Armenia has one nuclear power plant at Medzamor consisting of two VVER-440 Model V230s. The units have been modified with seismic upgrades and are sometimes referred to as Model V270s. Before the plant was shut down in early 1989 following a disastrous earthquake in December 1988, it supplied 40 percent of the country's electricity. Following the collapse of the Soviet Union, a territorial dispute between Armenia and neighboring Azerbaijan led to an embargo on all energy supplies--fuel and electricity--to Armenia. Azerbaijan effectively blocked roads, rail lines and energy supplies, leading to severe energy shortages in Armenia. In 1993, the government decided to restart the plant, and in late 1995, Unit 2 came back on line.
Medzamor's Unit 2 was selected for restart because it is the newer of the two units. According to a Russian news agency report in November 1995, the Ministry of Atomic Energy had signed an agreement with Armenia's Energy Ministry on restarting Unit 1. Armenian officials have said, however, that the country's first priority is to ensure the safe operation of Unit 2 and bring it closer to Western safety standards. According to them, there is no urgency to restart Unit 1 and it will be maintained in a stable state for now.
According to the plant's director, the experience of operating Unit 2 will give management time to explore the feasibility of building a new nuclear plant.
In its energy program to the year 2005, issued in 1995, the Armenian government included a two-stage plan for nuclear energy development. The first stage entails operating the Medzamor plant until 2005, and the second stage calls for bringing a new nuclear plant on line between 2005 and 2010.
During the winter of 1994-95, residents of Yerevan, Armenia's capital, often had only 1-2 hours of electricity daily. With the restart of Unit 2, they were expected to have electricity for 10-12 hours daily.
In March 1995, the Armenian minister of energy and fuel said that the country planned to increase its electricity generating capacity by building a thermal plant, adding a fifth unit to the Hrazdan gas-fired plant, and rehabilitating existing plants.
The government's long-term energy program calls for nuclear energy to provide 38 percent of the country's electricity, hydropower to provide 15 percent, thermal energy, 45 percent and alternative energy, 2 percent.
In September 1995, power sector officials from Armenia and Iran met to discuss cooperative activities. The two sides agreed to create a joint coordinating company that would develop a program for joint construction of electric power lines and use of the Araks River's hydropower potential.
Some Western nuclear experts have expressed concern that Armenia's energy and electricity shortages will make it difficult for the country to take Unit 2 off line in the event of a safety problem.
Nuclear Operations. Armatomenergo, a department within the Armenian Ministry of Energy and Fuel, is responsible for operation of Medzamor.
Prior to its shutdown in 1989, the Medzamor plant was part of the Soviet nuclear energy system. Nuclear regulation was the responsibility of Gospromatomnadzor, a regulatory agency created by the Soviet government. After the collapse of the Soviet Union in 1991, nuclear regulation became the responsibility of the individual independent countries.
With the help of the International Atomic Energy Agency (IAEA), Armenia established a nuclear regulatory body--Armgosatomnadzor--in 1994. The IAEA also offered to help Armenia regulators resolve technical issues with safety implications for the plant. Armgosatomnadzor, which is responsible for licensing the plant's restart, developed a list of safety-related measures to be carried out either before Unit 2's restart or at a later date.
Although the G-7 (Group of Seven) countries were opposed to Unit 2's restart, the U.S. Nuclear Regulatory Commission began providing limited regulatory assistance, not related to restart, in November 1994. During 1995, the NRC used funding from the U.S. Agency for International Development to provide training for Armgosatomnadzor staff in the development of fire protection regulations, site security and the management of spent fuel. In 1996, the NRC plans to provide training in the regulation of seismic issues and decommissioning. It is also discussing additional activities with Armenian authorities.
Armenia is a party to the Vienna Convention, which ensures that the responsibility for damage caused by a nuclear accident is channeled to the plant operator. It is also a party to the 1988 Joint Protocol on Civil Law Liability and Compensation for Cross-Boundary Damage from Nuclear Accident, which resolves potential conflicts between the Paris Convention--which covers 14 European countries--and the Vienna Convention--which has worldwide coverage.
Supply of Fuel. As part of its agreement with Armenia on the restart of Medzamor 2, Russia is supplying nuclear fuel for the plant.
Spent Fuel Storage and Disposal. Spent fuel from Unit 2, which was moved to the reactor cavity from the spent fuel pool after the plant was shut down in 1989, has been retransferred to the spent fuel pool. Russia has agreed to accept spent fuel generated after Unit 2's restart, but this option requires a secure land route.
In January 1996, France's Framatome signed a FF 40 million ($8 million) contract to supply a dry spent fuel storage facility for Medzamor. The facility, to be supplied under a combined grant-loan agreement, will be operational by the end of 1997. It is based on a U.S. system adapted to meet the specifications of the Russian-made VVER fuel used at Medzamor.
In December 1994, the Armenian Council of Ministers Presidium--the cabinet--held an extraordinary session at the plant. It decided to lift customs duties on imported equipment needed for the plant, and to create a state commission to handle the start-up of Unit 2.
