Mutual CEE-British cooperation in energy can result in contracts worth billions Euro

Central and Eastern Europe (CEE) will benefit from 115 billion pounds (over 145 billion Euro) in EU funding between 2014 and 2020, a significant part of which will be allocated to the funding of energy infrastructure projects.

2014-10-22 16:34:08

Romania will obtain a proportion of these resources, as it is- together with the eight other countries of CEE-one of the most attractive countries in terms of energy sector development. For instance, it is estimated that investments in the CEE nuclear energy sector alone will exceed 40 billion pounds (over 50 billion Euro), according to information provided at the GREAT Energy Summit organized in the Lobkovitz Palace, Prague, on 22nd and 23rd October.

The Summit was attended by more than 200 representatives of both the public and private sectors from the UK and the CEE region.The construction of new nuclear power stations, extending the lifespan of nuclear reactors, the modernization of the distribution grid, the storage of used fuel and decommissioning-these are all issues currently being discussed in a number of CEE countries. To find the right answers, they may benefit from the help of leading British companies including AMEC, Rolls-Royce, Shell, BP, Mott MacDonald, White&Case and CMS Cameron McKenna.

Potential UK-Romanian Collaboration in the Energy Sector

In Romania there are plans for the construction of a second nuclear plant after 2020, as well as plans for nuclear waste storage. The country has in operation two CANDU 6 reactors in Cernavoda, and intends to build two similar reactors on the same site. The nuclear projects around NPP Cernavoda are:

New build: Building of CANDU 6 Units 3&4-estimated 5.5 billion pounds (over 6 billion Euro) over 6-7 years. Start date: 2015.

Lifetime extension: LPE for Unit 1-estimated at 1.25 billion pounds (over 1.5 billion Euro) over 4 years. Start date: 2018.

Waste management: Building of suitable storage for radioactive waste generated by the LPE work on Unit 1-estimated 1.8 billion pounds over 3 years. Start date: 2015.

Investors Interested in the Czech Republic

"The countries of Central and Eastern Europe have huge commercial potential in energy and low carbon terms, especially in terms of nuclear energy. The Czech Republic is currently discussing the completion of the Temelín and Dukovany nuclear power stations. Poland is planning to build two new power stations, and countries such as whilst Hungary, Romania and Slovenia will have to replace reactors that are approaching the end of their lifespan. For these reasons, and many more, the region is very attractive for British companies to do business and cooperate with the local companies," said Baroness Verma, Parliamentary Under Secretary of State for Department of Energy and Climate Change.

Events such as the GREAT Energy Summit can help deepen collaboration between the UK and the CCE region and in the energy sector. The UK needs to build new capacity of some 60 GW. Approximately a quarter of this amount is expected to be generated from nuclear energy. The countries from the CEE region have dozens of years of experience in this area, so have a lot to offer to the British market.

Energy Sector at a Crossroads

The UK is planning significant investment into energy infrastructure over the next twenty years. Energy security is a key topic for the British energy industry and over 100 billion pounds (over 126 billion Euro) is expected to be spent in order to ensure security and diversity of supply.

"The energy sector finds itself at a crossroads, and that applies not only to the UK. We are currently implementing innovative projects such as reforms of the electricity market. We need to make sure that the massive investments in new infrastructure required for energy security and low-carbon economy transformation will not result in higher costs for consumers," explained Baroness Verma.