ArmInfo. Russian Deputy Prime Minister Alexey Overchuk warned Armenia that Russia is monitoring developments around the Metsamor Nuclear Power Plant.
"We can't ignore developments around the extension of the Metsamor Nuclear Power Plant's operation and the future of nuclear energy in this country," Overchuk said in an interview with TASS.
"When asked about the reasons for the confiscation of the electric power company, we were told that people in Armenia were dissatisfied with its poor service. Whether this is true or not is an internal matter for Armenia," the Deputy Prime Minister noted. He also noted: "Regardless of the background to these events and whoever the Russian investor may be, property rights are primary; they underlie any relationship. The seizure of private property by the state does not make Armenia more attractive to foreign investors."
In his view, "regardless of nationality, investors will now understand that if this happened to one of them once, there is no guarantee it won't happen again." Overchuk added that "the fact that the company itself was not Russian only reinforces investors' concerns."
"Consequently, they will assess the country's investment risks as higher, the value of assets in Armenia will be estimated lower than they could be, and the desire of businessmen to obtain maximum profit in the shortest possible time will be higher. This is the logic of a market economy," the Deputy Prime Minister explained.
"Ultimately, these are the internal problems of Armenian entrepreneurs and consumers," Overchuk added.
He also emphasized that Russia has no equal in the construction of nuclear facilities, and that if Armenia were to make a fair choice, Russian nuclear power engineers would have no competitors.
"We are currently discussing extending the service life of the existing nuclear power plant and, in the future, constructing new power units. We are confident that if the choice is fair, Russian nuclear power engineers will have no competitors. Russia is currently constructing 26 large-capacity and two small-capacity power units in nine countries, with orders totaling $127 billion. In addition, another 14 power units are being built in Russia. This is a very large international business, in which our country has no equal," he said.
"Armenia has expressed interest in small-capacity modular power units, but no one else in the world, other than Rosatom, currently has the technology to build and operate them. Armenia's nuclear industry employs highly qualified professionals, and they are well aware of this," Overchuk emphasized.
At the same time, he emphasized that Rosatom could extend the operation of the Armenian nuclear power plant until 2036, but Yerevan is choosing the "European vector," favoring incompetent European contractors.
He noted that the nuclear power plant is currently scheduled to operate until the fall of 2026, but preparations are being completed to extend its operation until the fall of 2031. "This will be done. Our specialists also believe that its operation could be extended until 2036, but certain conditions must be met. Currently, as part of Armenia's European development vector, most of the contract work for the extension is being awarded to European contractors who lack experience working in seismically hazardous areas and who don't bother coordinating with the plant's general designer," Overchuk noted.
Thus, according to the Russian Deputy Prime Minister, everyone has something to think about when politically biased decisions begin to influence nuclear energy production technologies.
Overchuk also clarified that a prerequisite for Rosatom to provide guarantees for the safe operation of the plant until 2036 is ensuring that the share of contract work performed by the state corporation is at least 70%. On February 3, Armenia's Minister of Territorial Administration and Infrastructure, David Khudatyan, announced that the country had decided on the type of future nuclear power plant to replace the existing Metsamor Nuclear Power Plant, choosing a modular design. Yerevan is currently reviewing proposals from Russia, the United States, China, the Republic of Korea, and France.
On February 9, during US Vice President J.D. Vance's visit to Yerevan, an agreement was announced between Washington and Yerevan on civil nuclear energy, which will ultimately allow US companies to provide Armenia with approximately $9 billion in products and services in this field, including small modular reactors.
The operation of Armenia's existing Metsamor Nuclear Power Plant (NPP) is being extended thanks to cooperation between the Armenian government and the Russian company Rusatom Service. The corresponding decision was made in December 2023 following a meeting of the Armenian-Russian intergovernmental commission. The Armenian government allocated $65 million to implement a program to extend the life of the NPP's second power unit until 2036.
On February 11, Armenian Prime Minister Nikol Pashinyan stated that the operation of the Metsamor NPP could be extended until 2046.