Armenian authorities planned to complete some safety upgrades before Unit 2 was restarted, but many improvements--such as the replacement of many valves and control rod drives and the modernization of instrumentation and control systems--will occur over the next three to four years. For details, see the separate summary of the Medzamor plant.
French Study. In October 1992, the French architect-engineer Framatome was awarded a $400,000 contract by the European Communities (now the European Union) to study conditions for start-up of Medzamor. Framatome experts estimated that it would take at least two years to get the newer Unit 2 on line and longer still for the older Unit 1. The Framatome study called for a complete inspection of the primary circuitry, the annealing of Unit 2's pressure vessel and a detailed seismic assessment of the site.
In addition, France has agreed to provide FF 40 million ($7.9 million) for safety improvement work, with FF 15.5 million ($3 million) of that amount in grants and the remainder in 40-year loans. Some of the money will be used to build a spent fuel storage facility at the plant site.
German Aid. The German government has announced it will contribute DM 30 million ($20.2 million) for safety improvement work at the plant.
Russian Assistance. In early 1994, Armenia asked Russia for help in bringing the Medzamor plant back on line. In March, Russia and Armenia agreed to cooperate in restarting the plant; proposed activities included a full site investigation, improvements in safety standards, and maintenance and repair.
The project was estimated to cost between $70 million and $100 million. Russia agreed to provide a credit of about 60 billion rubles, Armenia itself provided $10-15 million, and an additional $35 million was loaned or donated by Armenians living abroad. The money was earmarked for Russian technical expertise and fuel as well as equipment. In January 1995, Russia's lower house of parliament--the Duma--approved a draft law ratifying the agreement to offer Armenia 110 billion rubles in credit, 60 billion of it for the restart of Medzamor.
Russia is also providing training at its VVER-440 Model V230 full-scope simulator, and has made available Russian operators, shift supervisors and inspectors to draft start-up and operating procedures and review test results. Experts from Russia's Institute for Nuclear Power Operations and Gidropress, the manufacturer of the plant's pressure vessels, inspected Unit 2's vessel to measure the extent of embrittlement.
IAEA Membership. Armenia joined the International Atomic Energy Agency in 1993, entitling it to the agency's services. In June 1994, an IAEA team visited the plant and reported that the reactor and its basic equipment were comparable to those of other VVER-440 Model V230s. Among the issues addressed by the team were seismicity, safety conditions, reactor pressure vessel integrity, fire safety, operating procedures, radiation protection, and emergency planning. The team concluded that there were no technical obstacles to the plant's restart.
Ukrainian Agreement. In March 1995, during Armenian-Ukrainian talks, Ukraine agreed to provide nuclear experts to help Armenia prepare for restart of Medzamor Unit 2 and to train plant personnel.
WANO Membership. Armenia became a member of the World Association of Nuclear Operators (WANO) in August 1994. Under the auspices of WANO, personnel from the Medzamor plant will participate in international exchanges. A WANO mission visited the plant to address requalification testing of plant operators.
Utility Partnerships. U.S. AID jointly sponsors a utility partnership program with the U.S. Energy Association (an association of public and private energy-related organizations that represents the United States on the World Energy Council). Staff from the Armenian utility, Armenergo, have spent several weeks at various U.S. utilities to learn about the market economy from management's point of view. The utilities visited include: Southern California Edison and the utility departments of the cities of Glendale, Pasadena and Anaheim in California.
U.S. Assistance. U.S. AID has earmarked $26 million for a program of energy efficiency and development in Armenia.
EBRD Study. In July 1995, the European Bank for Reconstruction and Development (EBRD) asked a group of experts to assess the main safety-related issues at Unit 2. The group, which included nuclear experts from France, Germany, the United Kingdom, Russia and the EBRD, concluded that, if WANO and Russia continued to support the plant technically and Armenia's nuclear regulatory body received support from within Armenia and from foreign advisers, Armenia should be eligible for the same nuclear safety assistance as other countries with VVER-440 Model V230s. The group suggested that rather than isolate Armenia, the international community should sponsor its participation in safety-related training and help the nuclear regulatory body maintain contact with its counterparts in other countries.
EBRD Loan. The EBRD had reportedly linked a loan to build a 300-megawatt unit at the Hrazdan gas-fired power plant to the restart of Medzamor Unit 2. The bank said the loan could be canceled if the unit was restarted without the consent of Western nuclear safety officials. A bank decision on the loan is expected in February 1996.
EBRD Nuclear Safety Account. Armenia has reportedly applied to the EBRD for a grant from the Nuclear Safety Account.
In July 1994, a team of experts from the IAEA visited the plant. They reviewed technical, seismic and staff-related issues at the plant, and recommended that:
In May 1995, a team of IAEA experts visited Medzamor to assess the seismic characteristics of the plant and site. The team concluded that the seismic protection measures were satisfactory.
January 1996
