Partial award granted in ICC arbitration concerning the delay of Olkiluoto 3 EPR project

9.11.2016

Teollisuuden Voima Oyj (TVO) has received a final and binding partial award in the ongoing International Chamber of Commerce (ICC) arbitration proceeding related to the delay and the ensuing costs incurred at the Olkiluoto 3 (OL3) EPR nuclear power project.

In this partial award the ICC Tribunal has addressed the early period of the project (time schedule, licensing and licensability, and system design). This comprises many of the facts and matters that TVO relies upon in its main claims against the supplier, as well as certain key matters that the supplier relies upon in its claims against TVO. In doing so, the partial award has finally resolved the great majority of these facts and matters in favour of TVO, and conversely has rejected the great majority of the supplier’s contentions in this regard.

The partial award does not take a position on the claimed monetary amounts. The arbitration proceeding is still going on with further partial awards to come before the final award where the Tribunal will declare the liabilities of the parties to pay compensation.

TVO considers its claims to be well-founded and has considered and found the claims of the supplier to be without merit. The partial award provides material confirmation for this position.

The OL3 EPR was procured as a fixed-price turnkey project from a consortium (supplier) formed by AREVA GmbH, AREVA NP SAS and Siemens AG. The supplier consortium companies are jointly and severally liable for the plant contract obligations. According to the current schedule of the supplier, regular electricity production in the unit will commence at the end of 2018.

TVO has not recorded any receivables or provisions on the basis of claims presented in the arbitration proceedings.

More information:
Risto Siilos, SVP Business Support Services, Deputy CEO

Interview requests:
Pasi Tuohimaa, Manager, Corporate Communications, Tel. +358 40 544 5001

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