28-11-2024

Intergovernmental agreement on cooperation in the civil nuclear programme signed in Washington

Dainius Kreivys, Interim Minister of Energy, and Jennifer M. Granholm, U.S. Secretary of Energy, signed an intergovernmental agreement on cooperation in the implementation of the civil nuclear power programme in Washington.

The agreement, which is the first US intergovernmental agreement in the development of next-generation nuclear power, provides that the US will share with Lithuania its experience in the development of next-generation nuclear power, and will also prepare a business model analysis and development feasibility assessment for the fourth generation of small nuclear reactors. 

The National Energy Independence Strategy foresees Lithuania becoming a fully climate-neutral economy by 2050s. The decarbonisation processes will require a large amount of additional electricity – electricity consumption is expected to increase sixfold by the 2050s, from the current 12 TWh to 74 TWh. The highest growth in electricity consumption is expected between 2030 and 2040.  In order to balance the growing consumption, as well as large amounts of wind and solar generation, new managed generation capacities will be needed. Therefore, the National Energy Independence Strategy and the National Energy and Climate Action Plan provide for assessment of the possible construction of fourth generation small nuclear reactors (SMRs) in Lithuania. 

Lithuania should decide on the construction of such reactors in 2028. The cooperation agreement provides that by then the United States will prepare a technology assessment report, which will include a market analysis of SMR technology, the risks of SMR technology and a life-cycle assessment of such a reactor installation, a siting analysis of new nuclear facilities, potential project financing arrangements and sources. The agreement also envisions the exchange of experts to ensure the promotion of the highest standards of safety and security, the enhancement of physical and security for all civil nuclear facilities in Lithuania, and consultation regarding best practices related to decommissioning and fuel management and workforce development. The assessment will be used in the preparation of a report on the development of nuclear energy, predicting its development in the Lithuanian energy system, technological choice, operating model, opportunities for the local supply chain to participate in the project, necessary changes to the regulatory environment, public information and training of specialists, among other things.

“In order to make a competent decision on the development of the next generation of nuclear energy in Lithuania, we must fully assess the technical and financial possibilities of such a decision, and provide measures for managing possible risks – this agreement between the United States and Lithuania will serve this purpose,” Interim Minister of Energy Dainius Kreivys said. He also stressed that this agreement contributes to strengthening national security and developing technological progress in Lithuania.

At the bilateral meeting, US Energy Secretary Jennifer Granholm underlined the continued interest of the US nuclear industry in providing Lithuania with clean, reliable and resilient nuclear energy, which is one of the key components in strengthening the region’s energy security. “Safe, clean and reliable civil nuclear energy will be a critical component of Lithuania’s energy pathway. The US remains committed to working with Lithuania to advance its national security, regional security and democratic sovereignty,” she said.

According to Mr. Kreivys, the agreement will allow Lithuania to take over from the US the experience of implementing civil nuclear power projects in the US, including best practices related to safety regulatory infrastructure (licensing), technology, construction, operation, decommissioning, full nuclear fuel cycle management, radioactive waste management, research and development. The agreement underlines that, in order to achieve the goals of decarbonisation and electrification of the energy sector, nuclear energy, used responsibly, contributes to overall energy security and meets the growing demand for clean energy, while ensuring a high level of environmental protection.

There are currently no operating fourth generation nuclear reactors, but most of the development is taking place in the USA. According to Mr. Kreivys, Lithuania is closely monitoring the progress of the most advanced projects and will assess the potential of the technologies under development for future use. The experience gained during the operation and decommissioning of the Ignalina Nuclear Power Plant could also be useful for this purpose. According to the Minister, such small nuclear reactors can have a capacity of between 100 and 500 megawatts, making them ideal for balancing the whole energy system and allowing for more investment in renewable energy. Another very important aspect of small nuclear reactors is safety: while current nuclear power plants have a safety zone of 10 km, the fourth generation of small nuclear reactors would reduce the safety zone to just 600 metres.

During the bilateral meeting, Dainius Kreivys and Jennifer Granholm discussed the development of renewable energy in Lithuania, as well as preparations for synchronisation in February 2025. 

During his visit to Washington, Dainius Kreivys also met with representatives of companies developing the latest nuclear energy technologies and small nuclear reactors and learned about the progress of their projects.

In April 2023, the European Commission published a declaration entitled “EU Small Modular Reactors (SMRs) 2030: Research and Innovation, Education and Training”, to support research and safety in SMRs. The Commission sees SMRs as a viable alternative to replace old coal-fired power plants and to promote the development of renewable energy sources.

In recent years, Lithuania has significantly strengthened its energy relations with the USA: a Memorandum of Understanding on cooperation in the transition to climate-neutral energy, strengthening energy and cyber security has been signed; the National Renewable Energy Laboratory (NREL), a subordinate of the U.S. Department of Energy, is working on a modelling study of Lithuania’s energy system, which will identify the most cost-effective and innovative ways for Lithuania to move to a 100% renewable energy mix. A joint project with the Idaho National Laboratory on the preparedness of the country’s energy companies to protect against cyber threats has been completed.