Russia has announced plans to lend Hungary $14 billion at below market rates to finance the construction of additional nuclear energy production units at the existing Paks nuclear power station.
The announcement is one more piece of evidence showing that Russia continues to diversify its income by exporting nuclear power stations to as large a market as possible. It is winning sales competitions by providing as complete a product as the customer desires. The components of a deal for a nuclear power plant project available from Russia include manufactured parts, engineering services, construction, operations, maintenance, fuel, used material handling and finance.
Recent offerings to countries without nuclear experience or a domestic infrastructure, including Turkey and Vietnam, include a full build, own, operate model. The host country doesn’t need to do anything other than to provide a site and agree to purchase the electricity from the plant once it is operating. At the other end of the deal spectrum, like those with US nuclear power plant operators, Russia’s only participation is to provide enriched uranium.
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