NATO Advanced Research Workshop Consideration and Options on a New Nuclear Power Plant at Ignalina

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1 NATO Advanced Research Workshop Consideration and Options on a New Nuclear Power Plant at Ignalina September 2002, Hotel "Holiday Inn", Vilnius, Lithuania

2 Workshop Co-Directors Prof. Jurgis Vilemas Mr. Joseph F. Bader Director of Lithuanian Energy Energy Consultant Institute 3203 C Sutton Place 3 Breslaujos str. Washington, DC LT-3035 Kaunas, Lithuania United States of America Tel.: Tel.: Fax.: Fax.: vilemas@isaq.lei.lt JFB3603@aol.com

3 Background Information and Objectives of the Workshop A. Lithuania (year 2000 data) Electric power generation, production and transmission 1. Available capacity MW(e) Ignalina Nuclear Power Plant Fossil stations Hydro pumped power station 760 Hydro stations Electricity production capacity factor GWh % capacity factor INPP Fossil Hydro (pumped) Hydro Average cost of power produced at the low side of plant main power transformers ctl/kwh INPP 6.6 Fossil 14.8 Hydro (Kruonis HPSP) 19.1 Hydro (Kaunas HPP) 1.66 Small private HPP 18.0

4 4. Power export GWh to Latvia 574 to Estonia 136 to Belarus 717 Total Main tie line capacity MW to Latvian grid 2400 to Estonian grid (through Latvia) 1500 to Belarus grid 3500 to Kaliningrad region 1800 B. Baltic region (Lithuania, Latvia, Estonia) general data (year 2000 data) Lithuania Latvia Estonia Total Population (millions) GDP (millions $) C. Discussion The first unit of the INPP, commissioned in December, 1983 will be shut down and decommissioned by agreement with the European Union in Very active discussions are currently being held with the EU about what, if any, commitment will be made on the part of Lithuania to shut

5 down Unit 2. A range of dates has been mentioned from 2009 to 2017 with the EU pressing for the earliest date. Lithuania is seriously considering the replacement of a significant fraction of the existing INPP units with a modern nuclear power plant. This interest has been created due to: the overall positive experience with the INPP; the existence of a large, well trained and motivated work force at Ignalina; the existence of the national infrastructure to support a new nuclear power plant, including a well developed independent regulator VATESI. a generally supportive population opinion due to the safe operation and reasonable power costs of the INPP; the national energy security advantages of a new nuclear power plant with systems and fuel which can be internationally provided and supported. the environmental, and social advantages of nuclear power over other competing forms of economically competitive fossil fuels. These advantages are clearly summarized in the recently published 10 year EU study "Extern-E"; the ability of a new nuclear power plant to allow Lithuania to continue to meet its obligations under the Kyoto protocol in the distant future; concern over the long term cost and security of supply of oil, gas or coal from readily available sources; the general lack of indigenous fuel supplies within the Baltic countries, other than shale oil in Estonia.

6 D. Purpose and objectives of the Workshop The Workshops' purpose is to gather selected representatives from a group of recognized international organizations, public and private to more clearly frame the major issues which must be answered before a new nuclear power plant can be determined to be the best replacement for the existing INPP Units. Our objective is to frame a rational decision basis for answering this question. The first question to be answered is the commercial availability of new nuclear power plants to meet Lithuanian needs. The broader issues underlying the Workshop agenda are: infrastructure issues related to building operating a new nuclear power plant under the conditions of the open energy market in Lithuania and the Baltic region; technical, regulatory and operational maturity of possible reactor options. What actions must be taken by Lithuania with regard to law in order to purchase and operate a new nuclear power plant particularly with regard to regulation and third party nuclear liability. What are the financial implications of Lithuanian purchase of a new nuclear power plant. Is traditional NPP exporting country financing and guarantees available. Will private multinational financial institutions participate in the required financings and will this participation be on reasonable terms. What are the possible regional extensions of the concept of a new NPP in Lithuania to the Baltic Region in general. Is this extension necessary to the economic viability of a new nuclear power plant at Ignalina.

7 Will the existing broad political, industrial and popular support for the INPP continue in the light of a possible new NPP. What should be done to maintain and extend that support. To what level is there international support or objection to the continuing use of nuclear power in Lithuania. E. Sponsorship This Advanced Research Workshop is established and sponsored by NATO through a grant from the Scientific and Environmental Affairs Division. It is supported by additional contributions from the Lithuanian Energy Institute and the Ignalina Nuclear Power Plant.

