Link to the study - European Parliament - Europa

Nuclear Decommissioning: Management of Costs and Risks
____________________________________________________________________________________________
to discuss any issues that may arise. The Bank accommodates its schedules to allow for documents to
be distributed to the EC’s member state consultation body (NDAP). The Bank participates in NDAP
meetings and, where relevant, in monitoring meetings of the Lithuanian projects implemented
through the national channel.
The EC, EBRD and Governments of the recipient countries have established a Joint Steering
Committee (JSC) for each of the Decommissioning Programs. The JSCs provide a forum to discuss at a
high level any issues affecting the programs and to coordinate actions on various levels.
Other donors, by now all EU member states, made contributions at the beginning of the programs.
Only the EC has been making continuous payments. This may justify a review of governance
structures which may lead to transfer to the EC of the Assembly’s role in the formal decision making
process while keeping other donors involved either through Assemblies or through the NDAP
mechanism.
EBRD’s approach to program management
While it is important to stress that recipients (NPPs, Decommissioning Agencies and other entities)
have full ownership and responsibility for the decommissioning programs and individual projects, it
is also true that the Bank oversees these in a very hands-on way to ensure that donor funds are spent
efficiently for the intended purpose.
A key element in the overseeing of these donor programs is close co-operation with the authorities in
the recipient countries. Governments are important partners, as they have made the relevant political
commitments - including for the closure of the old NPPs - for the creation of the necessary
institutional framework, typically as owners of the recipient organizations and as partners in cofinancing
agreements.
Co-operation with authorities is based on Framework Agreements which the Bank has signed with
the three recipient countries. These are international treaties which set out the ground rules for
implementation of the decommissioning support programs, such as provisions for tax exemption and
indemnification, but also undertakings for the government to support project implementation.
Framework Agreements establish the principle that projects will be funded on the basis of Grant
Agreements between Bank and recipient and that projects will be managed by a dedicated Project
Management Unit (PMU). Framework Agreements also stipulate that the Bank and the Recipient
country establish a mechanism to regularly review at a senior level progress and solutions to possible
obstacles. This can be done through regular contacts and the formal establishment of Joint
Committees. In the case of Bulgaria and Lithuania, the Bank and the respective governments have
had an understanding that formal meetings were not required as the regular contacts served the
purpose.
Grant Agreements with recipient organizations set out the purpose and the conditions on which
grant funds can be made available. They also detail the obligations and resources to be provided by
the recipient and reiterate the obligations in the Framework Agreement (such as the requirement to
employ a PMU) and from the Fund Rules (such as the obligation to follow the Bank’s Procurement
Policies and Rules 3 ).
Project Management Units for the decommissioning programs are intended to be an integral part of
the recipient’s organization and should be composed of recipient personnel and of staff provided by
195