Friday, November 4 2022 13:36
Alexandr Avanesov

Experts on Armenia`s new NPP

Experts on Armenia`s new NPP

ArmInfo.A new NPP construction project continues to be talked about in Armenia. No one doubts Armenia needs a new nuclear-powers plant (NPP), but its  capacity is being questioned. According to the preliminary data,  Armenia's authorities are inclined to the construction of an NPP with  a capacity of 1,200MW, with experts raising objections. According to  them, Armenia needs an NPP with a capacity of 500MW. 

ArmInfo is presenting to opinions on the project. 

In an interview with ArmInfo, Gera Sevikyan, Advisor to the Director  General of the Armenian NPP, said that no final decision on a new NPP  construction has yet been made. 

"We are expecting the Russian side to present three options - 1,000  MW, 1,200MW and 1,200MW VVER- TOI [WWER-TOI]. A final decision will  be made only after we examine the options," he said. The Armenian  side is inclined to the 1,200MW WWER-TOI as Armenian experts are  well-acquainted with this type of nuclear piles. It will not require  new documents or amendments to the relevant laws. 

With the current economic growth rates and new companies opening in  Armenia, the country could have energy deficit. Moreover, electric  vehicles expected to be put into operation by 2030 will require an  additional 4.5bln kwh of electric energy, which is nearly as much as  generated by the second nuclear pile of the Armenian NPP. 

As regards the economic component of the project, the construction of  a 600MW NPP will require investments equal to 80% of the investments  needed for the construction of a 1,200MW plant. Also, a 1,200MW plant  can be operated for 60 years, with a 40-year-long extension period.  That is such a plant could operate for 100 years, which is not the  case with a 600MW plant. "By 2035, Armenia's energy consumption is  expected to increase by 33%, which should be considered in the  context of electric energy export," Mr Sevikyan said. The  NPP-generated electric power has the lowest production cost in  Armenia now, he added. 

Armenia's energy development strategy provides for the construction  of a new NPP. 

"It is common knowledge that Armenia cannot live without nuclear  power engineering. The construction of a new NPP could require 10 or  11 years and if the currently operating nuclear pile is stopped  during the construction, it would lead to the loss of the available  potential, including specialists. This is the reason for the task to  extend the operation of the currently operating NPP until 2036," Mr  Sevikyan said. 

Armenia is cooperating with Rosatom in preparing the feasibility  report for the project. If Armenia's government approves the report,  practical work will get under way. 

However, Armenia's former minister of energy, member of the  Scientific and Technical Council, Eduard Arzumanyan disagrees with Mr  Sevikyan. According to him, Armenia's intention to construct a  1,200MW NPP is wrong as it is a direct threat to the country's energy  security. 

According to him, at present Armenia's energy-generation sector's  peak performance is 1,200MW. 

"So Armenia will have to operate only one NPP, which is  unacceptable," he said. The expert has doubts that during the NPP  construction period Armenia's economy could double or even triple,  which was claimed by Armenia's Minister of Territorial Administration  and Infrastructure Gnel Sanosyan. Also, what will be the fate of the  electric energy generated by renewable energy-generating facilities,  whose capacity, according to the energy development strategy, could  be brought up to 1,000MW by 2030.

The construction could require 8 to 10 years and $5-6bln. Hardly  anyone could grants such funds, so loans will have to be attracted to  be repaid later. In this context, Minister Sanosyan's statements that  the new NPP will generate inexpensive electric energy sound  unconvincing, as any investments require return, which, in turn, will  cause a rise in the tariffs for both the NPP and consumers. The  tariff at the currently operating NPP is AMD 12 per 1kwh, but it  could be raised 2-3-fold after a new NPP has been constructed. 

Mr Arzumanyan is also critical of Minister Sanosyan's statement that  the energy to be generated by the new NPP could be exported to  Georgia and Iran by means of the 400-kw lines Iran-Armenia and  Armenia- Georgia.   

"Both the high-voltage lines are expected to be ready by mid-2025.  However, the issue of who will import Armenian electric energy will  remain unsettled, as by 2026 Iran will construct two new nuclear  piles at the Bushehr NPP thereby eliminating its electric energy  deficit. The same can be said about Turkey, where, with Russian  experts' participation, the Akkuyu Nuclear Power Plant will be put  into operation, with four nuclear piles with a capacity of 1,200MW  each. Moreover, South Koreans will construct the Sinop NPP in Turkey,  at Sinop on the Black Sea, which will fully meet Turkey's energy  needs," the expert said. 

Georgia will not import more expensive electric energy from Armenia,  Mr Arzumanyan said. He proposes considering the construction of a  600MW nuclear pile.  

"Russia is not operating such nuclear piles, but China and Canada  are. And the Armenian energy sector development strategy of 2016 gave  priority to Chinese and Canadian piles," Mr Arzumanyan said. 

