EU nuclear agency sees some Russia imports up again in 2023 from before Ukraine war -December 01, 2023 at 07:53 am EST

BRUSSELS, Dec 1 (Reuters) – European Union increased
imports from Russia of nuclear fuel and services for the bloc’s
Russian-designed reactors again in 2023 compared to 2021, the
year before Moscow invaded Ukraine, Euratom Supply Agency (ESA)
said.

While such imports are not subject to EU sanctions, the bloc
aims to reduce its dependence on Moscow. Its overall imports
from Russia’s nuclear energy industry held steady last year
despite rising demand for nuclear power driven by high energy
costs and a push to cut carbon emissions.

However, five EU states that operate so-called VVER reactors
were likely to exceed 2021 import levels this year again after a
rise in 2022, ESA’s acting head told Reuters in an interview.

The trend highlights challenges EU faces in reaching its
long-term goal of achieving VVER fuel self-sufficiency.

“Imports by countries operating Russia-designed VVER
reactors grew in 2022 compared to 2021, and they will have
likely grown in 2023 compared to the year before the Russian
invasion,” Stefano Ciccarello said in remarks cleared for
release on Friday.

Last year, those five countries – Bulgaria, the Czech
Republic, Finland, Hungary and Slovakia – bought 30% more
conversion services from Russia and 22% more enrichment, ESA
said in its annual report in October.

“Those utilities are building additional inventories of
fresh fuel. Further advance purchases will most likely
contribute in the short-term to more material coming to VVER
utilities from Russia in comparison to 2021,” he said.

Ciccarello did not offer specific numbers and said it was
too early to say whether 2023 imports would be also higher than
last year.

Of the five EU countries hitherto fully reliant on Russian
supplies only Hungary has yet to sign contracts for alternative
fuel, according to ESA. The Hungarian government did not reply
to a request for comment on Friday.

Earlier this year, in Ukraine, U.S. company Westinghouse
loaded alternative fuel to a VVER reactor for the first time but
a broader switch would take years, with Ciccarello saying it
takes up to a decade on average for new nuclear fuel to be
licensed.

Overall, EU imports of natural uranium and related services
from Russia were largely flat year-on-year in 2022, as
utilities’ divergent strategies evened out, said ESA.

“Those that are not reliant on Russia are trying to further
reduce any such dependence,” said Ciccarello.

“On the other hand, there are those fully dependent on
Russian fuel who are increasing fuel stocks as contingency for
any break in supplies before alternative fuel is licensed.”

Nuclear power accounts for nearly 10% of energy consumed in
the European Union, with France meeting nearly a third of its
energy needs that way. Other major producers in the bloc include
Sweden and Belgium.

Imports of natural uranium from Russia fell 16% last year
from 2021, a drop compensated by strong increase in deliveries
from Kazakhstan and Uzbekistan, ESA said.

In 2022, the EU’s Russian nuclear energy imports were worth
around 750 million euros ($823 mln), or 1% of the bloc’s Russian
gas imports, according the European Commission.

EU countries are now debating a Commission proposal for the
12th package of economic sanctions against Russia in response to
its invasion of Ukraine in February 2022. Sources said, however,
that the proposal – which is not public – does not include
sanctions on Russia’s nuclear energy industry.

Imposing EU sanctions requires unanimity of all the 27
members of the bloc, something Hungary – where Russia’s state
monopoly Rosatom is contracted to extend the Paks nuclear plant
– refuses to grant in the case of Russia’s nuclear energy.
(Reporting by Gabriela Baczynska, additional reporting by
Krisztina Than, Editing by Tomasz Janowski)