Sanctions against Rosatom: why this is important

April 20, 2023

Ukraine has long been saying that sanctions against the Russian civilian nuclear sector should become part of the global sanctions package. Ukraine has already imposed sanctions against two hundred people relating to the Russian nuclear energy sector. Finally, Germany proposed to the European Union to introduce limitations on the Russian nuclear industry in the next package of sanctions against the Russian Federation.

This decision is especially important because it is necessary to put an end the impunity of the Russian Rosatom company for its actions at the Zaporizhia Nuclear Power Plant. What Rosatom is doing at ZNPP is nuclear blackmail, a violation of all the main pillars of nuclear safety defined by the IAEA.

The Russians turned the entire city of Energodar into a concentration camp.

There is more than enough evidence of such violations. Many Rosatom representatives came to ZNPP, they did not even hide. That company "managed" the ZNPP. Up to this day, Russians believe that ZNPP belongs to them and is "managed" from Moscow. That is, we are talking not only about nuclear blackmail but literally about the theft of an entire nuclear power plant. This is unprecedented in history.

In addition, there are serious violations regarding the construction of some incomprehensible structures (no one knows what is actually being built there).

The staff is under constant pressure and actually held hostage. The Russians turned the entire city of Energodar into a concentration camp. ZNPP personnel and their families are bullied in all possible ways, forced to make illegal contracts with Rosatom, to renounce Ukrainian citizenship. There are facts of torture and murder of Ukrainian employees of ZNPP... So, first of all, it is important that such things do not go unpunished.

Rosatom is very strongly involved in the nuclear fuel cycle.

Secondly, it is necessary to reduce the cashflow to Rosatom from international markets. And it is very important to remove Rosatom from the key links in the trade in uranium enrichment services and production of nuclear fuel itself — fuel rods, TVELs.

Rosatom is very strongly involved in the nuclear fuel cycle. It and its subsidiaries around the world (more than 360) occupy approximately 40% of the uranium enrichment market, more than 20% of the nuclear fuel production market. More than 250 GW of electricity produced in Western countries in one or another way depend on nuclear technologies, nuclear fuel and enriched uranium from Russia.

That is, today neither the USA nor many European countries, especially Eastern European, can give up the purchase of nuclear fuel and nuclear fuel enrichment services. To diversify such supplies, time and serious investments are needed.

Rosatom has launched its tentacles so deeply into the nuclear fuel cycle chains that it will be very difficult to get rid of these tentacles.

One should understand the big difference between the diversification of oil and gas supply and the diversification of nuclear fuel. In the former case, you just need to find new suppliers. In the latter, it is necessary to build additional facilities for uranium production, enrichment, and for the manufacturing of nuclear fuel. This cannot be done in a year or two. It will take 5–7 years to give up Russian supplies in the field of nuclear technologies.

Our Western partners were not ready (and are not ready now) for long and serious sanctions against Rosatom. Nevertheless, statements about the beginning of sanctions pressure (it must be clearly understood) are a very important symbolic sign. On the other hand, it should also be taken into account that Rosatom has launched its tentacles so deeply into the nuclear fuel cycle chains that it will be very difficult to get rid of these tentacles. Therefore, there will be no sanctions against the main products of Rosatom or the companies that are engaged in the enrichment of uranium or manufacture nuclear fuel. They may be imposed on some secondary companies that do not really influence the supply to the Western countries.


Source:

https://razumkov.org.ua/komentari/sanktsii-proty-rosatomu-chomu-tse-vazhlyvo

Volodymyr Omelchenko

Director, Energy Programmes


Born in 1967 in Kyiv

Education: Kyiv Politechnic Institute, Department of Chemical Engineering (1992)

Author of over 50 scientific works and op-ed publications. Took part in development and implementation of international energy projects and scientific research in international energy policy

Employment:

1992 – 1996 — worked in different positions in the mechanical engineering industry

1997 – 1998 — Head Expert of the Division of Oil, Gas and Petroleum Refining Industry of the Ministry of Economy of Ukraine

1998 – 2003 — Naftohaz Ukrayiny National Joint-Stock Company, in Charge of Oil Transportation Section

2004 – 2007 — Chief Consultant at the National Institute of International Security Problems of Ukraine’s NSDC

since February, 2007 — Leading Expert, Razumkov Centre. Director of Energy Programmes since 2013

(044) 206-85-02

omelchenko@razumkov.org.ua

volodymyr.omelchenko