Rosenergoatom (part of the electric power division of Rosatom State Corporation) and the international metallurgical company NLMK Group concluded an agreement on cooperation in the supply of low-carbon electricity.

The agreement provides for the possibility of supplying low-carbon energy from nuclear power plants of Rosenergoatom for the new mining and metallurgical production of NLMK Group at the Stoilensky MPP site, which is scheduled to be commissioned in 2027-2028. The signed agreement is a continuation of the cooperation begun between the companies in 2021. Thus, in 2021, the supply of electricity from the NPP to the consumers of the NLMK Group will amount to about 3 billion kWh.

Nuclear power is one of the most reliable and uninterrupted sources of low-carbon electricity. There are no CO2 emissions from electricity generation at nuclear power plants at all due to the specifics of the technological process. Now nuclear power accounts for a third of all low-carbon electricity in the world. In Russia alone the operation of nuclear power plants prevents the emission of 110 million tons of CO2 per year.

“Rosenergoatom intends to continue to cooperate with industrial consumers as part of non-regulated contracts, supplying them with low-carbon electricity produced at nuclear power plants. This service becomes more popular among large industrial consumers. This year Rosenergoatom concluded non-regulated contracts for the amount of about 5 billion rubles,” stressed Alexander Khvalko, deputy general director - Sales Director of Rosenergoatom.

Also, the agreement between Rosenergoatom and NMLK Group provides for other formats of cooperation, including the conclusion of bilateral contracts for the sale and purchase of electricity (capacity) and joint work in the demand management market (Demand Response or change in energy consumption depending on the load level in the power system and prices for electricity).

“The project to manage the demand for electricity, which is being implemented in Russia since 2020, implies a reduction in energy consumption by customers in the event of peak loads in the power system. For this, the company receives a certain premium. Rosenergoatom has been participating in this project for several years as a demand aggregator. Yes, the absolute values across the country are very modest. However, the demand for this service is growing at a good pace. During this year, we have increased the total unloading capacity from 5 to 100 MW,” said Alexander Khvalko.