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Hungary is seeking a replacement for Rosatom in the €12.5 billion Paks nuclear power plant project

Hungary is considering replacing the Russian state corporation Rosatom as the main contractor for the expansion of the Paks nuclear power station.
Dmitry Kalak Dmitry Kalak Reading time: 2 minutes
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Paks NPP

Photo: Euronews

Prime Minister Péter Magyar’s government is already examining proposals from alternative suppliers, Reuters reports, citing sources familiar with the discussions.

The contract for the nuclear power station’s expansion was awarded to the Russian consortium in 2014 by Viktor Orbán’s government without a tender process, the publication notes. The initial cost of the project was estimated at 12.5 billion euros. By February 2026, Hungary’s expenditure had exceeded €2 billion, and the companies had already received a number of amendments to the contract: five amendments had been made, and a sixth had been drafted but not yet signed.

The review of the project involves assessing the legal, technical and financial implications of a possible change of contractor, as well as the implementation timeline. A further complication arose from a 2025 ruling by the Court of Justice of the European Union, which overturned the European Commission’s approval of state aid for the project.

According to Reuters, a source close to the Hungarian administration stated that the government is leaning towards the conclusion that the nuclear power station needs to be expanded, but without Rosatom’s involvement. A final decision is expected by the end of this year or in early 2027.

Rosatom told Reuters that work is continuing in accordance with the agreed timetable. The company also stated that it had not received official notification of any intention to terminate the contract and sees no legally valid grounds for such a decision.

Hungary, however, intends to retain nuclear power within its energy system. As a temporary measure, the authorities are considering the possibility of extending the licences of the four operational reactors at Paks – which are due to expire between 2032 and 2037 – by 20 years.

This story was translated with the assistance of artificial intelligence.The translation was also reviewed by the Logos Press editorial team.


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