A spokesperson for the European Commission confirmed that authorities were reviewing Paks nuclear power plant expansion contracts between Hungary and Russia concerning possible violation of antitrust laws.
“The award of the Paks nuclear power plant expansion project without a tender procedure has been brought to the attention of the European Commission. Our services are currently examining this issue. And we are of the process of clarifying it with the Hungarian authorities,” the spokeswoman said, as quoted by EuroNews.
On Sunday, the Financial Times reported that the European Atomic Energy Community or Euratom was withholding approvals required for fuel supply for an expanded Paks facility. In addition, European Commission spokesperson Anna-Kaisa Itkonen told reporters in Brussels that regulatory concerns included “possible state aid to public procurement aspects.”
She said an investigation was in its very early stages.
The Paks NPP in central Hungary is the only nuclear power generating station in the country. The plant includes four VVER-440-type pressurized water reactors, which are responsible for 42 percent of Hungary's power generation.
Agreements were signed in early December 2014 between MVM Paks Nuclear Power Plant Lt. and Nizhny Novgorod Engineering Company Atomenergoproekt for two new 1200 MWe nuclear power reactors. Those agreements were made viable by a cooperation agreement signed by the two countries earlier in the year.
MVM Paks Nuclear Power Plant Ltd and Nizhny Novgorod Engineering Company Atomenergoproekt are subsidies, respectively, of Magyar Villamos Művek, a state-owed concern, and Russia's nuclear power giant Rosatom.