He addressed a letter to Armenia's Premier Nikol Pashinyan proposing  formation of a work group of atomic energy experts, but has never  received an answer.   

POST A COMMENT
Input digits     


News
No specific dates for the entry into force of the law on compulsory  life insurance for tourists visiting Georgia - RA MFANo specific dates for the entry into force of the law on compulsory  life insurance for tourists visiting Georgia - RA MFA
EBRD, USAID to develop transport infrastructure of Armenia,  Azerbaijan, Georgia EBRD, USAID to develop transport infrastructure of Armenia,  Azerbaijan, Georgia 
Odile Renaud-Basso: Armenian economy continues to grow despite  numerous negative factorsOdile Renaud-Basso: Armenian economy continues to grow despite  numerous negative factors
Minister of Territorial Administration and Infrastructures refrains  from specifying North-South Road Corridor Investment Program`s  implementation costs and deadlines Minister of Territorial Administration and Infrastructures refrains  from specifying North-South Road Corridor Investment Program`s  implementation costs and deadlines 
EBRD improves Armenia`s GDP growth forecast for 2024 from previous  4.5% to updated 6.2%EBRD improves Armenia`s GDP growth forecast for 2024 from previous  4.5% to updated 6.2%
EBRD promises unprecedented investments in Armenian economyEBRD promises unprecedented investments in Armenian economy
FMO provided Ardshinbank with a guarantee for a credit portfolio of 20 million US dollarsFMO provided Ardshinbank with a guarantee for a credit portfolio of 20 million US dollars
Lending for construction of southern section of Sisian-Kajaran road  will be largest program ever implemented by EBRD in Armenia - Bank  President Lending for construction of southern section of Sisian-Kajaran road  will be largest program ever implemented by EBRD in Armenia - Bank  President 
French Development Agency, Armenian government to expand cooperation  areas and programs` scope French Development Agency, Armenian government to expand cooperation  areas and programs` scope 
The Power of One Dram Sums up the Two-Year Program with Teach for ArmeniaThe Power of One Dram Sums up the Two-Year Program with Teach for Armenia
Noubar Afeyan willing to use his potential to strengthen Armenia Noubar Afeyan willing to use his potential to strengthen Armenia 
Ministry of Economy of Armenia denies that growth in agricultural  exports is due to re-exportsMinistry of Economy of Armenia denies that growth in agricultural  exports is due to re-exports
Pashinyan: all those who have the necessary skills, abilities and  desire can make a profit in ArmeniaPashinyan: all those who have the necessary skills, abilities and  desire can make a profit in Armenia
Finance Minister: Armenia`s GDP generation growth potential increased  from 4-4.5% to 5.5-6%Finance Minister: Armenia`s GDP generation growth potential increased  from 4-4.5% to 5.5-6%
EBRD funds customs and logistics centre in SyunikEBRD funds customs and logistics centre in Syunik
Grigori Zakaryan: “Capital markets have a crucial for economic development.”Grigori Zakaryan: “Capital markets have a crucial for economic development.”
Ambassador of Kazakhstan: priorities for development of Eurasian integration proposed by Armenia will allow us to intensify mutually  beneficial cooperation within EAEUAmbassador of Kazakhstan: priorities for development of Eurasian integration proposed by Armenia will allow us to intensify mutually  beneficial cooperation within EAEU
EBRD and the European Union are joining forces with Acba bank to boost the availability of funding for Armenian MSMEsEBRD and the European Union are joining forces with Acba bank to boost the availability of funding for Armenian MSMEs
Thanos Arvanitis: The time has come for Armenia to accelerate reformsThanos Arvanitis: The time has come for Armenia to accelerate reforms
Armenia to host 33rd EBRD Business Forum with flagship sponsorship of ArdshinbankArmenia to host 33rd EBRD Business Forum with flagship sponsorship of Ardshinbank
EAEU economic operators will become more recognizable when carrying  out foreign economic activitiesEAEU economic operators will become more recognizable when carrying  out foreign economic activities
Martin Galstyan: If background is favorable, reduction in key rate  will result in lending rates decreaseMartin Galstyan: If background is favorable, reduction in key rate  will result in lending rates decrease
About 75% of Armenia`s exports are precious metals and stones, which  speaks of vulnerability of Armenia`s economyAbout 75% of Armenia`s exports are precious metals and stones, which  speaks of vulnerability of Armenia`s economy
92% tax revenues recorded in Armenia in 1st quarter of 2024 92% tax revenues recorded in Armenia in 1st quarter of 2024 
IDBank issues the 2nd tranche of dollar bonds of 2024IDBank issues the 2nd tranche of dollar bonds of 2024
Armenia to be next country to host ACE programArmenia to be next country to host ACE program
Armenia agrees to EBRD expansion Armenia agrees to EBRD expansion 
