EU sanctions will not impede Akkuyu Nuclear plant financing: Rosatom

SOCHI, Russia

European Union sanctions on Russia will not pose a problem for the financing of Türkiye's first nuclear plant Akkuyu, according to Kirill Komarov, the first deputy director-general of the Russian State Nuclear Energy Corporation (Rosatom).

Komarov stated at the international nuclear energy conference Atomexpo 2022 in Russia's coastal city of Sochi that the plant is being built on a build-own-operate model and that Russia is solely responsible for project financing, which he said is fully funded for the next few years.

The funding comes from Rosatom's own funds and loans from Russian banks. Last year alone, he said, Rosatom for the first time acquired more than $800 million in green financing from banks, along with regular loans not linked to green commitments.

"So, today, the situation with the project is absolutely stable. I can say that the sanctions had no effect on it. Today, nothing in the nuclear energy sector in the world is under any sanctions," Komarov said.

He lauded the Akkuyu Nuclear Power Plant (NPP) as the current largest nuclear power plant construction site in the world, with a capacity of almost 5 gigawatts, and the only site in the world where four reactors are being built at the same time.

"This is truly a unique situation, and we are proud of it. Work at the construction site is going very well," he said.

With a project of this size, more than 20,000 people are employed on site, and the most active project phase is currently ongoing, with the scheduled completion of the first unit along with the delivery of nuclear fuel set for 2023.

He refuted claims that the plant would generate power at high prices, which when the agreement was signed in 2010 between Russia and Türkiye were expected to be around $0.12 per kilowatt-hour.

According to Komarov, the current generation price range is between $0.18 and $0.20 per kilowatt-hour, a level that is much higher than $0.12 per kilowatt-hour, which will prevail regardless of the cost of uranium in the world or the cost of other energy sources.

"The electricity produced by the plant will cost Türkiye $0.12, a stable and predictable price. This is a huge advantage for Türkiye," he said.