica is to have Unit 3 connected to the network in 2030, and Unit 4 in 2031. Thus, Romania will be aligned to the states that intensely capitalize internal resources in order to ensure both the transition and the necessary consumption at sustainable prices, considering that, for example, based on international studies, the cost of electricity resulted from the extension of the lifecycle of nuclear units is the lowest out of all the sources, and the cost of implementing new nuclear projects is relatively competitive. Therefore, nuclear projects have two advantages: competitive costs and zero CO2 emissions. The implementation of the Project for the Refurbishment of Unit 1 and Units 3 and 4 of Cernavoda NPP represents a significant contribution to the reduction of CO2 emissions, and will double, after 2031, the quantity of CO2 avoided by operating nuclear units, from the current 10 million tons of CO2/year to 20 million tons of CO2/year.
Also in 2021, Nuclearelectrica advanced the Project of CANDU Units 3 and 4 by Energonuclear S.A., the project company, signing the first contract with Candu Energy, a member of the SNC-Lavalin Group and the Authority for Designing Units 3 and 4 and OEM Candu (the original manufacturer of the Candu technology). Within the contract, CANDU Energy provides engineering services for drafting and updating the necessary documentation for initiating the Project of Units CANDU 3 and 4 (out of which, updating the main licensing documents, updating the nuclear security guides, updating the list of project modifications with nuclear security functions, etc.).
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Romania needs new nuclear capabilities, a clean, resilient and accessible energy source, as a solution for reaching the decarbonization targets of Romania. The partnership with USA and Canada will allow our country to reach its decarbonization objectives. Signing this first contract for completing Units 3 and 4 is a major step, it supports IGA objectives and continues the strong relations between the involved states, in the field of nuclear energy. In August 2021, Romania signed a Memorandum of Understanding (MoU) with Canada in order to consolidate and continue to support the cooperation in nuclear energy civil projects, based on relations of 55 years between Canada and Romania in the nuclear industry.
Another important step taken by SNN in 2021 was signing the agreement for advancing the implementation of NuScale’s innovating technology, small modular reactors . Following this partnership, Romania has the potential of using small modular reactors for the first time in Europe, and thus of becoming a catalyst for the development of SMR in the region, and also a base for ensuring the operation of this new type of technology in other states. The partnership between NuScale Power, whose small modular reactors are the first and only ones which have been approved by the USA Regulatory Commission, and Nuclearelectrica, is concluded at an essential moment, given that the global decision-makers are discussing the acceleration of the transition towards clean energy sources. The SMR technology of NuScale can support international climate objectives, reduce the major impact of climate change and contribute to global prosperity. Within this agreement, NuScale will support Nuclearelectrica in assessing this technology and, together, the two companies will take measures for developing a NuScale power station with 6 modules, 462 Mwe, starting with 2028. A NuScale power station with 6 modules will generate 193 permanent jobs, 1500 jobs during the construction period, 2300 jobs in manufacturing, and will avoid the release into the atmosphere of 4 million tons of CO2 a year.
Role of nuclear energy in reaching long-term decarbonization targets
According to the National Plan in the field of Energy and Climate Change (PNIESC), Romania intends to reduce CO2 emissions by 55% until 2030 and its dependency on imports from 20.8%, in the present, to 17.8% in 2030. Nuclear energy has an essential role in reaching these decarbonization targets and in ensuring the energy transition to an economy without emissions, as it currently contributes with 33% to the total generation of clean energy. After the implementation of these strategic projects, this contribution will exponentially increase and will ensure the energy security of Romania and of the region. The goal of SNN is to develop SMR in the next 10 years in order to respond to the high energy demand and the decarbonization targets and ensure a high-quality future for the future generations. Concretely, the partnership sets the following important steps for Nuclearelectrica and NuScale in developing base-load nuclear technology which is safe, financially accessible, with zero CO2 emissions, focusing on the locations of the former coal-based power stations, which will support the National Recovery and Resilience Plan of the Romanian Government of decommissioning 4.59 GWe of coal capacity until 2032. By changing the goal of coal-based power stations, Nuclearelectrica and NuScale will help the communities and the work force participate in the transition to clean energy sources and, at the same time, it will continue providing local economic benefits. The partnership serves as a catalyst for implementing SMR in other states from the Region of the 3 Seas which are in the process of decarbonization.
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Mission, vision and values for the sustainability commitment
In the context of the role of nuclear energy in reaching the decarbonization targets and ensuring energy transition towards an economy without carbon emissions, corroborated with the strategic investment projects of SNN, for SNN 2021 was a reformulation of the values and principles of the company, by establishing a new mission, vision and values. The mission of SNN has become generating clean energy at an excellent standard, while the vision of SNN is to build a sustainable future for the generation of tomorrow. The values of SNN are: Professional excellence, Care for employees, Safety and stability, Empathy and responsibility and Durable development. The Mission, Vision and Values of SNN represents the commitment of the SNN team for durable development, innovation and energy security. Equally, they reflect the values of SNN derived from the individual and collective values of its employees and represent a guide for the young generations which we intend to raise. The mission, vision and values of SNN come from the history and performance of SNN, they lead to the performance of the future and they are the professional DNA of the company.
Regarding ESG principles, we continue to fully capitalize the environment management system, to provide clean energy while reducing the environment footprint by the absence of CO2 emissions, to develop the strategy and human resource principles, gender equality, transparency, the responsibility of management actions and to implement procedures and measures that would lead us to low risk.
In 2021 Nuclearelectrica continued to be an involved contributor in the communities in which we operate. The National Company Nuclearelectrica SA (“SNN”) deems as particularly important the involvement in supporting activities carried out by non-governmental associations, non-profit organizations or public institutions, having a beneficial impact on a significant number of people. Thus, investing a share of the annual profit of SNN in CSR actions and sponsorships is an integral part of the development strategy of the company for 2015-2025. With its actions, Nuclearelectrica aims to respond to the community’s real problems, to contribute to the change for the better that the Romanian society needs to grow new generations of youth and offer them