Romanian state-controlled nuclear energy producer Nuclearelectrica will begin talks to terminate the agreement signed with China General Nuclear Power (CGN) for the construction of reactors 3 and 4 of the Cernavoda Nuclear Power Plant.

The company's management formally asked for the shareholders' approval to take further steps in this direction, according to a report on the Bucharest Stock Exchange. However, the Government has initiated the procedure and also has the power to decide this.

Previous Social Democrat governments launched the agreement with the Chinese group, which has been criticized by Romania's strategic partners, G4media.ro wrote. The "criticism" was related to security issues tied to the use of Chinese technology.

In 2015, Nuclearelectrica signed a memorandum of understanding with CGN to construct reactors 3 and 4.

Liberal prime minister Ludovic Orban announced in January that the Government would exit the deal with its Chinese partner. He invoked the European Union's Green Deal rather than security issues or cost concerns circulated previously as the main reason behind a potential end of the deal with CGN to expand Romania's only nuclear power plant.

editor@romania-insider.com

(Photo source: Nuclearelectrica.ro)