ROSATOM, a Russian state-owned nuclear energy and weapons company, has resorted to legal action over its cancelled nuclear power project with Fennovoima in Pyhäjoki, North Ostrobothnia, report YLE and Helsingin Sanomat.
Reuters on Tuesday reported that Rosatom has initiated a total of six proceedings against its partner, tabling claims for damages that add up to around three billion euros.
Raos Project, the Finnish subsidiary of Rosatom, stated to Helsingin Sanomat that the details of the lawsuits are confidential and that no further details would be provided.
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Fennovoima on Saturday announced it has launched arbitration proceedings against various entities of Rosatom. CEO Joachim Specht added to Helsingin Sanomat that the Finnish nuclear energy company has filed demands for damages worth almost two billion euros, including for the reimbursement of an 800-million-euro down payment it made to Raos Project.
Fennovoima terminated its supplier contract with Rosatom in April, roughly two months after the Russian invasion of Ukraine. Its executives stated that the contract was terminated on grounds of problems and recurring delays, rather than the invasion, acknowledging the invasion had increased the project risks.
The company withdrew its building permit application for the power plant, which was to be called Hanhikivi 1, on 24 May. The power plant was originally to be commissioned in 2024, but the latest estimates indicated the project would be completed in 2029.
Rosatom was brought into the project as the plant supplier in place of Germany’s E-On in December 2013, with the company agreeing to take on a 34-per-cent stake in Fennovoima through Raos Project.
Aleksi Teivainen – HT
