Public annual report 2010
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Annual report Statements Address by the Director General

Address by the Director General

You are looking through a report on the 2010 activity of the State Atomic Energy Corporation ROSATOM. The Corporation is voluntarily continuing to implement the public reporting system in the nuclear industry. We believe that, after the long period when the industry work was closed and secret, the transparency of our activities and openness of our plans and intentions are necessary conditions for achieving a public consensus on nuclear power development issues.

The first report of the Corporation, published last year, enjoyed the intense interest of a broad range of stakeholders: it was read by officials and entrepreneurs, the Corporation’s business partners and nongovernmental organizations. In the second report, we tried to highlight the issues of greatest interest. It is extremely important for society to know what is going on in such a technologically complex domain as the nuclear power industry. The topicality and importance of public information was made manifest in particular during the accident at Fukushima Daiichi after the devastating earthquake in Japan. I am sure that this report will provide you with comprehensive information on the safety of Russian nuclear facilities.

In 2010, ROSATOM continued to implement consistently a corporate strategy aimed at strengthening global technological leadership in the world nuclear sector.

In the reporting year, we achieved good production and financial results. Nuclear electricity generation grew by 4.2% to 170.1bln kWh. Labor efficiency in the industry as a whole increased by 21.7%. Proceeds of the Corporation and its entities increased by 8.7% as compared to 2009 and approached 498 bln rubles. The Corporation’s net profit over the year grew by 17.5% to 44.3bln rubles.

For ROSATOM, 2010 marked a year full of striking events that will be part of Russian and global nuclear power development history. Among them are the creation of the world’s first guaranteed reserve of nuclear fuel in Angarsk, Irkutsk Region; completion of the first power program at Rostov-3, which is the first power unit built under the new nuclear build program; and the start by the Corporation’s companies of uranium mining in the United States. Successful implementation of these projects substantially strengthens Russia’s prestige as a leader of the world nuclear industry.

The reporting year was also marked by the signing of a number of unique commercial agreements: the Corporation inked agreements on the construction of the first nuclear power plants in Turkey and Vietnam, sizably expanded the portfolio of nuclear build orders on the Indian market, which is a key market for us, and concluded a longterm contract for Russian nuclear fuel supplies to Ukraine. All these create a sustainable demand for our enterprises’ services for many years to come.

ROSATOM’s enterprises showed the first tangible results from working with the Presidential Commission for Technological Development of Russia’s Economy: series production of small-size supercomputers has started and the first batches of molybdenum-99 isotope, which is widely used in nuclear medicine, went for export to save hundreds of thousands of lives.

However, we recall 2010 not only for its successes but also the serious difficulties we encountered. Natural disasters in the late summer of 2010 forced workers at the Russian Federal Nuclear Center in Sarov literally to defend their facility against wildfires along a front that extended over many kilometers.

These people committed a heroic deed and got much-deserved awards from the government.

We continue solving environmental problems accumulated over decades of the Soviet defense program. Some of the problems have already been solved. However, I would like to emphasize that development of an acceptable scientific and technological solution means more than just solving “nuclear legacy” problems. Decommissioning radiationhazardous facilities and bringing them to a “green lawn” state is a boomingly developing business across the world. We also have good prospects for exporting these technologies.

In 2011, ROSATOM will continue its advancement in accordance with preset targets. With that, an absolute priority was and will remain the safe and reliable functioning of nuclear power facilities. Since the events at Fukushima Daiichi, we have conducted more than one hundred additional checks, including those where we invited representatives of the World Association of Nuclear Operators for a peer review. The checks confirmed that Russia’s nuclear power plants are fully compliant with existing Russian and international safety guidelines.

In the jubilee year, we achieved serious successes, as is confirmed by the results of our key activities and sustainable development efforts. These prominent achievements are backed by the efforts of a hundred thousand workers in our organizations and I would like to extend my sincere gratitude to them for their devoted labor.

Director General, State Atomic Energy
Corporation ROSATOM

Sergey Kirienko

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