Romania rejects reassessment of controversial SMR project despite feasibility concerns

Romania's government has opted not to reconsider the development strategy for the country's flagship small modular reactor (SMR) project, despite mounting concerns from Nuclearelectrica's management over its technical and financial viability. The shareholders’ decision reflected in the company’s press release reflects conflicting views within the Ministry of Energy, temporarily supervised by acting prime minister Ilie Bolojan.

Shareholders of state-controlled nuclear power producer Nuclearelectrica (BVB: SNN) voted at the company's Ordinary General Meeting on July 15 against a proposal to reassess the SMR project based on NuScale technology and examine alternative reactor technologies and potential locations.

The decision came despite recent criticism from acting prime minister Ilie Bolojan regarding the project's feasibility and after the company's management acknowledged that key preconditions for taking the final investment decision (FID) had not been met by the end-of-June deadline.

Government representative Cristian Bușoi told shareholders that management's proposal to reassess the project was not supported by "sufficient data, analysis, and substantiating elements," G4media.ro reported.

The proposal would have authorised Nuclearelectrica to conduct a benchmarking study comparing several SMR technologies available on the market and to evaluate additional sites beyond the planned Doicești location. Management argued that such a review had become necessary after several conditions attached to the project's FID proved impossible to fulfil for reasons beyond the company's control.

According to the agenda prepared for the shareholders' meeting, those conditions included securing external financing, negotiating the pre-engineering, procurement and construction (pre-EPC) contract, and obtaining commitments from the relevant public authorities. Management indicated that these milestones, which were due by the end of June, had not been completed.

The company also highlighted the risks associated with the project's status as a first-of-a-kind (FOAK) deployment of NuScale's technology. Without an established operating history, the project faces unusually high technical and financial uncertainty, raising questions over its feasibility and bankability.

Following the shareholders' vote, Nuclearelectrica said the decision effectively confirms the continuation of the project implementation strategy adopted in September 2022.

"Since the vote by Nuclearelectrica's shareholders on July 15, 2026, was against the technology benchmarking study and multiple scenarios assessment, this implies continuing the initial Project Development Strategy, approved in September 2022," the company said in a statement.

At the same time, the company reiterated that the project cannot automatically proceed to the next stage.

"Nuclearelectrica reiterates that moving to the next phases of the Project requires the fulfilment of all FID-related conditions," the statement added.

The outcome leaves Romania committed to the NuScale-based Doicești project despite unresolved financing and implementation challenges, while the company's own management continues to warn that the prerequisites for a final investment decision remain unmet.

iulian@romania-insider.com

(Photo source: Nuclearelectrica.ro) ...