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EBRD Suspends Funding For Ignalina Decommissioning

By Eva Donelli
14 December 2012

EBRD Suspends Funding For Ignalina Decommissioning
The Ignalina nuclear plant in Lithuania.

14 Dec (NucNet): The European Bank for Reconstruction and Development (EBRD) has suspended funding for construction of an interim spent fuel storage facility and supply of storage casks for defueling of Ignalina-1 and -2 in Lithuania, the European Commission has announced.

The EC said in a statement yesterday that as the two reactor units can only be fully dismantled once the spent fuel is stored safely outside the reactors, a delay to the storage facility could lead to significant delays in the overall decommissioning process.

According to the EC, the decision was taken because operator of the power plant and the consortium of GNS and Nukem delivering the project have not managed to settle a dispute of more than two years about how to implement the project.

The EC, which is one of the main contributors to the EBRD-administered Ignalina International Decommissioning Support Fund, called on both parties to agree on the implementation “as a matter of urgency”.

It said if they can settle the issue, the suspension can be lifted and funds could be paid again. If no agreement is found, the money may still be used for other purposes.

The EC said that out of the total decommissioning costs of 2.8 billion euro (EUR) (3.6 billion US dollars) the EU has committed EUR 1.37 billion up to the end of 2013.

Lithuania plans to build a 1,350-megawatt GE-Hitachi advanced boiling water reactor next to the existing Ignalina nuclear site about 150 kilometres northeast of Vilnius, the Lithuanian capital.

The new unit is planned to help replace generation from the two 1,300-megawatt Ignalina reactors that were shut down as part of Lithuania's EU membership agreement.

In October 2012, Lithuania voted against a new nuclear plant at Ignalina, but no final decision has been taken and a second referendum could be held in two years.

A final investment decision on whether or not to go ahead with the project is expected in 2015.

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