Alkis  Drakinos : It is necessary to first pick the low hanging fruit  to ensure developmentAlkis  Drakinos : It is necessary to first pick the low hanging fruit  to ensure development
CBA Governor: Overheating of prices in Armenian real estate market  may have ranged from 20-30%CBA Governor: Overheating of prices in Armenian real estate market  may have ranged from 20-30%
Government writes off 469 financial obligations of Artsakh citizens  on loans secured by goldGovernment writes off 469 financial obligations of Artsakh citizens  on loans secured by gold
Food products, services cause of 0.8% inflation in Jan-Apr 2024 Food products, services cause of 0.8% inflation in Jan-Apr 2024 
Armenia`s Deputy Premier receives IMF delegationArmenia`s Deputy Premier receives IMF delegation
Armenian Economy Minister travels to USA on week-long working visitArmenian Economy Minister travels to USA on week-long working visit
Armenia is trapped in Armenia is trapped in "Dutch disease" - economist
“By Your Side”: IDBank`s new support program for displaced Artsakh citizens“By Your Side”: IDBank`s new support program for displaced Artsakh citizens
Team Telecom Armenia develops Be Free packageTeam Telecom Armenia develops Be Free package
Armenia scares with its high prices: Economist sounds alarm due to  reduction in exports of servicesArmenia scares with its high prices: Economist sounds alarm due to  reduction in exports of services
Large crayfish farming complex to be built in Shirak: volume of  investments totals AMD 300 millionLarge crayfish farming complex to be built in Shirak: volume of  investments totals AMD 300 million
Eurowings launches Berlin-Yerevan-Berlin flightsEurowings launches Berlin-Yerevan-Berlin flights
Russia bans sugar exports; 28 thousand tons allowed to be exported to  ArmeniaRussia bans sugar exports; 28 thousand tons allowed to be exported to  Armenia
The Power of One Dram to the Road of Life Charitable OrganizationThe Power of One Dram to the Road of Life Charitable Organization
EBRD to provide Armenia with EUR 9.3 million to support green  technologiesEBRD to provide Armenia with EUR 9.3 million to support green  technologies
WB recommends Armenia to develop investment strategy; revise  20-year-old sectoral lawWB recommends Armenia to develop investment strategy; revise  20-year-old sectoral law
In Jan-March 2024, Armenian state budget revenues increased by AMD41  billion y-o-yIn Jan-March 2024, Armenian state budget revenues increased by AMD41  billion y-o-y
Ardshinbank CJSC has announced about the launch of a new  refinancing business loanArdshinbank CJSC has announced about the launch of a new refinancing business loan
WB expert on lack of economic diversification in terms of trade  partners and export products of Armenia WB expert on lack of economic diversification in terms of trade  partners and export products of Armenia 
EAEU agreement on mutual recognition of documents on academic degreesEAEU agreement on mutual recognition of documents on academic degrees
Intellectual property protection of key importance for economic  development and investment environment - premier Intellectual property protection of key importance for economic  development and investment environment - premier 
Armenia`s gross international reserves $3.3bln by end of 1st quarter  2024Armenia`s gross international reserves $3.3bln by end of 1st quarter  2024
Government approves ratification of agreement on determining origin  of goods exported from EAEUGovernment approves ratification of agreement on determining origin  of goods exported from EAEU
FLYONE ARMENIA launches Yerevan-Nice-Yerevan flights FLYONE ARMENIA launches Yerevan-Nice-Yerevan flights 
Armenia requests WB to extend Armenia Extractive Industries Transparency Initiative Support programArmenia requests WB to extend Armenia Extractive Industries Transparency Initiative Support program
Team becomes TUMO`s main technology partner Team becomes TUMO`s main technology partner 
Armenia to allocate over $6 million to host EBRD Annual MeetingArmenia to allocate over $6 million to host EBRD Annual Meeting
Turnover tax doubled in Armenia Turnover tax doubled in Armenia 
Budget programme performance mechanism to be introduced in Armenia Budget programme performance mechanism to be introduced in Armenia 
Expert: Stimulating employment is critical in fight against poverty  in ArmeniaExpert: Stimulating employment is critical in fight against poverty  in Armenia
Armenian market participants` expectations indicate gradual reduction  of refinancing rate until end of current yearArmenian market participants` expectations indicate gradual reduction  of refinancing rate until end of current year
Scientists and economists discuss deepening financial integration in  EAEU at International Conference at RAUScientists and economists discuss deepening financial integration in  EAEU at International Conference at RAU
Renshin to build World Trade Center in YerevanRenshin to build World Trade Center in Yerevan
Read more


Exchange rates
16.05.2024
RUB4.270.02
USD388.090.57
EUR421.932.44
GBP491.673.28
CAD284.770.52
JPY25.090.21
CNY53.770.12
CHF430.062.10