COVER STORY | REPLACING RUSSIAN FUEL


enough assemblies at Dukovany for approximately three years of operation of all the units. Of course, we continue to think about the diversification of suppliers,” said Bohdan Zronek, a member of the Board of Directors and Director of the Nuclear Power Division. In June ČEZ confirmed it has signed agreements with US-


based Westinghouse Electric and France’s Framatome for the supply of fuel assemblies for the Temelín nuclear power station under a new 15-year contract. According to ČEZ, the new fuel deliveries will begin


to fully replace TVEL as fuel supplier in 2024. During the supplier transition Westinghouse said it will supply modified Robust Westinghouse Fuel Assemblies (RWFA), a new design that is compatible with non-Westinghouse fuel. Westinghouse-made lead fuel assemblies have been


in operation in the reactor core of Temelín 1 since 2019. Tarik Choho, President of EMEA Operating Plant Services at Westinghouse said the company, “has developed and supplied for many years our own VVER fuel designs for both the VVER 1000 and the VVER 440 types of reactors. We are extremely happy that our successful experience in supplying VVER fuel is going to benefit ČEZ”.


Above: Orano’s CEO doesn’t foresee market disruption, at least in the short term. Photo credit: HJBC/ Shutterstock.com


V Switching fuel deliveries Gitsel noted that in response to Russia’s invasion many countries have imposed strict economic sanctions on Russia. Energy imports that have been subject to sanctions include oil, natural gas and coal – but, so far, that has not applied to nuclear fuel. Nevertheless, he said there was uncertainty over relying on nuclear fuel coming from Russia, “whether because of sanctions or a conflict with company values”. He said that some utilities will voluntarily pivot away from Russian fuel supplies because they recognise the incongruity with their values and key principles. “From our perspective it is not a matter of whether


western countries will turn their backs on Russian fuel supplies, but when and how quickly,” he said. Russian fuel supplier TVEL claims 17% of the world fuel


market, with fuel customers in 11 countries as well as in Russia. TVEL lists customers in Finland (two units), the Czech Republic (six units), Hungary (four units), Slovakia (four units), Bulgaria (two units), Armenia (one unit), Ukraine (nine units), Belarus (one unit), China (two units), India (two units) and what it calls ‘Western Europe’ (three units). Russia continues to make fuel deliveries – this year


it sent batches to Kudankulam – but some customers are leaking away. At the time of the invasion six units in Ukraine – South Ukraine 2 and 3 and Zaporizhzhia 1, 3, 4 and 5 – were already testing Westinghouse-supplied VVER1000 fuel. Sweden has also cancelled Russian uranium supply contracts. Slovakia took a delivery of fresh fuel from Russia shortly after the February invasion, at the start of March, and said it has enough nuclear fuel for its two power stations for the entire year and some of next year. Russia’s TVEL has been the country’s sole supplier but Westinghouse was in competition to supply fuel for Mochovce in a procurement exercise in 2018. TVEL was said to have won the contract on cost. Czech state-controlled utility ČEZ said it has fuel


assemblies for approximately two years of operation at Temelín while the stock at the Dukovany plant is even higher. “We decided to increase the stockpile volume at both nuclear power plants in 2016. Thanks to this, we have


20 | September 2022 | www.neimagazine.com


Where are we going? What is the overall message from this mix of factors affecting the front end of nuclear’s fuel-cycle? A year ago the issues seemed clear, even if there were several potential outcomes. The urgent need to reduce carbon emissions and electrify new sectors of the economy presented a great opportunity for the nuclear industry. New-build had more urgency in some western countries and was under debate in some where it had been off the table for decades. What is more, interest in countries that had not previously had nuclear was building, with an institutional framework being set up or strengthened and in some cases site investigations. Some projects that had been in discussion for decades, such as Akkuyu in Turkey, were actually becoming a reality. Front end companies were ready to respond to that changing landscape. They were making initial investments to allow them to expand their facilities and activities – albeit that they were waiting for long-term contracts from customers before stepping up that investment. All that remains the case. But the ground has been


shifted by Russia’s aggression in Ukraine. It is a world- changing event that will have effects in the short, medium and far term. The global nature of the fuel supply chain, and nuclear


operators’ extremely cautious approach to securing fuel supplies, have so far meant the system has absorbed the shock in the short term. The medium term may see a shift towards western


suppliers. Nuclear fuel will remain an important industry for Russia, but western competitors may well see an opportunity for a market share grab by stepping in. The long-term future of Russia’s fuel supply business is


closely linked to its reactor supply and build business. Both are important industries nationally. How much of that new- build business will remain, will depend on Russia’s ability to continue to provide funding alongside hardware for emerging nuclear industries, and that is a geopolitical and financial issue that will emerge as the end game in Ukraine is played out. The long-term implications are unlikely to be clear this year – or even next. ■


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