Doicești SMR: Nuclearelectrica Reviews $6.5B NuScale Project — NRG-IA

Romania is laying the groundwork for a potential strategic shift regarding the Doicești nuclear power plant, one of its flagship energy initiatives developed in partnership with the United States. Nuclearelectrica, the Romanian state-controlled nuclear utility, announced that over 80% of the conditions underpinning the February 2026 investment decision remain unfulfilled. Consequently, it is proposing a substantial scaling-back of operations at project company RoPower Nuclear. Concurrently, Nuclearelectrica is preparing to evaluate alternative US nuclear technologies, as negotiations with NuScale over commercial risk sharing failed to yield the agreements sought by the Romanian side. The details were disclosed in an official note published on October 9, 2026, ahead of Nuclearelectrica's Extraordinary General Meeting of Shareholders on October 29. The document outlines a critical scenario that casts doubt on continuing the project in its current configuration: key commercial agreements remain unsigned, performance guarantees have been rejected by the technology vendor, and site licensing at the former coal plant in Doicești, Dâmbovița County, faces additional complications. The stakes extend well beyond contractual friction with the US vendor. The project envisions a small modular reactor (SMR) plant featuring six 77 MW modules with a combined capacity of 462 MW. According to a report by the Prime Minister's Control Body, estimated costs escalated to $6.5 billion by December 2025—roughly $3.8 billion higher than initial evaluations. For Romania, the upcoming decision hinges on both the future of a continuous baseload nuclear power capacity and the management of already committed financial resources, balanced against the risks of deploying a technology in its First-of-a-Kind commercial configuration. Nuclearelectrica warns project risks remain largely borne by Romania In February 2026, Nuclearelectrica shareholders granted conditional approval for the final investment decision (FID) regarding the Doicești project, subject to mandatory criteria concerning economic feasibility, contractual frameworks, financing, and site preparation. While this approval allowed pre-development work to advance, it fell short of an unconditional construction mandate or full financial commitment. Nearly eight months later, Nuclearelectrica notes that more than 80% of these mandatory conditions remain unmet. According to the company, this leaves a significant portion of project risks disproportionately allocated to RoPower Nuclear and, by extension, to Nuclearelectrica and the Romanian state. The document identifies three priority issues that dictate whether the investment can proceed as currently structured. Two are directly linked to commercial negotiations with NuScale, while the third concerns site safety and licensing. The first hurdle is the absence of a binding framework agreement between Nuclearelectrica and NuScale defining risk and benefit sharing. Nuclearelectrica contends that the US technology provider gradually backtracked on previously discussed commitments and rejected the structure of the proposed agreement. Instead of a standard commercial framework, NuScale reportedly proposed a mechanism granting Nuclearelectrica stock options at a predetermined price. From Nuclearelectrica's standpoint, this mechanism provides neither the required contractual protection nor strategic advantages aligned with the financial exposure assumed by Romania. The distinction is critical. Potential gains from equity instruments depend entirely on NuScale’s stock price performance, whereas project execution risks revolve around cost overruns, equipment delivery, technological performance, and schedule adherence. Nuclearelectrica seeks an agreement that directly safeguards the investment while securing local supply chain participation for Romanian industry, technology transfer, and potential cost savings from deploying the technology in future projects. The October 9 document highlights that these strategic commercial objectives have not been incorporated into a mutually accepted contractual commitment. The core dispute: Romania insists on paying for the remaining five reactors only after the first proves operational The primary sticking point centers on technology risk allocation for the six NuScale modules intended for Doicești. RoPower Nuclear requested that the US vendor accept one of two commercial frameworks outlined in the project's feasibility study. The first option would allow the Romanian entity to initially procure a single 77 MW module. The remaining five modules would remain NuScale's responsibility and would only be purchased by RoPower once the first unit demonstrated full operational success. The second option would involve procuring all six modules upfront, but with a clause requiring NuScale to fully reimburse the cost of the other five modules if the first fails to perform according to design specifications. Both…