The European Commission has proposed to release EUR 300 million in further compensations to Bulgaria for the early closedown of reactors at the Kozloduy NPP. The European Council and the European Parliament will define the precise amount in December. Compensations will be available from 2010 to 2013.

“A token of European solidarity with Bulgaria” was how EC President Jose Manuel Barroso termed the proposal, and added that the investment in a safer and more stable Bulgarian energy network was an expression of the union’s desire to see Bulgaria fully integrated in the common European energy market. Part of the amount will be used to compensate for the economic and social consequences of the old Kozloduy NPP reactors’ decommissioning. Another part will be invested in energy efficiency as well as in building new capacities from energy renewable sources. Released funds will be used to upgrade the capacities of the 1000 MW reactors of the plant that are still operational.

In a bid to comply with EU accession terms in 2007 Bulgaria signed an agreement for decommissioning the four 440 MW reactors at Kozloduy NPP. This cost the country the position of a Balkan energy export leader. The EU has compensated the efforts of the Bulgarian governments, and over the last 10 years Bulgaria received EUR 550 million. Apart from EU compensations, the country also got EUR 200 million from Euratom (European Atomic Energy Community) allocated to the upgrading of units 5 and 6. The two reactors generate some 35% of the country’s electricity. In fact this is precisely the share of electricity generated in nuclear plants across EU.

Such compensations present no precedent in Europe. Lithuania and Slovakia also received financial support from the EU for the closure of Soviet-type reactors. Despite EU doctrines for the development of capacities from renewable energy sources, East Europe seems reluctant to give up atomic energy. In Bulgaria for example the plans to build a second nuclear plant at Belene remain. The project is at the stage of pitching for new investors who should buy out the state equity. The project’s objective is to boost nuclear capacities in a bid to make the economy independent from Russian energy sources such as natural gas and oil.

In 2008 Kozloduy NPP generated record energy quantities and in August it marked the 35th anniversary since its launch. For that period it has economized more than 600 million tons in carbon dioxide emissions. Across Europe political leaders have been reassessing their nuclear policies. Finland plans to build a fifth nuclear reactor and Holland has considered the option of opening nuclear capacities as a way to cut harmful emissions. Germany prepares to extend the operation of some of its reactors and Sweden has put off plans to cut its nuclear capacities.

The Bulgarian economy suffered a major blow during the gas crisis last January which provoked renewed calls for reopening of decommissioned reactors. Of course, this did not took place, however it did encourage the Bulgarian government to look for alternative energy sources breaking its dependence on Russian energy ones.

Let us remind you that some 440 nuclear reactors operate across the world. They account for 17% of the electricity generated globally. Thirty-one countries make electricity in nuclear plants, and Bulgaria is one of them.

English version: Daniela Konstantinova