Russia, Hungary sign agreement to build nuclear reactors

Russia has signed a deal with Hungary for the construction of two nuclear reactors in the European country.

Atomenergoproekt, a subsidiary of Russia’s Rosatom State Atomic Energy Corporation, inked an agreement with Hungary’s first and only nuclear power plant, Paks, in the Hungarian capital, Budapest on Tuesday, the Hungarian government commissioner for the project, Attila Aszodi, said.

The deal is about the plant’s design, operation and maintenance, Aszodi noted, adding that “construction is expected to start in 2018.”

Hungary’s sole nuclear power plant is located 5 kilometers (3.1 miles) from the central town of Paks.

The expansion of the Paks plant, which is located about 100 kilometers (60 miles) south of Budapest, will add two 1,200-megawatt reactors to the existing four, more than doubling its capacity

The first of the two new reactors is expected to start up in 2023.

Russia is to finance the major part of the project which will cost 12.5 billion euro (USD 15.5 billion).

“The Russian side made it clear to us that the necessary financial resources are ready,” Aszodi said, adding, “It is already a part of their 2015 budget.”

On January 14, Russian President Vladimir Putin and Hungarian Prime Minister Viktor Orban signed a basic agreement for the construction of the two nuclear power-generating units for the Hungarian capital city.