Floating NPPs in Yakutia

30.10.2007 // Press Center of Nuclear Power Industry

Conference on social-economic development of Yakutia took place in Nerungri, Republic of Sakha-Yakutia on Oct 26 2007

During the conference the head of Rosatom S.Kiriyenko and President of the Republic of Sakha-Yakutia V.Shtyrov signed an agreement for joint implementation of investment projects for building floating nuclear power plants in Yakutia. The parties have agreed to start preparatory work and feasibility study at potential sites near Tiksi, Ust-Kuiga and Yurung-Khai.

The plant is supposed to be built in 2013–2015 on the basis of ABV-6M reactors. Such plants have a capacity of 18 MW, at most, and are meant for supplying electricity and heat to small isolated areas having no access to the general energy system. The above-mentioned areas have good prospects of development as they have big fields of gold and other mineral resources and are rich in fish.

Presently, the cost of electricity in northern Yakutia, where there are no power plants, is 12 RUR per KWh, while in southern areas, where there are lots of water power plants, the cost is just 1.1 RUR per KWh. As a result, the Government of Yakutia is forced to level the prices by means of cross subsidization. The cost of electricity produced by floating NPP is 2.6 RUR/KWh, with the sale price being 4 RUR/KWh. The construction of a floating NPP in northern Yakutia will improve the pricing situation in the republic and will reduce the electricity tariffs for both the population and manufacturing companies.

The Government of Yakutia and Rosatom have agreed to jointly search for investors and apply to the Investment Fund for financing. That is, the project will be based on the principle of state-private partnership.

This project is extremely important for the future Rosatom state corporation as already today one can be sure that the demand for floating NPPs both in Russia and abroad will be growing much quicker than the offer. Floating NPPs will be good for both consumers – who will get cheaper electricity and heat – and Rosatom – who will enlarge its sales markets. The designers of the project guarantee absolute ecological safety.