© 2017 SE NNEGC Energoatom

All rights reserved


Yuriy Nedashkovsky
President of SE NNEGC Energoatom

Dear colleagues, partners and friends,

In 2016, SE NNEGC Energoatom marked its 20th anniversary. Today we are Ukraine’s largest electricity producer and a world’s leading company in the nuclear industry. This allows us to look into the future with confidence and makes us highly responsible to the society.

Now the Company is on the way to improvement and development. We have identified our priorities: ensuring the highest safety level at nuclear power plants and reliable electricity supplies, strengthening the energy independence of our nation, enhancing our openness and accountability to the Ukrainian society, as well as contributing to the social and economic development of our country. We believe that every step on our way will contribute to the achievement of an overarching goal which is to build an independent and prosperous nation.

In the nuclear industry, unlike other sectors, the personal responsibility of every employee for the common cause is extremely important. Therefore, we do everything we can to ensure a high level of nuclear, radiation, environmental and operational safety at nuclear power plants in line with international and national standards. The reliability of Ukrainian NPPs is confirmed with positive opinions of an unprecedented comprehensive safety assessment conducted within the framework of the Ukraine-European Commission-IAEA joint project at each of fifteen operating power units.

SS NNEGC Energoatom is rolling out the Complex (Consolidated) Safety Upgrade Programme of Power Units of Ukrainian NPPs. The initiative is co-financed by Energoatom (with funds allowed for in the electricity supply tariff) and €600 million loans from the EBRD and Euratom (30% of the total cost). For us, safety improvements are continuous. We gain new operational experience, conduct in-depth safety studies, introduce new regulatory documents, and develop R&D support on an ongoing basis.

SE NNEGC Energoatom belongs to companies that are of strategic importance for the country’s economy. After all, NPPs account for more than 50% of the electricity generated in Ukraine. Therefore, strengthening the nation’s energy security is one of the Company’s priorities. For us, a key to success in this area has been the diversification of fresh nuclear fuel supplies to Ukrainian NPPs, which made it possible to overcome the historical dependence of the country’s nuclear industry on Russian nuclear fuel. In parallel with the Westinghouse nuclear fuel qualification, another project has been rolled out for over a decade to ultimately eliminate the dependence of Ukrainian nuclear power plants on Russian Federation. Finally, SE NNEGC Energoatom has met all regulatory requirements and received a license from the State Nuclear Regulatory Inspectorate of Ukraine on 6 July 2017 to build and launch the Central Spent Fuel Storage Facility.

Equally important for us are such objectives as the Company’s restructuring to ensure our effective operations in the electricity market, the modernisation of the electric power infrastructure, and the implementation of the Third Energy Package. Ukraine-EU Energy Bridge, one of the most promising projects in thecountry’s energy industry, helps organically meet all these goals. Approved by the Ukrainian government, the initiative will not only increase electricity exports from Ukraine, but also raise funds for the completion of power units No. 3 and No. 4 at Khmelnytska NPP.

The analysis of developments at both Ukrainian NPPs and globally manifests a growing role of the human factor, which makes the human resources management a key area for improvement. SE NNEGC Energoatom works not only to expand the scope of training and professional development programmes for its employees, but also to implement educational projects aimed at encouraging forward-looking youth to choose technical professions and at training skilled and innovatively thinking specialists for the industry.

SE NNEGC Energoatom’s absolute priorities are environmental safety, environmental protection, public and employee health. The Company ensures the sustainable and safe operation of Ukraine's nuclear power plants in accordance with the principles of European and domestic environmental laws. Over 20 years of operation, Ukrainian nuclear power plants have had no accidents involving either radioactive contamination or excess of exposure doses for the Company’s staff or population. This proves that Energoatom makes every effort to achieve the main goal — to generate a safe and clean energy of the future.

Since 2013, SE NNEGC Energoatom has been preparing for corporatisation to improve the efficiency of the Company's governance. This process seeks to turn our unitary enterprise into a modern company with an effective corporate governance system. We hope that this will create an enabling environment to raise investment and improve approaches to management of government-owned strategic assets.

Adhering to the principles of ethical and responsible business, SE NNEGC Energoatom publicly informs all stakeholders about its operations. In 2015, the Company was the first government-owned enterprise to approve an anti-corruption programme. We were the pioneer among Ukrainian government-owned companies to implement an electronic procurement system. This Report is another confirmation of our openness. It is prepared in accordance with international standards of non-financial reporting. We uphold the 17 United Nations Sustainable Development Goals and make significant efforts to maximise the Company's contribution to the sustainability of the Ukrainian economy and Ukrainian society.