Identifier
Created
Classification
Origin
08BUDAPEST1082
2008-11-12 05:59:00
CONFIDENTIAL
Embassy Budapest
Cable title:  

NRC CHAIRMAN MEETING WITH HUNGARIAN NUCLEAR ENERGY

Tags:  ENRG ETTC TRGY KNNP IAEA KTIA CVIS HU 
pdf how-to read a cable
VZCZCXYZ0000
RR RUEHWEB

DE RUEHUP #1082/01 3170559
ZNY CCCCC ZZH
R 120559Z NOV 08
FM AMEMBASSY BUDAPEST
TO RUEHC/SECSTATE WASHDC 3568
INFO RHMCSUU/DEPT OF ENERGY WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHDC
C O N F I D E N T I A L BUDAPEST 001082 

SIPDIS

STATE FOR EUR/CE JAMIE LAMORE
USNRC FOR DKLEIN, BWITTICK, MDOANE

E.O. 12958: DECL: 11/10/2018
TAGS: ENRG ETTC TRGY KNNP IAEA KTIA CVIS HU
SUBJECT: NRC CHAIRMAN MEETING WITH HUNGARIAN NUCLEAR ENERGY
REGULATORS AND VISIT TO NEW RADIOACTIVE WASTE DISPOSAL SITE

Classified By: PolOff Ryan C. Leong; reasons 1.4(b) and (d).

C O N F I D E N T I A L BUDAPEST 001082

SIPDIS

STATE FOR EUR/CE JAMIE LAMORE
USNRC FOR DKLEIN, BWITTICK, MDOANE

E.O. 12958: DECL: 11/10/2018
TAGS: ENRG ETTC TRGY KNNP IAEA KTIA CVIS HU
SUBJECT: NRC CHAIRMAN MEETING WITH HUNGARIAN NUCLEAR ENERGY
REGULATORS AND VISIT TO NEW RADIOACTIVE WASTE DISPOSAL SITE

Classified By: PolOff Ryan C. Leong; reasons 1.4(b) and (d).


1. (C) SUMMARY. Nuclear Regulatory Commission (NRC) Chairman
Dale Klein met with representatives of the Hungarian Atomic
Energy Authority (HAEA),addressed the Hungarian Academy of
Sciences and visited Hungary's new radioactive waste facility
from September 22-25, 2008. Chairman Klein emphasized the
growing need for alternative energy sources other than oil
for both energy security and political stability. In
addition, he praised the recent completion of the low- to
medium-level radioactive waste facility in Bataapati as a key
component of Hungary's continued use of civilian nuclear
energy in a regulated and safe manner. Chairman Klein was
informed about HAEA's efforts to address the future power
requirements of Hungary which may include a choice between a
new Russian-built VVER1000 reactor or a new Westinghouse
AP1000 reactor. End summary.

Addressing the Hungarian Academy of Sciences
--------------

2. (U) Chairman Klein delivered a keynote address to an
invitation-only audience of energy and regulatory officials
at the Hungarian Academy of Sciences on September 23. His
speech, entitled "Nuclear Renaissance," highlighted the best
practices encouraged by the NRC, the funding and
staffing challenges faced by regulatory authorities around
the world, and the new attention given to nuclear energy as a
viable and safe alternative to petroleum in light of growing
concern over global warming. During the question and answer
period, Hungarian officials were particularly concerned with
government funding for regulatory staff, maintaining a cadre
of qualified nuclear engineers and the
effect of the upcoming U.S. elections on NRC staffing and
funding. Chairman Klein also conducted several interviews
with Hungarian national media networks, noting the close
working relationship between the NRC and HAEA and the

achievement of completing a new radioactive waste disposal
facility, given the reservations from communities around the
world.

Wary of reliance on Russia
--------------

3. (C) During private discussions with Dr. Joszef Ronaky,
HAEA Director General, and his senior staff, Ronaky made
clear that energy security and diversifying Hungary's future
energy sources were a top priority. Hungary's current
domestic electricity generation is derived from 37 percent
nuclear energy, 30 percent natural gas and 33 percent oil and
coal. Roughly 80 percent of Hungary's oil and natural gas is
imported through pipelines from Russia, via Ukraine, and all
of Hungary's nuclear fuel is from
Russia. Domestic electricity demand is projected to grow but
simply increasing electricity imports via power lines was not
viewed as a viable option given the capacity limitations of
the cross-border power grid. The leading options for future
domestic energy production were new natural gas plants and
new nuclear power plants.


4. (C) Professional bias aside, Ronaky and the HAEA were
exploring new nuclear power options as new natural gas plants
would only increase Hungary's reliance on Russian gas. HAEA
officials were considering the construction of new
pressurized water reactors (PWRs) on the site of the current
nuclear power facility in Paks. The Russian-built VVER1000
and Westinghouse Electric Company's AP1000 were the two top
designs under consideration, however Ronaky expected
significant pressure to go with the VVER1000 design given the
current operation of four VVER440/213 units at the Paks site.
(Note: Members of Parliament have also advised us that
Russia's offer to dispose of spent fuel will figure
prominently in the GoH's ultimate decision. End Note.)
Naturally this would not enhance
energy diversification but only create another bond between
Hungary and Russia in the domestic energy market with the
ancillary training, spare parts and fuel that would be part
of any VVER deal. France's Areva designs were viewed as too
large and boiling water reactors (BWRs) were not being
considered.

New radioactive waste disposal facility
--------------

5. (U) Although the four VVER440/213 units at Paks have
undergone significant safety and performance enhancements
since opening in 1983, Hungary is preparing for eventual
decommissioning with the October 2008 grand opening of the
new radioactive waste repository at Bataapati in southern
Hungary. It is noteworthy that Hungary has established
themselves as a leader in the field of nuclear waste
management with the opening of this repository, and has done
so with a high degree of public involvement and acceptance.
This site, designed for low- and medium-level radioactive
waste, will soon begin to receive waste currently being held
at Paks at a temporary location. The waste will be
permanently stored in 200 meter deep tunnels carved in
granite and encased in multiple layers of gravel, soil and
cement. Hungarian officials had been approached by
neighboring countries about storing their own radioactive
waste, but GoH officials said the site was only for domestic
requirements at this time.

Regulatory climate in Hungary
--------------

6. (C) Ronaky described the NRC-HAEA relationship as strong,
as evidenced by the visit of Chairman Klein and the multiple
training and exchange visits conducted in recent years
between the two countries. However, Ronaky noted maintaining
the current capabilities of the HAEA staff was
becoming increasingly difficult given the dearth of qualified
young nuclear engineers and the pressure to defend current
budget allocations. He said that most of the nuclear
engineers and engineering professors were nearing retirement
age like himself and that very few students were inspired to
enter a field which does not have a high profile in ongoing
domestic projects. The HAEA has made a significant effort to
boost new hiring numbers but, given the pace of retirements,
they barely manage to replace those who have left.


7. (U) Chairman Klein summarized his discussions with the
HAEA during his meeting with Ambassador Foley on September

23. This cable was cleared by Chairman Klein.
Foley