The Engineering Division was established by integration of the industry’s leading companies: JSC ASE EC (Nizhny Novgorod) — managing company, JSC ASE (Nizhny Novgorod), JSC “Atomenergoproekt” (Moscow) and JSC ATOMPROEKT (St. Petersburg) and other.
According to the results of 2018, the Engineering Division of Rosatom State Corporation is the leader of the global NPP construction market.
We seek to build a competitive business that is successful in implementation of construction projects and complex engineering construction management projects and aims to maximize the shareholder value of the Engineering Division.
The Division’s values
correspond to those of Rosatom State Corporation:
We manage construction of complex engineering facilities based on the vast experience in implementing nuclear projects. We create shareholder value and ensure implementation of their objectives on the Russian and global markets.
Main areas of activities:
Membership of associations:
- Federation of employers of atomic industry, power engineering and science of Russia;
- Association of innovative design;
- European Utility Requirements;
- Self-regulating organization “Association of the engineering-prospecting organizations in nuclear branch “SOJUZATOMGEO”;
- Self-regulating organization “Association of the designing organizations in nuclear branch “SOJUZATOMPROEKT”;
- National Association of consulting engineers in the construction field;
- Czech nuclear forum;
- Association “Self-regulatory regional industry federation of employers “Association of Nizhny Novgorod developers”;
- Association of construction companies in the nuclear industry (ASKAO);
- Russian department of buildingSMART;
- International Federation of Consulting Engineers (FIDIC);
- Engineering Construction Risk Institute (ECRI).
The operations areas are Europe, Middle East, Asia, Northern Africa, Asia-Pacific Region.
The project owners are countries that seek to diversify their power system and provide their economy with cheap electricity
- Frame Contract for joint construction of new units at the Tianwan NPP site (Units 7&8);
- Frame Contract for construction of Russia-designed NPP at the new site in China (Xudapu NPP Units 3&4).
Events after the Reporting Date
Financial and Operational Highlights 2018
The losses incurred over Belene NPP Project were reimbursed upon the Final Award by the Arbitration Court in 2016. This factor influenced the EBITDA index. The index growth in 2018 resulted from the efficient cost management process and the restrained management expenses.
Summing up the investment program implemented by the Engineering Division in 2018, the amount of 4.2 billion rubles has been saved owing to the procurement procedures and withdrawal from or cancellation of earlier scheduled actions of the investment program.
In 2018, the revenue amounted to 202 billion rubles. The parameter had grown compared to 2017 by 15.2%. The most sizeable shares in the revenue are those accounted for by CEW and equipment businesses. The biggest contribution to the revenue was made by Rooppur NPP (Bangladesh), Kudankulam NPP (India) and Belarus NPP projects.
Dynamics of the project portfolio is related to the change in the portfolio structure and implementation of contracts.
The number of power units is estimated with account of commissioning of Tianwan NPP Units 3&4 and Rostov NPP Unit 4 and signing of new NPP construction contracts.
The growth of newly generated jobs and staff size is explained by:
- transition to the active stage of NPP construction abroad, such as Rooppur in Bangladesh, Belarus NPP and Kursk NPP in Russia;
- enhancing the competence of employees of the design division as part of the foreign projects;
- development of IT-competences as part of implementation of the “Digital Economy” program.
The benefits increase owing to the annual indexation of salaries.
The actions aiming to raise the efficiency of the basic operational processes stimulate a steady growth of labor productivity and business efficiency.
The average age of the Engineering Division employees has remained to be at most 41 year for the last three years, and it demonstrates a tendency towards decreasing. This is owing to methodical endeavors to rejuvenate the staff provided that the key competences in designing and construction of complex engineering facilities are retained. We appreciate knowledge and industry background of our personnel in the age of maturity. Simultaneously, we aim to employ young staff members with competences in the area of digital technologies, knowledge of foreign languages who are ready to perceive the experience and learn to take decisions.