French nuclear technology group Areva announced Friday a new cost overrun for a major project in Finland to build a nuclear power plant amid deteriorating relations with Finnish partner TVO.
Areva did not reveal the size of the provision it was taking for the unbudgeted costs of the already delayed plant, which will include a new generation reactor that is the first of its kind to be built.
Areva said that it and German construction partner Siemens had entered into arbitration proceedings with Teollisuuden Voima (TVO) on December 5 and the French group listed a series of problems
TVO "has not satisfactorily put into action the acceleration measures agreed and announced by both sides in June 2008," Arriva said.
It reiterated its complaint that TVO, an electricity provider, is "slow in communicating technical documents to the Finnish safety authority."
At the end of August, Areva announced a provision which increased the cost of the project by 50 percent to 4.5 billion euros from 3.0 billion previously, according to press reports at the time.
