MVM Paks Nuclear Power Plant - Units 5 and 6 (2,400MW)

6/3/2017
Project development

€ 12.5 billion

$ 13.65 billion

Announced

6/3/2017


Overview:

  • MVM Paks Nuclear Power Plant - Units 5 and 6 (2,400MW).
  • Hungary's sole nuclear power plant MVM Paks is being expanded with the construction of two new units (5 and 6) which will have a capacity of 1,200MW each.
  • MVM, Hungary's national energy company, and Russia have agreed a deal for the project which sees the latter provide €10 billion in financing and its state-controlled nuclear power plant developer, Nizhny Novgorod Engineering Company Atomenergoproekt (NIAEP-ASE), awarded the EPC contract. 
  • The two new units will have new Russian-built VVER-1200 nuclear reactors installed. 
  • Hungary will retain ownership of the new units and will repay Russia's loan for the project over a period of 21 years with revenue from Paks.
  • Hungary's investment in the project was investigated by the European Commission on the grounds it may have contravened EU state aid rules, but the Commission approved the deal in March 2017. 
  • Paks currently has four units with a capacity of 500MW each, and produces approximately 50% of Hungary's domestic electricity. 
  • Construction of Units 5 and 6 is expected to begin in 2018 and 2019 respectively, and both are scheduled to be in operation by 2026. 

Ben Naylor - Regional editor

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