ABOUT US
In line with the principles described in the Atomic Energy Act, radioactive waste management may not impose unreasonable burden on future generations. In order to fulfil this requirement, the costs of radioactive waste disposal and the decommissioning of nuclear facilities shall be covered by the generation, that benefits from nuclear electricity production and the use of radioisotopes. Therefore, as of January 1 in 1998, the Central Nuclear Financial Fund (KNPA) was established: a designated state fund for financing the final disposal of radioactive waste, the interim storage of spent nuclear fuel, the closing of the fuel cycle, as well as the decommissioning of nuclear facilities.
The Central Nuclear Financial Fund is managed by the Energy Ministry. The KNPA managing organisation shall evaluate, and subject to its agreement, submit the medium- and long-term plans for activities, as well as the proposals prepared by PURAM, concerning payment obligations as part of these plans, -to be financed from the Central Nuclear Financial Fund-, to the designated minister for approval, together with the preliminary opinion of the KNPA Expert Committee. The submission shall also contain the professional evaluation of the HAEA.
By making payments to the Central Nuclear Financial Fund, MVM Paks Nuclear Power Plant shall cover the costs of the final disposal of its radioactive waste and the interim storage of its spent fuel, including the dismantling of the storage facility, and the closure of the nuclear fuel cycle, as well as the decommissioning of the nuclear power plant. The NPP as well as the incentives for the Controlling and Information Associations by regular payments to the Central Nuclear Financial Fund. The NPP shall also cover the costs incurred by municipal associations for monitoring and information purposes by making payments to the Central Nuclear Financial Fund.
The NPP bears the costs associated with the permanent disposal of radioactive waste, the safety enhancement and operation of storage facilities that are not covered by the contributions paid for occasional deliveries to the Radioactive Waste Treatment and Storage Facility, as specified in the annex to the Atomic Energy Act. The annual contribution of the nuclear power plant is determined by the Act on the Central Budget, taking into account the above obligations. A monthly installment of the amount determined for the given year shall be paid directly to the account of the Central Nuclear Financial Fund held with the Treasury by the 15th day of each month.
In the case of the Budapest Research Reactor of the Hungarian Academy of Sciences, and for the training reactor of the Institute of Nuclear Techniques (NTI) of the Budapest University of Technology and Economics (BME); the costs related to the installation and operation of an interim storage facility, the closing of the nuclear fuel cycle, as well as the decommissioning and dismantling of the nuclear facilities, including the final disposal of radioactive waste generated during these activities, shall be paid to the Fund, at the time when these costs arise. The source of these payments to the Central Nuclear Financial Fund is provided by the annual central state budget of the operating institution. Other users of nuclear energy fulfill their payment obligations related to the final disposal of radioactive waste, as specified in Annex 1 of the Atomic Energy Act, when their waste is delivered to the relevant storage facility.
In order to ensure that the Central Nuclear Financial Fund maintains its value, the Fund receives central budgetary support calculated on the basis of the previous year's average cash balance and the previous year's average central bank base rate. This practice was suspended in 2001 and 2002, but was reinstated in 2003.
Medium- and long-term plans (to include the decommissioning of nuclear facilities), as well as annual work programs shall be prepared on the use of the Fund, as part of PURAM’s tasks. The medium- and long-term plans shall be reviewed annually and updated as necessary. The aim is to ensure that the Fund provides realistic coverage for expenses due in the distant future. This is how the principle referred to in the introduction is implemented; namely that the generation using nuclear energy shall cover the costs of future activities arising from the utilisation of nuclear energy, and does not leave an unreasonable burden on future generations.