Russia confident of winning South Africa nuclear power bid

Russia is confident of winning a planned bid to build a fleet of nuclear power plants in South Africa because it has the best technology and a cost advantage due to the weak rouble and oil price, its state nuclear agency said on Wednesday.

Nikolay Drozdov, head of international business at Rosatom, told Reuters that the cost of building nuclear plants in South Africa would be much lower than a $100 billion estimate reported in the media.

"The devaluation of the rouble and low oil price makes us more cost competitive against dollar and euro bids," added Drozdov, speaking at a conference in Johannesburg sponsored by Rosatom and endorsed by South Africa's energy ministry.

story_article_left1

Opposition parties have questioned the affordability of nuclear power as South Africa battles to maintain its investment grade credit rating.

Drozdov also said reports that South African President Jacob Zuma and Russian leader Vladimir Putin had already agreed to give Russia the nuclear build contract was "baseless speculation".

"South African media has interpreted some things as a done deal. It's incorrect. It is an open and transparent process. We have a global reputation to uphold," he said.

- Reuters