Exclusive-EU nuclear agency sees some Russia imports up again in 2023 from before Ukraine war

In 2023, the European Union has reportedly increased its imports of nuclear fuel and services for the bloc’s Russian-designed reactors from Russia compared to 2021, according to the Euratom Supply Agency (ESA). This increase comes despite the EU’s efforts to reduce its dependence on Moscow following its invasion of Ukraine. However, while demand for nuclear power is on the rise due to high energy costs and the push to cut carbon emissions, imports from Russia’s nuclear energy industry remained steady overall last year.

Despite the EU’s aim to reduce its dependence on Russia, five EU states operating VVER reactors are likely to exceed their 2021 import levels this year, following a rise in imports in 2022, according to ESA’s acting head, Stefano Ciccarello, in an interview with Reuters.

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

Last year, Bulgaria, the Czech Republic, Finland, Hungary, and Slovakia bought 30% more conversion services from Russia and 22% more enrichment, according to ESA’s annual report in October. These countries are building additional inventories of fresh fuel, which will likely contribute to more material coming to VVER utilities from Russia in comparison to 2021, Ciccarello explained.

Ciccarello emphasized that of the five EU countries fully reliant on Russian supplies, only Hungary has yet to sign contracts for alternative fuel. Earlier this year, U.S. company Westinghouse loaded alternative fuel to a VVER reactor in Ukraine for the first time, signaling a potential shift away from Russian fuel over time.

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

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

Despite the ongoing debate in EU countries regarding a Commission proposal for the 12th package of economic sanctions against Russia in response to the invasion of Ukraine, the proposal does not currently include sanctions on Russia’s nuclear energy industry. Imposing EU sanctions requires unanimity of 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)