8 Agenda 22 September 19:00 to 22:00 Informal buffet dinner for arriving speakers and attendees 23 September 07:30 to 09:00 Breakfast 09:00 Welcome remarks President of Lithuania Dr. Valdas Adamkus 09:15 to 13:00 Lithuanian energy situation (Overview) Opening remarks Mr. Joseph F. Bader, Workshop Co-Director, Energy Consultant Mr. Fernando Carvalho Rodrigues, Programme Director, NATO Scientific Affairs Department Power supply situation in the Lithuania and Baltic States demand, generation and interconnections Prof. Jurgis Vilemas, Workshop Co-Director, Lithuanian Energy Institute Available nuclear infrastructure Mr. Viktor Ševaldin, Director, Ignalina Nuclear Power Plant International legal structure related to new NPP/Third party nuclear liability Mr. Charles Peterson, Partner, Shaw Pittman 13:00 to 14:30 Luncheon 14:30 to 18:30 Nuclear power plant supply options: Part I "Design and construction of nuclear power plants in the 21 st century" Mr. Irv Richter, Chairman and CEO, Hill International The CANDU 700 reactor Mr. Pat Tighe, General Manager, Business Development, Atomic Energy of Canada, Ltd. (AECL)

9 Nuclear Power Plant with High Temperature reactors (GTHMR) Dr. Arkal Shenoy, Director, Modular Helium Reactor, General Atomics Discussion of practical issues related to the afternoon's presentations J. Bader/ J. Vilemas, Leaders 19:30 Dinner 24 September 07:30 to 09:00 Breakfast 09:00 to 12:30 Nuclear power plant supply options: Part II Lithuanian electrical power industry development and plans for the future Mr. Artūras Dainius, Secretary of Ministry, Ministry of Economy Nuclear safety regulations and acceptability of nuclear energy in Lithuania Dr. Saulius Kutas, Director, VATESI Advanced BWR, Toshiba Mr. Hideto Nakai, Senior Manager, Nuclear Energy Systems and Services Division Advanced Westinghouse PWR Mr. Bernd Doehnert, Westinghouse 12:30 to 14:00 Luncheon 14:00 to 18:30 Infrastructure issues: Part 1 International Nuclear Safety Co-operation Mr. Dennis Meyers, U.S. Department of Energy Social consequences of Ignalina NPP closure Dr. Donatas Burneika, Institute of Geology and Geography Nuclear power issues from a Lithuanian public acceptance perspective Mr. John Lough, Vice President, PBN

10 Roundtable discussion of practical issues related to the day's presentations J. Bader/J. Vilemas, Leaders 19:30 Dinner 25 September 07:30 to 09:00 Breakfast 09:00 to 12:00 Infrastructure issues: Part 2 Financial issues roundtable discussion J. Vilemas, J. Bader, D. Repici, Consultant, NRG, Leaders Financial aspects of a new NPP Supplier national financing (project financing) Workshop summary and follow on activities 26 September 09:00 to17:00 Tour of Ignalina Nuclear Power Plant (Tentative based on interest by speakers and attendees)

11 Transportation Hotel For all NATO workshop participants the transportation from Vilnius airport or railway station to hotel will be arranged by the organisers. Please indicate the date and time of arrival to Co-Directors of the NATO workshop or Dr. Rolandas Urbonas tel "Holiday Inn" 3 Šeimyniškių str. LT-2600 Vilnius, Lithuania Phone /Fax (Located 1 km from downtown) The rooms will be reserved for key lectures and participants upon request. Room rates for the Workshop are: 300 Litas single and 340 Litas double including Breakfast. Each room has an Internet connection. Workshop Workshop will take place in the hotel "Holiday Inn". Power point and overhead projectors will be available for presenters use. Services NATO will host lunch, dinner and coffee breaks with the exception of Tuesday evening dinner, which will be hosted by the Ignalina Nuclear Power Plant. In the hotel business centre there is a possibility to have an access to PC, Internet, copying and printing services. Technical tour September 26 th tentative technical tour to Ignalina NPP is planned. Please indicate your intent to participate in advance in order to comply with the procedures to enter NPP.