Energoatom has ordered nuclear fuel containers worth 7.8 billion hryvnia
Energoatom has signed a $175.07 million contract—or approximately 7.8 billion hryvnia—with the U.S. company Holtec International. The company is to supply 41 spent nuclear fuel storage systems, but the specific prices and terms of the agreement have been classified as “trade secrets.”
The state-owned Energoatom signed the contract with the U.S. corporation Holtec International on August 27. The total value of the contract is $175.07 million, which is equivalent to approximately 7.8 billion UAH. According to the “Prozorro” system, Holtec is to deliver 41 spent nuclear fuel storage systems by November 30, 2030.
The equipment is intended for the spent nuclear fuel storage facility at Ukrainian nuclear power plants with VVER-1000 reactors. These are not simply individual metal containers. The systems are used to safely load, transport, and store spent fuel after it is removed from the reactors.
Why the procurement was conducted without a competitive bidding process
The contract was awarded without an open tender. The reason given was a lack of competition due to technical factors. During the construction of a centralized spent nuclear fuel repository in Ukraine, Holtec International’s technology was used. Specifically, it includes equipment for loading, transporting, and storing fuel.
The storage facility project is designed for specific systems manufactured by Holtec. These include the BZK-31 and BZK-85 multipurpose containers and the HI-STORM 190 storage containers. In other words, replacing this equipment with products from another manufacturer might require changes to the technology itself and the repository’s design. This is precisely how Energoatom explains the procurement without a competitive bidding process. The company approached the technology developer and the manufacturer of the relevant equipment directly.
How much does one set cost?
The public does not have access to the exact cost of individual systems specified in the contract. The contract is classified as a “trade secret.” Therefore, publicly available data reveals only the total value of the deal—$175.07 million. If you simply divide this amount by 41 systems, the cost per system comes to approximately $4.27 million.
However, this is merely an arithmetic calculation and not the official price of a single container or set of equipment. The total contract value may include various components of the delivery, so it is incorrect to draw conclusions about the price of each individual item based solely on this figure. It is precisely the lack of detailed information due to “trade secret” classification that prevents a full assessment of the cost structure under the contract.
Why Ukraine Needs These Systems
Spent nuclear fuel is produced during the operation of nuclear power plants. After being removed from the reactor, it must be safely stored for a long period of time. To this end, Ukraine established the Centralized Spent Nuclear Fuel Storage Facility. It is located in the Chernobyl Nuclear Power Plant exclusion zone.
Previously, Ukrainian nuclear power plants sent a significant portion of their spent fuel to Russia for storage and reprocessing. Having its own storage system allows Ukraine to gradually move away from this dependence.
That is why the equipment for the repository is of strategic importance for the operation of Ukraine’s nuclear power industry. Without appropriate storage systems, it is impossible to fully organize the further management of spent fuel.
This is not Energoatom’s first major procurement
The contract with Holtec is one of a series of major deals by Energoatom that have been reported in recent months. In late July, the company ordered a transformer worth 175.05 million UAH from Zaporizhtransformator PJSC. This purchase was also made without competition, as no other bids were submitted in the open tender.
Prior to this, Energoatom signed two agreements for legal services from an independent advisor. The total value of these contracts was 61.6 million UAH. The services were contracted for one and a half years to provide advice to members of the company’s supervisory board and its committees. The company signed another major contract with the Polish branch of the international consulting firm Ernst & Young. Its value is 178 million UAH.
Under this contract, a comprehensive assessment of the corporate governance system of the state-owned “Energoatom” is to be conducted. At the same time, the procurement of equipment for storing spent nuclear fuel has different specific characteristics. Here, the company cites not only the absence of other bidders but also the technical dependence of the Ukrainian storage facility on Holtec technology.
What is known about future deliveries
According to the contract, deliveries of the systems are to continue until the end of November 2030. Thus, this is a long-term contract spanning several years. The total number of systems to be supplied is 41. They are to be used for the storage of spent fuel from VVER-1000 reactors.
However, the full cost breakdown of the deal remains confidential. There is no publicly available breakdown that would reveal the price of each system and all related work or services. Therefore, the key figures that can currently be confirmed through publicly available data are the total contract value of $175.07 million, 41 storage systems, and a delivery deadline of November 30, 2030. This information was reported by Nashe Hroshi.
The Zaporizhzhia Nuclear Power Plant finds itself in a critical situation regarding nuclear and radiation safety. On September 6, Energoatom warned that the prolonged operation of backup diesel generators increases the risk of failure of equipment necessary for the safe operation of the plant.
