More reactors for nuclear power plants – EU: Austrian lawsuit against Hungary dismissed

In March 2017, the European Commission approved Hungary’s support for the expansion of the nuclear power plant, which is about 180 kilometers from Austria. Four reactors from the 1980s are currently in operation at the Paks I site. The expansion of the two reactors, each with a capacity of 1,200 megawatts, is mainly financed by a loan from Russia to Hungary worth ten billion euros. The construction project is expected to start in 2023 and be completed in 2030.

All three counts rejected by the court
Austria complained about three issues before the EU court as part of its appeal for annulment of the EU Commission’s approval: first, the direct award of the contract to build the new nuclear reactors to the company JSC NIAEP, which owned belongs to the Russian state-owned company Rosatom, secondly, the aid would lead to disproportionate distortions of competition and, thirdly, lead to the strengthening and creation of a dominant position. The General Court rejected all three points. Austria can appeal against the decision of the EU Court within two months and ten days of service.

The criticism came directly from Austria. “The verdict of the court is incomprehensible to me,” Gewessler said on Wednesday, according to the broadcast. Austria is exploring further steps. “Nuclear power is neither sustainable nor safe,” Gewessler continued. “We still believe that the European Commission has not made the right decision when examining state aid and that it is now sending the wrong signal to declare subsidies for the construction of nuclear power plants as innocent.”

It is worrying that Russia is now involved
The decision of the EU court is “a slap in the face at this time to all those who are committed to Europe’s energy independence.” It is “extremely worrying that Russia is involved in the critical infrastructure of an EU country in the current situation”, criticized Gewessler.

Angelika Winzig, head of the ÖVP delegation to the EU Parliament, has appealed against this verdict. “It is unacceptable for Russian money to be invested in past-oriented Russian technologies in an EU country during Russia’s war of aggression against Ukraine. Apart from the danger of nuclear accidents and the totally unresolved issue of hazardous radioactive nuclear waste, which we saddle future generations with,” Winzig said, according to the broadcast.

The government must oppose the verdict
“The nuclear lobby within the Union has clearly gained the upper hand in the field of energy supply. You would almost think that the exorbitant energy costs are self-made and serve only to increase investment in nuclear power plants,” liberal environmental spokesman Walter Rauch said in a broadcast. He called on the black-green government to “fight resolutely” against the verdict.

The environmental organization Global 2000 also took the floor. “Rosatom is acting in Ukraine as a nuclear buccaneer, occupying enemy nuclear power plants and making the Russian forces force the operational team to work with a machine gun,” Reinhard Uhrig, anti-nuclear spokesman, said in a broadcast. “It is completely irresponsible that the same state-owned company Rosatom will start building new insanely expensive reactors in Hungary next year.”

“Promote legacy technology with tax incentives”
Greenpeace criticized that Hungary wants to “promote the expansion of outdated technology with tax incentives” and that it is increasing its dependence on Russian fuel supplies. “It is completely incomprehensible that the Court of the European Union has now also given the green light to this tax waste,” said Jasmin Duregger, climate and energy expert at Greenpeace.

In 2016, the European Commission stopped the infringement procedure against Hungary for awarding a billion-dollar contract to the Russian state-owned company for the expansion of the nuclear power plant. Austria had previously unsuccessfully opposed the construction of the British nuclear power station Hinkley Point C.