Hungary considers replacing Rosatom for Paks nuclear expansion

Hungary is evaluating the possibility of replacing the Russian state corporation Rosatom as the main contractor for the expansion of the Paks nuclear power plant. According to sources cited by Reuters, the government is conducting a review to explore alternative suppliers and assess the legal, technical, and financial implications of such a change.

The Paks expansion project, originally valued at approximately 12.5 billion euros, was awarded to Rosatom in 2014 without a competitive bidding process. Hungary has already invested over 2 billion euros in the project. The review will also determine the financial viability of the expansion following recent challenges, including an August drought that necessitated the near-total shutdown of existing reactors.

While the administration of Prime Minister Péter Magyar has indicated that the expansion remains necessary, there is a growing inclination to proceed without Rosatom. A final decision on the project's direction is expected late this year or early next year. Rosatom has stated that work is proceeding according to schedule and noted that they have received no official notification of an intent to terminate the contract.