European nuclear watchdog Euratom has finally approved and signed the nuclear fuel supply contract between Russia and Hungary for the Paks II nuclear project, removing the last obstacle to the project.
In January 2014, Hungary had signed an agreement with Russia, which would finance up to 80% (or €10bn) of the project, build two 1,200 MW reactors on a turnkey basis and supply nuclear fuel over a 20-year period while handling and storing spent fuel elements in Russia. Euratom had refused to approve Hungary's plans to import nuclear fuel exclusively from Russia; the European Commission backed Euratom when Hungary appealed against the decision. Under the terms of the Hungary-Euratom agreement, Russia will supply fuel for the project for the first ten years, instead of 20 years.
Construction of the Paks expansion (2.4 GW) is expected to start in 2018, with commissioning scheduled between 2023 and 2026.
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