Despite the war, Ukraine will build new nuclear power units. Energoatom will start building the first of them this year. This became possible due to the signing last year of relevant agreements with Westinghouse partners under the AP1000 project. Furthermore, for the first time in the world, Westinghouse and Energoatom manufactured nuclear fuel for VVER-440 power units at a record pace, destroying russia's monopoly in this market segment. And stable production of electricity by the Company made it possible not only to avoid blackouts, but also to keep a low residential tariff due to the PSO implementation.

The past, 2023, has become a year of decisive actions and stunning results for the nuclear industry of Ukraine.

Petro Kotin, Acting Chief Executive Officer of JSC "NNEGC "Energoatom"

Fact 1

Despite the loss of the capacity of Europe's largest Zaporizhzhia NPP, which is currently occupied by the russians, Energoatom continued its dynamic development and maintained a leading position in the Ukrainian energy market. As before the start of the full-fledged invasion, we produce more than half of the national electricity and keep a low residential tariff for it.

Energoatom adapted to work in wartime, took a set of measures to ensure the nuclear and radiation safety of nuclear facilities located on the territory controlled by Ukraine, as well as their effective operation at full power amidst constant risks of shelling, mass attacks, and blackouts. No NPP operator in the world has a similar experience.

Fact 2

In 2023, NNEGC "Energoatom" fully fulfilled its social obligations within the PSO, paying almost UAH 128 billion to the "Guaranteed Buyer".

This happened thanks to the significant – by 30% – growth of our revenues last year. And the Company's profits increased due to the increase in the price of the electricity we sold to non-household consumers, as well as the increase in its production volumes as a result of an optimally planned, high-quality and prematurely completed (in total 66 days ahead of schedule) maintenance campaign at all NPP power units located in the territory controlled by Ukraine. Therefore, Energoatom additionally generated 4.9 billion kWh of electricity amounting to UAH 19.5 billion. These volumes significantly strengthened the domestic energy system, helping to considerably reduce or completely cover the deficit of electricity in the domestic market, especially during increased consumption in the summer. Due to the operation of the Company, Ukrainians avoided blackouts. However, the Company has become an object for hostile information and psychological operations, because Energoatom is the foundation of the stability of the country's energy system, having destroyed all the plans of the russians to bring the Ukrainian energy industry to its knees.

 

 

Fact 3

Last year, Energoatom made a real technological leap, which would not have been possible without the global international partnership established by our Company.

We are sincerely grateful for the support of all our foreign partners, and especially the American nuclear industry giants – Westinghouse and Holtec. The state-of-the-art technologies of these companies, their experience and practical advice helped us reach the top league of the world nuclear energy industry. This made it possible to break rosatom's monopoly on the global market of nuclear fuel and components for soviet reactors.

Energoatom set an example to other countries where soviet reactors are operated on how to get rid of dependence on russia. For this, the following steps were taken.

1. We have refused the supply of spare parts, components and other materials from the russian federation and replaced them with those produced by our own manufacturers and our partner countries.

2. We completely stopped supplying nuclear fuel from russia and replaced it with the Westinghouse fuel. Fuel for the VVER-440 power units was manufactured in record time, due to the active position of the Energoatom team and Energy Minister German Galushchenko in the international arena. Ukraine became the first and so far unfortunately the only country in the world to transfer power units of soviet design (VVER-1000 and VVER-440) to alternative nuclear fuel from another supplier. But our example is already being followed by the Temelin and Dukovany NPPs in the Czech Republic and the Loviisa NPP in Finland.

3. The next stage in the destruction of the russian monopoly was the launch of production in Ukraine fuel assembly components, namely top and bottom nozzles for fuel assemblies. And starting from 2026, Ukraine thanks to its own production will be able to provide 50% of its own nuclear fuel. The other half will be covered by Westinghouse.

4. Together with Holtec International, we built and in 2023 fully commissioned the world's first Centralized Spent Fuel Storage Facility.

Containers with such fuel from three Ukrainian nuclear power plants were successfully delivered and located at the CSFSF site. As is known, previously spent nuclear fuel from these three Ukrainian nuclear power plants was transported for storage to russia.

5. Moreover, we agreed with Holtec International to jointly build a plant in Ukraine for the production of containers for spent nuclear fuel, which are currently manufactured in the USA.

6. We have ambitious plans and are moving quickly towards increasing Ukraine's nuclear capacity from today's 13.8 GW to more than 20 GW.

In the coming years, this will be facilitated by:

- the construction of two Westinghouse AP1000 units at Khmelnytska NPP;

- the completion of construction of KhNPP power units 3 and 4;

- the deployment of small modular reactors and microreactors.

7. After signing joint memoranda with Westinghouse (in 2021 and 2022) on the construction of initially five, and subsequently nine power units using AP1000 technology, we did not stop for a moment:

• we completed a large amount of pre-design and design work;

• prepared a feasibility study;

• concluded a contract with Westinghouse for the purchase of reactor island equipment for Khmelnytska NPP power unit No. 5 and received fairly favorable conditions for its supply.

8.  Together with Holtec International, we agreed to build a plant in Ukraine for the production of main equipment for small modular reactors using Holtec SMR technology, including the reactor vessel. This plant shall not only ensure the construction of about 3,000 MW of SMR capacity in Ukraine, but also become a hub for the export of this technology to other countries. This will be of great importance for the post-war reconstruction of our country and will significantly enhance the competitiveness of the Ukrainian nuclear industry.

Thus, a Ukrainian nuclear technology hub will be created with modern nuclear engineering, scientific and technological support.

9. We have reached strategic agreements and entered into supply agreements with the leading producers of raw materials for nuclear fuel – the Canadian company Cameco and the British Urenco. At least until 2035, they will supply Energoatom with natural uranium hexafluoride and enrich it. The uranium concentrate for this purpose will be mined in Ukraine.

Fact 4

In 2023, the corporatization of Energoatom was completed, the transformation of its organizational and legal form from a State Enterprise to a Joint-Stock Company. We have received a new modern corporate governance model that meets the best world practices with the highest standards of independence and effective management.

In addition to improving the quality of management, it opens additional opportunities for attracting significant investments in the industry and the development of domestic nuclear energy.

Fact 5

Our greatest pain is Zaporizhzhia NPP occupied by the enemy. The actions of the russian aggressor have brought the entire continent to the brink of a nuclear and radiation disaster. The plant has already experienced eight blackouts, the equipment is degrading, and the staff is working under pressure and fear of abuse and torture. The IAEA does not control the situation at the ZNPP, its experts are not allowed to enter most of the plant's production premises.

Any nuclear incident at the Zaporizhzhia nuclear power plant seized by the russians could halt the global renaissance of nuclear energy. Therefore, the quick deoccupation of the ZNPP and transfer of the plant under the full control of its legal operator – Ukrainian Energoatom – is crucial.

The future of global nuclear energy is being determined in Ukraine today!